CONCEPTUAL PROJECT DESIGN

For

[PROJECT NAME]

Prepared by : Project EngineerDate : dd / mm / yyRevision :Revision #0, 1, 2, etcRevision Information : For review or For Approval

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PETROJAM LIMITED

TABLE OF CONTENTS

1 SUMMARY:................................................................................................................................................3

2 INTRODUCTION.........................................................................................................................................4

3 PROJECT OBJECTIVES.............................................................................................................................4

4 DESCRIPTION OF ALTERNATIVES............................................................................................................4

4.1 ALTERNATIVE #1..............................................................................................................................44.2 ALTERNATIVE#2...............................................................................................................................44.3 ALTERNATIVE #3..............................................................................................................................44.4 RECOMMENDATION...........................................................................................................................5

5 PROJECT DESCRIPTION...........................................................................................................................5

5.1 OPERATING PHILOSOPHIES AND ASSUMPTIONS................................................................................55.2 PRELIMINARY SCOPE OF WORK........................................................................................................55.3 PROJECT MILESTONE SCHEDULE......................................................................................................6

6 PROJECT ORGANIZATION........................................................................................................................6

7 PROCESS / MECHANICAL/ ELECTRICAL/ CIVIL DESCRIPTIONS:..............................................................7

8 FLOW DIAGRAMS......................................................................................................................................7

9 PLOT PLANS.............................................................................................................................................7

10 OPERATING SUPPORT SUMMARIES:....................................................................................................7

10.1 UTILITIES..........................................................................................................................................710.2 ENVIRONMENTAL HEALTH & SAFETY..............................................................................................710.3 MAINTENANCE...................................................................................................................................710.4 SUPPLY CHAIN MANAGEMENT..........................................................................................................8

11 FINANCIALS..........................................................................................................................................8

11.1 CONCEPTUAL COST ESTIMATE...........................................................................................................8

12 ATTACHMENTS......................................................................................................................................8

1 SUMMARY:

Summary of: Project concern or problem to be addressed Project Alternative selected to resolve problem / issue Project Benefits Project financial e.g. cost estimate, budget info Project schedule ( when project to begin, construction duration, when to be installed &

commissioned) etc

2 INTRODUCTION

Project Background Issues & Reasons why project is necessary, Brief Justification etc

3 PROJECT OBJECTIVES

What general and specific things will be done while executing the project , e.g. General: Increase inventory, reduce downtime, make an operation safer, improve

economics, etc, Specific: Identify location to place equipment. Construct and install piping & pump

facilities, conduct Hazard analysis, Train personnel, satisfy objective of Dept X, complete project within y months, etc)

4 DESCRIPTION OF ALTERNATIVES

4.1 ALTERNATIVE #1

Do Nothing: What are the implications of not executing the project.

4.2 ALTERNATIVE#2 Brief Description of Alternative # 2 giving its advantages and disadvantages

Advantages1. Advantage #12. Advantage #2,3. etc

Disadvantages4. Disadvantage #15. Disadvantage #2,6. etc

4.3 ALTERNATIVE #3

Brief Description of Alternative # 3 giving its advantages and disadvantages

Advantages7. Advantage #18. Advantage #2,9. etc

Disadvantages10. Disadvantage #111. Disadvantage #2,12. etc

4.4 RECOMMENDATION Indicate which of the alternatives was chosen giving a brief explanation as to why it was

chosen over the other alternatives. Briefly describe any implications of the recommended alternative that is significant (and

perhaps was not mentioned before in the description of alternatives above)

5 PROJECT DESCRIPTION

Give a more detailed description of the project Include Process Design Information (Process parameters, PFD’s, P&ID information) Mechanical description Instrument & Electrical description Civil Description Other Engineering Information How is training & Commissioning to be done Information o n engineering standards to be observed etc

5.1 OPERATING PHILOSOPHIES AND ASSUMPTIONS Describe the concept of how the facility is expected to operate and what are the assumptions being made. Information from P&ID’s and the Process Design Specification (esp. preliminary operating procedures ), equipment operating manuals, etc is critical under this heading.

5.2 PRELIMINARY SCOPE OF WORK Give bulleted description of key Construction activities on the Gantt Chart that will need to be done to successfully begin and complete the project: E.g.,

Civil works Demolish & remove all remnants Earth works & removal of spoils Install supportse Pour concrete

Mechanical & Piping work Sort and cut steel Fabricate piping Perform radiographic examination Install pumps Install Fire water hydrants Install PSV’s, temperature & pressure indicators etc

Electrical & Instrumentation work

Install Radar gauge and associated instrumentation Install lightning protection Install electrical cables, switches Install meter.

Commissioning Pressure test etc

5.3 PROJECT MILESTONE SCHEDULE Bulleted breakdown of significant Gantt Chart Activities. E.g.,

Conceptual / Process Design approval November 200xSafety & Environmental Review December 200xAFE Approval December 200xDetailed Mechanical Design January 200yMaterial Procurement Completion March 200yPreparation of Tenders March 200yContractor selection & Contract award May 200yConstruction Completion July 200yTraining July 200yCommissioning and Start up July 200yDocumentation & AFE Closure August 200y

6 PROJECT ORGANIZATION Give a bulleted breakdown of the title of each stakeholder in the project and a description of their responsibilities. E.g.,

Logistics / Sales & Distribution Definition of Project ParametersOM&S Supervisor Identification of Piping Tie-insSafety Dept Review of EH&S ConcernsProcess Engineer Line sizing, PDS, PHA, Equipment specifications,

etc

Consultant Civil DesignElectrical Engineer Preparation of Electrical schematics, etcProject Engineer Project management & planning, Detailed Mech

Design, Scope of Works, Construction Mgt., etc

Procurement Committee Review & Evaluation of Tenders,Warehouse Material ProcurementDraughtsman Preparation of Working Drawings,Management Financial ApprovalsEtc.

7 PROCESS / MECHANICAL/ ELECTRICAL/ CIVIL DESCRIPTIONS:

Briefly describe the Process – include theoretical or manufacturers information, Design Basis & Assumptions, Engineering & Equipment Specifications, Technology being employed, Key results of Engineering calculations, Engineering Standards employed, etc

8 FLOW DIAGRAMS

(Process Flow Diagrams (PFD’s) or Piping & Instrumentation Drawings (P&ID’s). This may be included as an attachment to the document

9 PLOT PLANS

(Plot Plan drawings showing foot print of facility to be installed and or piping routes, etc). This may be included as an attachment to the document

10 OPERATING SUPPORT SUMMARIES:

10.1 UTILITIES

Describe the utilities that will be affected, giving specifics, eg. Electricity usage Steam consumption Compressed Air usage Cooling water usage, etc

10.2 ENVIRONMENTAL HEALTH & SAFETY

Describe the possible impact on health, safety and environment that will result from executing the project.

Describe measures that will be implemented to mitigate against any anticipated impacts.

10.3 MAINTENANCE What are the implications for maintenance? Can Maintenance personnel access the

equipment to maintain, what are the equipment manufacturer’s recommended maintenance procedures, how will the installed project impact the workload of the existing maintenance staff, etc

10.4 SUPPLY CHAIN MANAGEMENT

Describe how procurement of materials will be done. (e.g. Who will solicit quotations, Who will follow up with shipping, freight, custom brokerage, Recieval & quality checks of materials, where equipment and materials will be stored, how materials will be released to contractors, etc

11 FINANCIALS

Give information on $$$ allocations made in the budget, Budget No information, estimated capital expenditure costs, US$ versus J$ components of capital costs, spending schedule, Required financial approvals, Savings to be realized by implementing the project, Payback period or rate of return on investment, etc.

.

11.1 CONCEPTUAL COST ESTIMATE

(Attach cost estimate)

12 ATTACHMENTS

Example: Plot Plans of proposed locations Mechanical flow Diagram Engineering Calculations Estimate Summary E-mails Quotations, etc