Industrial Process Piping Estimate by F&K

## Project Context This walkthrough demonstrates a typical estimating methodology for a refinery turnaround (TAR) — a planned shutdown of a processing unit for inspection, maintenance, and capital improvements. The example scenario involves a 21-day turnaround window for process piping scope on the Gulf Coast. Refinery turnarounds are the most demanding estimating environment in the industrial sector. Every day the unit is offline, the owner loses revenue — making schedule accuracy and cost certainty critical. ## Estimating Objectives A typical engagement involves quantifying the complete process piping scope for a turnaround. Common objectives include: - Quantifying piping materials and fittings from P&IDs and isometric drawings - Classifying and pricing all welds by type (CJP butt weld, socket weld, threaded) - Including radiographic testing (RT) costs explicitly rather than as allowances - Applying documented labor inefficiency factors for compressed-schedule industrial work ## Typical Challenges ### 1. Piping Quantification from P&IDs Unlike architectural drawings, industrial process piping is quantified primarily from Piping and Instrumentation Diagrams (P&IDs) and Piping Isometric Drawings. A typical project package may include: - 40–50 P&ID sheets defining process loops - 300+ piping isometric drawings for fabricated spools - Multiple line lists defining pipe specifications (material, schedule, insulation class) A typical quantification process for each line: 1. Identify the pipe spec from the line list (e.g., "CS-300A" = Carbon Steel, 300-lb class, ASME B31.3) 2. Measure linear footage from isometrics, accounting for fitting allowances per ASME B16.9 3. Count all fittings by type and size 4. Classify all welds by type and required testing level ### 2. Material Matrix — Stainless Steel vs. Carbon Steel Process piping often involves both carbon steel replacement and new stainless steel installation. The cost differential is significant: | Pipe Size | Material | Typical $/LF Range | |:---:|:---:|---:| | 2" | 316L SS, Schedule 40S | $180–$240 | | 4" | 316L SS, Schedule 40S | $260–$340 | | 6" | 316L SS, Schedule 40S | $370–$460 | | 10" | 316L SS, Schedule 40S | $650–$800 | | 12" | A106B Carbon Steel, Std. | $150–$200 | Stainless steel welding labor reflects a specialty alloy multiplier over standard carbon steel — stainless requires argon purging, tighter heat input control, and dedicated grinding equipment to prevent cross-contamination. ### 3. Radiographic Testing (RT) Cost Inclusion Many estimators treat RT costs as a sub-subtracting allowance. A more reliable approach is explicit quantification: - **Total weld count** from isometric drawings - **RT rate per weld** — mobilization, certified technician, film/digital imaging, ASNT Level III review, and reporting - **Statistical weld repair rate** — stainless steel TIG welds in turnaround environments carry a defect/repair rate that should be priced as a contingency line item This line item is one of the most commonly omitted costs in industrial piping estimates. When excluded, it typically surfaces as a change order within 30 days of contract execution. ### 4. Turnaround Labor Inefficiency Factors A 21-day continuous operations turnaround does not use standard labor production rates. A typical set of documented inefficiency factors: | Condition | Typical Factor | |:---|:---:| | Night shift (10pm–6am) | 0.85 efficiency | | Saturday work | 0.80 efficiency | | Sunday / 7th day | 0.70 efficiency | | Overtime fatigue (>50 hrs/week) | 0.85 efficiency | | Confined space entry | 0.65 efficiency | | Hot work permit delays | 0.90 efficiency | The cumulative inefficiency factor can reduce effective productivity to approximately 55–65% of standard rates — meaning the estimate requires roughly 1.5–1.8x more labor hours than a standard daytime, 40-hour week estimate for the same physical quantity. ## Applicable Codes & Standards - **ASME B31.3** — Process Piping Code - **ASME Section V & Section IX** — Nondestructive examination and welding qualifications - **ASNT** — Nondestructive testing personnel certification - **OSHA 1910.146** — Confined space entry permits - **OSHA Process Safety Management (PSM)** — Worker orientation requirements ## Software Workflow | Software | Purpose | |:---|:---| | PlanSwift | Piping quantity takeoff from isometric drawings | | Bluebeam Revu | P&ID markup and weld classification | | Excel (Custom Matrix) | Pipe spec breakdown, labor factor modeling | ## Common Estimating Risks | Risk Area | Typical Impact | Mitigation | |:---|:---:|:---| | RT costs omitted as allowance | $500k+ change order | Quantify explicitly per weld count | | Labor inefficiency factors ignored | $800k+ labor shortfall | Apply documented factors for every turnaround condition | | Safety compliance omitted | Scope gap | Price PSM orientation, confined space, fire watch as line items | | Stainless steel multiplier missed | 40%+ labor understatement | Use specialty alloy multiplier (1.5–1.7x over CS) | ## Lessons Learned 1. **RT is not an allowance — it is a line item.** Explicit quantification prevents post-award change orders. 2. **Labor inefficiency is cumulative.** Each condition multiplies the others — the effective factor is much lower than any single condition. 3. **Safety costs are mandatory.** PSM orientation, confined space attendants, and fire watch are not general conditions — they are measurable scope. ## How F&K Applies This Process F&K Estimatings applies this systematic P&ID-based quantification approach to every industrial turnaround and process piping scope. The methodology documented in this walkthrough — weld-by-weld classification, explicit RT pricing, and cumulative labor inefficiency modeling — is applied to every refinery, chemical plant, and heavy industrial project we estimate. --- *This walkthrough is an educational sample based on representative industrial estimating practices. Figures are illustrative and rounded for clarity. Specific project details are generalized to protect confidentiality.*

Industrial Process Piping Estimate by F&K

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