EPCM stands for Engineering, Procurement, and Construction Management. In an EPCM contract, the engineering firm delivers the design, procures the equipment on behalf of the owner, and manages the construction phase — but the owner holds the construction contracts directly and bears the construction risk.
EPCM vs EPC
In an EPC (Engineering, Procurement, Construction) contract, the contractor takes on construction as well — including labor, schedule, and cost risk — and delivers a turnkey plant. In an EPCM contract, the contractor manages construction on the owner's behalf but doesn't do the actual construction or own that risk. EPCM gives the owner more cost transparency and control; EPC gives the owner a fixed price.
The Three Phases
Engineering: flowsheet, basic design, detailed design — typically 12–18 months for a large project. Procurement: equipment specification, vendor selection, expediting, and shipping — overlaps with engineering. Construction Management: site supervision, subcontractor management, quality control, commissioning — overlaps with late procurement.
Why EPCM Suits Mining
Mining EPCMs are typically large ($50M to $500M+ in CapEx), at remote sites, with country-specific labor and customs realities. Owners want flexibility to substitute equipment, change scope, and source labor locally — EPCM allows that more readily than fixed-price EPC.
KCA's EPCM Track Record
KCA has delivered 17 EPCM contracts including: Camino Rojo ($125M, ORLA), Pinos Altos ($134M, Agnico-Eagle), Ocampo ($104M, Gammon), La India (13-month EPCM, Agnico-Eagle), and Dolores ($53M, Pan American). See our Engineering & EPCM service page.
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