Concept Definition provides the link between field development planning and FEED. A single, well defined option is selected to complete the conceptual phase.
Concept Definition, or pre-FEED, adds a further level of detail to the option selected at the conclusion of Concept Select to achieve more precise definition, a better cost estimate and, ultimately, a scope of work for FEED.
The scale of a Concept Definition or pre-FEED phase can vary dramatically depending on the nature of the project. Regardless of scale, the activities in Concept Definition are chosen to address the development's circumstances and can include:
- Process scheme optimisation
- Reduction in optionality using targeted studies of particular aspects of design e.g. technology selection
- Finalisation of field architecture
- Preliminary P&ID development
- Layout development
- Issue of enquiries for long lead or high cost items
- Cost estimating and economic assessment
- Project schedule enhancement
- Preparation of survey scopes of work, tendering and management of the work
- Engagement with other work groups and third parties to reduce uncertainties e.g. drilling, reservoir engineering, tie-ins to other facilities, regulatory authorities, buyers of products.
- Development of risk mitigation plans
- Project execution plan and contracting strategy finalisation
- Basis of design update
- Commencement of the ESIA process
- FEED Scope of Work
As a result, the development enters FEED with a well-defined option in which:
- Major design decisions have been made;
- Risks and uncertainties are understood and mitigated where appropriate;
- The execution approach, cost estimate, budgets and schedules are clear and complete.