1.
Material Estimation
Quantities: Calculate quantities for all materials (concrete, steel, geotextiles, gabions,
riprap, marl, etc.).
Specifications: Ensure compliance with project-specific standards (e.g., Aramco
standards for pipeline, ROW, or riprap works).
Wastage Allowance: Add a standard percentage for wastage, e.g., 5% for concrete and
2-3% for steel.
2. Labor Estimation
Crew Requirements: Identify the required manpower (e.g., welders, fabricators, masons,
carpenters, laborers).
Productivity Rates: Use standard productivity rates, such as cubic meters per hour for
backfilling or linear meters per day for trench excavation.
Shifts and Overtime: Account for the number of shifts and potential overtime if
deadlines are tight.
3. Equipment Estimation
Machinery: Identify the equipment required (e.g., excavators, bulldozers, graders,
compactors).
Operational Hours: Estimate the usage duration and rental costs.
Fuel and Maintenance: Include fuel consumption and maintenance costs.
4. Indirect Costs
Dewatering: Include costs for dewatering pits or trenches where applicable.
Site Setup: Temporary facilities, storage, fencing, and utilities for the site.
Mobilization/Demobilization: Transport of equipment and materials to and from the
site.
5. Execution Factors
Compaction Layers: Consider layer-by-layer compaction thickness (e.g., 150mm) for
trenches or backfilling.
Work Methodology: Manual vs. machine-based execution can impact cost.
Weather: Factor in delays due to extreme weather conditions.
6. Quality Assurance and Control
Testing: Include costs for materials testing (e.g., soil compaction, concrete strength
tests).
Inspection: Account for third-party inspections or approvals.
7. Miscellaneous Costs
Permits and Approvals: Budget for local authority permits or Aramco approvals.
Safety Measures: PPE, safety officers, and compliance with safety regulations.
Environmental Controls: Compliance with waste disposal and environmental laws.
8. Markup and Contingency
Profit Margin: Add a percentage for profit (usually 10-20%).
Contingency: Include a contingency allowance for unexpected issues (5-15%).
Example: Manual Backfilling Compaction (150mm Layer)
Material: Soil quantity (cubic meters) and transport costs.
Labor: Number of workers needed for 1.5m trench height.
Equipment: Hand tools or compactors.
QA/QC: Soil compaction tests per layer.
Contingency: Unforeseen site challenges.
