Refinery
Estimated Cost of Instrument Testing - Refinery
How much can be saved using Avid’s services and the aeShield application?
Assuming current testing intervals are every 5 years, and that 50% of the instruments testing intervals can be extended by one year, a refineries maintenance department can expect to save between $650,000 and $1,076,250 every six years.
The following breaks down instrument testing costs for a 500,000 Barrels Per Day (BPD) refinery. A facility of this scale involves far more instruments and complexity, which will affect both the number of instruments and the overall costs.
Key Factors Affecting Costs:
- Number of Instruments: Large refineries like this typically have 5,000 to 10,000 instruments that include process control and safety-critical instruments.
- Types of Instruments: These would range from basic instruments (flow meters, pressure and temperature transmitters) to advanced analyzers and critical safety devices like shutdown systems.
- Complexity and Regulatory Requirements: Refineries of this size are subject to stringent regulations from bodies like the EPA, OSHA, and API, which necessitate frequent and detailed instrument testing, calibration, and validation.
| Instruments | Testing Requirements | Testing Cost Per Instrument |
|---|---|---|
| Flow Meters | Calibration for precise flow control | $350 - $600 |
| Pressure Transmitters | Calibration and verification for pressure control | $250 - $500 |
| Temperature Transmitters | Calibration for monitoring temperature in heaters, boilers, reactors | $200 - $400 |
| Level Sensors | Calibration and functional checks for tank levels | $300 - $500 |
| Control Valves & Actuators | Valve stroke testing, positioner calibration, and diagnostics | $500 - $700 |
| Safety Instruments | Compliance and functional checks for safety-critical events (e.g., pressure relief) | $600 - $900 |
| Analyzers | Calibration and functional checks to ensure accuracy in gas, emissions, and process streams | $600 - $1,000 |
| Labor | Details | Cost |
| Technician Hourly Rate | Average rate for refinery technicians | $100 - $175 per hour |
| Time per Instrument (Basic) | 1 - 1.5 hours/instrument | |
| Time per Instrument (Complex) | 2 - 3 hours/instrument | |
| Labor Cost per Instruments (Basic) | ~7,000 instruments at 1 - 1.5 hours each | $875,000 - $1,312,500 |
| Labor Cost per Instruments (Complex) | ~3,000 instruments at 2 - 3 hours each | $900,000 - $1,350,000 |
| Total Labor Cost Estimate | $1,775,000 - $2,662,500 | |
| Equipment | Details | Cost |
| Calibration Equipment Rental | Rental cost per week | $2,000 - $6,000 |
| Total Equipment Cost Estimate | $50,000 - $100,000 | |
| Documentation | Details | Cost |
| Regulatory Compliance | Cost per instrument for documentation | $75 - $150 |
| Total Documentation Cost Estimate | $375,000 - $1,500,000 |
Additional Factors
- Outsourced Services: Outsourcing the instrument testing to third-party providers may add an additional 10-20% premium due to specialized services.
- Testing Frequency: Safety-critical and regulatory instruments will often require annual or even semi-annual testing in refineries, depending on API and OSHA requirements.
Summary of Costs
- Basic Instrument Testing (7,000 instruments)
- Instrument cost: $250 to $500 per instrument
- Total: $1,750,000 to $3,500,000
- Complex Instrument Testing (3,000 instruments)
- Instrument cost: $500 to $1,000 per instrument
- Total: $1,500,000 to $3,000,000
- Labor Costs
- Total labor estimate: $1,775,000 to $2,662,500
- Equipment Rental
- Total equipment cost: $50,000 to $100,000
- Documentation and Reporting
- Total documentation cost: $375,000 to $1,500,000
Overall Cost Estimate
- Lower Estimate: $5,450,000 to $6,500,000
- Higher Estimate: $9,662,500 to $10,762,500
WE CAN HELP!
If you are ready to INNOVATE, OPTIMIZE, and TRANSFORM your operations, Avid is eager to help! Contact Avid for an initial discussion.
For additional insights or to learn more on how we solve client issues, check out our services.