nnnnnhamilton9765 nnnnnhamilton9765

23-01-2020
Business

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gas-to-liquid (GTL) process that produces 140,000 bbl/day has aFCI of $12 billion. Estimate the FCI of a similar GTL plant producing 110,000 bbl/day.

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sampsonola sampsonola

24-01-2020

Answer:

$ 10.38 billion

Explanation:

Using six-tenths rule

Estimated cost / the known cost = (size of the estimate / size of the known)^0.6

Estimate = $ 12 billion ( 110000/140000)^ 0.6

Estimate = $ 10.38 billion

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