The full cost of completing a scope of work, including labour, equipment, materials, and indirect expenses. Subcontractors use TIC to build accurate bids and avoid underpricing complex field installations. Owners and GCs often benchmark TIC when evaluating competing quotes.
TIC (Total Installed Cost)
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Related Terms
Owner-Formed Alliance
IndustryA long-term agreement where an owner operator selects a fixed group of contractors to handle ongoing work. Subcontractors inside the alliance get preferred access to scopes but must meet strict performance and pricing benchmarks. Those outside the alliance are often locked out of bidding entirely.
Offshore Commissioning
IndustryThe process of testing and activating offshore systems and equipment before handover to the operator. For subcontractors, this phase typically requires specialised certifications and offshore survival training. Mobilisation costs and remote logistics significantly affect bid pricing and crew planning.
Extended-Reach Completions
IndustryCompletion work performed on wells drilled at extreme horizontal distances from the surface location, sometimes exceeding 3,000 metres laterally. Subcontractors face longer tool-run times, specialised equipment requirements, and increased logistics complexity. Mobilisation planning and crew scheduling must account for extended job durations compared to conventional completions.
Utility Reconstruction
IndustryThe full replacement or rebuild of damaged underground services such as water, gas, or electrical lines. Subcontractors are often mobilised after excavation damage or infrastructure failure. Scope typically includes trenching, pipe installation, backfill, and surface restoration.
Well Pairs
IndustryTwo horizontal wells drilled together — one injector, one producer — used in SAGD (Steam-Assisted Gravity Drainage) operations. Subcontractors often mobilise crews and equipment to service both wells simultaneously. Expect back-to-back work scopes and coordinated scheduling across a shared pad site.
Pipeline Capacity
IndustryThe maximum volume of oil, gas, or fluid a pipeline can transport over a given period. For subcontractors, capacity constraints directly affect project scheduling and the urgency of inspection, maintenance, and tie-in work. Operators may fast-track field service contracts when pipelines are running near capacity limits.
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