ERC calculator petroleum and gas - Module 11 transcript

Watch the video Petroleum and gas ERC calculator training – Module 11 – LNG facilities to learn about entering data into the LNG Facilities sheet.

Welcome back to the training for the 2022 edition of the estimated rehabilitation cost calculator for petroleum and gas. This is Module 11. This module will work through entering data into the LNG Facilities input sheet.

This sheet is intended for use with Curtis Island facilities if the user does not want to use the default rates in the Main sheet. The sheet includes most activities associated with an LNG plant, and where items are not included that will be decommissioned, dismantled, and/or demolished they must be added to the extra rows at the end of the table, or added to other input sheets or the Main sheet.

The LNG Facilities User Build sheet is included to allow the user to build a rate for specific facilities whereby the quantities are clearly understood. The sheet operates differently to most of the other sheets in that the entries are made vertically, similarly to the Process Facilities User Build sheet. As LNG plants are typically bigger and more complex than other facilities in the calculator, the user can enter alternate cost rates.

Entry to the sheet starts at the top by selecting the number of LNG trains. This entry does not affect any of the other quantities but feeds into the Waste Register calculations and provides context for the reviewer. The facility for this example is a two train.

The first entry is for the number of LNG tanks. The units for each row are in column H, number of tanks for the first row. This facility has two tanks so we enter two to this cell. The next two rows allow the user to pick between a candle flare and ground flare or enter quantities to both if both types are present on the facility. This facility has one ground flare. The next two entries are for process modules and skids whereby modules are large process units that would typically require splitting into sub-sections for transport off the island. Skids are assumed to be smaller units that can be lifted in one go, for example pump and small separator units. All the LNG rates incorporating equipment, scrap steel and other metals, include costs to transport material off the island and to disposal or storage on the mainland. For this example, our review of drawings and registers indicates the two train facility has a total of 200 major modules and 100 skids.

The next group of rows are green indicating selections are available. This group allows the user to select four different types of tanks and enter quantities against each. This facility has two 200 kilolitre vertical tanks for diesel fuel back up fuel, two 50 megalitres open top panel tanks for water storage, and seven horizontal 20 kilolitre steel tanks for storage of miscellaneous liquids. The site has one communications tower, one refuelling facility for small vehicles, twelve on-site constructed steel buildings, and thirty demountable type portable buildings. The camp row is green indicating a selection is available. The full range of camps available in the Main and Seismic and Infrastructure sheets are available here. If additional camps are required, for example if a construction camp is required for an expansion, the user can enter to the user item row at the bottom of the table and either use and reference a default rate or enter an alternate rate and provide justification.

The rates for modules and skids includes piping and fittings associated with those units, so the piping not associated with modules is for, typically longer, runs connecting areas of the plant. For this plant we have assumed 1 kilometre of piping. This concept applies to electrical cable and tray and for this plant we assume 500 metres. The pipe to ground penetrations are for cut and capping of piping that will be left in the ground. For this plant we assume everything is above ground so no entry is made to this row.

The next group of rates are for removal of surface covering. The default assumption is concrete will be crushed and re-used around the site, avoiding costly and high emission transport off-site. This assumption is also made for asphalt and gravel. For this plant we assume 3 hectares of concrete or 30,000 square metres of 250 millimetre concrete at a density of 2.4 tonnes per cubic metre, making 18,000 tonnes which will be crushed and placed around the site. We will assume the majority of the site not covered by plant or concrete is gravelled, and assume it is 50 hectares which is 500,000 square metres.

The mass of incidental waste to take off-site is any refuse not included in other rates. An allowance for general waste is included in rates such as process modules, so this row is for quantities that cannot reasonably be expected to be included in other rates. For this example we will assume the equivalent of about ten truckloads or 300 tonnes. There is no allowance for fencing in any of the other rates so any fencing such as boundary security must be added to the security fencing row. We will assume a boundary fence of 6 kilometres which is 6,000 metres.

The next group of rates is for land rehabilitation. These rates do not apply to hardstand that will be retained, or where crushed concrete will be placed to create a hardstand. For land to be returned to vegetation, the user will typically need to enter quantities to the reshape for drainage, level, growth media, and the appropriate revegetation row. For this example we will assume 50 hectares will require reshaping and placement of growth media for rehabilitation back to native vegetation.

The purging row is an allowance to flush gases out of the process units and piping and typically one unit would be entered here. The last two defined rows are for investigations and these work the same as for the other sheets, with a one off rate to cover mobilisation of investigation equipment and personnel and prepare documentation such as work plans and health and safety plans, and a separate rate for the area to be investigated. Remember the area to be investigated is just the area where the intrusive investigation will occur, not the whole site. The rates are higher than the rates for activities on the mainland to account for mobilisation offshore. For our example, we will add one for the one-off cost and assume an area of 3 hectares will require investigation.

The bottom of the table has spare rows for any additional items the user wants to enter. This example is theoretical and the quantities entered should not be taken as representative of an actual facility. The total for the sheet is reported to the top of the sheet, and then reported to the Main sheet to the LNG plant from user build row.

As always, for more information or specific instructions, please consult the user guide which is also available on the Business Queensland website, below the download for the calculator.

See you in the next module.

Watch the video: Module 11 – LNG facilities.