West Lagoon Reservoir

Earth Tech conducted a front-end loading analysis and financial/schedule risk analysis for stabilization and capping of oily sludge in an impoundment at a refinery formerly owned and operated by Chevron in Port Arthur, Texas.

Chevron requires major environmental cleanup projects with projected expenditures of $5 million or more be evaluated independently for cost, schedule, and risk. The cleanup of the West Lagoon Reservoir exceeded the threshold. Earth Tech utilized its RACER cost estimating system to develop an independent cost estimating for the project. Earth Tech used the assemblies from the cost estimate along with the crews and productivity factors to develop an independent schedule. The RACER-DS system was used to transform the cost estimate and schedule into dynamic financial models. RACER-DS was also used to run a financial risk simulation showing the amount of contingency required to achieve specific levels of certainty.