Modularization in the Petrochemical Industry

Abstract

A growing trend in petrochemical industry capital projects is the modularization of facilities. The decision to modularize a new petrochemical facility depends on various factors such as schedule, local labor conditions, facility shutdown period, constructability and the geographical location of the facility. The decisions on type and level of modularization should be made early in the project due to having considerable impact on cost and schedule.Some of the key considerations for a modularized project include the size and type of modules, equipment packaging and layout, material handling, equipment maintenance, and weight management. Proper logistics and planned sequence of the design, fabrication, transportation and installation are critical for a successful project. This paper addresses modularization philosophy and the key factors which should be considered during the feasibility study, front end engineering and execution stage of a project with modules. MODULARIZATION PHILOSOPHYPlant modular design and construction is a developing recent approach by many leading companies, wherein the parts and portions of the plant are prefabricated and tested during the module fabrication. These various parts are then transported to the site for installation, re-testing and start-up. The types and level of modularization are determined after a detailed study, typically done during the early stages of the project such as the front end engineering (FEED) stage or the study phase of the project. A very critical aspect of the decision to use modular design and construction is the level of modularization that would be the most cost effective for the project. Numerous factors including cost, schedule, logistics, site conditions, construction window, availability of labor, fabricators, construction equipment, cranage, etc. need to be considered when deciding the level of modularization. Based on the level of modularization determined, the modules are then completed in the fabrication yard, leaving field work to a minimum. Remaining site work would typically include civil work, installation, hookup and testing.

Unexpected Challenges in the Modular Construction Implementation: Are UK Contractors Ready?

“…The empirical findings indicate that insurance for modular construction is expensive and challenging to obtain, requiring contractors to secure legal coverage for potential shipping mishaps, such as modules being lost during marine transportation. Secondary data support these results, indicating that transportation challenges are contingent on the location of manufacturing and country-specific regulations that must be observed [8,58]. Moreover, transportation could create substantial constraints for contractors, depending on the delivery site's location and the modules' source.…”

Conceptual Cost Estimation Framework for Modular Projects: A Case Study on Petrochemical Plant Construction

“…In the first area, determining a proper construction method for a project at an early stage is critical to improving project performance (Naqvi et al, 2014). In order to the need to meet the changing market environment, as well as improving performance, the adoption of modularization in industrial projects is expected to grow (CII, 2002).…”