Global Trend for FEED projects in Process Industry

A White Paper for Engineering and Construction Companies written

by Pepi Edlinger, Vice President of Engineering Projects (ASDGlobal)

Worldwide the demand for energy is rapidly increasing. The lack of

Rising demand alternative resources and production capability is pushing the cost of oil
for Energy higher and higher. Until alternative energy can be developed the Process
requires new Industry must respond by quickly accelerating the buildup of new
approach for production facilities. This trend requires a fresh look at how these facilities
Engineering are being design, engineered and constructed. Owner / Operators are
Companies planning to rapidly build new facilities and meet the demands. Engineering
companies worldwide are responding to manage the request for engineering
and construction, however, available engineering resources are becoming
limited.

A new category of projects are being awarded to EPCs called FEED

(Front End Engineering Design) with an accelerated approach to enable
better planning, optimized engineering, and accurate cost estimates for new
facilities.

Historically EPCs have used a manual work process for their single line
routing studies, material take-offs etc. - or are using detail design tools such
as PDS to produce the deliverables for front-end design. However, detailed
3D model systems are not effective, difficult to use, lack change control, are
expensive and time consuming.

O/O Companies Owner / Operators are starting to demand from their selected EPCs to use
demand more more effective methods and tools for FEED projects. (Last FIATECH
effective tools Conference 2007)
from EPCs for
FEED projects
The deliverables and objectives of FEED projects are very different from
proposal on one hand and detail design on the other.
The objective of FEED projects is:
• confirm and develop quality and optimized 3D layout
• considering down stream design constraints
• use results for detailed design
• enable and validate concurrent engineering (plant design, structural
etc.)

Unfortunately the current tools, which are sold by large CAD vendors, are
Existing manual inferior and inefficient even though the need for a suitable solution is great.
methods or using
detailed design Current 3D CAD detailed design systems are clearly the wrong tool for
3D CAD tools FEED projects for the following reasons:
are wrong for • Geometry only – No Engineering Analysis embedded and configurable
FEED Projects

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 • No layout/piping practices embedded in 3D CAD
• No optimization for space/cost
• Too complex and difficult to use for non-CAD Engineer
• High cost of 3D CAD (Lic +Training+ Administration Cost)
• Slow in project use (does not allow comparing several options)
• Ineffective Change Control
• Not optimized for FEED workflow
• Manhours and Schedule required for model creation does NOT match
the manhours and schedule provided in a FEED project.

Intergraph, Aveva as well as Bentley, all are now considering FEED

The process industry solution as a very important stage and trying to fill this need. However,
is starting to realize lacking enough built in plant layout/design knowledge and engineering rules
that lack of make their solution “not so good". It’s also counter-productive to their
automated tools for larger marketing goal of selling detail design seats, so less money and
the FEED phase resources are dedicated to a good FEED solution.

Most EPCs are Many EPCs such as Linde, Bayer, Foster Wheeler, ABB, Shaw group,
looking for new CB&I, SNC, Jacobs, Kaverner have tested and rejected as “very poor”
solutions to help Intergraph's Routing Technology packaged with Smart Plant, due to it’s
them. basic functionality and very short development cycle.. They have compared
Smart Plant Layout system against ASD's solution and found the OptiPlant/
Pipe Router based FEED solution as much superior with respect to
functionality, rule-base, and ease-of-use.

One of the greatest risks: Using the wrong work process or automation
tools during conceptual FEED projects (manual or detailed CAD design
tools). Without tools enabling consistent best engineering and design/layout
practices the accuracy and quality of FEED projects is at jeopardy

What EPC companies need is are engineering automation tool specific for
the FEED phase of projects.

This is why ASD has spent over 15 years in developing their FEED solution
ASD is clearly the based on cumulative layout and engineering knowledge with cost
Leader for FEED optimization in their OptiPlant (Pipe Router)
Solutions
ASD’s OptiPlant integrates all facets of front-end engineering process from
conceptual 3D modeling to plot plan optimization to structural analysis to
3D automated piping and pipe support optimization. By using plant design,
plant construction and engineering experience based rules combined with a
data centric architecture and an easy to use GUI, OptiPlant is clearly the best
automation tool for FEED in industry.

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 EPCs must provide the following:

• Have a suitable FEED solution which will cover easy 3D plant

EPCs are changing modeling and powerful pipe auto routing with design validation to
their approach for produce quality piping layout at much less man hour.
FEED project
• Consideration of alternate layout is given to improve Plant
And ASD provides
functionality, operability and constructability.
the best Solution.
• FEED should include more engineering and design validation
concurrently done with Piping Layout to eliminate recycling of Plot
plan many times into detail design

• The solution has to have enough project application background in

all categories of projects to add to its robustness.

ASD's FEED solution has already been applied in over 20 projects world
wide in varieties of project types, from FPSO, grass root refineries, LNG to
many Bio fuel and Mining and metal.

Proven trend for FEED:

SNC Lavalin in Calgary has completed multiple FEED projects using the
ASD FEED Solution. Specifically, for the FEED phase of a refinery
upgrade, SNC was able to accomplish the following:
Proving the Trend!
• Modeled 18 areas
SNC Lavalin • Automatically Routed over 6000 lines
successful • Maintained and met schedule of 12 months
completed FEED • Required 18000 piping manhours to complete
projects providing If they had executed this by using traditional methods of a Detail Design
optimized tool, they estimated that it would have required 44000 piping manhours.
Engineering and Therefore, they saved 26000 manhours, which is a 60% savings.
saving Schedule
and Cost In addition to these savings, additional values included:
• Ability to optimize the layout to REDUCE overall material
• Incorporating changes in process and P&ID’s as they occurred
• Identifying design issues at an early stage

ASD is clearly becoming the leader in FEED solution and as we have

understood and incorporated many of Leading EPC's design guidelines and
specifications , it is well positioned to fill the gap created by FEED project
execution needs worldwide.

Jan 2008 Walnut Creek, CA 94596

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