Objective 02: Developing Specifications and Contracts

Question 1

What must be completed before a new industrial plant can be considered for construction?

Answer 1

Engineering/Feasibility Study to evaluate feasibility of the plant

Question 2

What is a Feasibility Study used to determine?

Answer 2

1. Plant Size

2. Costs

Question 3

Who completes the Feasibility Study?

Answer 3

1. The company itself if it has a large enough engineering staff; or
2. Contracted to an engineering company

Question 4

Who does the Detailed Engineering?

Answer 4

A separate engineering company

Question 5

What does the Detailed Engineering generally contain?

Answer 5

Information and specifications required to construct the plant.

Question 6

What is the primary emphasis of the Feasibility Study?

Answer 6

To determine the cost of the new plant and to ascertain its profitability

Question 7

If a plant design appears profitable, what is the Feasibility Study used for?

Answer 7

To gain capital funds to build the plant.

Question 8

What cost information does the Feasibility Study include?

Answer 8

1. Building the plant
2. Operation
3. Maintenance
4. Depreciation
5. Insurance
6. Interest
7. Taxes

Question 9

What can be developed after getting an idea of the costs involved via the Feasibility Study?

Answer 9

Operating and maintenance budget for the proposed plant

Question 10

What regulatory information must a Feasibility Study address that will affect the viability and operation of a new plant?

Answer 10

1. Potential for air, water, and ground pollution, and the need for monitoring and mitigating equipment
2. Potential for unacceptable levels of noise and the need for monitoring and mitigating equipment
3. Local regulations and bylaws which need to be complied with

Question 11

When is design of the plant finalized?

Answer 11

After a new plant site is selected and the various government approvals are obtained.

Question 12

What is usually required to get government approval for a proposed plant?

Answer 12

1. General plant design

2. Physical size

Question 13

What step follows the (1) acceptance of the feasibility study, (2) funding, and (3) procurement of permits?

Answer 13

Detailed design which finalizes the design

Question 14

What are some of the basic choices that have to be made with regard to new plant’s operation?

Answer 14

1. Type of fuel used
2. Production process used
3. Amount of auxiliary equipment
4. Types of instrumentation and control
5. Power supply

Question 15

What does the Detailed Engineering entail?

Answer 15

1. Plot plans for the plant site, e.g. roads, buildings, process units, and offsite facilities
2. Design drawings that tie the process units together
3. Drawings and specifications with the amount of detail required for construction companies to create competitive bids

Question 16

How are larger process units often handled for a proposed plant?

Answer 16

They are often purchased as standard or proven designs that have been used at other plants. Those vendors would supply the detailed drawings and specifications for their equipment based on the requirements. The engineering company completes the engineering required to attach the equipment via interconnecting piping, electrical systems, instrumentation, etc.

Question 17

At what stage should the Plant Owner specify any additions or options?

Answer 17

During the design stage when it’s more cost effective rather than after construction has commenced.

Question 18

What are drawings and specifications used for?

Answer 18

1. Obtain bids for construction
2. Supervise the purchasing
3. Construction of the plant

Question 19

What are Drawings and Specifications?

Answer 19

1. Drawings are a graphic representation of the plant

2. Specifications provide details of the components of the plant

Question 20

What important detail is included in the drawings?

Answer 20

The location of equipment, including interconnected piping and wiring.

Question 21

What are including in the specifications?

Answer 21

Very detailed information about each item as well as general stipulations and conditions related to the work as a whole.

Question 22

What are some examples of the information contained in specifications?

Answer 22

1. Design pressure and temperature
2. Operating temperature and pressure
3. Grade designation or the schedule of the pipe fittings and valves
4. Type and pressure ratings of the joints including any special requirements
5. Quality of materials including inspection and acceptance requirements
6. Instrumentation including control valves

Question 23

What are the 2 types of drawing produced by the engineering company?

Answer 23

1. Preliminary drawings that contain enough detail to do the feasibility study but not enough detail to construct the facility, including Process Flow Diagrams (PFDs) of the overall plant process streams and general plot plans
2. Isometric or CAD drawings done after the feasibility study is complete with complete details along with design specifications that contain all the details needed for purchasing materials and for plant construction.

Question 24

How does the addition of new equipment to a Plant affect existing specifications?

Answer 24

They are still used if possible, e.g. adding additional piping with the same specifications

Question 25

When does the addition of new equipment to a Plant necessitate updating the specifications?

Answer 25

If the new equipment or system uses different material, is a different size, or has different pressure or temperature ratings.