Integrated Technologies, Inc. (ITI) can develop rough order-of-magnitude (ROM) to detailed cost estimates for process, plant, energy, and environmental projects. The accuracy and cost of project cost estimates varies by client requirements. ITI can provide the following types of cost estimates:
ROM
A ROM Cost Estimate has a probable accuracy of -25% to +75% and is based on experience with projects of similar type and scope. The actual project costs of similar projects are adjusted for required production capacity and price escalation. The accuracy of a ROM Cost Estimate is dependent upon the scope of the project and the time allocated to prepare the cost estimate. A ROM Cost Estimate should be conservative and is normally much higher than other types of cost estimates.
Factored Estimate
A Factored Cost Estimate has a probable accuracy of -25% to +30%. A Factored Estimate requires prices for all major process equipment, and the price is built up with standard factors and allowances for engineering, building construction, installation, construction management, start-up, and commissioning. The accuracy of a Factored Cost Estimate is dependent upon the scope of the project, equipment costs, and known process factors.
Preliminary Estimate
A Preliminary Cost Estimate has a probable accuracy of -15% to +20%. A Preliminary Estimate can be prepared after process engineers have completed conceptual design, which includes preliminary plant layout, detailed equipment schedules, utility requirements, and preliminary process flow diagrams. Detailed engineering should be 30% complete. The building cost is based on actual quotations or approximated based on size and type. Equipment costs are based on vendor cost estimates or proposals and cost curves. Engineering, building fit-up, installation, construction management, start-up, and commissioning costs are based on standard factors and allowances. The accuracy of a Preliminary Cost Estimate is dependent upon the scope of the project and the time allocated to prepare the cost estimate.
Budgetary Estimate
A Budgetary Cost Estimate has a probable accuracy of -10% to +15%. A Budgetary Estimate can be prepared after process engineers have completed conceptual design and detailed engineering is 60% complete. The site and plant layouts; detailed equipment schedules; utility requirements; and process instrumentation and flow diagrams, project schedule, and specification should be substantially complete. The building cost is based on actual quotations or approximated based on size and type. Equipment costs are based on vendor cost estimates or proposals and cost curves. Engineering, building fit-up, installation, construction management, start-up, and commissioning costs are based on standard factors and allowances. The accuracy of a Budgetary Cost Estimate is dependent upon the scope of the project and the time allocated to prepare the cost estimate.
Detailed Estimate
A Detailed Cost Estimate has a probable accuracy of -5% to +10%. A Detailed Estimate can be prepared after process engineers have completed conceptual design and detailed engineering is 90% complete.
