Class EconomicsEstimator

java.lang.Object
neqsim.process.fielddevelopment.screening.EconomicsEstimator
public class EconomicsEstimator extends Object
Economics estimator for concept-level CAPEX/OPEX screening in field development.

This class provides rapid, order-of-magnitude cost estimates for early-phase field development concept screening. The estimates are based on parametric cost models calibrated to industry benchmarks and are suitable for concept comparison and ranking, but NOT for project sanction or detailed cost engineering.

Estimation Methodology

The estimator uses a bottom-up approach considering four main cost categories:

  • Facility CAPEX: Base facility cost adjusted for water depth and type (platform, FPSO, subsea, onshore)
  • Equipment CAPEX: Process equipment costs based on block types and sizing (compression, dehydration, CO2 removal, etc.)
  • Well CAPEX: Drilling and completion costs scaled by well count and type (subsea vs platform wells)
  • Infrastructure CAPEX: Pipeline and umbilical costs based on tieback distance

Accuracy and Limitations

All estimates carry a ±40% accuracy range, typical for AACE Class 5 (concept screening) estimates. Key limitations include:

  • No consideration of market conditions or regional cost factors
  • Simplified scaling relationships (no detailed equipment sizing)
  • No contingency or risk factors included
  • Fixed cost basis (no inflation adjustment)

Cost Basis

Cost factors are based on Norwegian Continental Shelf benchmarks circa 2020-2023:

  • Platform base cost: 500 MUSD
  • FPSO base cost: 800 MUSD
  • Subsea well: 80 MUSD per well
  • Platform well: 40 MUSD per well
  • Pipeline: 2 MUSD/km
  • OPEX: 4% of CAPEX per year (typical for mature operations)

Usage Example

// Create estimator
EconomicsEstimator estimator = new EconomicsEstimator();

// Define a concept
FieldConcept concept = FieldConcept.gasTieback("MyField");

// Get quick estimate (no facility config)
EconomicsReport quickReport = estimator.quickEstimate(concept);
System.out.println("Quick CAPEX: " + quickReport.getTotalCapexMUSD() + " MUSD");

// Get detailed estimate with facility configuration
FacilityConfig facility = FacilityBuilder.autoGenerate(concept).build();
EconomicsReport detailedReport = estimator.estimate(concept, facility);

// Access breakdown
System.out.println(detailedReport.getSummary());
System.out.println("CAPEX range: " + detailedReport.getCapexLowMUSD() + " - "
    + detailedReport.getCapexHighMUSD() + " MUSD");

Integration with Concept Evaluation

This estimator is typically used as part of the ConceptEvaluator workflow, which combines economics with flow assurance, safety, and emissions screening to produce comprehensive concept KPIs.

Version:
1.0
Author:
ESOL
See Also:

  • Field Details

    • PLATFORM_BASE_MUSD

      private static final double PLATFORM_BASE_MUSD
      Base capital cost for a fixed platform facility in million USD. Assumes a typical North Sea platform with 4-slot capacity. Adjusted for water depth using depth factor in calculations.
      See Also:

    • FPSO_BASE_MUSD

      private static final double FPSO_BASE_MUSD
      Base capital cost for an FPSO (Floating Production Storage and Offloading) in million USD. Higher than platform due to hull, mooring, and storage systems.
      See Also:

    • SUBSEA_TEMPLATE_MUSD

      private static final double SUBSEA_TEMPLATE_MUSD
      Capital cost per subsea template in million USD. Includes manifold, protection structure, and connection systems.
      See Also:

    • COMPRESSION_PER_STAGE_MUSD

      private static final double COMPRESSION_PER_STAGE_MUSD
      Capital cost per compression stage in million USD. Includes compressor, driver, cooler, and associated piping. Typical for 10-20 MW gas compressor train.
      See Also:

    • TEG_UNIT_MUSD

      private static final double TEG_UNIT_MUSD
      Capital cost for a TEG (triethylene glycol) dehydration unit in million USD. Sized for typical offshore gas production rates (1-5 MSm3/d).
      See Also:

    • AMINE_UNIT_MUSD

      private static final double AMINE_UNIT_MUSD
      Capital cost for an amine-based CO2 removal unit in million USD. Higher cost due to regeneration system and solvent handling. Suitable for CO2 content above 10%.
      See Also:

    • MEMBRANE_UNIT_MUSD

      private static final double MEMBRANE_UNIT_MUSD
      Capital cost for a membrane CO2 removal unit in million USD. Lower cost than amine but limited to moderate CO2 concentrations. Suitable for CO2 content 2-10%.
      See Also:

    • SEPARATION_TRAIN_MUSD

      private static final double SEPARATION_TRAIN_MUSD
      Capital cost for inlet separation train in million USD. Includes slug catcher, inlet separator, and associated systems.
      See Also:

    • SUBSEA_WELL_MUSD

      private static final double SUBSEA_WELL_MUSD
      Capital cost per subsea well in million USD. Higher than platform wells due to subsea tree, controls, and intervention costs. Includes drilling, completion, and subsea equipment.
      See Also:

    • PLATFORM_WELL_MUSD

      private static final double PLATFORM_WELL_MUSD
      Capital cost per platform well in million USD. Lower than subsea due to simpler completion and easier access. Includes drilling and completion only (platform already counted).
      See Also:

    • PIPELINE_MUSD_PER_KM

      private static final double PIPELINE_MUSD_PER_KM
      Capital cost per kilometer of pipeline in million USD. Assumes typical 12-16" production flowline with insulation. Actual cost varies significantly with diameter and water depth.
      See Also:

    • UMBILICAL_MUSD_PER_KM

      private static final double UMBILICAL_MUSD_PER_KM
      Capital cost per kilometer of umbilical in million USD. Includes hydraulic, electrical, and fiber optic elements.
      See Also:

    • OPEX_PERCENT_OF_CAPEX

      private static final double OPEX_PERCENT_OF_CAPEX
      Annual operating expenditure as percentage of total CAPEX. Industry typical range is 3-5% for offshore oil and gas. Includes maintenance, insurance, and logistics.
      See Also:

    • POWER_COST_PER_MW_YEAR

      private static final double POWER_COST_PER_MW_YEAR
      Annual power cost per MW in million USD. Based on gas turbine fuel consumption and typical fuel gas cost. For power from shore, this would be lower but offset by cable CAPEX.
      See Also:

    • regionalFactors

      private RegionalCostFactors regionalFactors
      Regional cost adjustment factors.

  • Constructor Details

    • EconomicsEstimator

      public EconomicsEstimator()
      Creates a new economics estimator with NCS baseline costs.

      The estimator uses built-in cost factors calibrated to Norwegian Continental Shelf benchmarks. Use EconomicsEstimator(String) or setRegion(String) to adjust for other regions.

    • EconomicsEstimator

      public EconomicsEstimator(String regionCode)
      Creates a new economics estimator for a specific region.
      Parameters:
      regionCode - region code (e.g., "BR", "US-GOM", "AU")
      Throws:
      IllegalArgumentException - if region not found

    • EconomicsEstimator

      public EconomicsEstimator(RegionalCostFactors regionalFactors)
      Creates a new economics estimator with custom cost factors.
      Parameters:
      regionalFactors - custom regional cost factors

  • Method Details

    • estimate

      public EconomicsEstimator.EconomicsReport estimate(FieldConcept concept, FacilityConfig facilityConfig)
      Estimates comprehensive economics for a field concept with detailed facility configuration.

      This method provides the most accurate screening-level estimate by considering:

      • Specific process blocks in the facility configuration
      • Block-level sizing parameters (e.g., compression stages)
      • Well counts and types from the concept
      • Infrastructure distances and requirements

      The returned report includes CAPEX and OPEX breakdowns, unit costs ($/boe), and accuracy ranges for uncertainty assessment.

      Parameters:
      concept - the field concept containing reservoir, wells, and infrastructure data
      facilityConfig - the facility configuration with specific process blocks, or null for simplified estimation
      Returns:
      an economics report with CAPEX, OPEX, and derived metrics
      Throws:
      NullPointerException - if concept is null

    • quickEstimate

      public EconomicsEstimator.EconomicsReport quickEstimate(FieldConcept concept)
      Provides a quick economics estimate without detailed facility configuration.

      This convenience method estimates costs based solely on the concept definition, using simplified assumptions about required process equipment. It's useful for:

      • Initial concept screening before facility design
      • Rapid comparison of many alternatives
      • Early-phase feasibility assessment

      For more accurate estimates, use estimate(FieldConcept, FacilityConfig) with a proper facility configuration.

      Parameters:
      concept - the field concept to estimate
      Returns:
      an economics report with CAPEX, OPEX, and derived metrics
      See Also:

    • setRegion

      public void setRegion(String regionCode)
      Sets the region for cost adjustment.
      Parameters:
      regionCode - region code (e.g., "BR", "US-GOM", "AU")
      Throws:
      IllegalArgumentException - if region not found

    • setRegionalFactors

      public void setRegionalFactors(RegionalCostFactors factors)
      Sets custom regional cost factors.
      Parameters:
      factors - custom regional cost factors

    • getRegionalFactors

      public RegionalCostFactors getRegionalFactors()
      Gets the current regional cost factors.
      Returns:
      regional cost factors

    • getRegionCode

      public String getRegionCode()
      Gets the current region code.
      Returns:
      region code

    • getRegionName

      public String getRegionName()
      Gets the current region name.
      Returns:
      region name

    • estimateFacilityCAPEX

      private double estimateFacilityCAPEX(FieldConcept concept, FacilityConfig facilityConfig)
      Estimates facility base CAPEX based on facility type and water depth.

      Applies depth factor to account for increased costs in deeper water: - Every 500m of water depth adds ~50% to base cost - Subsea facilities scale with number of templates needed - Onshore facilities are typically 60% of platform cost

      Parameters:
      concept - the field concept with infrastructure data
      facilityConfig - the facility configuration (currently unused)
      Returns:
      estimated facility CAPEX in million USD

    • estimateEquipmentCAPEX

      private double estimateEquipmentCAPEX(FieldConcept concept, FacilityConfig facilityConfig)
      Estimates process equipment CAPEX based on facility blocks or concept requirements.

      If a facility configuration is provided, costs are calculated for each specific block. Otherwise, equipment is estimated from concept requirements (CO2 removal, dehydration, etc.).

      Parameters:
      concept - the field concept with processing requirements
      facilityConfig - optional facility configuration with specific blocks
      Returns:
      estimated equipment CAPEX in million USD

    • getBlockCAPEX

      private double getBlockCAPEX(BlockConfig block)
      Gets the CAPEX for a specific process block based on its type and parameters.

      Cost factors are based on typical offshore equipment costs and include:

      • Equipment procurement
      • Installation and hookup
      • Commissioning

      Costs do not include platform modifications or structural support.

      Parameters:
      block - the block configuration with type and parameters
      Returns:
      estimated block CAPEX in million USD

    • estimateWellCAPEX

      private double estimateWellCAPEX(FieldConcept concept)
      Estimates well CAPEX based on well count and completion type.

      Subsea wells are approximately twice the cost of platform wells due to:

      • Subsea tree and controls
      • Intervention access requirements
      • Flowline connections
      Parameters:
      concept - the field concept with well configuration
      Returns:
      estimated well CAPEX in million USD

    • estimateInfrastructureCAPEX

      private double estimateInfrastructureCAPEX(FieldConcept concept)
      Estimates infrastructure CAPEX based on tieback distance.

      Includes costs for:

      • Production flowlines/pipelines
      • Umbilicals (for subsea tiebacks only)

      Costs are simplified linear estimates; actual costs vary significantly with:

      • Pipeline diameter and wall thickness
      • Water depth (installation method)
      • Seabed conditions
      • Shore approach requirements
      Parameters:
      concept - the field concept with infrastructure configuration
      Returns:
      estimated infrastructure CAPEX in million USD

    • estimatePowerOPEX

      private double estimatePowerOPEX(FieldConcept concept, FacilityConfig facilityConfig)
      Estimates annual power-related operating costs.

      Power consumption is estimated based on process equipment, primarily compression. Base facility load is assumed at 10 MW, with additional power per compression stage.

      Parameters:
      concept - the field concept
      facilityConfig - optional facility configuration for detailed power estimation
      Returns:
      estimated annual power OPEX in million USD

    • getAnnualProductionMboe

      private double getAnnualProductionMboe(FieldConcept concept)
      Calculates annual production in million barrels of oil equivalent (Mboe).

      Conversion assumes 6000 Sm3 of gas per barrel of oil equivalent, which is a standard industry conversion factor.

      Parameters:
      concept - the field concept with production rates
      Returns:
      annual production in Mboe