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E-745C - Estimation & Cost Control Certification

5 days PL/COSTGB
  • Anyone requiring a comprehensive understanding of the various elements necessary for an upstream Oil & Gas project estimate of capital expenditures: project engineers and managers, petroleum architects, engineers in charge of modification/extension of existing facilities and R&D engineers among others
  • To provide a structured and comprehensive approach towards project cost estimation and control
Learning Objectives
  • To enhance the technical definition of a project for a comprehensive cost estimate
  • To practice different methods and tools to perform estimates
  • To master the main cost control techniques used throughout Project Execution
Ways and means
  • Each cost estimation method illustrated with case studies from actual upstream projects
  • Netbooks, with pre-installed spreadsheets, used to perform project estimates from basic design parameters

Cost estimation context 0.5 day
  • Introduction to development projects
  • Asset life cycle - Evaluation process - Time and cost objectives - Economic Studies - Contracting strategy - Project execution phases
  • Technical fundamentals
  • Production facilities - Structures and pipelines
Project cost estimation 1.5 days
  • Estimation framework
  • Scope and exclusions - Cost management process - Estimate classes - Capital expenditures - Operating Expenditures
  • Software available on the market
  • Cost evaluation during project evaluation phases
  • Order of magnitude estimate - Factored/modular estimate
  • Cost evaluation during basic engineering and contracting phases
  • Semi detailed estimate - Detailed estimate
  • From historical data to present time cost evaluation
  • Cost escalation, cost indexes, inflation - Location factor
  • Additional cost elements
  • Risks and uncertainties - Provisions - Expenditure schedule - Particularities of cost estimation of brownfield projects
Cost estimating case studies 1.5 days
  • CAPEX of an Onshore Project
  • Cost estimate of well clusters, CPF, flow lines, trunk lines and infrastructures using diverse documents (historical data, curves, etc.)
  • Integration of all obtained results into a composite overall estimate of the whole project
  • CAPEX of an Offshore Project
  • Cost estimate of a satellite field development
  • Two development schemes will be studied, results will be compared and the best scheme will be selected by the trainees
  • CAPEX of a Deep Offshore Project
  • Cost estimate of the three main packages (FPSO, UFR and SPS)
  • Risk Analysis of an Onshore Project
  • Building a Risk Register - Calculation of contingencies
Cost control 1.5 days
  • Cost Control framework
  • Definitions, concepts and principles
  • Two standpoints
  • Company’s standpoint - Contractor’s standpoint
  • Requirements
  • Technical means - Human means
  • Cost control process
  • Establishing a budget - Commitments vs. budget - Actuals vs. budget - Forecasts - Detecting adverse trends - Reporting
2016 course calendar
Language Dates Location Tuition Register
Apr 17 - 21 Dubai €3,240 Online By email
Apr 18 - 22 Rueil €3,300 Online By email
May 16 - 20 Port-Gentil €3,730 Online By email
Oct 10 - 14 Rueil €3,300 Online By email