Projects and o&m

Projects and O&M in the Iron & Steel Industry

Introduction

Iron and steel plants are large, multidisciplinary industrial facilities involving process plants, mechanical equipment, electrical systems, instrumentation, automation, utilities, material handling and extensive infrastructure.

The development and operation of such facilities therefore involves a complete lifecycle extending from project conceptualization and feasibility through engineering, procurement, construction, commissioning, operations and maintenance.

Project Development

The project lifecycle generally begins with:

Project Concept
↓
Capacity / Product Definition
↓
Site & Infrastructure Assessment
↓
Pre-Feasibility
↓
Feasibility Study
↓
Project Scope Definition
↓
Cost & Schedule Development
↓
Project Approval

RFP and Tendering

Once project requirements are established, the procurement/tendering process may include:

Scope Definition
↓
RFP / Tender Preparation
↓
Prequalification
↓
Bid Invitation
↓
Technical Bid Evaluation
↓
Commercial Evaluation
↓
Techno-Commercial Comparison
↓
Clarifications & Negotiations
↓
Contract Award

Engineering

Following project award, engineering typically progresses through:

Basic Engineering
↓
Detailed Engineering
↓
Equipment Specifications
↓
Vendor Engineering
↓
Drawing & Document Review
↓
Interdisciplinary Coordination
↓
Approved-for-Construction Documentation

Procurement

The procurement cycle generally includes:

Purchase Specifications
↓
Vendor Identification
↓
RFQ / Enquiry
↓
Technical Evaluation
↓
Commercial Evaluation
↓
Vendor Selection
↓
Purchase Order
↓
Manufacturing
↓
Inspection & Testing
↓
Expediting
↓
Dispatch

Construction and Installation

The construction stage includes:

• Site preparation
• Civil works
• Structural works
• Equipment erection
• Mechanical installation
• Piping
• Electrical installation
• Instrumentation installation
• Cable laying
• Utility connections
• Testing

Commissioning

Commissioning generally progresses through:

Mechanical Completion
↓
Pre-Commissioning
↓
System Testing
↓
Utility Charging
↓
Equipment Testing
↓
Cold Trials
↓
Hot Trials
↓
Integrated Plant Trials
↓
Performance Demonstration
↓
Handover

Operations & Maintenance

Following commissioning, plant operations involve continuous production supported by maintenance and reliability activities.

The O&M cycle generally includes:

Production Planning
↓
Plant Operation
↓
Process & Equipment Monitoring
↓
Preventive Maintenance
↓
Predictive / Condition-Based Maintenance
↓
Corrective Maintenance
↓
Breakdown Maintenance
↓
Shutdown / Turnaround Maintenance
↓
Inspection & Reliability Assessment
↓
Performance Review
↓
Continuous Improvement

Plant Maintenance

Maintenance activities may cover:

• Mechanical equipment
• Electrical systems
• Instrumentation
• Automation systems
• Utilities
• Material handling equipment
• Structures
• Refractories
• Piping
• Auxiliary systems

Conclusion

The project and O&M lifecycle of an iron and steel plant extends from concept and feasibility through RFP, bidding, engineering, procurement, construction, commissioning, operations and maintenance.

Understanding this complete lifecycle provides a broader perspective of the interfaces and dependencies that exist throughout a steel project and plant operation.