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Simulation Tool to Select the Most Optimum Route for Pipeline Projects

[+] Author Affiliations
Gary Hirst

G. A. Hirst Consulting Ltd., Calgary, AB, Canada

Janaka Y. Ruwanpura

University of Calgary, Calgary, AB, Canada

Paper No. IPC2004-0685, pp. 391-397; 7 pages
  • 2004 International Pipeline Conference
  • 2004 International Pipeline Conference, Volumes 1, 2, and 3
  • Calgary, Alberta, Canada, October 4–8, 2004
  • Conference Sponsors: International Petroleum Technology Institute
  • ISBN: 0-7918-4176-6 | eISBN: 0-7918-3737-8
  • Copyright © 2004 by ASME


The decisions made during the process of selecting the route of pipeline are very critical to the project. Unfortunately, the decision is often complicated by the numerous variables that must be considered and the uncertainty of estimated costs. When choosing the pipeline route a project manager must balance the likely capital cost of the pipeline with the risks inherent in the chosen route. Ideally, a project manager would investigate numerous alternatives to fully explore the merits of various pipeline routes (including the level of risk) prior to making his final decision. This paper presents a project manager with a simulation tool to effectively and efficiently model the costs associated with various pipeline routes. The model is designed to be user friendly by replicating the usual decision-making process as much as possible. The model uses a graphical interface that promotes the rapid analysis of numerous alternatives and provides opportunities to investigate in detail the various aspects of a pipeline route. The model output includes a calculation of the costs of the alternative, a statistical analysis of the risks of the project and information that can be used to establish the confidence level of a pipeline target price.

Copyright © 2004 by ASME
Topics: Simulation , Pipelines



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