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Piping Cost Estimation

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Hotwheels1

Petroleum
May 30, 2020
4
Hi Fellow Engineers

I have searched the forum for this topic but either the information is very old or not relevant.

I am responsible for conducting a Class 3 cost estimate for a storage tank farm installation which includes piping between 4" to 16" piping.

Material Spec: A106 Gr B up to 6" and API 5L GrB ERW between 8" to 16".

I need to know what are typical rule of thumb supply and install rate (USD/m) for the above sizes and pipe spec.

Regards
 
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I think the only rule of thumb that will get you anywhere close is to look at previous similar installations done on your site and determine an average installed cost from that. The variability in number of fittings, welds, etc required means a piping cost estimate based number of linear feet not likely to be accurate to the needed +-50% for an initial cost estimate.

You could, if you wanted, look at similar installations and determine the number of fittings per linear foot (i.e. 0.05 fittings per foot), calculate a material add cost to the bare material pipe cost, then factor in additional labor for welding for the fittings/foot method. To do this, you'd need, at the very least, the bare material costs of pipe/fittings, and chart or table that gives you manhours per weld for the size pipe and material pipe you mention in your OP.
 
That's why you employ estimators.

There are lots of factors to consider - location of the plant, local or imported labour, whether there is a lot of pipe versus fittings, type of supports etc.

Many people buy into estimating tools / software for this and then factor in from US GOM "norms".

I've seen to as high as 4.

tonnage of pipe is often used as well.

So "typical" doesn't really exist.

I've always been useless at doing these and just give it to the estimator or employ one.

Remember - More details = better answers
Also: If you get a response it's polite to respond to it.
 
Here is the reference book may be useful -
Planning, Estimating, and Control of Chemical Construction Projects by Pablo F Navarrete and William C Cole
 
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