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Case Study

Facility design standardization and modularization

A midstream operator wanted to develop a standard, modular compressor station design and incorporate best practices from a recent acquisition. The project team developed a new compressor station design vision focused on leveraging skid-mounted modular components, reducing project development and construction cycle time, improving facility build quality and consistency and reducing facility costs.

Our approach

We analyzed recent compressor station engineering and construction performance; identified lack of detailed procedures, tendency to over-engineer facilities and lack of clear scope definition prior to beginning design work. In the resulting follow-on project we implemented a new compressor station design vision based on: standard, modular facility designs; project development guides and training; scorecards, planning and review meetings; project cost management and control tools; project lifecycle process enhancements and training.

Value delivered

  • Reduced compressor station facility capital overspend by 50 percent
  • Reduced compressor station facility construction cost by 10 to 15 percent
  • Reduced project development and construction cycle time by 10 to 20 percent.

Financial and business impact

  • Compressor station design team agreed on four primary designs, covering the range of facility sizes and operating conditions; ~200 design gaps between the designs of the two companies were addressed
  • Developed comprehensive modular design architecture, including cost-optimized design and equipment standards
  • Developed integrated commercial offering for both, modular and design build options integrated supply chain, construction and operational planning with routine performance feedback; modular components and fabrication procurement plan
  • Reduced late stage changes to design packages, utilizing prior validated modular system design reviews
  • Implemented a supply chain forecasting and inventory management process to enable pre-ordering of long lead time compressor station modules
  • Implemented improved project cost management and controls including estimating, p6 scheduling processes, WBS and CBS, project cost and cycle time tracking and reporting throughout the project development and execution process.