With more heavier crude oils and increasing quantities of residuum, facilities to convert these into marketable light products are becoming more attractive. This article outlines a rapid computerized cost estimation tool and discusses development of comparative economics. H-Oil uses the ebullated-bed catalytic reactor to hydrocrack heavy hydrocarbons. This reactor system is a back-mixed isothermal reactor which uses an upward flow of liquid to expand the catalyst bed. Catalyst is added and withdrawn from the reactor daily to achieve uniform activity and product quality. Details of calculating system employed in this economic study are given.