USD 91.464 million, and what sits behind it
An installed unit rate multiplied by a nominal length. It is a concept estimate, not a supplier quotation, a funding approval or a lifecycle cost model.
Reference arithmetic
| Calculation | Basis | Result |
|---|---|---|
| Installed unit cost | Presentation estimate | USD 1,524,400 per km |
| Nominal length | 6 segments × 10 km | 60 km |
| Total reference investment | USD 1,524,400 × 60 | USD 91,464,000 |
| Exchange rate assumption | Presentation planning rate | MXN 18.72 per USD |
| Exact currency conversion | USD 91,464,000 × 18.72 | MXN 1,712,206,080 |
| Rounded amount in presentation | Reported on page 11 | MXN 1,712,206,000 |
The difference of MXN 80 between the exact multiplication and the displayed total is immaterial rounding. The exchange rate is a project assumption, not a current market rate, and should be updated or hedged for the financing plan.
Arithmetic sensitivity
Straight arithmetic on the reference basis
Not a contingency allowance
Ignores non-linear mooring and fleet effects
Assumes full exposure of the USD reference
These are calculated effects of changing one input at a time. They are not supplier savings, contingency recommendations or price forecasts.
What the number has to cover
A credible estimate is rebuilt from priced quantities, not from a single rate. The categories below are where those quantities come from.
- Surveys and engineering
- Surveys, modelling, design, review, assessments and submissions. Reuse of earlier work should be priced explicitly.
- Manufactured assets
- Pipe, floats, joints, anchors, supports and mooring lines, with allowances, spares, warranties and delivery terms.
- Electrical and control
- Positioning equipment, power, lights, sensors and communications, including interfaces, redundancy and service charges.
- Marine installation
- Shore base, assembly, vessels, towing, anchoring and commissioning, with weather risk, standby, fuel and mobilization.
- Recurring operation
- Staff, fleet, energy, data services, monitoring and insurance, under a stated service level and availability commitment.
- Maintenance and renewal
- Cleaning, inspections, repairs, consumables and replacements, governed by inspection access and replacement cycles.
- End of service
- Removal, recovery, recycling or disposal and seabed verification, with financial provision and closure acceptance.
Commercial structure
Compare integrated supply and installation with separate packages only once interfaces are clear. Allocate responsibility for design adequacy, fabrication quality, installation damage, performance measurement and operating availability.
Performance guarantees, if offered, must specify the measurement boundary, eligible environmental conditions, biomass measurement method, uncertainty, exclusions and remedies. An unconditional promise of greater than 90 percent beach protection would not match the source target or the available evidence.
Lifecycle and removal
Evaluate annual operating cost, periodic replacement, downtime, residual value and removal obligations over a defined service life, on a consistent time and price basis. No return on investment or payback period is established by the current information. Decommissioning should carry a cost allowance before final investment approval, updated as the installed configuration becomes known.
Until quantities are priced, the number should be read as an order of magnitude with a known basis and a known set of exclusions.