Project Development

Many decisions have to be clarified in the early stages of a project that will build the philosophy of the work. Before a concept is developed into a scope, an overall risk analysis needs to be established. Many aspects will drive the amount of risk a firm is willing to accept. Whether it is EPC, design/build, systems integration or individual POs, risk will fluctuate with each of the options. These risk decisions can be driven by experience, expense, budgets, corporate stability, etc. Although it can be modified, the basis of the decision should be maintained throughout.

Next the selection of viable major OEMs need to be established which will have an influence on the basic scope parameters. Many OEM organizations promote the control package for the entire plant. There is clearly pros and cons with utilizing this approach, but the clearest consideration should be around the complexity of the system not included in the OEM's scope.

Next choosing a knowledgeable engineering firm that provides multiple references for doing this type of work. The key is to have a firm that is very strong with the civil portion of the project. This is vital when obtaining the necessary permits from the local authorities. Understanding the structural, piping and electrical are also essential. The OEM and suppliers will support on the process and mechanical portion of the project, however the engineering firm should al least understand the process.

With these above items outlined and decided, the project is ready to move forward. It should be clearly understood that this is assuming that a market is clearly verified, property has been chosen, testwork on the material, basic permitting steps completed and financing either established or defined. P5D typically gets involved in all these steps when the company requires assistance.