Basic design and tendering

Basic design

During the basic design of a plant project, the technical concept is developed into a more detailed and structured design that serves as the foundation for tendering and execution.

This includes creating process flow diagrams, equipment specifications, layout plans, and utility requirements.

In parallel, the project execution plan is refined, covering timelines, cost estimates, risk assessments, and defining the contracting strategy.

A FEED study, which might be prepared at this stage of a project, has similar scope like basic design.

Tendering

The basic design forms the basis for the tendering process, enabling bidders to prepare accurate offers. The tendering process itself covers

  • Development of tender documents
  • Distribution of tender documents
  • Tender preparation and bid submission
  • Evaluation of the bids
  • Contract finalization

The tender documents as well as the bids from the suppliers will form the contract and therefore the basis for the execution of the project. Therefore, a professional development of the tender documents in the key for a successful project. The requirements on the process, the equipment, the engineering, the project execution, the documentation as well as on the commercial project execution shall be part of the tender documents.

The tender documents are submitted to selected bidders. These bidders might be well-known companies, might have run through some pre-qualification, might be international or local. All of them shall be prepare offers following the requirements in the tender documents.

These bids are fully transparently analyzed and the best bidders is selected. This process might require to request some updates from the bidders, have negotiations, etc.

With the selected bidders, final contract negotiations will take place resulting in contracts ready for signature.

Generally, the following information shall be included:

  • Project description
  • Bidding process description including bonds
  • Basic data like products, location, raw materials, operating time
  • Technical description of the facilities, the process, the battery limits
  • Technical specification of equipment
  • Manual for project execution
  • Commercial framework
  • Content of the bid

Feedback and data from the received bids are then incorporated into the basic design to optimize scope, cost, and execution strategy.