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Hiring a Civil
Directional Drilling Contractor:
Understanding the Costs

5 Tips for Reducing the Cost
of Hiring a Horizontal
Directional Drilling Contractor

Damian Cooke, CEO GND Civil Group, On site with Iñaki Berroeta, CEO TPG (Vodafone Australia)

Damian Cooke, CEO GND Civil Group, On site with Iñaki Berroeta, CEO TPG

Summary

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Hiring a civil horizontal directional drilling contractor in Australia can be costly, with prices ranging from $20,000 to $100,000 depending on the scope and complexity of the project. Factors such as bore length and diameter, type of soil or rock, the bore's distance, and the site's location can all affect this cost.

 

To ensure you get the best value for your investment while minimising costs, it is important to carefully plan the project and work with an experienced and reputable contractor.

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Hiring a Civil Directional Drilling Contractor: Understanding the Costs

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As the demand for underground infrastructure grows, the need for directional drilling contractors is rising. Horizontal Directional Drilling (HDD) is a unique and efficient way of installing Telecommunications, Power, Water, Gas & Fibre in built-up areas that need new utilities.

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The key benefit of Directional Drilling in civil construction is less damage to surrounding assets, e.g. like, roads, driveways and footpaths. HDD leaves minimal surface disruption and damage, as it is a specialised technique that involves drilling and boring beneath the ground to install pipes, conduits, and cables.

 

HDD employs vacuum excavation to safely and efficiently remove soil and debris from the area surrounding the drilled borehole. Vacuum excavation reduces the risk of damaging underground utilities and other structures during construction.

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It is a challenging job that requires skilled professionals using state-of-the-art equipment and techniques to ensure precision and accuracy.

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If you plan to hire a directional drilling contractor, one of the most important considerations is the cost. The cost can vary widely depending on several key factors.

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In this article, we will explore the costs of hiring a directional drilling contractor and those factors to which you should give special attention when determining your budget estimate.

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What are the costs of hiring a directional drilling contractor?

 

The costs of hiring an HDD contractor depend on many factors, including the length and diameter of the bore, the type of soil or rock, the bore's distance, and the site's location. However, the costs are typically separated into top-level categories as follows:

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1. Mobilisation and Demobilisation Costs

The mobilisation and demobilisation costs include the expenses associated with moving the equipment and personnel to and from the site. This can include transportation costs, labour costs, and the cost of setting up and dismantling the equipment.

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2. Boring Costs

The boring costs are the expenses associated with drilling and boring the hole. This can include the cost of the drill bit, drilling mud, and other materials used in the drilling process. It will also include the vacuum excavation costs.

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3. Pipe and Conduit Installation Costs

The pipe and conduit installation costs are the expenses associated with installing the pipe or conduit into the borehole. This can include the cost of the pipe or conduit, the fittings, and any other materials required for installation.

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4. Restoration Costs

Although directional drilling causes minimal disruption, there are still necessary restoration costs, including the expenses of restoring the site after the drilling is complete. This can include the cost of backfilling, landscaping and repairing any damage caused during the drilling process.

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5. Miscellaneous Costs

The miscellaneous costs can include any other expenses not covered by the above categories. This can include permit fees, environmental assessments, and other additional expenses associated with civil construction. Additionally, any extra excavation equipment that needs to be brought in, such as pumps or large trucks, will add to the overall cost of vacuum excavation for the project.

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What other factors affect the cost of directional drilling?

 

Some of the other important detailed factors that can affect the overall cost include:

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1. Length and Diameter of the Bore

The length and diameter of the bore are important factors that can affect the overall cost of the project. Longer and larger diameter bores are more expensive to drill than shorter and smaller ones.

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2. Type of Soil or Rock

The soil or rock type also affects the project's overall cost. Softer soils are typically easier and less expensive to drill through than harder soils or rock formations. The cost factors affecting vacuum excavation include the size of the area, the type of material being removed, and any additional equipment or labour required for the job.

 

The size of the area being excavated will determine how much material needs to be removed, while different types of materials may require specialised equipment or additional labour to properly extract them.

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3. Distance of the Bore

The distance of the bore from the drilling equipment can also affect the project's overall cost. Longer distances may require more equipment and personnel, increasing the project's cost.

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4. Location of the Site

The location of the site can also affect the overall cost of the project. Sites located in remote areas or with difficult access may require additional transportation and labour costs.

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FAQs

 

Q: What is the average cost of hiring a civil directional drilling contractor?

A: The average cost of hiring a civil directional drilling contractor can vary widely depending on several factors. However, the cost can range from $20,000 to $200,000 or more, depending on the scope and complexity of the project.

 

Q: How can I reduce the cost of hiring a horizontal directional drilling contractor?

A: There are several ways to reduce the cost of hiring a civil directional drilling contractor.  One of the most effective ways to reduce the cost is to plan ahead and provide the contractor with accurate and detailed information about the project. This can help the contractor to accurately estimate the cost and avoid unexpected expenses.

 

Additionally, you can negotiate the cost with the contractor and consider bundling multiple projects together to save on mobilisation and demobilisation costs.

 

Q: How do I choose the right civil directional drilling contractor for my project?

A: Choosing the right civil directional drilling contractor is critical to the success of your project. When selecting a contractor, it's important to consider their experience, equipment, and reputation.

 

Look for a contractor with a proven track record of successfully completing similar projects and a reputation for delivering high-quality work. Additionally, ensure that the contractor has the necessary equipment and expertise to handle the scope and complexity of your project.

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Conclusion

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Civil directional drilling is a complex and specialised process that requires skilled professionals, state-of-the-art equipment, and careful planning. When considering the cost of hiring a civil HDD contractor, it's important to consider several factors, including the length and diameter of the bore, the type of soil or rock, the distance of the bore, and the location of the site.

 

By working with an experienced and reputable contractor and carefully planning the project, you can ensure you get the best value for your investment while minimising the overall cost.

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Reach out to us and request a consultation to review our cost template.

 

GND Civil Group works with Tier 1 telecoms and power utilities, and our team has extensive knowledge of all relevant factors. We are especially adept at identifying hidden risks impacting your job costs and timeframe. This way, you can build an accurate budget for your project.

5 Tips for Reducing the Cost of Hiring a Horizontal Directional Drilling Contractor

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1. Do your research: Research different contractors and compare capabilities, quality and prices to find the best value. The cheapest may not be the best value, for example, cheap reinstatement work may lead to long-term costs or even insurance claims arising many years later from poor work.
 

2. Negotiate: Negotiate with the contractor to get a better rate.
 

3. Plan ahead: Provide the contractor with detailed information about the project, including any potential risks and difficulties, so they can accurately estimate the cost before starting work. In particular, ground conditions and accurate services location mapping will improve the contractor's ability to give a better price by reducing contingency allowances.
 

4. Bundle tasks: Consider bundling multiple projects to save on mobilisation and demobilisation costs.
 

5. Hire an experienced contractor: Choose a contractor with proven experience in directional drilling and a reputation for delivering high-quality work to ensure success.

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