AR ENGINEERS – Engineering Procurement and Construction Part II

AR Engineering Group

….CONTINUED FROM PREVIOUS POST

Besides the plant and project siting, in an EPC contract the owner (Client) defines:
>Scope and the specifications of the plant
>Quality
>Project duration
>Cost
>The cost (the price to be paid to the EPCC) is negotiated and finalized and paid in mutually agreed installments.
>Engineering Functions
>Initiation
>Implementation
>Planning & Programming
>Estimating → Request for Quote
>Valuation
>Design
>Procurement Functions
>Purchasing
>Expediting
>Receiving
>Invoicing
>Reconciliation
>Construction Functions
>Construction Schedule
>On-site Material Handling
>Construction Activities
>On-site Client Communications
>Valuation & Cash flow
>  and finally, Closing

In our subsequent submissions, the Owner (Client) and contractor liabilities as well as the Global Arena will be discussed.
At AR Engineering we offer EPC for our Geotechnical, Water and Construction contract services. Using our cost optimization strategies we give our clients maximum satisfaction in good time.AR7

At AR Engineering, we are defined by our efficient engineering solutions.

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AR ENGINEERS – Engineering Procurement and Construction Part II

….CONTINUED FROM PREVIOUS POST

Besides the plant and project siting, in an EPC contract the owner (Client) defines:
>Scope and the specifications of the plant
>Quality
>Project duration
>Cost
>The cost (the price to be paid to the EPCC) is negotiated and finalized and paid in mutually agreed installments.
>Engineering Functions
>Initiation
>Implementation
>Planning & Programming
>Estimating → Request for Quote
>Valuation
>Design
>Procurement Functions
>Purchasing
>Expediting
>Receiving
>Invoicing
>Reconciliation
>Construction Functions
>Construction Schedule
>On-site Material Handling
>Construction Activities
>On-site Client Communications
>Valuation & Cash flow
>  and finally, Closing

In our subsequent submissions, the Owner (Client) and contractor liabilities as well as the Global Arena will be discussed.
At AR Engineering we offer EPC for our Geotechnical, Water and Construction contract services. Using our cost optimization strategies we give our clients maximum satisfaction in good time.AR7

At AR Engineering, we are defined by our efficient engineering solutions.

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Engineering, procurement and construction

AR ENGINEERING GROUP -- PROCUREMENT

AR ENGINEERING GROUP — PROCUREMENT

The EPC contractor (EPCC) agrees to deliver EPC, which is an acronym that stands for engineering, procurement and construction. It is a common form of contracting arrangement within the construction industry.
Overview
Under an EPC contract, the contractor designs the installation, procures the necessary materials and builds the project, either directly or by of the work. In some cases, the contractor carries the project risk for schedule as well as budget in return for a fixed price, called lump sum LSTK depending on the agreed scope of work.
When the scope is restricted to engineering and procurement, this is referred to as an EP, E and P or E+P contract. This is often done in situations where the construction risk is too great for the contractor or when the owner does the construction.
The ‘keys’ to a commissioned plant or project are handed to the owner for an agreed amount, just as a builder hands the keys of a flat to the purchaser. (One should recognize that some EPC contracts terminate at Mechanical Completion but before Commissioning while LSTK contracts always include Commissioning.) EPC is gaining importance worldwide. It requires good understanding by the EPCC to return a profit. An owner decides for an EPC contract for reasons that include:
Reduced stress for owner
Easy work and growth of the company.
Single point of contact for owner simplifies communications.
Ready availability of post-commissioning services
Ensures quality and reduces practical issues faced in other ways
Owner protected against changing prices for materials, labor, etc.(if there is provision in the contract)
Cost is known at the start of the project
In our subsequent submissions, what the Owner (Client) defines as well as the Functions of an EPCC would be discussed.
At AR Engineering we offer EPC for our Geotechnical, Water and Construction contract services. Using our cost optimization strategies we give our clients maximum satisfaction in good time.ar3

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Geotechnics Solutions from AR Engineers

AR ENGINEERING GROUP

AR ENGINEERING GROUP INFO.

AR Engineering Group consists of dedicted Civil/Building Engineers with the capacity to apply years of experience and up-to-date Engineering Principles to provide solutions to earth-crust related engineering challenges. AR Engineers as a team actually enjoy making the earth more habitable for everyone. Our wide and refined experience with Geotechnic projects of various scopes in Africa makes us the choice for clients who want the best solutions. Our expertise include the design and performance prediction of the foundations of bridges, buildings, and other man-made structures in terms of the underlying soil and/or rock; and flood control and prediction.ar2

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