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DSD - Modularization Presentation
Modularization Technical &
Commercial Overview
Department of State Development
Advanced Modular Solutions
By Alan Millett
9th December 2015
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DSD - Modularization Presentation
This document is incomplete without reference to the briefing provided to Barker Wentworth. Neither this document nor its contents may
be used for any other purpose without prior written consent of Barker Wentworth.
Barker Wentworth has prepared this report on the basis of information supplied to us by the Department of State Development. Nothing in
this report should be taken to imply that Barker Wentworth has verified any information supplied to us, or has in any way carried out an
independent validation. We have considered and relied upon information provided by the Department of State Development and its
management in relation to the scope of work. We have not verified, and do not assume responsibility for the accuracy or completeness of
information provided to us.
The information in this report is also based on publicly available information and reflects prevailing conditions and our views as of this date,
all of which are accordingly subject to change. In preparing this document, we have relied upon and assumed, without independent
verification, the accuracy and completeness of any information available publicly.
The reader should be aware that this report is based on information which has been accepted at face value.
This document is prepared solely for internal use by the Department of State Development. It is confidential to the Department of State
Development and it is given on the understanding that it is not communicated, in whole or in part, to any third party without Barker
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Further, we note that any forecasts and projections as supplied to us are based upon assumptions about events and circumstances which
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Disclaimer
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Modularization Overview
• Modularization Project Management
• Engineering
• Procurement
• Fabrication & Pre-Assembly
• Sea Transport
• Land Transport
• Module Placement & Tie In
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DSD: Modularization
Modularization Project Management
Pre-Feasibility is the critical phase for the assessment
of modularization and the associated economic and
risk profile. This is fundamental to the Client’s
management decision making process. The keys study
areas required are:
The exact detail of the Feasibility Study work will only
be apparent after completion of the PFS. It should be
noted that many aspects of strategy and delivery
method influence the focus of the Feasibility Study. In
general key feasibility studies areas required are:
The Implementation Phase deliverable will mirror the
execution and planning identified in the Feasibility
Study. In general key implementation phase areas
required are:
ENGINEERING
Develop design criteria including engineering
philosophy and consideration to modularization
and pre-assembly;
Define engineering philosophies for specification,
design standards, procurement strategies,
engineering development and progression
through conceptual to shop detail;
Develop conceptual engineering where PFD’s and
General Layouts are frozen;
Identify facility battery limits either geographic or
process dependent on execution methodology;
High level module identification and module index
development;
Identify commissioning requirements and general
sequence including governing. ie. power, feed
stock etc.
Scope fully defined and frozen;
P&ID frozen and process design finalised;
All equipment and materials specifications
complete and ready for procurement process;
Basic engineering completed to a percentage for
execution of a stick build (50%-60%) or pre-
assembly (80%-90%)
Detailed engineering completed for initial 3
months of Implementation Phase construction
sequence;
Detailed module identification and module index
development;
Fully define commissioning sequence and
schedule including resource requirements and
vendor support.
Manage the development and interface of all
detailed engineering and shop drawing
development;
Support the development and integration of all
vendor data package engineering into the detailed
engineering effort:
Fully define planning and implement the
resourcing required to support the commissioning
schedule
Address quality and technical queries from
construction and fabrication resources;
Manage commissioning resourcing and execution;
Develop handover packages.
PRE-FEASIBILITY PHASE FEASIBILITY PHASE IMPLEMENTATION PHASE
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Modularization Project Management
PRE-FEASIBILITY PHASE FEASIBILITY PHASE IMPLEMENTATION PHASE
Identification of limiting logistics parameters,
bathymetric, berth and access corridors;
Identification od shipping and oversize
transportation options and associated economics;
Identification of offshore fabrication facilities and
associated economics;
Development of high level site construction
sequence and significant equipment for
installation on site.
Construction sequence fully defined and all key
equipment identified;
Shipping and land transport delivery methodology
finalised and scope of services fully defined and
service providers selected;
Fabrication facilities selected and scope of work
defined and facilities selected;
Site construction scope of work fully defined and
resources identified for implementation phase
Manage offshore fabrication and assembly;
Manage oversize logistics and transportation;
Manage multi-discipline site construction
requirements;
Support commissioning.
COMMERCIAL
Identify procurement requirements for bulks and
critical tagged equipment procurement planning;
Develop contracting strategy and commercial
requirements for offshore fabrication, logistics
and onshore installation;
Identification of resources for site installation and
development of high level execution commercial
execution strategy and contract development
requirements.
All purchase orders for major bulks and tagged
equipment completed and ready for issue;
Contract strategies fully defined and all pre-
qualifications and commercial documents
complete for each implementation phase work
package complete and ready for issue.
Manage all contracts and process accounts to
owners requirements;
Manage all procurement expediting and bulk
logistics;
Coordinate vendor data and information packages
for commissioning and handover requirements.
CONSTRUCTION & OVERSIZE LOGISTICS
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DSD: Modularization
Modularization Project Management
PRE-FEASIBILITY PHASE FEASIBILITY PHASE IMPLEMENTATION PHASE
Develop execution delivery report consistent with
a Pre-Feasibility Study;
Develop a Work Breakdown Structured Schedule
based on engineering, commercial, construction
and commissioning consideration and any
permitting or specific legislation or municipal
requirement specific to the project location
Complete economic assessment of stick built vs
pre-assembly delivery models;
Develop the Work Breakdown Structured Cost
Estimate model for the project delivery;
Development of Feasibility Study requirements
and associated planning for delivery of the
Feasibility Study to a Level 3 cost estimate,
schedule and execution strategy document.
Execution Strategy Document complete and
issued for Implementation Phase use;
Finalise Level 3 Schedule with fully detailed
construction, fabrication and logistics scheduled
developed for the first 3 months of initial
implementation schedule;
Cost Estimate model for project implementation
phase completed with prevailing risk profile
contingencies sums identified and applied;
Development of detailed implementation phase
planning and early works programs that need to
straddle internal Client’s approval periods;
Develop implementation phase safety and
environmental management planning;
Develop implementation phase quality
management strategy and planning.
Manage all implementation phase project and
construction management, and project controls;
Manage site safety and environmental execution
Manage quality systems
Manage documentation and handover process
post commissioning
Complete project close out for commercial and
accounting
PRINCIPLE DELIVERABLES
The principle deliverable for the PFS is a Level 1 Cost
Estimate and Schedule with an accompanying
Execution Strategy Document in accordance with the
Client’s requirements.
The principle deliverable for the FS is a Level 3 Cost
Estimate and Schedule with an accompanying
Execution Strategy Document in accordance with the
Client’s requirements.
The principle deliverable of implementation is
execution of project scope, schedule, budget, quality
and safety in accordance with the Client’s
requirements.
PROJECT ENGINEERING & CONTROLS
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Modularization FEED Study Economics
Degree of modularization for a project requires a project specific business case including risk
management, contracting strategy, technical considerations, logistics and location challenges, and cost
and schedule economic revaluation.
PRE-ASSEMBLY COST STICK BUILT COSTS
Offshore Fabrication & Assembly
Oversize Ocean Transport
Oversize Land Transport
Bulk Freight Transport
Landing Facility
Site Placement & Installation
Highway Improvements
Supporting Infrastructure
Contractor Distributable
EPCM / EPC Costs
Financing Costs
Fabrication Offsite
Site Installation Construction
Site Installation Equipment
Bulk Freight Transport
Supporting Infrastructure
Contractor Distributable
EPCM / EPC Costs
Financing Costs
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The structures are designed based on the most economical size to transport and placement on site,
based on assessment completed during the module feasibility study.
Engineering Design & Management
The design requires the input from a multi-disciplined team: Planning and scheduling are critical and influenced by:
Modularization Project Managers
General Plant Designers
Modularization Designers
OEMs
Fabricator Shop Detailers
Heavy Lift & Land Transport Specialists
Naval Architects & Marine Engineers
Project Surveyors
Insurance & Risk Specialists
Turnover & Commissioning Schedule
Construction Area Sequence
Module Installation Sequence
Roll Ship Dates for Equipment & Materials
Engineering Deliverables
Project controls are significant:
Document Control
PAM Master LOG
Inspection Test Procedures
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MODULARIZATION PRESENTATION
A number of organisations are currently
supplying modularised mineral
processing plants for beneficiation and
recovery of a wide range of
commodities.
Package Mineral Processing Plants
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Development of correct contracting
strategy is critical factor affecting the
success of a project.
It is important to place the project risk
with the organisations which have the
capability to control and/or manage the
risk
Procurement & Contracts
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Stick Built Project Modularized Project
Equipment
Delivery
Port
Ship Port
Truck
Site Install
Equipment
Delivery
Port
Ship Port
Truck
Site Install
Equipment
Delivery
Port
Ship
Port Truck
Pre-Assembly
Yard
Load Out
Modules
Ship Port
Module
Transport
Site Install
Modularization increases the
procurement complexity – the
number of delivery locations
impact ordering and material
tracking
Bulk
Materials
Major
Equipment
Modules
Procurement Complexity
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Fabrication &
Pre-Assembly
Sea Transport
Land TransportSite Installation
Pre-assembly & Modularization
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Selection of Pre-Assembly Yard is based on “Fit For
Purpose” requirements for a particular project:
Contracting Strategy
Technical Capability
Location
Capacity
Facilities
Port and Logistics Requirements
QA/QC
Taxes and Duties
Australian Quarantine
Fabrication & Pre-Assembly Yard
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Sea transport significant cost of modularization
vessel selection based on:
Port arrangement at Pre-Assembly Yard and
Receiving Location
Vessel Type – RORO, LOLO, Barge
Transit Route – Speed, Length, Weather Climate
Cargo Mix – Weather & Tween Deck
Chartering Lead Time & Availability
Cargo Specification – Size, Weight, Cong
Voyages per Vessel
Sea Transport
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Traffic Study/Route Assessment
Quantify construction and operational
traffic loads
Confirm haulage vehicle & load
dimensions
Route traffic capacity assessment – model
capacity and delay
Route physical clearances assessment
Route traffic safety assessment
Detailed route inspections
Review workshop to agree outcomes,
scope of mitigation or strengthening works
Identify upgrading works required
Land Transport
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SMPTs used for:
Large heavy PAMs and SuperPAMs
Loading & Unloading RORO Vessels
Low bearing capacity of roads &
wharf structures.
Accurate placement of modules
Normally limited to:
Short travel distances < 20 kms
Travel speed < 3 km/h loaded
Land Transport - SPMT
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Normally used for:
Long distance travel
Travel speed 40 – 60 km/h
Ground pressure limited ~ 4t/m²
Limited to:
Module mass > 800 tonnes
Module size > 45m L x 12m W
Road geometry – grade, sag, crest,
curve
Towed and pushed by number of
trucks depending on load
dimensions, truck brand and weight
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Land Transport – K24 Flat Trailer
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Installation method dependent on module
size and number of modules.
SPMT placement
Crane placement
Jacking – Stand jacks & gantry tower
lifting systems
Skidding
3M105/6/7-
Module LxWxH:
28x30x40M
2,200MT
Smelter Building
& Tower
Modularization
(train n°1)
3M104-Module
LxWxH:
28x30x25M
2,500MT
3M103-Module
LxWxH: 21x35x15M
2,300MT
3M101- Module
LxWxH:
20x35x31M
2,450MT
Furnace –
Stick
building in
Site
Module Installation
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Economics of crane installation dependent on
mobilisation costs vs number of lifts.
Crane requires:
Pad to be engineered and compacted
Adequate space, and reach vs lift
consideration
Rigging system applies only vertical forces
to structural members
Spreader bar lattice & square lift rigging
concept used to ensure no transverse
lifting forces are introduced to structure
Module Installation - Crane
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SPMT are used to install PAMs:
Directly onto foundations
PAM mass in excess of site crane
capacity
PAM positioning accuracy +/- 2mm
PAM dimensions excessive (LxWxH)
Module Installation - SPMT