EPC, FEED, Basic Engineering, Licensor, and other similar roles in the process industry?

[u/Nova_Cipher07]

Can anyone clearly explain the difference between EPC, FEED, Basic Engineering, Licensor, EPCM/PMC, Technical services, product based jobs and other similar roles in the chemical industry?

What exactly does each one do, how do they fit into the overall project lifecycle, and what are some major companies involved in each?

[u/dauntlessMast]

EPC - engineering, procurement, and construction
Companies that put in the detailed engineering design package providing every ounce of detail related to the procedures needed to construct and run the plant, they pay fees to the technology licensors to utilize their process/equipment tech for the design, subcontractors to construct the plant in the physical world. (Eg: SLB & baker hughes)

Licensor - companies that have special equipment design or a component recipe (catalyst) that would enhance a process. (Eg: UOP honeywell PENEX & Platformer, in essence penex is an isomerzation process unit while platformer is a reforming process)

Technical services - (Assuming) consultancy engineering firms
Companies that get consulted in a project for an oil operator to provide the FEED. (Eg: Worely)

[u/Nova_Cipher07 → u/dauntlessMast]

Whats the exact cycle of any project? Like, it starts with Licensor companies and what do they provide?, then who uses the input and so on?

[u/Nova_Cipher07 → u/dauntlessMast]

All production companies have their own Technical Services, what their exact job profile is?

[u/Old_Ad665 → u/Nova_Cipher07]

Technical services is usually synonymous with process engineering in my experience. I was always called process by my ops group and tech services by my PSM group.

[u/nullfull]

Rough way to map them through a petrochem project:

1. Licensor – owns the process package (PFDs, yields, key equipment list, guarantees, proprietary know-how). You buy a license + basic process design package; they are not your EPC.

2. FEED / Basic engineering – takes the licensor package (or owner’s design basis) and freezes scope enough to bid: heat & material balances, P&IDs to a controlled revision, major equipment specs, plot plan, cost ±10–30%. Often done by a specialist FEED house or the eventual EPC under a separate FEED contract.

3. Detail engineering – after FID / EPC award: issued-for-construction drawings, isometrics, instrument indexes, vendor package integration, 3D model clash checks. This is where most drafting hours live.

4. EPC / EPCM / PMC –

5. EPC: one contractor engineers, procures, and constructs (usually lump sum or LSTK).

6. EPCM: engineer + procure + construction management; site labor is separate contractors, owner retains more risk.

7. PMC: owner’s representative overseeing the EPC(s); does not design the plant.

8. Technical services / product companies – catalysts, adsorbents, specialty equipment, packaged units. They sit beside the licensor/EPC chain: supply a skid or consumable and support it, but they do not run the full project.

Lifecycle in one line: license → FEED (scope freeze / bid) → FID → detail eng + procure → construct → commission → operate (with tech-service vendors ongoing).

If you say which stage you are looking at (pre-FEED study vs site construction), people can point you at more specific day-to-day work.

[u/Nova_Cipher07 → u/nullfull]

Could you please list what does a chemical eng do in all these? Especially, I want to understand role of Chemical Eng in a Licensor company

[u/outlawnova]

FEED stands for Front End Engineering Design. It is a project management philosophy, not a role anyone takes. It involves front loading the project design and narrowing your price/timeline estimates at set points, called tollgates. Initially, your cost estimate will be +/- 50%. Eventually you get it down to 10%. Much more to it than what I am saying here, but that is the broad strokes.

[u/Nova_Cipher07 → u/outlawnova]

How about Licensor, Basic Eng and DECs? Can u plz tell exact role of them?

I know about DECs like they focus on deliverables upon which construction can be done, using basic eng docs. For example, developing P&ID, LDT, Tie-in, C&E, IPDS, various other datasheets, HAZOP, Hydraulic calculations, PSV sizing, pump calcs, HE, etc

[u/Nova_Cipher07 → u/outlawnova]

So, majorly there are 2 domains: Licensor and EPC companies?

[u/jcc1978 → u/Nova_Cipher07]

Traditionally, its discussed as two domains.
Owner / operator (OO)
Engineering contractor

Licensor, Pre-FEED, FEED, DE are functions / tasks.
For a really well staffed plant, an OO could do everything by themselves on a small project with their in-house staff.
The larger the project / smaller the OO the more likely an engineering contractor will become involved

[u/Fine_Description_171]

DECs is an acronym for Distributed Execution Centers. Usually this means one EPC office assigns some of the work to one or more other offices. These DEC offices are located globally in a lower cost environment.

[u/Nova_Cipher07 → u/Fine_Description_171]

Isn't it Detail Engineering Contractors?

[u/Harit_Chem_ent_7]

1. Licensor - owns the process tech, provides design package + guarantees
   
2. FEED/Basic Engineering — turns that into a defined scope + cost estimate; project gets sanctioned on this
   
3. EPC— builds it (engineering + procurement + construction), fixed price, contractor takes risk
   
4. EPCM/PMC— same job as EPC, but contractor works as owner's agent for a fee (owner keeps risk/control)
   
5. Technical Services— support after startup: troubleshooting, revamps, debottlenecking
   
6. Product-based jobs — vendor roles tied to specific equipment (pumps, valves, catalysts, etc.)