- Class 3AACE estimate
- P50 / P80Contingency levels
- 30+Vendor quotes normalised
- 6 weeksEstimate duration
The challenge
The client needed a defensible estimate for board approval of a new water treatment and reuse plant, with contingency based on real risk analysis rather than a flat percentage.
Our scope
- Estimate basis and battery limits
- Quantities from engineering MTOs
- Vendor quotations for major packages
- Monte Carlo risk analysis
- Basis of estimate report
Our approach
We built the estimate from discipline quantities and vendor quotes, then ran a range analysis on the main cost drivers to set P50 and P80 contingency.
- Direct and indirect cost breakdown
- Benchmarking against comparable plants
- Estimate review workshop with the client
The outcome
The board approved the project on the basis of the estimate. The transparent basis of estimate is now the baseline for cost control during execution.
Scope of work
- Basis of estimate
- Bottom-up pricing
- Vendor quotes
- Risk analysis
- Benchmarking
