5-Purpose of Demonstration plant De

5-Purpose of Demonstration plant Demonstration plant is used to prove commercial and technical viability and prove production technology based on method and technology developed by Company B. Goals for demonstration plant may include:Demonstration plant help to facilitate the lab scale research to a full scale production plantTo generate scale-up engineering data and compile credible and verifiable information about future capital and operating expenses (CAPEX and OPEX).Produce enough end-product to begin distribution and market development/testing.Demonstrate process technology works at production levels and has a viable commercial manufacturing method on production level equipment.To put the economics in focus, demonstration plants help to develop feasible processes for production plantsShow a reasonable return on investment (ROI) for the capital that will be invested in a large-scale system, including the operational costs of running such a system.