Project Feasibility Studies - A Necessary Step or the Best Opportunity to Add Value and Certainty?

Feasibility studies form a vital and significant component of the project delivery cycle. They are at the heart of the valuation process. This paper focuses on variables which can affect a project and how these are assessed as part of the decision-making process through feasibility studies. Test work and site selection needs; the degree of engineering required to meet the study requirements and the quality of owner project information are discussed. Also, local factors including permitting needs, social, environmental and government relations are considered. Engineering and site factors are crucial in the estimating process. The interaction of detailed engineering, engineering assumptions and estimating methodologies are therefore examined. The ownerÆs perspective is considered along with risk analysis, which is fundamental in project feasibility study activities. The impact of this is also discussed.