Project Value Improvement (PVI)
To enhance the project’s value, the PVI is integrated into the FEED phase. The PVI is a set of activities aimed at improving the financial value and cash flow of a project. It involves rigorous identification of tools, management practices, and capabilities that optimize a project’s financial value. The integration of PVI could recover millions of dollars over time. The PVI involves investigations and collaboration with various stakeholders, contractors, and suppliers to identify processes and operators that will reduce capital and operating expenditure and accelerate the project’s completion date. The ultimate objective of the PVI is to make the project profitable more quickly.
Engineering designs for FEED stage
During the Front End Engineering Design (FEED) phase in mining projects, the primary focus is on engineering designs. This critical stage follows the Conceptual Design or Feasibility Study and involves detailed technical assessments. Engineers delve into aspects such as process design, equipment selection, cost estimation, and risk analysis. The goal is to create a robust engineering plan that serves as the foundation for subsequent project phases. FEED ensures that the project is well-defined, feasible, and ready for execution.
Budget enquiries and commercials
The activities under the FEED provide for developing the data used for the Feasibility study to a level that makes it possible to compile one of the primary objectives, obtaining estimated budget costs from those operators earmarked during the PVI Strategy stage. Budget enquiry documents will meet standards to ensure that selected contractors are comfortable entering commercial agreements. Commercial agreements drafted during the FEED stage provide for final funding approvals, whereupon the detailed design stage can commence. Standard to TacminMadini procurement processes is to price the contractors’ bill of quantities using owner-mining models. The owner-mining estimate is then applied for comparisons, providing the mining company with the option to pursue owner mining if that is a viable option.
Project Development Plans
A prominent aspect of the FEED stage is generating a project development plan. Given the multidisciplinary nature of infrastructure and mining projects, among others, the anticipated development plan is compiled with Construction Project Management software and is aligned with the BOQ’s of the enquiry tender documents. This alignment makes it possible to develop the project development plan per construction and mining activities. Therefore, integrating construction time and costs per activity interdependencies will define significant milestones. During compilation, TacminMadini will closely collaborate with EPC/EPCM contractors assigned for other disciplines to ensure activities meet the desired milestone.
Project Cost Estimates
Mining tenders obtained from the selected operators are integrated into the Project Development Plan using Construction Project Management Software. Project Life Cycle analysis forms an essential part of the development plan and, among others, will include “what-if” probability tests and cash flow analysis. The contractors’ estimated costs are scrutinized for indirect cost aspects such as escalation, retentions, taxes, and contingencies. Additionally, we provide for those costs associated with the detailed Designs, Procurement, and Construction management. A salient feature of TacminMadini project costs is the competitive nature of our Lean Construction costs as offered by Tacmin Construction.
Project Risks and Requirements
A crucial aspect of Front-End Engineering Designs is the identification of project risks and the corresponding requirements or solutions to mitigate such risks. The discovery process will inevitably highlight some challenging areas. However, we meticulously address and manage the risks that could potentially influence the successful achievement of the objectives outlined for the FEED study.
In conclusion, TacminMadini’s approach to EPCM in mining, with its focus on value improvement and rigorous planning and risk mitigation, provides the stakeholders with a blueprint and marks the start of the execution plan of the EPCM mining model. This approach gives stakeholders peace of mind, leading to improved profitability and quicker returns on investment. Follow to link for more information on our Front-End Engineering Design Service
