Module 1 Project

 

Introduction: Planning a Pipeline

 

A company has been contracted to lay pipeline between a natural gas well and a storage facility. There is First Nations’ land and a lake between the well and storage facility, and the governing body has declined to allow the pipeline to cross their land. The project manager has created three proposals for the path of the pipeline. The proposal with the lowest cost will be used.

 

Proposal 1

 

The company would lay 2560 m of pipeline through forest, 3790 m of pipeline parallel to an existing road, and a final 2730 m of pipeline parallel to a second existing road, as shown in the following diagram.

 

 

Proposal 2

 

The company would lay two stretches of pipeline through forest as shown in the following diagram. In this proposal, trees would need to be cleared along the pipeline path, which would increase the cost per metre.

 

 

Proposal 3

 

The company would lay two stretches of pipeline through forest, but along different paths than in proposal 2, as shown in the following diagram. Again, trees would need to be cleared along the pipeline path, which would increase the cost per metre.

 

 

Part A

 

The project manager has been given the task of determining which proposal is the most cost-effective. The amount budgeted for this phase of the project and some costs are given below.

• It will cost, on average, $350/m to lay pipeline parallel to a road.

• It will cost, on average, $375/m to lay pipeline through a forested area.

• The maximum budget for this phase of the project is $3 300 000.

Which of the three proposals should the project manager recommend? In your recommendation, provide a complete mathematical justification. This means showing all formulas and calculations you used for all three proposals. As project manager, it is important that you communicate your recommendation clearly and that it is easy for your bosses to follow your reasoning.

 

Part A Assessment

 

Review the Module 1 Project: Part A Rubric to ensure you understand how you will be assessed on this project. Use the rubric to evaluate your project and reflect on the process you used. Make any changes you feel would make your work better. Submit your completed rubric with your project.

 

Once you have completed your project, check with your teacher about how you should submit your project work.

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Part B

 

The paths taken for pipelines and power lines require much more than a purely financial analysis. Some issues that may affect pipeline and power line planning are

• land ownership
  • Large amounts of land may be owned by First Nations, in which case their approval must be obtained.
  • The project may have to go through provincial or national parkland, in which case the plan must adhere to government policy.
    
    
• environmental impact
  • People living or working near the proposed path may be concerned about the potential environmental impacts during construction or the possibility of a pipeline leak.
  • Deforestation and wildlife habitats must be considered.
  • Concerns may arise regarding ground or water contamination as well as pipeline crossings of rivers or streams.
    
    
• land utilization
  • Concerns may arise regarding the loss of productive farm land or ranch land, since this may affect rural communities and livelihoods.

Research and write a one- or two-page report on the issues surrounding a current or recent pipeline or power line development project.

 

For each of the three issues above, investigate and provide the following information:

• a description of the issue by providing specific and accurate background information
  
  
• an explanation of why these are possible issues that could arise for the pipeline or power line company
  
  
• your point of view on each issue and why you think that way

You may want to do some research on the Internet as a starting point. Use the following keywords:

• Mackenzie Gas Project
• Pipeline Transport
• Alaska Alberta British Columbia Pipeline Projects

Be sure to record all your information sources so you can list them in your submitted project.

 

Part B Assessment

 

Review the Module 1 Project: Part B Rubric to ensure you understand how you will be assessed on this project. Use the rubric to evaluate your project and reflect on the process you used. Make any changes you feel would make your work better. Submit your completed rubric with your project.

 

Once you have completed your project, check with your teacher about how you should submit your project work.