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MAY 2016 | HydrocarbonProcessing.com

MAINTENANCE
AND RELIABILITY

Prevent equipment failures with improved asset


management and lubrication maintainability

PROCESS ENGINEERING AND OPTIMIZATION


Produce bio-gasoil via catalytic coprocessing
of bio-oil and diesel in a conventional hydrotreater

ENVIRONMENT AND SAFETY


Potential impacts on process safety
from lifting of US crude export ban

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Select 91 at www.HydrocarbonProcessing.com/RS

MAY 2016|Volume 95 Number 5


HydrocarbonProcessing.com

12

T-79

38
SPECIAL REPORT: MAINTENANCE AND RELIABILITY
39 Take steps to achieve lubrication maintainability

12

Business Trends

23

Industry Metrics

25

Global Project Data

87 Innovations

M. Barnes

43 Apply a short-term, high-temperature carbon


steel solution to piping systems

M. Chowdry and V. Tiwari

47 Failure preventionThe ultimate asset management strategy

B. Snider

PROCESS ENGINEERING AND OPTIMIZATION


53 Small-scale coal-to-chemicals can revitalize
Indias petrochemicals industry, economyPart 2

M. Marve, S. Sakthivel and P. V. Paluskar

59 Catalytic coprocessing of used cooking oil with straight-run gasoil


in a hydrotreating pilot plant

H. de Paz Carmona, A. Brito Alayn, M. Romero Vzquez,


J. Frontela Delgado and J. J. Macas Hernndez

HEAT TRANSFER
67 Use computational fluid dynamic analysis
to revamp fired heaters

process safety management


K. Molly

TERMINALS AND STORAGESUPPLEMENT


T-80 Optimize tank farm operations, safety and profitability

D. Rueda-Rojas

Cover Image: The Epsilon 3XLE benchtop energy-dispersive X-ray fluorescence spectrometer enables
ultra-light element analysis for the petrochemical industry.

Industry Perspectives

90 Marketplace

92

93 Events

Advertiser Index

94 People

COLUMNS

9 Presidents Letter

A new day for you, a new day for us

11

Editorial Comment
Maintenance spending to jump
in 2016 as refiners catch up
with turnarounds

27 Reliability

Principles are more important


than strategies

A. Chilka and A. Garg

ENVIRONMENT AND SAFETY


75 Lifting of US crude export ban will impact

DEPARTMENTS

31

Automation Strategies
The big picture on ExxonMobils
open system initiative

33 Petrochemicals

Fluctuations in GCC ethylene


production encourage refinerypetrochemicals integration

37

Engineering Case Histories


Case 90: Precautions when working
near equipment

www.HydrocarbonProcessing.com

Industry Perspectives
Is 2016 the peak for the revival
in US gasoline demand?
Over the past year, strong gasoline demand, particularly
in the US, has been the saving grace for much of the downstream industry. The crash in oil prices has made prices for
oil-derived fuels, like gasoline, significantly lower, which has
spurred an upswing in consumer demand.
While US refiners have generally seen lower year-on-year
profits owing to the weaker pricing environment, the uptick
in gasoline demand has kept margins relatively healthy. In fact,
the high gasoline demand has even contributed to a small rally
in upstream crude prices.
However, questions remain as to whether this model is
sustainable.
Analyst sees recovery as temporary. Linda Giesecke, director of research for the Americas refining industry at consultancy Wood Mackenzie, believes 2016 is likely the peak for
domestic gasoline use. She delivered her outlook in March at
the Annual Meeting of the American Fuel & Petrochemical
Manufacturers (AFPM).
Despite low fuel prices and the recent upward trend, we
see this as a temporary recovery in demand, Giesecke said.
In our view, the peak in gasoline demand is real.
Reasons for future decline. Giesecke expects US gasoline

demand to decrease starting in 2017, driven by sluggish GDP


growth, rising fuel prices and continued improvements in the
miles-per-gallon fuel efficiency of light vehicles, thereby requiring reduced overall volumes of gasoline.
Over the longer term, those trends could pick up even
more, she saidciting a worsening US trade deficit, a more
gradual increase in the working-age population and aggressive
government mandates, such as the CAFE standards, dictating
further fuel efficiency improvements. Overall, Giesecke expects the fuel efficiency of vehicles to rise by 2%/yr over the
long term.
As a result, the focus for refiners in the years ahead could
shift from overall production volumes to advancements in
cleaner technologies.
Automakers will rely on a more rapid adoption of advanced gasoline technology and the use of lighter materials to
meet these targets, Giesecke said.

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View from the industry. Recent data from the US Energy

Information Administration (EIA) showed US gasoline demand falling in January for the first time in 14 months. It is
unclear, however, whether this was a one-off event due to poor
weather conditions, or the start of a prolonged slowdown.
To weigh in, we encourage readers to visit HydrocarbonProcessing.com and vote in our latest poll on whether 2016 is
indeed the peak year for US gasoline demand.

4MAY 2016|HydrocarbonProcessing.com

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Vice President, Downstream and Midstream
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68 June 2016 | Milan Marriott HotelMilan, Italy | HPIRPC.com


Keynote Speaker:
Juliette De Maupeou
TOTAL SA
Pankaj H. Desai
Shell Global Solutions

Carlos Fernando Machado


Petrobras

Arnold Kleine Bning


BayernOil

Shailendra Mohite
Kuwait Petroleum
International
Yulan Gao
Fushun Research
Institute of Petroleum
& Petrochemicals
SINOPEC
Anurag Sharma
Indian Oil Corp.

Dr. Arun Shukla


Oil & Natural Gas
Corp. Ltd. (ONGC)

Exploring Innovation
in the Downstream
Register for IRPC and get the latest
updates and trends shaping the refining
and petrochemical industry
The seventh annual International Refining and Petrochemical Conference (IRPC)
will be held 68 June 2016 in Milan, Italy. IRPC provides a high-level technical
forum where key players in the global petrochemical and refinery sector will meet
to share knowledge and learn about best practices and the latest technology
advancements being used to improve maintenance and reliability, maximize
efficiencies, increase profitability, optimize processes, minimize emissions, treat
wastewater, meet clean fuel specifications and much more.

If you havent already made plans to attend,


here are just a few reasons to join us:
1. Receive Valuable Insight from Real-World Examples + Case Histories from:
BayernOil (the BayernOil Neustadt Refinery)
Vega (enis Slurry Technology Hydrocracker)
Petrobras
Shell Global Solutions
Total
CH2MHILL (Award-winning Bapco Wastewater Treatment Plant)
Engineers India Ltd.
2. Get answers to questions like:
How long will low crude prices last?
Will the crude slate become lighter and sweeter due to US tight oil?
Will diesel ever return to being the premium fuel (on a crack-spread basis)?
Whats the value of petrochemical integration?
How can the Internet of Things (IOT) be used to operate nearer constraints,
improve maintenance and reduce the cost of shutdowns?
How can automation and advanced process control successfully address
the challenges for sustainable energy efficiency?

HPIRPC.com
3. Explore Innovative Technology and Learn About:
New ideas to save energy
Creative ways to increase capacity or improve product quality
How to get the best economic performance from existing and future compressors
Actionable insights for plant monitoring and control, with data-driven optimization cutting across silos and positively
impacting KPIs like plant reliability, capacity utilization and operational costs
Refinery and petrochemical integration opportunities and drivers
How to increase productivity, efficiency and profitability in the FEED process
How to optimize wastewater treatment
How to identify discrepancies between expected and actual performance and fix issues before they escalate
out of proportion, thereby avoiding unplanned shutdowns, risks and safety incidents
The scope of air emissions compliance solutions and options in several important applications
And much more!
4. Network with the Industrys Top Players:
Conference speakers, sponsors and delegates represent the hydrocarbon processing industrys leading operator and
service companies. Throughout the event, youll have numerous opportunities to network with professionals from
around the world, who represent: Total, Shell, BayernOil, eni, Kuwait Petroleum International, Petrobras, Indian Oil
Corp., SINOPEC, PDVSAIntevep, Oil & Natural Gas Corp. Ltd. (ONGC), Sasol, OMV Refining & Marketing, Sandvik, KBR,
Schneider Electric, Axens, and more.
5. Tour the SOLD OUT Exhibit Floor:
Learn about the latest innovative solutions from conference sponsors and exhibitors. Build relationships with
new vendors and connect face-to-face with existing suppliers.
6. Participate in Exclusive IRPC Activities:
enis Sannazzaro deBurgondi Refinery Tour: IRPC delegates have the opportunity to register for this free, exclusive tour
sponsored by eni on 6 June 2016. Seating for the tour is limited and is available on a first-come, first-served basis.
To register for the tour, make sure to check the box next to the tour during registration.
HPI Top Project Awards Luncheon: Now in its second year, Hydrocarbon Processings HPI Top Project Awards
recognize those projects that will have the highest impact to the global or regional downstream industry. The 2015
winners will be formally recognized and presented with their trophies during this special awards luncheon held
on 7 June. It is free to attend, but seating is very limited and you must RSVP. To RSVP for the luncheon, check the box
next to the HPI Top Project Awards Luncheon during registration. Available on a first-come, first-served basis.

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P. O. Box 2608, Houston, Texas 77252-2608, USA|Phone: +1 (713) 529-4301|GulfPub.com

A new day for you, a new day for us


Dear Reader,
The last thing you need right now is another dreary recitation of industry statistics that show
how hard hit the global oil and gas industry has been in the last 18 months. So, I will spare you
the gory details.
The fact is that, over the past two decades, new technologies have produced gluts of both oil
and natural gas. With global oil production reaching nearly 94 MMbpd in 2016, the term peak
oil has a whole new meaning. For the downstream industry, this has led to abundant and relatively
inexpensive feedstocks for the refining, petrochemical, and gas processing/LNG industries.
Recently, we have seen a time of dislocation in the industry. This includes vast layoffs in the
upstream sector, as well as the reduction of capital investments and abrupt changes in global
production and consumption patterns. But, out of this time of change comes many opportunities.
For the industry, it means that we will emerge leaner, meaner and more profitable. To lower costs, operators will adapt new
technologies to make crude oil and natural gas processing much more efficient, safe and clean. This includes the widespread
application of data analytics, which is new and very exciting. From low-sulfur transportation fuels to power generation and plastics,
these innovations will provide the world with the highest-quality products.
For Gulf Publishing Company, publisher of Hydrocarbon Processing, we have had the opportunity to buy the company from
the previous owners. During our 100th anniversary year, we are now an independent company with headquarters in Houston and
offices in Houston and London. Our global media brands cover the entire market: Petroleum Economist for industry business and
strategy, World Oil for the upstream, Hydrocarbon Processing serving the downstream and Gas Processing in the midstream.
Hydrocarbon Processing is well-known for its annual HPI Market Data book, which provides major trends in downstream
project activity and spending in every region of the world for the coming year. Hydrocarbon Processing is also well-known for the
Construction Boxscore Database, which tracks and provides detailed information on thousands of downstream projects around the
world. Over the years, our editors forecasts have proved to be very accurate in projecting downstream investment. As you know,
a lot of forecasters have not fared well over the last few years.
Nevertheless, we at the new Gulf Publishing Company make these forecasts, which you can count on:
1. Global demand for transportation fuels, natural gas and petrochemicals will continue to increase. In turn, the industry
will continue to process hydrocarbons in ever more efficient and safe ways.
2. New technologies and processes will be developed and applied to increase efficiencies, as well as produce high-quality products.
3. Hydrocarbon Processing will serve the industry for decades to come. We will continue to provide the latest advances in
technology and best practices, as well as lead the industry in providing executive, engineering and operating management
with information to help oil and gas industry professionals do their jobs better.
So, dear reader, I thank you for your devotion to Hydrocarbon Processing. As I travel around the world, it is gratifying to hear
from readers about the publication, the website and our newsletters, and how the information is interesting and, more importantly,
beneficial in their work. I also thank all of the advertisers who support this publication. During our 100th anniversary year, I invite
you to dive deeper into Hydrocarbon Processing and HydrocarbonProcessing.com, and to let us know what you think. We highly value
your feedback. After all, our objective has been, and will continue to be, to help you do your job better.

John Royall
President/Chief Executive Officer
Gulf Publishing Company
Hydrocarbon Processing|MAY 20169

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Select 73 at www.HydrocarbonProcessing.com/RS

Editorial
Comment

ADRIENNE BLUME, EXECUTIVE EDITOR


Adrienne.Blume@HydrocarbonProcessing.com

Maintenance spending to jump in 2016


as refiners catch up with turnarounds
Maintenance expenditures are a proactive expense to maintain equipment and
processing units. They play a pivotal role
in maintaining plant efficiency and sound
unit operation, maximizing facility profits
and preventing accidents and breakdowns.
It is estimated that over 40% of a budget that is allotted for facility and unit
maintenance is spent on equipment and
materials. Equipment and infrastructure
spending represent large portions of a
facilitys capital budget (FIG. 1). These include the costs for planned and unplanned
plant turnarounds, retrofits and upgrades.
Companies must also set aside funds
for the costs associated with adhering and
complying with increasingly stringent
environmental and safety requirements.
Key factors influencing the selection and
specification of equipment include engineering, licensing requirements and processing unit needs. Approximately 60%
of a plants remaining maintenance budget is spent on the labor costs for these
vital activities.

to five years as refiners in the US prepare


to meet new Environmental Protection
Agency (EPA) regulations, and as they
export more oil products.
Gasoline prices are likely to remain
low as long as crude prices are suppressed, which will spur fuel consumption and encourage refiners to invest in
gasoline-related projects, particularly for
reforming and alkylation units. Gasoline
projects will also be motivated by upcoming EPA rules on naphtha content,
octane loss and Corporate Average Fuel
Economy (CAFE) standards. A significant portion of refinery budgets will be
spent on projects to adhere to Tier 3 fuel
regulations, which will begin in 2017 for
larger refineries.
Combined, these factors are likely to
invite a flurry of revamp, upgrade and
construction projects at North American refineries through the remainder of
the decade.
8%

Higher maintenance expenditures


forecast in 2016. Maintaining the re-

liability and availability of refineries as


they take advantage of higher margins,
as seen in the US and elsewhere during
this time of low crude oil prices, is imperative. In mid-2015, US refinery utilization rates were in the mid-90% range,
compared to the low-80% range in 2013
and 2014.
In the US and Canada, 2016 maintenance spending is forecast to be approximately $1.3 B. The number of scheduled
refinery turnarounds in North America is
anticipated to rise this year after declining sharply in 2015, as refiners delayed
maintenance shutdowns to capitalize on
abundant quantities of low-priced feedstock. Despite low crude oil prices, however, analysts expect refinery capital expenditures to increase over the next three

4%

5%

26%

9%
10%
38%

Major process equipment (pumps, pressure vessels,


heat exchangers, etc.)
Infrastructure (erection of equipment, piping, etc.)
Building construction
Engineering services
Piping and valves
Process instrumentation
Electrical (switchgear, cable, etc.)
FIG. 1. Equipment and infrastructure spending
represent a large portion of a facilitys capital
budget. Source: Hydrocarbon Processings
HPI Market Data 2016.

INSIDE THIS ISSUE

12 Business trends.

Hydrocarbon Processing
concludes its two-part series on the
global petrochemical industry. Part
2 of this series provides new project
developments and regional outlooks
for Asia-Pacific, Canada, Europe and
Latin America.

38 Special report.

Since equipment failures


can result in expensive unit or total plant
shutdowns, as well as in environmental
or safety incidents, best-of-class
companies maintain the mindset that
spending to improve reliability and
equipment conditioning is a great
benefit to the organization. Maintenance
and reliability programs also create
value. In the modern HPI, they should
not be viewed as services, but rather
as equal partners of operations in the
creation of business value.

53 Process engineering.

This conclusion of a twopart series analyzes and explores


the economic viability of coal-based
chemicals production in India, including
key production development hurdles.

67 Heat transfer.

Computational fluid
dynamic modeling has been applied
to address issues like high tube metal
temperatures and reduction in tube
metal temperatures using patented
inclined firing technology. The
working philosophy is to first build a
CFD model, for which results can be
validated against field measurements
and observations. Once a validated
CFD model is achieved, various design
modifications are evaluated to select
the most feasible design option.
Hydrocarbon Processing|MAY 201611

| Business Trends
The global petrochemical sector will continue to
see strong capacity growth through the end of
the decade. However, the global petrochemical
landscape varies significantly between regions.
Part 1 of this series provided an overview on the
present state of the petrochemical industry, a
breakdown of new and active petrochemical
project numbers, as well as major trends in
Africa, the Middle East and the US. In Part 2
of this series, major petrochemical trends and
projects in Asia-Pacific, Canada, Europe and
Latin America are discussed.
Photo courtesy of LyondellBasell.

LEE NICHOLS, EDITOR/ASSOCIATE PUBLISHER


Lee.Nichols@HydrocarbonProcessing.com

Business Trends
Global petrochemical overviewPart 2
Through 2016, the global petrochemical outlook varies significantly between
regions. Part 1 of this series provided
an overview on the present state of the
petrochemical industry, a breakdown on
new and active petrochemical construction project numbers by region, as well as
major petrochemical construction trends
in Africa, the Middle East and the US.
Part 2 examines the petrochemical landscape in Asia-Pacific, Canada, Europe
and Latin America.
Part 1. To summarize Part 1, many new pet-

rochemical construction projects remain


in the works, despite the drop in oil prices.
The most significant expansions will be in
developing countries in the Asia-Pacific
and Middle East regions. These regions are
investing heavily in petrochemical production units to supply increasing demand and
to diversify product portfolios. Some of the
strongest growth is seen in the US, where
cheap natural gas is fueling more than $135
B in new petrochemical capacity.
Meanwhile, a decline in the oil-to-gas
spread is making even oil-based naphtha
crackers in regions such as Western Europe and Northeast Asia more viable than
they have been in years. Ethane cracking
operations in the Middle East and the US
still maintain a price advantage against
cracking naphtha, but the gap has shrunk
considerably. This has provided naphtha cracking operations with fresh life, as
feedstock costs have dropped dramatically
over the past 18 months.
New petrochemical project announcements have declined over the past three
years, from nearly 170 in 2014 to just
over 100 in 2016. This represents a 38%
decrease in new petrochemical announcements globally during this period. Although new project numbers are down,
the world has witnessed over 400 new
petrochemical projects announced within
that same time frame. This represents a total capital expenditure of more than $80 B.

Asia-Pacific. The region has seen a slowdown in new project announcements over
the past few years. Regardless, the region
continues to dominate in total active
construction projects in all sectors of the
downstream industry. This includes new
petrochemical capacity, as well. Over the
past year, the Asia-Pacific region has led
in new petrochemical project announcements (FIG. 1), followed closely by the US.
China continues to invest heavily in
chemical production capacity. According
to Hydrocarbon Processings Construction
Boxscore Database, total capital expenditures for announced petrochemical projects in China have eclipsed $50 B through
2020. This includes the construction and
expansion of new petrochemical facilities,
such as China National Offshore Oil Corp.
(CNOOC) and Shells Nanhai expansion
project; Fujian Petrochemical Co.s Fujian
petrochemical complex; and SP Olefins
Taixing ethylene facility (Chinas first
gas-cracking ethylene plant); as well as
alternative/unconventional supply routes,
such as coal-to-olefins (CTO), methanolto-olefins (MTO) and propane dehydrogenation (PDH) projects. However, these
plants were conceived and built during a
time of high crude oil prices. Now that oil
prices have fallen dramatically, MTO and
PDH plants are facing fierce competition
from naphtha-based petrochemical production. Regardless, Chinas MTO capacity is set to increase from approximately 1
MMtpy in 2014 to over 6 MMtpy by 2017.
The country has also begun operations on
over 4 MMtpy of CTO plants, with an
additional 6 MMtpy to 7 MMtpy going
online by 2018. PDH plant construction
is even more robust, with approximately
14 new PDH units planned or under construction. These units represent over 10
MMtpy of additional propylene capacity.
Although China is the largest consumer of plastics in the Asia-Pacific region, the
fastest demand growth is seen in India. According to Vikram Sampat, vice president

and head of aromatics for Reliance Industries, Indias petrochemical growth will average between 8%/yr and 10%/yr through
the end of the decade. With such immense
demand growth, additional petrochemical
capacity has been announced throughout the country. India plans to add over 3
MMtpy of new ethylene capacity by 2020.
This would raise the countrys domestic
ethylene capacity to just over 7 MMtpy.
Total capacity could increase even higher
by the early 2020s, should Hindustan Petroleum Corp. Ltd. and GAIL greenlight
their $5-B greenfield petrochemical complex in Andhra Pradesh.
Additionally, Indian Oil Co. has announced over $5 B in new petrochemical investments through 2022. This includes additional polypropylene capacity
at Paradeep and the Baroni refinery, and
an expansion of its Panipat cracker to 1.3
MMtpy by 2020. The country is also increasing polyethylene terephthalate and
purified terephthalic acid capacity, as
well as other downstream petrochemical
derivatives. This increase includes the
construction of billion-dollar fertilizer
projects. Even with the additional petrochemical capacity scheduled to be commissioned, India will still need to rely on
imports to satisfy demand. With the surge
in demand for petrochemicals and refined
fuels, along with the possibility of a major
40
35

Petrochemical projects

30
25
20
15
10
5
0
Africa

Asia- Canada Europe Latin Middle


Pacific
America East

US

FIG. 1. New petrochemical projects by region,


2016. Source: Hydrocarbon Processings
Construction Boxscore Database.
Hydrocarbon Processing|MAY 201613

Business Trends
construction boom, it seems that India
has become the new Chinaat least for
the foreseeable future.
In Malaysia, work continues on the
ambitious Refinery and Petrochemical
Integrated Development (RAPID) project. The project, which is Phase 2 of the
Pengerang Integrated Petroleum Complex project, will include a 300-Mbpd
refinery, a petrochemical complex with a
combined capacity of 7.7 MMtpy of various products, and an LNG regasification
terminal. RAPID is estimated to cost $16
B, while the associated facilities will cost
more than $11 B. Major contracts have
already been awarded and operations are
expected to begin by late 2019.
South Korea is investing in its downstream sector, with a focus on petrochemical and refining expansion projects. One
of the most notable projects is S-Oils
Residue Upgrading Complex Project
(RUCP). The project is part of the companys strategic growth initiative, which
includes refining and petrochemical integration. The RUCP will convert heavy
fuel oil into high value-added gasoline and
olefins. The project consists of the simultaneous construction of the RUCP and
an olefin complex. The two projects will
act as an integrated complex. The RUCP
will supply its production as feedstock to
the olefins plant. The two projects are expected to be completed in 1H 2018.
In 4Q 2014, SK Gas broke ground on
an $830-MM PDH unit in Ulsan. The
600-Mtpy unit is being built by project
partners SK Advanced (a subsidiary of SK
Gas), Kuwait Petrochemical Industries
Co. and Saudi Arabia-based Advanced
Petrochemical Co. Commercial operations are expected to begin in 1H 2016.
Additional South Korean petrochemical projects include Hyundai Chemicals

Daesan petrochemical complex expansion to produce 1 MMtpy of mixed xylenes, and Korea Petrochemical Industry
Co.s (KPIC) Onsan Naphtha Cracking
Center (NCC) expansion in Ulsan. KPIC
plans to nearly double ethylene production at the NCC, from 470 Mtpy to 800
Mtpy. Operations are expected to begin
in 1H 2017. Once completed, KPICs ethylene production market share in South
Korea will increase from 6% to 10%.
Vietnam is investing heavily in refining capacity to eliminate a domestic
shortage of refined fuels. The country is
developing several large-scale projects.
The majority of these new refineries will
incorporate petrochemical units. The
$9-B Nghi Son refinery and petrochemical complex will be Vietnams second domestic refinery. The 200-Mbpd refinery
will integrate aromatics and polypropylene facilities. Operations are scheduled
to begin by 2018.
Nearly $35 B of additional refining capacity is planned in the country, but work
on these facilities has been moving slowly.
These plants will also integrate multiple
petrochemical units. The $3.2-B Vung Ro
refinery and petrochemical complex will
produce benzene, toluene, mixed xylenes
and polypropylene, but the project is
not on schedule to meet its 2017 startup
date. The $22-B Nhon Hoi refinery and
petrochemical projects scope included
nearly 5 MMtpy of olefins, polyolefins
and aromatics production, but has been
delayed indefinitely. In early 2016, Qatar
Petroleum pulled out of the $4.5-B Long
Son petrochemical complex project. The
project partners will postpone the project
until a new partner is chosen.
Canada. The majority of new capital

investment in Canadas petrochemical

sector is focused on adding derivative capacity to maximize existing crackers. The


most notable petrochemical projects in
the region are located in Alberta. These
include Nova Chemicals PE1 facility in
Joffre and Williams Energy Canadas new
PDH plant in Redwater.
The PE1 project is part of Nova Chemicals NOVA 2020 growth strategy, which
includes major projects at the companys
Joffre and Corunna sites. At the time of
this publication, the $1-B PE1 project was
nearly 80% complete. The project will expand the Joffre sites polyethylene facility
by adding a third polyethylene reactor,
which will produce between 475 Mtpy
and 550 Mtpy of linear low-density polyethylene. This represents a 40% increase
in the sites polyethylene capacity. Startup
is expected to take place in 4Q 2016.
Nearly 150 mi north of Joffre, Williams is planning to build a 525-Mtpy
PDH plant. The project, located at Williams Redwater complex in Alberta, will
be the first of its kind in Canada. The
PDH plant will process offgas, a byproduct of the oil sands upgrading process,
into polymer-grade propylene. If completed, the project is expected to begin
operations by 2020.
These two projects are examples of Albertas efforts to incentivize petrochemical producers to create a petrochemical
industry in the province. Alberta has announced financial incentives worth over
$350 MM to operators for the construction of petrochemical plants that utilize
methane or propane feedstocks. The Alberta government hopes that the new incentives will help spur the development of
new petrochemical capacity in the region.
Time will tell if these new incentives will
achieve the provinces goals of increasing
new downstream investments.

21% Western Europe

21% Western Europe

79% Eastern Europe

38% Russia
21% Other Eastern Europe
20% CIS

FIG. 2. Total active petrochemical project market share comparison and breakout between Eastern and Western Europe.
Source: Hydrocarbon Processings Construction Boxscore Database.

14MAY 2016|HydrocarbonProcessing.com

Business Trends
Europe. Active petrochemical project
construction in Europe is led by petrochemical capacity additions in Eastern
Europe. As shown in FIG. 2, Eastern Europe controls nearly 80% of active petrochemical project construction in the
region. This is lead primarily by projects
in Russia and the Commonwealth of Independent States (CIS).
The CIS has seen some of its ambitious
petrochemical plans halted, however. This
includes capital-intensive projects such as
KPIs Atyrau gas-to-chemicals complex in
Atyrau, Kazakhstan; and SOCARs petrochemical complex near Baku, Azerbaijan,
which was part of the countrys OGPC
mega-project. SOCAR has announced
that it will instead spend approximately
$1.3 B to upgrade the existing refinery and
petrochemical complex, as well as continue work on the Sumgait petrochemical
plant revamp located north of Baku.
Regardless, the CIS is progressing with
multiple projects to increase petrochemical production capacity. This includes
the Kiyanly petrochemicals complex and
Garabogaz fertilizer plant in Turkmenistan, the Ustyurt gas chemicals plant in
Uzbekistan (completed in late 2015), as
well as additional ammonia-urea plant
projects in Azerbaijan, Turkmenistan and
Uzbekistan. In total, over $7 B will be invested to increase petrochemical capacity
in the CIS by 2019.
The bulk of petrochemical capital expenditure in the region is located in Russia. Russian chemical company Sibur has
set its sights on completing the ZapSibNeftekhim petrochemical complex (ZapSib-2) project. The project, located 3 km
north of Siburs polymer site in Tobolsk,
was greenlighted in early 2015. The project will consist of a 1.5-MMtpy ethane
cracker and ethylene derivative plants.
Once completed, the complex will be the
largest polymer production site in Russia.
Rosneft subsidiary Far East Petrochemical Co. (FEPCO) is planning to
build the largest integrated refining and
petrochemical complex in the countrys
Far Eastern Federal District near the city
of Nakhodka. The complex will consist of
a 12-MMtpy refinery, which will supply
feedstock to the grassroots petrochemical complex. Once completed in the early
2020s, the facility will supply the local
market in the Russian Far East, as well as
utilize its proximity to Asian markets to
satisfy demand for petrochemicals.

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15

Business Trends
According to the European Chemical
Industry Council (CEFIC), EU chemical
output in 2015 was nearly flat, registering only a 0.3% growth year-over-year.
The CEFIC has forecasted a modest 1%
growth in European chemical production in 2016. EU petrochemical producers witnessed good margins at the start of
2016 due to strong demand for ethylene
derivatives, supply constraints and low
feedstock prices. These trends have kept

EU petrochemical capacity utilization


above 80% for the past six months, but the
long-term forecast for EUs petrochemical
industry is wrought with challenges. This
includes stiff global competition, and energy and regulatory costs.
Latin America. Both Central and South
America saw tremendous growth over the
past decade. From 20042015, the growth
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mental to the regions increased demand


for refined fuels. Multiple forecasts show
that the region will see a nominal increase
in demand through the rest of the decade.
Latin American countries have been hit
hard by the drop in oil prices, especially
the countries that depend heavily on oil
export revenues. The drop in revenues has
left little money to fund capacity expansions in the refining and petrochemical industries. In the short term, these countries
would rather satisfy demand through imports than invest in major expansions or
grassroots facilities, which can be multibillion-dollar endeavors.
This trend does not mean that the
region is void of petrochemical projects.
One of the most ambitious projects in the
region has just begun production. The
$5.2-B Etileno XXI project, a finalist for
Hydrocarbon Processings 2015 Top Project
award, represented the first major private
sector petrochemical project in Mexico in
20 years. The greenfield complex, located
in Nanchital near Coatzacoalcos, Veracruz, Mexico, was developed by Braskem
Idesa and features a 1-MMtpy ethane
cracker, two high-density polyethylene
plants (750 Mtpy), one low-density polyethylene plant (300 Mtpy), and storage,
waste treatment and utility facilities.
The facility began operations in March
2016, and will be instrumental in meeting
the increasing demand for polyethylene in
Mexico. A glaring gap exists between Mexicos potential for polyethylene production
and its inability to meet surging demand.
Approximately 65% of polyethylene demand is satisfied through imports, and
the gap continues to grow each year. The
Etileno XXI project is forecast to replace
$2 B of polyethylene imports used as a
feedstock for the agricultural, automotive,
construction and consumer industries.
Trinidad and Tobago is the worlds largest exporter of ammonia and the secondlargest exporter of methanol. The country
has 11 ammonia plants and seven methanol plants. The country is investing $1 B
in the construction of a new methanol and
dimethyl ether (DME) production complex. The project is being developed by a
consortium consisting of Mitsubishi Gas
Chemical, Mitsubishi Corp. and Mitsubishi Heavy Industries, along with Massy
Holdings and state-owned National Gas
Co. of Trinidad and Tobago. The project
was greenlighted in September 2015 after
additional financing was secured. The fa-

Select 70 at www.HydrocarbonProcessing.com/RS

Business Trends
cility will be located in La Brea and have
a total capacity of 1 MMtpy of methanol
and 20 Mtpy of DME. The plant is expected to begin operations by 1Q 2019.
Further south, Brazils petrochemical future looks bleak. Refining and petrochemical expansion plans have been severely cut
back due to cost overruns, downstream revenue losses, massive debt, economic weakness and government corruption scandals.
According to the Brazilian Chemical In-

dustry Association (ABIGUIM), demand


for chemical products in Brazil has decreased nearly 8% over the past year. This
represents the largest decline in 25 years.
The drop in crude oil prices has decreased
naphtha feedstock prices, but this has done
little to spur new investment.
In Peru, there is continued support for
a greenfield petrochemical complex to be
located in the countrys southern region.
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ect would process natural gas feedstock


piped from the Camisea gas fields located in central Peru. The project would be
supplied with feedstock from the $5-B
natural gas pipeline presently being built
by Odebrecht. If built, the petrochemical complex will produce approximately
1.2 MMtpy of polyethylene.
Finally, Bolivia is the key natural gas
supplier in the region. Domestic natural gas production reached 21.4 Bcmy in
2014, according to BPs Statistical Review
of World Energy 2015. Production is more
than enough to satisfy domestic demand,
making exports a national priority. The
increased production of domestic natural
gas is fueling the countrys ambitious plans
to substantially increase petrochemical capacity. Bolivias national oil and gas company, YPFB, has instituted a new expansion
program to become self-sufficient in valueadded hydrocarbon products by 2022. The
country is nearly completed with Phase 1
of the strategic national plan. The nearly
$2-B plan (Phase 1) included the:
Rio Grande liquid separation
plantcompleted in 2014
Valle Hermoso refinery
expansioncompleted in 2014
Rio Grande LNG plant
completed in 2015
Gran Chaco liquid separation
plantcompleted in 2015
Bulo ammonia-urea plant
under construction, completion
set for 3Q 2016.
The Bulo ammonia-urea plant will be
Bolivias first petrochemical complex. The
plant will produce over 420 Mtpy of ammonia and 645 Mtpy of urea. These supplies
are destined for the domestic market. Operations are expected to begin in July 2016.
Both the Rio Grande and Gran Chaco liquid separation plants are crucial to
provide feedstock to the countrys petrochemical chain. The Gran Chaco separation plant will be the main supplier to the
countrys proposed $1.7-B Gran Chaco
petrochemical plant. The complex will
contain propylene/polypropylene plants,
as well as an ethylene/polyethylene complex. If built, the propylene/polypropylene facilities are likely to begin operations
in the early 2020s, with the ethylene/
polyethylene plants to begin construction
shortly thereafter. Additional petrochemical projects, which are presently being
evaluated for their feasibility, have been
announced in Bolivia.

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Super Early Bird Registration Now Open: Register for just $400
The shale gas boom has established the US as the worlds leading gas
producer and is responsible for billions of dollars of investments in the US
gas processing industry. To address the need for information in this rapidly
expanding market, Hydrocarbon Processing and Gas Processing are pleased
to announce the second GasPro Americas (GasPro), which will be held
September 1314, 2016, in Houston, Texas.
GasPro 2016 will cover the gas processing industry from upstream to
downstream. Confirmed participants include gas processing experts from:
Chevron Energy Technology Company; Greyrock Energy; Wood Mackenzie;
AspenTech; Atlas Copco; Bechtel Corporation, USA; Black & Veatch; Chart
Energy & Chemicals; Deloitte; Emerson; Haldor Topsoe, Inc; DNV GL;
Nexo Solutions; Optimized Gas Treating, Inc; SNC Lavalin; and many
others to be announced.
The multi-track conference program features sessions on:
The State of Natural Gas
IOT and the Future of Big Data
in the Americas
for the Natural Gas Industry
Condensate Removal
NGL Recovery
Water Treatment
Fractionation
HSE
LNG/FLNG
Gas Treating
Liquefaction/Regasification
Separation/Dehydration
Metering/Custody
Flaring/Emissions
Alternative Applications
Cryogenics: Rejection Ethane,
Policy: The Importance of
Methane, Nitrogen
Legislative and Regulatory
Compliance Managing Risk
Syngas Production and Utilization
at the Plant Level
The Future of LNG in America
The preliminary agenda will be released soon.
Stay tuned to GasProcessingConference.com for more information.
Questions about speaking/sponsoring/exhibiting: Contact Melissa Smith,
Events Director, at Melissa.Smith@GulfPub.com or +1 (713) 520-4475.

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VIPs Attend Free!


Employees of Owner/Operator
companies involved in
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attend this event at NO COST.
To see if you qualify for a free pass,
contact Melissa Smith, Events Director,
at Melissa.Smith@GulfPub.com
or +1 (713) 520-4475

Program Content is Geared Towards:


Expert Technical Presentations Include:

Advances in cross-linked
polyimide hollow fiber
membranes for CO2
removal from natural gas
Shabbir Husain
Senior Process Engineer
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Novel break-through
technologies to process
optimization
Esben Lauge Sorensen
Syngas Technology Specialist
Haldor Topsoe, Inc

Turbo expanders
in NGL recovery
Joseph Lillard
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Atlas Copco

Fundamentals of kettle
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Laura Aiken
Project Engineer
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Exhibitors:

Those who are involved in natural gas


Gathering
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Storage
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As well as those involved in natural gas liquids
Fractionation
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Individuals involved in the following roles
will benefit by attending:
CEOs
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Available
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industry before, during and after the event, contact
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online. To Register Offline: Contact Melissa Smith,
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Select 81 at www.HydrocarbonProcessing.com/RS

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Mike.Rhodes@HydrocarbonProcessing.com

Industry Metrics

15
10

April-16

Mar.-16

Feb.-16

Jan.-16

Dec.-15

Nov.-15

Oct.-15

Sept.-15

Aug.-15

July-15

June-15

May-15

Mar.-16

Feb.-16

Jan.-16

Dec.-15

Nov.-15

Sept.-15

Oct.-15

Mar.-16

Feb.-16

Jan.-16

Dec.-15

Nov.-15

Oct.-15

Mar.-16

Feb.-16

Jan.-16

Dec.-15

Nov.-15

Oct.-15

Sept.-15

Aug.-15

July-15

June-15

May-15

April-15

Mar.-15
Cracking spread, US$/bbl

Mar.-16

Feb.-16

Jan.-16

Dec.-15

Nov.-15

Oct.-15

Sept.-15

Aug.-15

July-15

20
10
0

Mar.-16

Feb.-16

Jan.-16

Dec.-15

Nov.-15

Oct.-15

Sept.-15

Gasoil
Fuel oil

Aug.-15

Prem. gasoline
Jet/kero

July-15

Mar.-15

-10
-20

June-15

Cracking spread, US$/bbl

30

Dubai
Urals
April-15

Mar.-15

Gasoil
Fuel oil

Singapore cracking spread vs. Oman, 20152016*

Brent dated vs. sour grades


(Urals and Dubai) spread, 20152016*
Light sweet/medium sour
crude spread, US$/bbl

Prem. gasoline
Jet/kero

-10
-20

Source: EIA Short-Term Energy Outlook, April 2016.

8
6
4
2
0
-2
-4

June-15

2017-Q1

10

May-15

2016-Q1

30
20

May-15

2015-Q1

40

Mar.-15

2014-Q1

Stock change and balance, MMbpd

Supply and demand, MMbpd

6
5
4
3
2
1
0
-1
-2
-3

Forecast

Stock change and balance


World supply
World demand

Prem. gasoline
Jet/kero
Diesel
Fuel oil

Rotterdam cracking spread vs. Brent, 20152016*

World liquid fuel supply and demand, MMbpd

2013-Q1

Sept.-15

60
50
40
30
20
10
0
-10
-20

Cracking spread, US$/bbl

Oil prices, $/bbl

120
110
100
90
80
70
60
Brent Blend
50
W. Texas Inter.
40
Dubai Fateh
30 Source: DOE
20
M A M J J A S O N D J F M A M J J A S O N D J F M
2014
2015
2016

2012-Q1

Japan
Singapore

US Gulf cracking spread vs. WTI, 20152016*

Selected world oil prices, $/bbl

100
98
96
94
92
90
88
86
84
82
2011-Q1

Aug.-15

Production equals US marketed production, wet gas. Source: EIA.

July-15

60

June-15

M A M J J A S O N D J F M A M J J A S O N D J F M
2014
2015
2016

US
EU 16

70

April-15

80

April-15

20

2
1
0

May-15

Monthly price (Henry Hub)


12-month price avg.
Production

April-15

40

90

Mar.-15

Utilization rates, %

60

100

Gas prices, $/Mcf

Aug.-15

Global refining utilization rates, 20152016*

80

July-15

US gas production (Bcfd) and prices ($/Mcf)

June-15

Mar.-15

April-15

100
Production, Bcfd

WTI, US Gulf
Brent, Rotterdam
Oman, Singapore

May-15

An expanded version of Industry Metrics can be found


online at HydrocarbonProcessing.com.

Global refining margins, 20152016*


20

Margins, US$/bbl

US refinery margins recovered as product markets were supported


by strong domestic gasoline demand and temporarily tight sentiment
fueled by the switch to summer-grade gasoline. In Europe, the lack of
gasoline and fuel oil export opportunities caused margins to continue
falling. Asian margins saw a slight recovery on the back of stronger
regional demand and the onset of refinery maintenance.

* Material published permission of the OPEC Secretariat; copyright 2016;


all rights reserved; OPEC Monthly Oil Market Report, April 2016.
Hydrocarbon Processing|MAY 201623

Select 99 at www.HydrocarbonProcessing.com/RS

LEE NICHOLS, EDITOR/ASSOCIATE PUBLISHER


Lee.Nichols@HydrocarbonProcessing.com

Global Project Data


According to Hydrocarbon Processings Construction Boxscore
Database, nearly 300 new downstream projects have been
announced around the globe over the past year. The Asia-Pacific
region maintains the greatest number of new downstream project
announcements, with nearly 33% of new project announcements
since May 2015. The US is a close second, with approximately 28%

25

Canada
26

of new announced downstream capacity additions within that same


time frame. Both regions are continuing their downstream capacity
buildout. The US is maximizing cheap, readily available natural gas
feedstocks to fuel its petrochemical and LNG industries, and the
Asia-Pacific region is building new capacity to satisfy demand for
transportation fuels, petrochemicals and power generation.

21

31

6
22

Europe
US

7 8 6
7

6
4

Refining
Petrochemical
Gas processing/LNG

32

Middle East
3

37
23

Africa
Asia-Pacific

Latin America

New petrochemical project announcements by region


and sector, May 2015present
30
24

26

25

27
22
17

18

20

8% Africa
15% US

27

26
18

18

21

Mar.- April- May- June- July- Aug.- Sept.- Oct.- Nov.- Dec.- Jan.- Feb.- Mar.- April15
15
15
15
15
15
15
15
15
15
16
16
16
16

Boxscore new project announcements,


February 2015present

30% Asia-Pacific
21% Middle East
3% Canada
13% Europe
10% Latin America
Market share breakdown of active
downstream projects by region

Detailed and up-to-date information for active construction projects in the refining,
gas processing and petrochemical industries across the globe|ConstructionBoxscore.com
Hydrocarbon Processing|MAY 201625

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Reliability

HEINZ P. BLOCH, RELIABILITY/EQUIPMENT EDITOR


Heinz.Bloch@HydrocarbonProcessing.com

Principles are more important than strategies


A number of US oil refineries have recently asked the question, When should
an equipment repair be classified as rework? At one major facility, if a pump or
motor is taken to the shop for repairs and
the asset is thereafter returned to service,
a 45-day observation period commences.
By that facilitys definition, a good repair is proven if, after recommissioning,
an asset runs for at least 45 days without
mechanical problems. If issues develop
on Day 1 through Day 44, then the equipment is taken back to the shop, and the
second repair is classified as rework.
Since rework does not count as a failure, their statistics look good: Eight 44-day
runs might equate to eight repair events,
but they would be counted as only one failure. A refinery with fewer failures achieves
approving key performance indicator
numbers (KPIs) and moves up in surveys
conducted as for-profit services by process
consulting and benchmarking firms.
Since the entire 45-day observation
strategy seems to violate the principle of
common sense, a reliability staffer at this
major refinery had a few questions. In an
e-mail, the staffer asked:
I cannot find a rational basis behind
the 45 days; why not 45 minutes? If it
runs 45 days but develops a mechanical
issue that requires it to again be taken
to the shop, even for the same issue
that caused it to require a repair in the
first instance, then we simply identify
it as a second repair.
A second repair for what, however?
Normal wear? End of life? This 45-day
criterion seems to have been pulled out of
thin air, so to speak. Which begs the question: Are there any standards, best practices or practical guidelines that help determine what is considered rework? How
did you address this issue in your consulting assignments over the past decades?
What best-of-class performers do. In
the 1960s and 1970s, before the invention

of fancy footwork with KPIs, the answer


was quite simple: After shop work had been
done at a true best-practices plant (BPP),
the machine was reinstalled, started up and
remained online for at least a full month.
BPPs never use the term spare; they simply have A pumps and B pumps.
After running for two full days without
defect, a repair event file at these BPPs was
closed. Failures on or after Day 3 were considered new, and a different event file was
opened. Failure on Day 3 would have automatically meant two failures in any running 12-month period. Two-in-12 would
require placement of the machine on the
bad actor listthe roughly 7% of process
pumps that failed with excessive frequency.
More importantly, the obviously ailing
bad actors at BPPs were no longer given
the standard repair or get-it-done treatment of the maintenance department. A
computerized maintenance management
system (CMMS) assigned these repeatedly failing machines to the jurisdiction of
the plants reliability group. The reliability group was then tasked with finding the
true root causes of repeat failures. They
had to determine what needed to be done
to avoid these events from recurring.
Science-based explanations and engineered solutions replaced the usual
quickly-voiced, unsubstantiated opinions
and trial-and-error approaches. Written work processes and procedures were
compiled for, and pursued, on bad actors
at these BPPs. From that time on, the failure frequencies at such facilities quickly
disappeared into the general average failure population.
No new initiatives needed. It seems
that the staffers managers were seeking
progress by coming up with new initiatives or new ways to tackle reliability issues. Why should that be necessary? The
staffers facility has the same machines,
and his plant is processing the same fluids as others, including many best-of-class
(BOC) performers.

It may be of interest to note the reasons


why these BOCs are continually near the
top in ranking surveys conducted by
professional benchmarking firms. BOCs
never compromise principles; instead,
they adjust their strategies to capitalize on
technology advancements. In the staffers
case, common sense should tell us that
copying the equipment upgrade steps and
work processes diligently implemented
by BOCs would move his refinery closer
to becoming a BPP.
The staffers analysis is compelling.
When we pointed out the old experiences
listed previously, the staffer sent us an immediate and very perceptive reply. Here it
is, condensed into four points:
The problem has been a
progressive one. Plants often
degenerate to the point of losing
the ability to understand the
difference between principles
and strategies. Coupled with
a working environment where
every manager rises to a certain
point of incompetence, workers
can end up on a train that does
not know where it came from,
where it is going or how it is
going to get there.
Principles are foundational, tried
and tested approaches that have
proven successful and should
be maintained at all costs. If
not maintained and managed,
however, they can drift away. In
an environment of not knowing
what works or why it works, there
exists a temptation to fix recurring
problems with the next new
thing in the hope that, eventually,
something will work.
A real hesitation seems to exist to
look outside the reliability group for
ideas and strategies that have been
proven successful. In other words,
there is reluctance to reach outside
the family for help and guidance
Hydrocarbon Processing|MAY 201627

Reliability
with rotating equipment reliability.
This can lead to the inbreeding of
ideas and practices.
The single greatest frustration
to be found here is the aversion
to taking the time to read and
study various journals, books and
technical papers on subjects relating
to reliability. Such studies would
keep people informed on what
BOC companies are doing and

how they got there. Reading would


impart knowledge of what works,
what does not work and which
underlying principles prevail.
The staffers up-to-date feedback validated things we now observe with alarming frequency. Some reliability-focused
organizations used to be strong and wellled. Regrettably, tangible reliability performance is declining in some organizations.
Problems are ignored and unfounded op-

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timism fills the void. Hopefully, the staffer


will soon be placed in a position where he
can do what BPPs did years ago.
Reliability principles simplified. We

hear and read much about reliability principles; however, when everything is said
and done, more will have been said than
done. That is because many reliability
managers are influenced by edicts from
above, or by PowerPoint presentations
full of consultant-conceived generalities.
While all of these generalities may be true,
not one of the generalities is a tangible alternative to in-depth knowledge. Telling
that to a manager is usually a career-limiting move; it is much safer to stick with
consultant-conceived generalities.
The notion that a contractor can always be hired for the job is deeply flawed.
However, a contractor can be hired to
carry out the procedural details that have
been stipulated by a well-taught reliability
professional. This reliability professional
is an individual who has been nurtured
and groomed for many years. If your company did not do this nurturing, grooming
and rewarding, it is unlikely that another
company will have done it for you.
Heres an example: the industrys understanding of best practices regarding
bearing cooling and lubricant application for centrifugal process pumps is far
from uniform. Optimized lube selection,
cooling, application and contamination
avoidance affect energy efficiency and
contribute significantly to extending
pump mean time between failures.
Show me the contractor who shows
you these and 200 other details, and I
will show you a billing rate that throws
this knowledgeable contractor out of
contention.
HEINZ P. BLOCH resides
in Westminster, Colorado.
His professional career
commenced in 1962 and
included long-term
assignments as Exxon
Chemicals regional
machinery specialist
for the US. He has
authored over 650
publications, among
them 19 comprehensive
books on practical machinery management, failure
analysis, failure avoidance, compressors, steam
turbines, pumps, oil-mist lubrication and practical
lubrication for industry. Mr. Bloch holds BS and
MS degrees in mechanical engineering. He is an
ASME life fellow and maintains registration as a
professional engineer in New Jersey and Texas.

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Automation
Strategies

PAUL MILLER, SENIOR EDITOR/ANALYST


ARC Advisory Group

The big picture on ExxonMobils


open system initiative
Several noteworthy presentations were given at ARCs 20th
Annual ARC Industry Forum in Orlando, Florida in February.
One presentation, in particular, stimulated considerable discussion among process control system end users and suppliers alike:
Don Bartusiaks keynote presentation on ExxonMobils vision for
a totally new, open, standards-based process automation platform.
For those readers who do not know Dr. Bartusiak, he is the
chief engineer for process control at ExxonMobil (Downstream)
Research & Engineering.
I would like to present the big picture here, Dr. Bartusiak
began. The problem we are trying to solve is, How can we take
the cost out of our process control projects for both system replacements and greenfield projects?
Whats wrong with the status quo? So, what is wrong with

the status quo? he asked rhetorically. In a nutshell, it is too expensive for us to upgrade our process control systems, and we
are just not getting enough value from them. Most of the recent
enhancements we have made were for Level 3 applications that
reside above the control systems. Dr. Bartusiak also noted that
a significant percentage of ExxonMobil Refining and Chemicals
control systems will face obsolescence over the next decade.
Getting right to the point, he said, So, why not simply replace these systems with a state-of-the-art distributed control
system (DCS)? He gave five reasons:
The high cost of technology refresh limits access to
leading-edge performance
Integrating third-party components is too expensive
Limited liquidity exists in the application market, along
with a lack of sophisticated development tools
Solutions come bundled vs. best-in-class
Rather than being built-in and intrinsic, the current
security model is bolted on.

A new approach. To find solutions, Dr. Bartusiak explained,


We saw opportunities for improvement through open architectures and virtualizationnot just for engineering, but also
to provide new ways for process control. We saw a constructive
revolution taking place in the defense avionics industry by transitioning from a proprietary stovepipe model to an open and
interoperable, standards-based system architecture. We saw the
Internet of Things (IoT) and wireless capabilities changing management expectations, with questions such as, Why do we even
need control systems anymore? We are seeing new solutions for
the security challenge from innovators.
He presented his organizations vision for standards-based,
open, secure and interoperable control systems that:

Promote innovation and value creation


Effortlessly integrate best-in-class components
Afford access to leading-edge capability and performance
Preserve the asset owners application software
Significantly lower the cost of future replacement
Employ an adaptive intrinsic security model.
Dr. Bartusiak emphasized that this vision for open automation was applicable for both brownfield and greenfield facilities;
would involve no compromises in safety, security or availability;
and, most importantly, would help meet the goal of creating a
commercially available system that would be applicable to all
current DCS markets.
Why Lockheed Martin? Next, Dr. Bartusiak addressed the obvious question of why ExxonMobil decided to work with Lockheed Martin to supplement its internal resources for this critically important initiative.
Lockheed Martin is a founding member of the Open Group
Future Airborne Capability Environment (FACE) Consortium,
a joint government-industry consortium formed in 2010 as a
government and industry partnership to define an open avionics
environment for all military airborne platform types.
Dr. Bartusiak and the rest of the ExxonMobil team realized
that a similar approach could be extremely beneficial for the process control industry. In November 2015, ExxonMobil awarded
Lockheed Martin the contract to serve as the systems integrator
for early-stage development.
Next steps. In January of this year, ExxonMobil and Lockheed

Martin held an industry day event for suppliers to test the industrys appetite for this type of solution. Despite a major snowstorm that buried the Washington D.C. area, the vast majority of
interested parties still managed to attend.
The next step, Dr. Bartusiak said, is to solicit interest and support from other prospective users. We plan to build a lab prototype in 2016. Beyond 2016, we would like to see a technically
ready solution in 2018 and a fit-for-purpose system in 2019.
PAUL MILLER is a senior editor/analyst at ARC
Advisory Group and has 30 years of experience in the
industrial automation industry. He continues to follow
the increasing adoption of IT in the OT area and its
various ramifications for industrial organizations.

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Petrochemicals

R. SHAFI, Nexant, Manama, Bahrain; T. NGUYEN, Nexant,


Kuala Lumpur, Malaysia; and R. PLATT, Nexant, London, UK

Fluctuations in GCC ethylene production


encourage refinery-petrochemicals integration

Changing competitiveness. Regulated pricing resulted in


Saudi Arabia becoming the third-largest producer of ethylene
globally, accounting for approximately 10% of world production. The pricing was maintained through a number of economic and political scenarios ranging from varying oil prices,
global recession and regional conflict situations.
In 2014, oversupply in the crude oil market impacted global
prices. The price of Brent crude dropped below $40/bbl in
2015. This had a marked effect on the balance sheets of oil producing nations around the world. One of the responses by the
GCC states was to readdress any domestic cost advantage to

both industry and citizens. In December 2015, Saudi Arabia


announced that specific changes would be made to the regulated prices of methane and ethane, among others. Methane was
increased from $0.75/MMBtu to $1.25/MMBtu, and ethane
from $0.75/MMBtu to $1.75/MMBtu.
These changes will result in a variable costs increase for
Saudi Arabian producers. It is estimated that the total cost
of production for a pure ethane cracker will increase by approximately 51%. The increase, from approximately $120/t to
$180/t, shows that the plants will remain relatively competitive. However, the impact is not uniform for all plants. Ethane/
propane crackers are estimated to experience a lower increase
of approximately 25% as the proportion of ethane processed is
lower, tempering the impact of the price increase.
The change in price regulation comes at a time when crude
oil prices have decreased. Regions where ethane is not available are more inclined to process liquid feedstocks, such as
naphtha. In Asia, for example, the petrochemical sector has
developed ethylene production, which is strongly based on
refinery-derived feedstocks, such as naphtha (FIG. 4).
25
20
MMt/yr

Global petrochemical production in 2014 totaled approximately 1.5 Bt. The Middle East produced approximately
207 MMt, or 14% of global production, making it one of the
highest-producing regions globally. Much of this petrochemical industry is built around the abundant oil and gas reserves
of the Gulf Cooperation Council (GCC) countries. A closer
examination of ethylene, a key building block, shows just how
dramatic the production growth in this sector has been. Much
of the capacity is based within Saudi Arabia, which has been
the key growth country (FIG. 1).
This growth has been enabled by a select number of factors jointly contributing to favorable and highly competitive
process economics. Large reserves and production of oil and
gas have resulted in significant quantities of natural gas liquids
(NGL), particularly ethane (FIG. 2).
NGL have not always been used as petrochemicals feedstocks in this region. For example, until the 1980s, much of the
ethane and methane were flared. Post-1980, both were used to
enhance the development of the domestic ammonia and methanol production industries through regulated pricing. Initially,
both were priced at $0.50/MMBtu, but were further increased
to $0.75/MMBtu in the 1990s (FIG. 3).

5
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
FIG. 2. Feedstock makeup in the GCC.
700

Saudi Arabia
UAE
Qatar
Kuwait

600

10

1975
1977
1979
1981
1983
1985
1987
1989
1991
1993
1995
1997
1999
2001
2003
2005
2007
2009
2011
2013
2015

FIG. 1. Ethylene capacity in the GCC.

FOB Mont Belvieu


Saudi Arabia

500
400
$/t

MMt/yr

15

15
10

25
20

Mixed feed
Ethane/propane
Ethane

300

200
100
0
1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015

FIG. 3. Comparative ethane pricing, 19852015.


Hydrocarbon Processing|MAY 201633

Petrochemicals
Propane

Butane

Naphtha

40

Gasoil
Ethylene capacity, MMt/yr

0.4

25

0.2

20
15
10

0.3
0.2

0.1

0.1
0.0
South East Asia North America Western Europe

AsiaPacific

Africa

Middle
East

Central/
Eastern
Europe

Western
Europe

South
America

North
America

Integrated

Liquids cracking

Oil price, $/bbl

100
70

Lighter feedstocks

50

50

100
150
Ethylene cumulative capacity, MMt

200

FIG. 5. Global ethylene cost curve at different crude oil prices.

The impact of the price of crude oil on petrochemical competitiveness can be analyzed by considering a global cost curve
(FIG. 5). Lowest-cost producers are shown on the left, and higher-cost producers are shown on the right.
At $100/bbl, the grouping for plants processing similar feedstock slates is immediately discernible. The analysis shows that
liquid-based crackers are significantly disadvantaged compared
to ethane crackers at this higher oil price.
At the lower oil price of $70/bbl, the cost of production for
liquids-based crackers is decreased most significantly. Mixedfeed and LPG crackers also experience lower production costs
at this lower oil price. At $50/bbl, a similar, but more pronounced, change is seen. Effectively, the cost curve is flattened
at lower oil prices, with an increase in the competitive positioning of liquids-based crackers. The price adjustment for Saudi
Arabian feedstocks, therefore, comes at a time when Asian and
West European plants are more competitive.
Future outlook. Ultimately, the cost advantage will still be

maintained; however, the gap between Saudi producers and


West European and Asian producers does decrease. Oil market
fundamentals are expected to be maintained in the near term,
moderating away from oversupply, with crude oil prices expected to recover. The competitive position of Western European
and Asian liquid crackers is, therefore, expected to decrease
somewhat (restabilizing to pre-2014 levels).
Further growth for Saudi Arabian and GCC ethylene production is unlikely to be based around ethane crackers. In all GCC

34MAY 2016|HydrocarbonProcessing.com

0.6
0.5

30

Middle East

Global

Ethylene cash cost, $/t of ethylene

0.5

0.5

5
0

FIG. 4. Ethylene production by feedstock type.


2,000
1,800
1,600
1,400
1,200
1,000
800
600
400
200
0

0.5

35

RPI

Ethane
100
90
80
70
60
50
40
30
20
10
0

Not integrated

East Asia
RPI

FIG. 6. Regional refinery-integrated ethylene production, 2014.

countries, availability of ethane is limited; therefore, growth in


ethylene production will be based on liquid feedstocks. As demonstrated in FIG. 5, the economics of producing ethylene from
liquid feedstocks is more challenging, and fine-tuning of the resulting cost structure can be advantageous. One way in which the
variable cost of a liquid cracker can be reduced is by integration
with a refinery. FIG. 6 examines the production of ethylene in each
region and the extent to which production is refinery-integrated.
FIG. 6 details the amount of ethylene production capacity that
is refinery-integrated by region, and the corresponding Refinery
Petrochemical Integration Index (RPI), defined as the ratio of
the integrated capacity to the total capacity. East Asia has the largest ethylene production capacity, although approximately half of
this is based on refinery-integrated feedstock production due
to the lack of available gas feedstocks. This results in a relatively
high RPI of 0.5. A similar scenario is seen in Western Europe.
North America has more oil and gas production and, thus,
more ethane availability. The degree of integration is correspondingly lower (RPI = 0.2). In the Middle East, the degree of
refinery-integrated petrochemical production is very low (RPI
= 0.1), although the actual ethylene production capacity is correspondingly high.
In the GCC, little refinery-integrated ethylene production is
seen. As GCC petrochemical companies eye continued growth,
this is expected to increase, in part driven by limited gas feedstock availability. More refinery-integrated capacity is expected
to be developed, which is anticipated to raise the RPI from 0.1 to
approximately 0.2 by 2020.
RAHEEL SHAFI is a senior consultant in refining and
petrochemicals at Nexant. He has a wide background in
refining and petrochemicals. He has been working with
organizations within the Middle East for a number of years
and is based in Bahrain.

TIN NGUYEN is a senior consultant in Nexants Malaysian office.


He routinely works on petrochemical feasibility studies at
Nexant, carrying out market, pricing and technical analyses
as well as developing complete competitiveness and financial
models. He has also performed numerous studies on the
competitiveness of olefins plants.
RICHARD PLATT is a senior research analyst in Nexants energy
and chemicals advisory for Europe, the Middle East and Asia.
He routinely authors multi-client reports in the chemicals
sector. His single-client work includes market research,
business analysis, cost competitiveness modeling and price
forecasting.

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Engineering
Case Histories

TONY SOFRONAS, CONSULTING ENGINEER


http://mechanicalengineeringhelp.com

Case 90: Precautions when working


near equipment
Most machines and pressure vessels are designed with safety in mind, but they can release large amounts of energy if not
constructed, maintained or operated correctly.
Testing of piping and pressure vessels. Pneumatic testing

is performed for leak detection at low pressures and small volumes. Hydrotesting is performed at higher pressures for leak
testing, stress distribution and structural integrity.
Catastrophic failures can occur when pneumatic tests of
large volumes are performed.1 Compressed gas contains much
more energy than water. A 200-ft3 vessel pressurized to 50 psig
with air contains about the same energy as 0.5 lb of TNT, or
an automobile driving 75 mph. The energy in the same vessel
with pressurized water is 7,000 times less.
When someone at a meeting says, It will contain gas at that
pressure anyway, so why not pneumatically test it? remember to speak up. Flying fragments can travel thousands of feet.
Codes and standards may be considering only safe distances
due to the pressure wave, not the flying fragments. Other ways
to pressure test exist.2
Reciprocating machinery. On my first visit to a site with

hyper-compressors, where discharge pressures can be much


higher than 20,000 psi, I was shown the bent beams in the roof
where pieces impacted when they had come apart due to lack
of maintenance.
Lower-pressure gas engine compressors have challenges,
too. I have seen rods come through the sides of the engine, and
cylinder heads blown off, due to a lack of proper operation or
preventive maintenance.
Rotating machinery. One purpose of the housing is to keep
the parts contained if the rotating parts fail. Turbocharger rotors, compressor and clutch discs can break through their housing. I have witnessed a turbocharger test in a test cell where the
rotor broke out of the housing and bounced off the cell walls.
Pressure vessels and brittle fracture. Brittle fracture is

the rapid extension of a crack in a low-toughness steel at 7,000


fps without warning.3 My advice has always been that if an old
low-toughness steel vessel has a crack, do not try to monitor
itshut it down immediately. Replacing such vessels is usually
the safest choice.

tigue failure.4 Good designs, thorough inspections and sound


welds can minimize this risk.
Valves handling hazardous material. A valve with elastomer internals that remains closed for years can take a permanent set and will not operate correctly when needed. Valve
maintenance is imperative. Initial selection may not have been
correct, so it is a good idea to verify the internals of critical
service valves.
Hydraulically fitted couplings. Rotating couplings can fail.

Coupling guards should be robust and in place. On tapered


hubs that are removed hydraulically, the hub can pop off at
over 25 mph and travel many feet. Use a safety nut and treat the
hub as you would a loaded gun, by staying out of the line of fire.

Do not count on your sense of smell. Odors are important. However, when you do not smell something, it might be
too late. Hydrogen sulfide is an example. In deadly concentrations, it can deaden sense of smell.
Plant steam leaks. Steam from boilers can reach 4,000 psi.

Any leaks from super-heated steam are deadly and would be invisible due to a lack of condensate. Be aware, and listen to experienced advice. Always have an escape route if something fails.
Even a ruptured steam hose can cause terrible burns.

LITERATURE CITED
Pneumatic test explosion in Shanghai LNG terminal, Chemical & Process
Technology, March 2009, online: http://webwormcpt.blogspot.com/2009/03/
pneumatic-test-explosion-in-shanghai.html
2
Sofronas, A., Survival techniques for the practicing engineer, J. Wiley & Sons,
Hoboken, New Jersey, 2016, unpublished.
3
Barsom, J. M. and S. T. Rolfe, Fracture and Fatigue Control in Structures, 2nd Ed.,
Prentice-Hall, Upper Saddle River, New Jersey, 1977.
4
Sofronas, A., B. Fitzgerald and E. Harding, The effects of manufacturing
tolerances on pressure vessels in high-cycle service, ASME, PVP Vol. 347, 1997.
NOTE
Case 89 was published in HP in March. For past cases, please visit
HydrocarbonProcessing.com.
1

TONY SOFRONAS, D. Eng, was the worldwide


lead mechanical engineer for ExxonMobil Chemicals
before retiring. He now owns Engineered Products,
which provides consulting and engineering seminars
on machinery and pressure vessels. Dr. Sofronas
has authored two engineering books and numerous
technical articles on analytical methods.

Welded pressure vessels under cyclic loading. Depressuring and repressuring several times per day is cyclic loading.
This can induce a cyclic stress on poor welds and cause a faHydrocarbon Processing|MAY 201637

| Special Report
MAINTENANCE AND RELIABILITY
In 2016, the hydrocarbon processing industry will spend over
$101.9 B globally on various maintenance projects. Since
equipment failures can result in expensive unit or total
plant shutdowns, best-of-class companies maintain the
mindset that spending to improve reliability and equipment
conditioning is a great benefit to the organization.
Maintenance and reliability programs also create value.
They should not be viewed as services, but rather as equal
partners of operations in the creation of business value. This
months special report explores innovative methods and
programs to keep facilities operating as designed.
Photo: Edmonton Exchanger provides onsite plant maintenance
services for the petrochemical industry, refineries and fertilizer plants.

Special Report

Maintenance and Reliability


M. BARNES, Des Case Corp., Goodlettsville, Tennessee

Take steps to achieve lubrication maintainability


According to IEC 60300-3-10, maintainability refers to The
ease, economy, safety and accuracy with which the necessary
maintenance of a product can be undertaken and can be measured, either in terms of probability or in the level of resources
required to maintain the item. In the context of asset management, this can be re-stated simply as, How easily can a machine
be inspected, preventive maintenance performed or repairs effected by how a machine is designed, installed or operated?
While the premise is simple, very few plants are able to achieve a
basic level of maintainability.
The concept of maintainability is not new. Its origins can
be traced back to many of the same philosophies embodied in
reliability-centered maintenance (RCM), with one critical difference. At its core, RCM prescribes the desired (required) minimum maintenance policy to keep an asset safely performing as
designed. Maintainability, on the other hand, refers to the ease
with which those maintenance tasks can be performed.
RCM vs. maintainability. The difference between RCM and
maintainability is important. Often, even the best-designed
plant maintenance (PM) plans that come out of RCM, or other
maintenance optimization processes, cannot be executed because equipment is simply not configured to permit the work to
be done. Put simply, if the way in which a machine is designed,
installed or operated does not permit the necessary PM plans to
be completed, then even the most well-developed RCM-based
maintenance processes cannot be executed.
While the reasons for this discrepancy are wide-ranging, perhaps the most common is how equipment is designed, installed
and commissioned. Typically, when a new production line or
piece of equipment is installed, careful consideration is given
to operational functionality (i.e., can the desired throughput of
on-spec product be achieved) at the lowest total cost, with little
consideration as to how the equipment will be maintained moving forward. Driven by an increasingly price-sensitive business
climate, original equipment manufacturers (OEMs) are forced
to remove all of the bells and whistles from their equipment
to maintain competitive pricing. The result is equipment that
comes in on budget, but contains few adaptations that make onthe-run maintainability easy or even possible.
As an example of how pervasive this problem has become
and how it can impair even the most basic common sense, consider the following true story. A project engineering manager was
tasked with the installation and commissioning of a new paper
machine. Unwilling or unable to consider even the most basic
lubrication contamination control measures due to time and/or
budget constraints, the project team was focused (and probably

receiving a bonus) on having the new machine up and running


on time, at or below the allocated capital budget for the project.
Fast forward two months to after the new paper machine
went into production. The same engineernow assigned as
the plants maintenance managercould not get support fast
enough to ensure that the new equipment could continue to run
reliability if it was retrofit with every conceivable way of controlling contamination ingress! This short-sightedness is at the root
of maintainability problems pervasive in many plants.
It is unlikely that a wholesale change in attitudes to equipment
lifecycle cost will happen anytime soon. Even if it did, the millions of assets that are already in service cannot be accounted for.
A different approach is neededone that is simple and cost-effective, but which allows some of the most fundamental PM tasks
to be completed in the right way, at the right frequency. To do
this, minor modifications must be made to in-service equipment
to permit the right PM tasks to be performed at the optimum frequency, no matter the operational state of the equipment.
Achieving lubrication maintainability. For rotating and re-

ciprocating equipment, many of the day-to-day PM tasks that are


most affected by poor maintainability revolve around lubrication. Since 40%60% of all mechanical issues relate directly or indirectly to lubrication, these tasks represent low-hanging fruit.
Without proper design for maintainability, even basic lubrication tasks like oil changes, level checks, oil sampling or bearing regreasing cannot be performed optimally. With a few basic
changes, however, almost all lubrication tasks not only become
possible, but can also be performed more precisely and with less
time requirements.

Checking oil level. For wet sump applications, in particular,

maintaining the correct oil level is critical. Many wet sump applications, such as gearboxes and pumps, are equipped with a dipstick that is designed only to be removed to check the oil level or
a level plug. While both of these checking measures are effective
when the gearbox has been shut down for a number of hours, the
reality is that most critical gearboxes simply cannot be shut down
once a day for two hours just to check the oil level. Moreover,
even if the gearbox can be shut down, or an accurate level can
somehow be obtained from a dipstick or a level plug, removing
the dipstick or plug is in violation of another fundamental tenet
of maintainabilitythe need to exclude external contaminants.
Consider the two images shown in FIG. 1, which portray the
same plant. To check the level on the gearbox on the left, the
technician must find a ladder, climb up to the gearbox and remove the level plug, in the hope that it accurately depicts the
Hydrocarbon Processing|MAY 201639

Maintenance and Reliability

FIG. 1. Comparison of the maintainability of checking the oil level of two elevated gearboxes.

FIG. 2. Maintainability modifications for a typical gearbox.

correct level while running. While a maintenance planner could


write a PM and schedule a task to do exactly that, the likelihood
that this task is overlooked is high.
The gearbox on the right of FIG. 1 presents a different scenario and a different set of requirements. Standing 10 ft below this
gearbox, the level of oil can still be clearly seen, with high and
low running levels obvious from the green and red markings on
the level gauge. Moreover, with a large column sight glass, the
color and clarity of the oil can also be assessed, offering a further visual check of oil condition.
A column-level gauge allows for the oil level to be checked in
a matter of seconds, making this a simple task that can performed
by anyone with little to no mechanical expertise or experience.
Changing oil. While oil changes require that equipment be

shut down and, therefore, may fall into the reliability gap, not
having equipment set up for best practice can significantly affect the outcome. The most common way to change oil is to
place a waste oil container under the drain, remove the drain
plug or open the drain port valve and let the oil flow out under
gravity. Under some circumstances, this can be a tedious task.
The challenge lies with how quickly the oil flows. Particularly

40MAY 2016|HydrocarbonProcessing.com

for higher-viscosity oils at lower temperatures, flowrates will be


very low, so the only practical solutions are to open the fill port,
or to remove the vent or breather cap to increase the flow.
While doing so ensures that the oil can be drained faster,
this action can have detrimental effects. By removing the vent
port or breather cap, the air that replaces the oil as it drains is
completely unfiltered. Draining 5 gal of oil from an oil sump in
this way means that 5 gal of dirty, moist plant air is sucked into
the oil sump.
Instead, the drain should be modified to include a quick connect so a filter cart with a manual bypass can be used to extract
the oil. The importance of the manual bypass is to allow the
transfer pump of the filter cart to evacuate the oil without passing it through the filters. Since gravity is no longer counted on
to cause the oil to flow, the vent (or breather) does not need to
be removed, ensuring that the act of draining the oil does not
affect the intent and outcome of the task: getting clean, fresh oil
into the oil sump.
Adding or topping of oil. After the oil has been drained, the

oil sump must be refilled with new oil. Again, this is an opportunity for error. Most oil is added by removing the fill port and
pouring directly, or by pumping the oil into the sump using a
hand pump. In doing so, however, the oil is again exposed to the
plant atmosphere. By installing a quick connect on the fill port,
the sump can be filled without opening it to the atmosphere,
using the same filter cart used to drain the oil. This time, the
manual bypass is closed so that new oil is filtered during top-off.
One added benefit to this type of modification is the ability
to connect a portable filter cart to the quick connects on the
drain and fill ports to permit kidney loop filtration, either routinely or on-condition, based on oil analysis results. By simply
adding two quick connects, the maintainability of the asset has
been dramatically increased, permitting this simple task to be
carried out more effectively and efficiently.

Taking an oil sample. Oil analysis is a key indicator of asset

health, but with a proper oil sample, decisions may be made


based on erroneous or inaccurate data. Many oil samples are
taken by opening a fill port or removing a breather or vent and
inserting a flexible plastic tube connected to a vacuum oil sam-

Maintenance and Reliability


pling guna process often referred to as drop tube sampling.
Wherever possible, drop tube sampling should be avoided.
Not only does this result in a less-than-representative sample,
but it also exposes the oil inside the pump to the ambient plant
environment. Instead, all assets that warrant routine oil analysis should have properly sampled valves installed.
In some cases, oil samples cannot be taken due to accessibility, particularly where guarding prevents direct access to the machine during normal operation due to safety constraints. Again,
this is a maintainability issue, as a sample cannot be taken from
the right location at the right frequency. Where accessibility is a
concern, a simple extension known as a microbore test hose can
be permanently affixed to the sample valve on the machine and
run to a safe location, so that a sample can be safely taken during
normal machine operation.
Putting it all together. Often, equipment has limited accessibility for necessary modifications. However, by combining different functions using simple pipe fittings or specialized adapter
kits, it is possiblewith just a single drain port and a single fill
portto accomplish several goals:
Install a sample port and quick connect for oil drains
Mount a column-level gauge to check the level
Install a second quick connect on the fill port for oil top-off
Install a proper particle and desiccant breather
Connect the level gauge to the headspace of the oil sump
to equalize pressure from proper oil level indication.

FIG. 2 shows a modification of this type for a common industrial gearbox. Set up in this fashion, level checks, oil top-offs,
oil sampling and basic contamination control can be achieved
without once opening the gearbox to the plant environment. In
fact, it is not inconceivable to think that a gearbox, modified as
described, would never need to be opened to atmosphere for its
entire in-service life. Now, that is true maintainability!

Takeaway. Modifying equipment for maintainability is not

complex. Even with limited accessibility, simple tasks like oil


changes, level checks and oil samples can be performed according to best practice, with just a few basic fittings and some outof-the-box thinking.
Do not accept that what the OEM delivered, or how the equipment has been configured for the past 30 years, must be maintained into the future. Optimize your companys PM program and
look for maintainability improvements to ensure that the right
work can be performed in the right way and at the right time.

MARK BARNES serves as vice president of the Des Case


Lubrication Transformation Services team. Prior to joining DesCase, Mark was vice president and chief technology officer for
Noria Corp. Dr. Barnes has been an active consultant and
educator in the maintenance and reliability field for nearly 20
years, and has worked with clients around the world to design
and implement lubrication improvement plans. He is a frequently
invited speaker at maintenance conference around the world. Dr. Barnes holds a
PhD in analytical chemistry and is a certified maintenance and reliability
professional belonging to the Society for Maintenance and Reliability Professionals.

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Special Report

Maintenance and Reliability


M. CHOWDRY and V. TIWARI, Reliance Engineering
Group (REG), Mumbai, India

Apply a short-term, high-temperature carbon


steel solution to piping systems

Designing application systems. A logically safe, but not an

ultra-conservative, methodology in the form of case studies


for the design of such piping systems and equipment should
be followed. Different approaches for the design of such systems are graphitization, creep and time dependency, and the
life fraction rule.
The graphitization phenomenon is dependent on material
type, time and temperature. Graphitization generally results
from the decomposition of pearlite (iron + iron carbide) into
the equilibrium structure of iron + graphite, and it can lead to
the severe embrittlement of the steel when the graphite particles or nodules form in a planar, continuous manner.

FIG. 1 illustrates the relationship between graphitization,


temperature and time for CS material.

Case study 1. A reactor requires bi-yearly regeneration by using steam measured at a temperature of 500C:
Time duration10-hr regeneration
Piping construction materialA106 Gr B
Design reactor temperature278C
Design pressure12 kg/cm2
Service life25 yr
Corrosion allowance1.6 mm
Selected schedule thicknessStandard weight, 9.53 mm
Connected piping size16 in.
While selecting the material of construction for the mentioned system, it was observed that the conservative approach
is to use the Cr-Mo steel (alloy steel) instead of CS due to the
use of 500C steam for regeneration purposes. Nonetheless,
some checks for the suitability of CS for the case discussed
above should be performed.

Check 1Total time of exposure at 500C during


regeneration = 10 hr 2 (bi-yearly) 25 yr = 500 hr
FIG. 1 shows that CS will not suffer the phenomenon of
graphitization at 500C during regeneration for 500 hr.
100

Heavy
80

Graphitization, %

Carbon steel (CS) piping and equipment are used extensively in refineries and petrochemical plants, where fluid temperatures vary from moderate to high for various processes.
The American Society of Mechanical Engineers (ASME)
code B31.3 limits the use of CS material in piping systems operating up to a maximum temperature of 427C, due to the
conversion of carbides to graphite that may occur after prolonged exposure to temperatures above 427C. Stress analysis
of such systems becomes critical because the allowable stress
values are much lower at temperatures above 427C.
In the hydrocarbon process industries (HPI), some systems will be exposed to temperatures above 427C for a short
duration because of various process upsets. A few examples of
these systems are:
A pressure safety valve (PSV) discharge of high-high
pressure (HHP) steam, design pressure = 105 kg/cm2
at 510C
The acetylene converter, or the conversion of acetylene
into ethylene by a cracking process, or an exothermic
reaction, of a cracker plant
An ethylene oxide reactor of a monoethylene glycol
(MEG) plant during run-away reaction, pre-ignition
or post-ignition
A high-purity isobutylene (HPIB) units selective
hydrogenation reactor during regeneration,
approximately 100 hr/yr at 450C.
It is recommended to use an alloy steel (Cr-Mo) material
for piping and equipment rather than for CS. Considering the
long-term, creep-fatigue approach for the design of such piping systems for short-term, high-temperature applications requires the use of Cr-Mo alloy piping and equipment.

60

538C
510C
482C
454C
441C
427C
213C

Moderate
Slight

40

Very slight

20

1
1

7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52 55 58 61
Years, 8,000 hr

FIG. 1. Graphitization % and time dependency for carbon steel (CS).


Hydrocarbon Processing|MAY 201643

Maintenance and Reliability


TABLE 1. Life fraction rule, as per ASME B31.3 Appendix 5
For a design temperature = 278C
Sd (Table A1 of ASME B31.3) = 128.6 Mpa
Pipe size = 16 in., seamless
Schedule thickness = Standard weight, 9.53 mm
Pmax. = 44.20 kg/cm2
Spi = 128.6 12 / 44.20 = 34.91 Mpa. Since allowable stress values from
Table A1 of ASME B31.3 and Table Y1 of BPVC section 2, Part D are 31.7
Mpa and 100 Mpa, respectively, at 500C
Considered longitudinal stress value SL = 90 MPa for sustained load
case. For seamless pipe W = 1, and corresponding temperature to Si
from Appendix 1M of ASME B31.3 is = 408C = TE
LMP = (C + 5) (TE + 273) = (20 + 5) (408 + 273) = 17,025
a = (LMP / Ti + 273) C = (17025 / 278 + 273) 20 = 10.89
Rupture life = tri = 10a = 1010.89 = 7,762,471,162 hr
For a design temperature = 500C
Sd (Table A1 of ASME B31.3) = 31.7 Mpa
Pipe size = 16 in., seamless
Schedule thickness = Standard weight, 9.53 mm
Pmax. = 10.89 kg/cm2
Now Spi = 31.7 12 / 10.89 = 34.93 Mpa. Since the design temperature
considered is 500C, then SL = 31.7 Mpa = Si. For seamless pipe W = 1.0,
and corresponding temperature to Si from Appendix-1M of ASME B31.3
is = 500C = TE.
LMP = (C + 5) (TE + 273) = (20 + 5) (500 + 273) = 19325
a = (LMP / Ti + 273) C = (19,325 / 500 + 273) 20 = 5
Rupture life = tri = 10a = 105 = 100,000 hr.
Usage factor U = (ti/tri) = 157,000 / 7,762,471,162 + 3,000 / 100,000
= 0.03 < 1
The piping system excursion is acceptable.

Check 2As a result of Check 1, the phenomenon of


graphitization is eliminated. The allowable stress value in
ASME B31.3 for A106 Gr B at 500C is 31.7 Mpa, which
is much less.
As per Clause No. 302.2.4 (1) (b) of ASME B31.3, subject
to the owners approval, it is permissible to exceed the pressure
rating, or the allowable stress, for pressure design at the temperature of the increased condition by not more than 33% for
no more than 10 hr at any one time, and it should not exceed
100 hr/yr. With the above mentioned condition, the allowable
stress values will be 1.33 31.7 = 42.16 Mpa.
Case study 2. In this case, the regeneration time was increased

to a 60-hr regeneration while maintaining all the other parameters, as discussed in Case 1.
Check 1Total time of exposure at 500C during
regeneration = 60 hr 2 (bi-yearly) 25 yr = 3,000 hr

FIG. 1 highlights that carbon steel will not suffer the phenomenon of graphitization at 500C during regeneration for 3,000 hr.

Check 2Again, as a result of Check 1, the phenomenon


of graphitization is eliminated.
Clause No. 302.2.4 (1) (b) and (c) of ASME B31.3 does
not discuss a duration of 60 hr, so the allowable stress values
remain 31.7 Mpa at 500C. It is known that the allowable stress
44MAY 2016|HydrocarbonProcessing.com

values given in Appendix A-1M of ASME B 31.3 are based on


long-term creep properties as guided by code, and not on shortterm elevated temperature. The question arises as to why the
allowable stress values given in Appendix-1M of ASME B31.3
directly for this caseshort-duration, high-temperature exposureshould be used.
The new approach will:
1. Infer the value of yield strength at 500C, which is
150 Mpa, in the ASME boiler and pressure vessel code
(BPVC) Section 2, Part D, Table Y-1. So, the allowable
stress becomes 2/3rd of 150 Mpa, or 100 Mpa.
2. Infer the value obtained from Appendix A- 1 M of
B31.3: The normal maximum operating temperature,
design temperature of 278C, which is 128.6 Mpa.
For the purpose of stress analysis, the lesser value from (1)
and (2), which is 100 Mpa, is used. It is more than three times
that of 31.7 Mpa at 500C, as per ASME B31.3.
Thickness comparison. The advantage of these higher allowances on thickness selection and the integrity of the system
(estimation of rupture life) should be checked by using the
Larson-Miller parameter approach for the above cases.
1. Calculated thickness of a 16-in. pipe with allowable
stress values (31.7 Mpa from ASME B31.3) at
500C = 10.29 mm.
2. Calculated thickness of a 16-in. pipe with allowable
stress values (100 Mpa from BPVC section 2, part D)
at 500C = 4.55 mm. The selected thickness defined
in this case is the standard thickness of 9.53 mm, so
from (1) and (2) it can be concluded that selecting the
higher allowable values is advantageous in thickness,
or the cost of the piping system, for higher sizes.
Estimation of rupture life by the Life Fraction Rule as per
ASME B31.3 Appendix 5 (TABLE 1). The piping system has a
desired life of 160,000 hr, 157,000 hr of which are operating at
a temperature of 278C. This allows for 3,000 hr of operation
at 500C.
It can be inferred that this given approach can be studied in
a piping scenario where the normal operating temperature allows the use of commercial CS and there is a requirement for
short-term, high-temperature condition. The following criteria
requires consideration: Is there any such fluid service, e.g., hydrogen (H2), that can cause other failure phenomena during shortterm, high-temperature applications? For these applications, nitrogen (N2) purging can be carried out before the system faces
high temperature for a short duration, so that H2 embrittlement
and other such CS failures at high temperature are eliminated.
M. G. CHOWDRY is a senior vice president and head of piping
engineering of RPTL Engineering (formerly BecRel Engineering
Pvt. Ltd.). He has 40 years of work experience in piping design
engineering, with a particular focus on pipe stress. He has
worked for various companies throughout his career, including
EIL, Toyo, Chemtex and Sabic. Mr. Chowdry holds a BS degree
in mechanical engineering.
VIVEK KUMAR TIWARI is senior engineer working in the piping
materials department of Reliance Engineering Group (REG)
in Jamnagar, India. He has more than eight years of experience
in piping material engineering, and holds a BS degree
in chemical engineering.

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Special Report

Maintenance and Reliability


B. SNIDER, Small Hammer Inc., Houston, Texas

Failure preventionThe ultimate asset


management strategy

Preventing all failure modes. Failure modes are common-

ly used to describe how specific equipment types fail. Failure


modes come in two forms:
1. Functional failure, or loss of a basic function of the
equipment
2. Performance failure, or failure to perform at a design
or desired level.
Using a centrifugal pump as an example, the pump has several functions, the most basic being to continuously transform
mechanical energy, provided by the driver (motor, engine
or turbine) to potential energy (pressure) and kinetic energy
(flow) of a primarily liquid fluid. Other basic functions include
start on command, stop on command and fluid containment
(no leaks). Expressing the loss of these functions as functional
failures, the following list can be compiled:
Failure to pump (no flow or pressure)
Failure to continue to pump (stop, shutdown)
Failure to start
Failure to stop
Failure to contain the fluid (leaks externally).
The centrifugal pump also has design performance levels.
These are usually expressed by pump curves and show flowrate,
developed head (pressure), power requirements and efficiency,
as well as material specifications to match the process condi-

tions. If the pump does not perform as designed, then performance failures would occur and be expressed as:
Failure to perform
Failure to pump as designed.
Combining the functional failures and the performance
failures, six failure modes can be listed for a centrifugal pump:
1. Failure to pump (no flow or pressure)
2. Failure to perform or failure to pump as designed
(low flow or pressure)
3. Failure to continue to pump (stops, trips, shuts down)
4. Failure to start
5. Failure to stop
6. Failure to contain the fluid (leaks externally).
Similarly, a heat exchanger has four failure modes:
1. Failure to transfer heat at design or desired rate
2. Leaks internally
3. Leaks externally
4. Restricts flow (plugging or fouling).
Traditional definition of failure. Almost all equipment failures

follow a time progression from normal operation to functional


failure. This progression (FIG. 1) is called the potential-functional
failure curve, or P-F curve. Variations of this curve appear in International Organization for Standardization (ISO) and American
Petroleum Institute (API) standards, along with virtually every reliability and asset management handbook or instruction manual.
The P-F curve depicts the performance of a piece of equipment over time. Starting at time zero, the equipment performs
normally for some time, and then the performance starts to drop.
This point is called the potential failure. Often, the potential failure is unknown until the symptoms of failure or damage mechaPotential
failure

P-F interval

Current definition of failure


Functional
failure

Performance

The primary cause for losses and lost opportunities at refineries, chemical complexes, pipeline networks and gas processing facilities is equipment failures. The costs of these failures
can run into hundreds of millions of dollars. Without a firm
commitment to prevent failures, there is little hope for avoiding
these enormous losses.
Technologies abound that claim to prevent failures. These
new technologies suggest that collecting vast amounts of data,
applying hundreds of algorithms and simulations, and utilizing
years of recorded history will somehow reveal hidden failure
mechanisms and allow for significant improvements in failure
prevention. A closer look of how and why equipment fails will
show that these new technology applications fall short of truly
preventing equipment failures.
Failure prevention is more than performing inspections, analyzing data and formulating corrective actions. Failure prevention is a mindset; a culture; a driven objective that becomes the
dominant focus of activities. It is easily the most effective core
philosophy for achieving and sustaining stable, consistent, safe
and profitable production.

Process and
equipment
alarms

Time

FIG. 1. P-F curve showing traditional definition of failure.


Hydrocarbon Processing|MAY 201647

Maintenance and Reliability


nism reach a detectable level. If nothing is done to stop or interrupt the failure or damage mechanism, then the performance will
continue to deteriorate until reaching the point of functional failure. The time from the onset of failure or potential failure to the
functional failure is called the P-F interval.
Using this definition of failure, the term failure prevention
is any activity, prior to the point of functional failure, that interrupts or corrects the drop in performance. In this context,
preventing failures has created a huge industry focused on early
detection of the performance drop or symptom within the P-F
interval. Common processes such as preventive maintenance
(PM), predictive maintenance (PdM), and condition monitoring (CM) all use the point of functional failure as the definition
of failure. These processes all claim to prevent failures, while
they primarily only detect failures.
New definition of failure. To truly prevent equipment failures, one must prevent potential failures. To embed this concept into a new way of thinking, a new definition of failure is
required. The same P-F curve shown in FIG. 1 is repeated in
FIG. 2, but with failure defined as the point of potential failure
and not functional failure.
Using this new definition of failure, the term failure prevention is any activity that takes place prior to the potential failure. These activities involve the identification and elimination
of underlying conditions, contributing factors, human errors,
violations of the integrity operating window (IOW), and events
that lead to the potential failure.
Substantial documented evidence exists that 80%95% of
all equipment failures have origins in human errors and violations of the IOW. It is, therefore, necessary to prevent errors
New definition
of failure

Potential
failure

Performance

Conditions
Factors
Errors
Violations
Events

P-F interval
Functional
failure

and violations to prevent most equipment failures. Activities


performed after the potential failure do not prevent failures.
The failure progression model. A second model of failure

progression exists that, unlike the P-F curve, is not based on


time. This second model (FIG. 3) defines the most common
sequence of events that lead to equipment failures. Reading
from left to right, decisions and actions by humans, originating
with the earliest contributing factors, cause errors or violations,
which lead to events, which stress equipment, and which go on
to create an equipment functional failure.
The progression can happen over many years, with the contributing factors affecting decisions during the design, manufacturing, installation, operation, maintenance and management of
equipment to show up as an equipment failure. The progression can also happen in a matter of seconds when a distraction
causes an instantaneous error-event-stress-equipment failure
sequence to occur.
The significance of the progression model is that each stage
in the sequence affects the probability of the subsequent stage.
To achieve the most success in preventing equipment failures,
failure prevention activities must be focused on reducing the
contributing factors that influence human behavior.

Equipment failure. Equipment failures have consequences. The consequences can be expressed as risk, as shown in
FIG. 4. Risk is the product of probability consequence and
is best illustrated in the form of risk matrices. Risk matrices
should be simple and easy to apply to real-time conditions and
equipment lifecycle considerations.
The consequences of equipment failure are assumed to be
constant, based upon the design. Design includes equipment
selection, materials of construction, installation, location, configuration, control philosophy and operating conditions of the
equipment. Design often assumes that a basic level of operation,
inspection, maintenance and management capability will be in

Process and
equipment
alarms

Likelihood

Consequence

Once per year

B
C
D

Once per 2 years


Once per 5 years
Once per 10 years

M
L

Once per 50 years

Safety

Hazard First aid Record- Lost time Fatality


exposure,
able or assignno injury
ment

Probability
0

Consequence

Time

1-2 per year

CF

CF

CF

CF

CF

CF

CF

CF

CF

CF

Probability

Probability

Once per 50 years

H
H
H
M

H
H
H
H

H
H
H
H

L
Nonreportable

Probability

Consequence

Equipment
failure

Stressed
equipment

Equipment
failure

B
C

Once per 2 years


Once per 5 years

L
L

H
M

H
H

H
H

Once per 10 years


Once per 50 years

M
L

C
D

Once per 10 years

L
L

L
L

M
L

H
M

H
H

Once per 50 years

<$50,000

$50,000$250,000

$250,000$500,000

$500,000
$1 million

> $1 million

Once per 2 years


Once per 5 years

Costs

Consequence
H

12 per year
Once per 2 years

Once per 5 years

Once per 10 years

Once per 50 years

Internal
procedure
violation

48MAY 2016|HydrocarbonProcessing.com

H
M

Likelihood

FIG. 4. The failure progression model.

Consequence

23 per year

FIG. 3. Equipment failure relationship to risk.

Production

1-6 hours 6-12 hours 12-24 hrs


1-2 days
>2 days
shutdown or shutdown or shutdown or shutdown or shutdown or
equivalent equivalent equivalent equivalent
equivalent
throughput throughput throughput throughput throughput
reduction reduction reduction reduction
reduction
1275,000 75150,000 150300,000 300600,000 >600,000
bbls
bbls
bbls
bbls
bbls

Contributing factors that influence human performance

Consequence

Likelihood

1. Process deviations outside design limits


2. Human interaction with process or equipment
performed incorrectly

Environment

Reportable,
Reportable, onsite not
Offsite
Significant
contained
onsite
contained or onsite manageable environmental
impact
impact
(<5 bbls) contained
and >5 bbls

Likelihood
Once per year

Violations

Errors
Event

H
M
M
L

Consequence

Once per 2 years


Once per 5 years
Once per 10 years

FIG. 2. P-F curve showing new definition of failure.


Probability

L
L
L
L

Likelihood
A
B
C
D

Agency Self identified


and
notification reported
non-violation violation

with
Notice of Violations
violation significant
operating
issued
implications

Compliance

Maintenance and Reliability


place throughout the life of the equipment. All equipment has
design limitations. Equipment failures, and the consequences of
failures, occur when one or more of the limitations are exceeded.
With the consequences of failure being constant, based upon
the design, the primary approach for risk management is to lower the probability of equipment failure. Probability is a statistical determination that, at any given moment, an equipment
failure is likely to occur.
The likelihood or probability of equipment failures is not
constant in oil refineries. This statement is in direct conflict
with nearly every reference book or white paper written about
equipment failure. The overwhelming consensus among industry and scholarly professionals is that equipment failures occur
at a constant failure rate for most of the equipment lifecycle.
This erroneous conclusion is brought on by the assumptions
that the equipment is always operated and controlled within its
design limitations.
Equipment in oil refineries are often subjected to conditions
that exceed one or more of the design limitations. This applies
undue stresses on the equipment. The probability of equipment
failures is directly related to the stresses applied to the equipment. To lower the probability of failure, the probability of
stresses must be lowered.
Equipment stress. Equipment stress represents forces, dam-

age mechanisms, defects, anomalies and deterioration of equipment components that indicate a reduction in performance or

function after a potential failure occurs, but before a functional


failure happens (FIG. 2).
Stress comes in four basic forms: chemical, mechanical, electrical and thermal. These stresses lead to visible or detectable
effects, conditions or symptoms of strain. TABLE 1 shows some
of the effects of the four stresses. The basic stresses are interrelated, often occurring together to inflict damage or increase
strain on equipment, which then leads to equipment failure.
Common practices for inspection, maintenance and asset
management of equipment are based on detecting stresses or
symptoms of stresses. These practices have been the mainstay
of the refining industry, as well as all other process and manufacturing industries, for over 50 years. The practices include:
Preventive maintenance
Predictive maintenance
Condition-based maintenance
Condition monitoring
Risk-based inspection (API 580, API 581)
Reliability-centered maintenance
Maintenance optimization
Operational excellence
Overall equipment effectiveness
Asset management (ISO 55000)
Risk-based machinery management (API 691).
Events. In the dynamic environment of oil refining, equipment
stresses and functional equipment failures are rarely caused by

IT ALL STARTS WITH

API STANDARDS.

No matter where you go around the world, the oil and natural gas
industry relies on API Standards to meet the highest level of safety.
Show the world your commitment to safety. Start with API.
See us at OTC 2016, booth 5009.

877.562.5187 (Toll-free U.S. & Canada) | +1.202.682.8041 (Local & International) | sales@api.org | www.api.org
2016 American Petroleum Institute, all rights reserved. API and the API logo are trademarks or registered trademarks of API in the United States and/or other countries.

2016_HP_StartsWithStandards.indd 1

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4/8/16 3:37 PM

Hydrocarbon Processing|MAY 201649

VIPs Attend Free!


Employees of Owner/Operator
companies involved in the
Petrochemical Industry are eligible
to attend this event at NO COST.
To see if you qualify for a free pass,
contact Melissa Smith, Events Director,
at Melissa.Smith@GulfPub.com
or +1 (713) 520-4475

July 1920, 2016 / PetchemTechForum.com


Norris Conference Centers CityCentre, Houston, Texas

Explore the Latest Technology


+ Best Practices in the Booming
Petrochemical Industry
Dont miss Super Early Bird Registration: Save $200
when you register by May 10!
The US petrochemical industry is in the midst of one of the largest industry expansions to ever
occur in North America. Cheap, readily available shale gas has provided chemical producers in
the US with low-cost feedstocks, that is fueling over $135B in new petrochemical capacity. This
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Join us for the inaugural Petchem Tech Forum July 1920 in Houston, Texas, as we explore
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Over the course of two days, you will get a high-level look at the innovative technology and
solutions available to help you more efficiently and cost-effectively upgrade, expand, or build
new facilities.
Get Valuable Insight into Successful Strategies Employed by Top Operators:
TOTAL will share how their refinery has achieved high APC utilization rates and stakeholder
acceptance. Youll learn how to change the APC approach at your facility to improve APC
utilization and support from stakeholders, increasing your bottom line.
Kuwait Petroleum International will provide a technical analysis about on-going downstream
refining and petrochemicals projects and their current progress along with key success factors
and future strategic initiatives.
Plus learn how to:
Optimize your budget to navigate challenging market conditions;
Enhance your operating margins, flexibility in operations, rapid market response, quality
and consistency for optimum plant performance with process plant automation systems
and infrastructure;
Achieve more efficient and flexible production, reduce operating costs, and promote a greener
global economy with a comprehensive energy management strategy;
Properly perform risk assessments and studies during the different phases of design in a
project to ensure safety in design;
and much more.
Download the preliminary agenda at PetchemTechForum.com
For Speaker/Sponsor/Exhibit Opportunities: Contact Melissa Smith, Events Director
at +1 (713) 520-4475 or Melissa.Smith@GulfPub.com

July 1920, 2016 / Houston, Texas / PetchemTechForum.com


Presentations Include:
Restructuring your
APC approach
to improve APC effectiveness
Randy Conley

DCS/ SIS / APC


Implementation Supervisor
TOTAL Petrochemicals USA

Industrial downstream
vs municipal wastewater:
Differences, challenges
and viable solutions
Carlo Zaffaroni, PhD, PE

Industrial Water & Process Director,


Europe - Technical Manager - MENAI
CH2MHILL

Moving towards alternative


feedstocks: Strategic investments
& future petrochemicals process
technology configurations in the
Middle East & Europe
Shailendra Mohite

Senior Engineer Stakeholder Management


Kuwait Petroleum International

Use process plant automation


systems and infrastructure to
enhance petrochem industry
operation margins and
overall profits
Romel S. Bhullar, PE

Senior Technical Fellow/


Director Control Systems
Fluor Corporation

Exhibitors:

Program Content is
Geared Towards:
Petrochemical Industry Professionals
Involved in the Following Roles:
Analyst

Operations Manager

Chief Executive Officer

President

Chief Process Engineer

Principal Engineer

Commercial Manager

Process Engineer

Directors of Technology/
Innovation

Project Manager

Engineer

Senior Technologist

Executive Vice President

Senior Vice President

General Manager

Strategic Sourcing

Global Product Manager

Technical Director

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New Exhibit / Sponsorship


Opportunities Available
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Adding collateral to the VIP gift bag
Attendee list pre-conference for appointment scheduling
And more

Register Early + Save $200


Visit PetchemTechForum.com to register online.
To Register Offline: Contact Melissa Smith, Events Director
at +1 (713) 520-4475 or Melissa.Smith@GulfPub.com

Admission Rates:
(Based upon single
attendance. Prices
are in USD.)

Super Early Bird


(by May 10)

Early Bird
(by June 14)

Regular
Admission

$400

$500

$600

Maintenance and Reliability


normal wear or aging. The stresses that initiate a potential failure
overwhelmingly come from an event or a series of events. Events
are occurrences that cause the stresses and strains listed in TABLE 1.

Failure prevention activities must be


focused on reducing the contribution
factors that influence human behavior.
To lower the probability of stresses, one must lower the
probability of events.
Some common events that create stresses on equipment are:
Operational changes: cavitation, flashing, running
dry, misalignment, imbalance, corrosion and erosion
Process changes: in pressure, temperature, flow
or fluid composition, surge, choke, pH, viscosity
and loss of control
Structural changes: cracking, bolt tension, support
failure, bending, breaking, impact, rupture, shear,
slipping, movement and collapse.
Following the failure progression model in FIG. 3, events are
most often caused by violations and errors. To lower the probability of events, the probability of violations and errors must
be lowered.
Violations. Extensive research exists that indicates that 80%
95% of all equipment failures have their root causes in:
TABLE 1. Four basic stresses

1. Violations of the design limits of the equipment (IOW)


2. Errors from some human interaction with the process
or equipment.
The design (of equipment) includes equipment
selection, materials of construction, installation,
location, configuration, control philosophy and
operating conditions of the equipment. Design often assumes that a basic level of operation, inspection, maintenance and management capability will
be in place throughout the life of the equipment.
All equipment have design limits.
A violation occurs when the process conditions, structural
supports, physical connections or transferal of energy are outside the design limits.
Integrity operating window. To operate any process unit, a
set of operating ranges and limits must be established for each
piece of equipment to achieve the desired performance and
manage the risks.
The IOW is a specific set of key operating limits that focuses
on maintaining the integrity and preventing the failures of process equipment. Typically, the IOW involves process variables
that, if allowed to exceed the limits of the IOW, can increase
the likelihood or probability of events that lead to undue stresses on equipment.
To lower the probability of events and stresses on equipment, operations must be maintained inside the IOW (FIG. 5).
All equipment should have a defined set of operating ranges
that will allow operation, as designed, without failure.
Points of light. Each piece of equipment should have defined

Form of stress

Effects, conditions or symptoms (strain)

Chemical

Corrosion, erosion, cracking, pitting, dissolving,


melting, freezing, congealing, condensing,
vaporizing, molecular change, density, viscosity,
lubricity, expansion, contraction, heating, cooling, fire

Mechanical

Friction, impact, tension, compression, fracture,


shear, torsion, bending, fatigue, creep, inertia,
vibration, heating, cooling

specific operating ranges and the design conditions that make


up the IOW. To ensure that the process is maintained inside
the IOW, specific inspection points and values are identified.
The inspection points are called the points of light.
For process pumps, 20 points of light (FIG. 6) define the
process variables and conditions that make up the IOW. To
prevent pump failures, the 20 points of light inside the IOW
must be maintained.

Electrical

Charging, discharging, arcing, pitting, magnetizing,


melting, welding, short circuit, open circuit,
molecular change, heating, fire

Errors. As stated previously, 80%95% of all equipment failures


have the root causes of either violations of the IOW or errors.

Thermal

Expansion, contraction, weakening, vaporization,


condensing, melting, freezing, molecular change,
density, viscosity, heating, cooling, fire

FIG. 5. Zones of operation defining the IOW.

50MAY 2016|HydrocarbonProcessing.com

FIG. 6. Process pumps showing the 20 points of light.

An error occurs when a human interaction with the equipment


or process is performed incorrectly. Errors happen at all points
of human interaction during the lifecycle of the equipment. Four
basic types of errors exist:
1. Error of commission: task performed incorrectly
2. Error of omission: correct task not performed
3. Error in timing: correct task performed but at incorrect time
4. No awareness that task is necessary.
Errors can occur during:
Design
Selection
Fabrication
Testing
Shipping
Storage
Installation
Commissioning
Management
Startup
Operation
Shutdown
Inspection
Maintenance
Major repair
Response to changes.
Errors are the result of a natural cycle in the way the human
mind processes information and makes decisions. The brain constantly performs a decision-action thought process. Issues such
as procedures, training, communication, experience, ergonomics,
motivation and awareness are factored into the normal interactive
process outlined by the following decision-making sequence:
Perception (senses)
Discrimination (awareness)
Interpretation (understanding)
Diagnosis (deduction)
Decision (recall, reasoning)
Action (recall, training, experience, skill)
Perception (feedback).
The ability to accurately and consistently perform these steps
is the basis for improving the performance of the human being in
any activity. Strengthening the decision-action cycle is the most
effective method to eliminate errors and prevent failures.
Contributing factors (the dirty dozen). The human mind
continuously and autonomously performs the decision-action
cycle during conscious moments throughout ones life. This is
the essence of human behavior. The ability to perform the cycle
is influenced by hundreds of forces and events, both internal
(intrinsic) and external (extrinsic), that determine peoples behavior and level of performance in virtually everything they do.
These influencing forces are called contributing factors.
Hundreds of contributing factors influence human behavior.
Most of them are present all of the time. The extent to which
these factors affect behavior or influence the decision-action
cycle depends on a persons ability to focus on the task he or she
is attempting to perform and the awareness, or mindfulness, of
the contributing factors present.
To overcome the influences of contributing factors, one must
practice being focused and mindful. Through practice, the suc-

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51

Maintenance and Reliability


cessful execution of decision and action can occur by blocking
the effects of the ever-present contributing factors. The top 12
contributing factors that influence human behavior are called
the dirty dozen (FIG. 7).
To effectively block the dirty dozen and other contributing
factors, a change must occur in the entire approach to refinery
management. The new approach must change the mindset, the
belief and the culture of the entire organization, so that equipment failures can and will be prevented.

Blocking the dirty dozen


1. Miscommunication
2. Complacency
3. Distraction
4. Pressure
5. Resource allocation
6. Lack of knowledge
7. Lack of awareness
8. Stress
9. Fatigue
10. Lack of assertiveness
11. Lack of teamwork
12. Normalization of deviance

Perception (senses)
Discrimination (awareness)
Interpretation (understanding)
Diagnosis (deduction)
Decision (recall, reasoning)
Action (recall, training, experience)
Perception (feedback)

Focus
Mindfulness
Practice
FIG. 7. The dirty dozen and the influence on the decision-action cycle.

The science and techniques for preventing failures are not


rooted in an IT solution, FMEA, ISO 55000 or a strategic analysis of overall equipment effectiveness. The primary science that
will develop the most effective failure prevention strategies is
behavioral psychology. Behaviors must be cultivated to prevent
the human errors and process violations that are the root causes
of the majority of equipment failures. It is recommended that
organizations employ organizational and behavioral psychologists to effectively prevent equipment failures.
LITERATURE CITED
Endsley, M. R., Situational awareness and human error: Designing to
support human performance, SA Technologies Inc., proceedings of the High
Consequence Systems Surety Conference, 1999.
2
Albawaba News, Human error is involved in over 90% of all accidents and
injuries in a workplace, September 24, 2009.
3
Maguire, R., Safety case, Safety cases and safety reports: Meaning, motivation
and management, 2006.
4
Boeing Corp., Maintenance error decision aid (MEDA) users guide, 2010.
5
US Federal Aviation Administration, Avoid the dirty dozen, online: https://
www.faasafety.gov/files/gslac/library/documents/2012/Nov/71574/
DirtyDozenWeb3.pdf
1

BARRY SNIDER is president and chief consultant of


Small Hammer Inc., a consulting company specializing
in refinery and facility management. He has 40 years
of experience in maintenance, operation, management
and consulting at refineries, chemical manufacturing
complexes, pipeline networks and gas processing sites.
He holds degrees in mechanical engineering from
West Virginia University and an MBA degree in organizational psychology
from American Intercontinental University.

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Process Engineering
and Optimization
M. MARVE, S. SAKTHIVEL and P. V. PALUSKAR,
TATA Consulting Engineers Ltd., Mumbai, India

Small-scale coal-to-chemicals can revitalize


Indias petrochemicals industry, economyPart 2
In Part 1 of this article, published in April, the barriers of petrochemical production in India were discussed, along with the
opportunity to explore chemicals from coal, using the specific
example of polyvinyl chloride (PVC).
In Part 2, the final part of this article, the example of manufacturing PVC from coal is explored, and a comparative analysis
of PVC manufacturing from alternative feedstocks, including
coal, is provided.
Key assumptions for PVC comparative cost analysis. The

following are key assumptions on which the analysis is based:


1. Only direct operating costs of production (i.e.,
raw materials, byproducts, utilities and catalyst/
chemicals) are taken into account, without considering
maintenance and repairs, insurance, taxes, depreciation,
administration, distribution, overhead costs, etc.
Hereafter, any cost discussion concerns only direct
operating costs of production. For example, PVC cost
implies the direct operating cost of PVC production.
2. CAPEX costs are not considered. It is important to realize
the dilemma of the allocation of CAPEX costs while
setting up an ethylene-based PVC facility. As discussed
in Part 1, a contemporary cracker facility typically
allocates 15%20% of ethylene to PVC, while the rest
of the capacity is allocated to other coproducts. While
this may justify a partial cost allocation to compute PVC
costs, the fact that a multibillion-dollar cracker facility is
needed in the first place is an important consideration.
For a dedicated PVC plant of similar capacity, the cracker
capacity would need to be downscaled, losing its crucial
economy-of-scale advantage. On the other hand, an
on-purpose PVC-only plant, via the carbide route, avoids
this inherently large overall investment or high-cost-perton CAPEX (at low capacity) dilemma.
3. Since the product yields of natural gas and naphtha
cracking are typically different, especially for propylene
(C3=), parity has been established between the costs of
both routes by adding the C3= yield in ethylene, with a
nominal cost advantage given to C3=.
4. Chlorine and hydrochloric acid (HCl) production are
included as parts of the PVC manufacturing process.

5. Mass balances and utility requirements have been


adapted from literature.
6. Since fossil fuel prices vary considerably and are also
strongly linked to geographic locations, the analysis is
based on three different energy price levels, as shown
in TABLE 1. Moreover, all utility and feedstock costs are
linked to respective energy costs in this analysis.
Analysis and results. Costs for PVC production via the naphtha and natural gas routes, respectively, are shown in TABLE 2.
The PVC cost difference between the two routes largely reflects the global ethylene cost curve, which is lowest for natural
gas and increases significantly for naphtha-based products.1,2
TABLE 3 shows the cost of PVC production via the coalcalciumcarbideacetylene route.
To evaluate and compare the impact of feedstocks on the
manufacturing costs of PVC and relate it to coal-based PVC
prices, a breakeven analysis of the PVC cost curve has been developed (FIG. 1). The upper panel shows the costs of PVC from
naphtha and the corresponding costs from coal, where the breakeven point may occur. For instance, in a scenario where coal prices are $50/metric t and oil prices are above $50/bbl, PVC via
the calcium-carbide route is expected to be a relatively cheaper
option. Similarly, in the bottom panel of FIG. 1, with natural gas
prices above $ 14/MMBtu and coal prices below $100/metric t,
PVC via the calcium-carbide route is expected to be a relatively
cheaper option. Breakeven costs are summarized in TABLE 4.
Discussion. Due to the confluence of macroeconomic and
geopolitical factors, global oil prices are projected to rise above
$65/bbl ($11.30/MMBtu)3 over the long run, while coal prices are expected to remain relatively stable, at approximately
$2/MMBtu.4 In such a scenario, which has already transpired in
TABLE 1. Energy price scenarios
Feedstock price scenarios
Feedstock

Unit

Low

Medium

High

Coal

$/metric t

50

100

150

Crude oil (naphtha)

$/bbl

40

80

120

Natural gas

$/MMBtu

12

20

Hydrocarbon Processing|MAY 201653

Process Engineering and Optimization


TABLE 2. Costs for PVC production from naphtha (crude oil) and ethane (natural gas)
Crude oil cost
Feedstock

Unit

Low

Medium

Natural gas cost


High

Low

Ethylene from naphtha

Medium

High

Ethylene from ethane

Ethylene cost

$/metric t

434

867

1,301

Net raw materials

$/metric t

289

531

774

241

755

1,269

459

738

VCM from ethylene


179

Net utilities, catalyst and chemicals

$/metric t

27

54

80

18

53

88

VCM cost

$/metric t

316

585

854

197

512

826

PVC from VCM


Net raw materials

$/metric t

319

588

857

199

515

830

Net utilities, catalyst and chemicals

$/metric t

48

77

105

37

70

103

PVC cost

$/metric t

367

665

962

236

585

933

1,000
900

TABLE 3. Costs of PVC via the coalcalcium-carbideacetylene


route

Coal price at $150/metric t

Coal cost

PVC cost, $/metric t

800
700

Unit

Low

Net raw materials

$/metric t

110

Coal price at
$50/metric t

145

180

Net utilities, catalyst


and chemicals

$/metric t

110

188

264

220

333

444

CaC2 cost

400

50

60

1,000
900

70

80
90
Crude oil price, $/bbl

100

110

120

PVC cost, $/metric t

695

1,077

1,458

Net utilities, catalyst


and chemicals

$/metric t

10

15

1,087

1,473

700

Acetylene to VCM

Coal price at $100/metric t


Coal price at
$50/metric t

Net raw materials

$/metric t

392

581

770

Net utilities, catalyst


and chemicals

$/metric t

22

33

44

VCM cost

$/metric t

414

614

814

VCM to PVC

400
300
200
40

$/metric t

Acetylene cost

600
500

Net raw materials

Coal price at $150/metric t

800
700

High

Calcium carbide to acetylene

300
200
40

Medium

Coal to calcium carbide

Coal price at $100/metric t

600
500

Feedstock

12
Natural gas price, $/MMBtu

16

$/metric t

416

617

818

Net utilities, catalyst


and chemicals

$/metric t

31

42

52

PVC cost

$/metric t

447

659

870

20

FIG. 1. PVC cost curve based on naphtha (top) and natural gas
(bottom). Coal-based PVC costs are denoted by horizontal lines.
Coal-based breakeven costs are denoted by vertical lines. The hatched
areas are viability zones for coal-based PVC for respective coal prices.

the recent past, TABLE 4 and FIG. 1 suggest that coal-based PVC is
a relatively more viable route to PVC production, as compared
to naphtha-based PVC.
High oil costs would translate into concurrently high costs
for ethylene derivatives, since 46% of global ethylene capacity of
137 MMt in 2014 was based on naphtha, potentially opening up
54MAY 2016|HydrocarbonProcessing.com

Net raw materials

a large market for coal-based chemicals. Analogous to oil, global


natural gas prices are expected to increase in the long run, albeit
at a slower pace. Cheap natural gas is available to a handful of nations globallye.g., with the advent of shale gas over the past decade, the US natural gas industry is receiving natural gas at very
low prices, translating into significant cost advantages for ethylene. However, net importers of natural gasAsia, in particular
may find coal-derived PVC to be a cheaper option, given that average Asian LNG prices are expected to almost double by 2030.5
While Indias 96 Tcf of technically recoverable shale gas reserves6 may promise salvage, several factors are combining to
create uncertainty as to when commercial large-scale produc-

Process Engineering and Optimization


tion will begin, and at what price.7 These factors include political opposition to raising gas prices, the lack of infrastructure,
scarcity of information on gas location, policy support, water
shortage, and slow assessment of the accessibility and size of
gas reserves. Until commercial large-scale production can begin, Indian natural gas prices are expected to be largely dominated by imports.
From the perspective of manufacturing PVC from coal, four
key considerations are worth noting:
1. Adoption of existing carbide production processes to
Indian coal, which has high ash content
2. Potential process improvements and energy efficiency
gains to the carbide acetylene route
3. Reduction of the consumption of the mercury chloride
catalyst used to convert acetylene to VCM, and its
eventual replacement with mercury-free catalyst
4. Moving to entirely new processes, either for carbide
production from low-rank coals, like the oxythermal
process, or processes that entirely bypass carbide
production to produce acetylene directly, like the
plasma arc process.
Given their high ash content, a binding need exists to adapt
Indian low-rank coal feedstock for calcium carbide production.
A variety of pre-utilization technologies for upgrading of lowrank coals exists. These technologies are capable of reducing
ash, moisture and sulfur content.810 Technologies to address
AMETEK
13914
Sulfur
1 4/5/13
9:10 AM
the
issue of
highXRT-XRF
ash content
in Analyzer_Layout
Indian coal are under
develop-

A D V A N C E D

S U L F U R

mentfor example, the organo-refining and coal leaching processes, with demonstration and pilot plants under construction.11,12 The cost-effective development and adoption of such
technologies will be an important step toward the production
of coal-based chemicals in India.
Secondly, PVC cost is most sensitive to acetylene yield, coal
feedstock and energy costs. Depending on purity and process,
approximately 3 metric t3.6 metric t of CaC2 are required per
t of acetylene, which corresponds to a yield of 303 l252 l of
acetylene gas per kg of calcium carbide, respectively.
Also, electricity costs constitute a significant portion of
calcium carbide production costs, as about 3.5 MWh of electricity is consumed per t of CaC2. While attempts have been
made, particularly in China, to increase the process efficiency,
considerable room for improvement is expected given that the
process parameters are largely of World War II vintage.
Process improvements, such as bigger furnaces and optimization of feed particle size,13 could help bring about better
TABLE 4. Breakeven cost for coal-based PVC compared to
naphtha and natural gas feedstock prices
Coal price,
$/metric t
50

Breakeven point prices


Crude oil, $/bbl

Natural gas, $/MMBtu

51

8.8

100

79

13.7

150 1
Page

107

18.5

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Select 159 at www.HydrocarbonProcessing.com/RS

Hydrocarbon Processing|MAY 201655

Process Engineering and Optimization

TRI-CON

TRI-CHECK

activated charcoal. At present, approximately 1.2 kg of HgCl2


catalyst is consumed per t of PVC (having 11 % average HgCl2
content).18,19 Mercury is not only a cause of environmental
concernswith its trade being limited by the international
Minamata Conventionbut it is also a relatively expensive
heavy metal with limited global and Indian domestic supplies.
Although the route for mercury-catalyst-based PVC is open to
India, progress on low-mercury-content (< 6 %) and mercuryfree catalyst are key developments to look forward to from a
long-term, sustainable perspective.18,20
Apropos, in China, between 2006 and 2008 alone, 1.25
MMt of PVC capacity (or approximately 8% of 2008 capacity)
shifted to low-mercury-content catalyst, showing no decline
in conversion rate and service life, along with greatly reduced
mercury consumption.18,21 Therefore, in terms of its product
function and application cost, the low-mercury-content catalyst demonstrates an effective means to curb mercury consumption and pollution.18
Moreover, the fact that several mercury-free catalyst projects are in pilot- and industrial-scale test phases indicates that
the elimination of mercury-based catalysts is within reach.22
For instance, new developments of noble metal (e.g., Au, Pd)
and transition metals (e.g., Cu, Pt, Rh, Ir, Ru) catalysts are
underway. Chinese industry reports suggest that Au-La-Co/
C catalyst with high activity and stability show acetylene conversion > 90 %, VCM selectivity > 98.5 %, and catalyst life
> 1,000 hr, with the regenerated catalyst demonstrating performance of 90% compared to a fresh catalyst.23
Lastly, apart from the incremental energy-efficient processes
discussed above, several new processes are under development,
such as oxythermal combustion13,24,25 and plasma arc reactors,15,23,26 which offer much simpler, energy-efficient and environmentally friendly process schemes to utilize low-rank coals.23,27
In oxythermal combustion, in addition to the coke required
for the conversion reaction (which is preferably upgraded from
low-rank coal), additional coke is added as a fuel and burnt in
the presence of oxygen. This replaces the heat derived from

Break-even oil cost, $/bbl

100

WWW.ZWICK-VALVES.COM

THE NEXT GENERATION

19

110

TRI-BLOCK

Base case
10% carbide reduction
15% electricity and 10% carbide reduction

90

15

80
13
70
11

60

50
40
50

TRI-SHARK

56

TRI-CONTROL

TRI-JACK

Select 160 at www.HydrocarbonProcessing.com/RS

17

100
Coal price, $/metric t

7
150

FIG. 2. Sensitivity analysis of PVC costs with variation in electricity


consumption in calcium carbide production and acetylene yield
from calcium carbide and coal costs. Three cases are explored: the
Base Case, as presented in TABLE 3; Case 2, with a 10% reduction
in calcium carbide consumption; and Case 3, with a further 15%
reduction in electricity consumption for carbide production.

Break-even gas cost, $MMBtu

economies of scale and CAPEX and OPEX savings. State-ofthe-art simulation tools and energy-efficient designs may play a
significant role in maximizing efficiency and minimizing costs.
FIG. 2 develops a sensitivity analysis where the impact on
PVC costs resulting from reduced consumption of calcium
carbide (by 10% from the base) and electricity (by 15% from
the base) are studied. Such efficiency gains are not beyond
the realm of possibility; already, electricity consumption of
the closed furnace process is approximately 3.2 MWh/metric
t of calcium carbide, while the process to maximize acetylene
yields using 3 metric t3.2 metric t of calcium carbide per metric t of acetylene, with approximately 79% calcium carbide purity, have already been established.14,15
This analysis suggests that a 10% reduction in carbide consumption results in an analogous, approximate 8% reduction
in breakeven costs. If a further 15% reduction in electricity
consumption could be achieved in addition to the reduction
in carbide consumption, then it would bring down the breakeven costs significantlyby approximately 14% (FIG. 2). This
analysis suggests that India, with its large coal deposits, may be
able to exploit the potential of coal-derived chemicals. Moreover, from a global perspective, world coal prices have fallen
more than 50% since 201116 and are not expected to revive
over the medium term,17 serving as an added impetus for coalbased chemicals.
Thirdly, for the production of VCM, acetylene reacts with
HCl in the presence of a catalyst: mercury (II) chloride on

Process Engineering and Optimization


electricity, producing CaC2 along with carbon monoxide,
which can subsequently be converted into chemicals via the
syngas route (see FIG. 2 in Part 1).28
While this method is expected to reduce energy consumption, the development of such technology for Indian low-grade
coal is needed, along with due analysis of the accompanying
techno-economic aspects. Similarly, coal pyrolysis in hydrogen
in a thermal plasma reactor provides a direct and cleaner route
to acetylene production, bypassing the energy-intensive carbide step. This results in no direct CO2 emissions and avoids
the requirement of large amounts of water.
A 5-MW arc reactor has been developed in China that demonstrates total energy cost savings of about 25%, a CO2 emissions reduction of about 50%, a water requirement reduction
of about 60%, and coal savings of about 40% in comparison
with the conventional calcium-carbide method.26
Also, the traditional fixed-bed reactors for VCM production
from acetylene are replaced by fluidized bed reactors, which
allow for better control of temperature, increased VCM conversion rate ( 99 %), reduced mercury catalyst sublimation,
decreased equipment and catalyst costs, and dramatically increased production capacity.18
These developments suggest that new-generation technologies can have a significant impact on the cost of coal-based
chemicals compared to the traditional calcium-carbide route.
India should explore and exploit these upcoming technologies
to its advantage.

Conclusions. The comparative cost analysis herein suggests

that manufacturing fit-for-purpose quantities of coal-based PVC


can be an economically viable option, especially in high-oil-price
scenarios. This will also help to avoid the high CAPEX requirements and associated project risks of large cracker complexes.
Moreover, since the existing process is largely reliant on vintage technologies, it provides opportunities to implement modern technological advances and gives further scope for applying
energy-efficient techniques to curtail production costs, potentially further reducing breakeven costs.
The fit-for-purpose scale of such plants is apt for decentralized production near coal mining belts, with consequent benefits to local communities. Moreover, while the feasibility for
PVC from coal is illustrated, analogous analyses may be carried
out for other ethylene-based chemicals, especially for relatively
low-volume ethylene derivatives. The authors believe that the
above aspects will make many coal-based chemicals alluring,
particularly from the Indian perspective.
These advances could make India self-sufficient, curtail its
dollar-based imports, bolster a made-in-India-tagged chemical
industry, and justify strategic investment in these alternatives to
meet the long-term objectives of energy import independence.
The Indian industrial and scientific communities should explore and exploit developments in the carbide world, as well as
newer processes for producing acetylene directly (which avoid
the carbide step altogether). Recent remarks by the Indias secretary of the Department of Chemicals and Petrochemicals on

Select 161 at www.HydrocarbonProcessing.com/RS

Hydrocarbon Processing|MAY 201657

Process Engineering and Optimization


the potential of coal-based chemicals in India29 acknowledge
the need to substitute petroleum feedstocks with coal.
End of series. Part 1 of this article appeared in April 2016.
LITERATURE CITED
IHS, Outlook for olefins and polyolefinsand the great energy price deflation, 2015.
2
Deutsche Bank, Chinas coal to olefins Industry, 2014.
3
US Environmental Information Administration (EIA), Short-term energy outlook
and Annual energy outlook, 2015.
4
World Bank, World Bank commodities forecast, 2016.
5
BNEF, Is the US chemicals renaissance a flash in the pan? 2014.
6
US EIA, Technically recoverable shale oil and shale gas resources: An assessment of
137 shale formations in 41 countries outside the US, 2013.
7
Mukherji, B. and S. Chaturvedi, Why India cant unlock its shale gas, Wall Street
Journal, June 11, 2011, online: http://blogs.wsj.com/indiarealtime/2013/06/11/
why-india-cant-unlock-its-shale-gas/
8
IEA Clean Coal Center, Techno-economics of modern pre-drying technologies for
lignite-fired power plants, 2014.
9
IEA Clean Coal Center, Utilisation of low rank coals, 2011.
10
IEA Clean Coal Center, Coal upgrading, 2009.
11
Kumar, V., C. Banerjee, P. K. Biswas, Optimization of solvent extraction process
parameters of Indian coal, Mineral Processing & Extractive Metall. Rev., Vol. 33, 2012.
12
Sharma, D. K. and S. Gihar, Chemical cleaning of low grade coals through alkali-acid
leaching employing mild conditions under ambient pressure, Fuel, Vol. 70, 1991.
13
Li., G., Q. Liu and Z. Liu, CaC2 production from pulverized coke and CaO at low
temperaturesreaction mechanisms, Ind. Eng. Chem. Res., Vol. 51, 2012.
14
Paessler, P. et. al, Acetylene, Ullmanns Encyclopedia of Industrial Chemistry, 2012.
15
Schobert, H., Production of acetylene and acetylene-based chemicals from coal,
Chemical Reviews, Vol. 114, 2014.
16
Corones, M., Is coals decline permanent? Reuters, January 6, 2015, online:
http://blogs.reuters.com/data-dive/2015/01/06/is-coals-decline-permanent/
17
Hoyle, R., As coal prices fall, miners cut output, Wall Street Journal, June 2, 2015,
1

58MAY 2016|HydrocarbonProcessing.com

online: http://www.wsj.com/articles/as-coal-prices-fall-miners-cut-output1433269071
18
Chinas Ministry of Environmental Protection, Project report on the reduction of
mercury use and emission in carbide PVC production, 2010.
19
UNEP, Vinyl chloride monomer production, online: http://www.unep.org
/chemicalsandwaste/Mercury/PrioritiesforAction/VinylChlorideMonomer
Production/tabid/4523/Default.aspx
Complete literature cited available at HydrocarbonProcessing.com
MAHESH MARVE is chief technology officer (CTO) and senior
vice president at Tata Consulting Engineers (TCE) Ltd. He has
a chemical engineering degree from ICT in Mumbai, India, with
25 years of extensive experience in refining, petrochemicals
and technology management. Prior to joining TCE, he worked
for Reliance Industries for 24 years. His last role at Reliance
was chief of advanced technical services for Reliances
Jamnagar refinery. He was instrumental in a significant debottlenecking of the
original refinery and played a key role in concept-to-commissioning work of the
second refinery at Jamnagar.
S. SAKTHIVEL has been senior technologist at Tata Consulting
Engineers Ltd. since 2009. He holds a BTech degree, an MTech
degree and a PhD from the University of Madras, Anna
University and the Indian Institute of Technology Delhi,
respectively. Dr. Sakthivel has experience in chemical processes,
nano and particle technology, and biofuel energy. He is the
author of 12 articles in peer-reviewed journals.
PARESH V. PALUSKAR is a senior technologist at Tata
Consulting Engineers Ltd. He completed his PhD in physics from
Eindhoven University of Technology in the Netherlands in 2008,
and his MSc in sensor systems technology from FH-Karlsruhe
in Germany in 2003. Dr. Paluskar has been working with
Tata Consulting Engineers since 2009 in the field of renewable
and sustainable energy.

Select 162 at www.HydrocarbonProcessing.com/RS

Process Engineering
and Optimization
H. DE PAZ CARMONA and A. BRITO ALAYN,
University of La Laguna, Santa Cruz de Tenerife,
Spain; M. ROMERO VZQUEZ and J. FRONTELA
DELGADO, Cepsa Research Center, Alcala de
Henares, Spain; J. J. MACAS HERNNDEZ,
Cepsa, Santa Cruz de Tenerife, Spain

Catalytic coprocessing of used cooking oil with


straight-run gasoil in a hydrotreating pilot plant
A promising route to obtain bio-gasoil (bioGO) or hydrotreated vegetable oil (HVO) is the catalytic coprocessing of
vegetable oil with diesel oil in a conventional hydrotreating unit.
Here, the catalytic cohydroprocessing of vegetable waste
cooking oil with straight-run gasoil (SRGO) in a diesel hydrodesulfurization pilot plant is analyzed. Particular attention
is paid to the influence of waste oil on the pilot plant operation
(increase of temperature), product quality (density at 15C, cetane index, etc.) and the main products and byproducts formed
(principally, n-paraffin and propane).
A commercial NiMo/Al2O3 hydrotreating catalyst was used,
as well as a high concentration of waste vegetable cooking oil in
the feed (20.48 mass percent, or %m/m). Under the constant
operating conditions used, an increase in bed temperature was
observed in the first part of the reactor, with a total conversion
of the vegetable oil triglycerides, keeping a 99.7%99.8% sulfur
elimination and a slight decrease on the denitrification capacity.
The main byproducts obtained are n-paraffins with a number
of carbons between 15 and 18, and light gases such as CO2, CO
and propane. The presence of these byproducts means that the
catalyst favors decarboxylation/decarbonylation reactions, to
the detriment of hydrodeoxygenation reactions. The results of
this study confirm the technical feasibility of the coprocessing of
cooking oil with diesel oil in a conventional hydrotreating unit.
Fossil fuel vs. biofuel. Most of the fuels used throughout

the world come from fossil origin. The increase in fossil fuel
consumption is associated with population growth and with
the development of increasingly industrialized societies. The
use of fossil fuels also impacts the environmentabove all,
with an increase in greenhouse gases, such as CO2. Efforts
are being made to develop new and environmentally friendly
sources of energy, such as wind and solar energies, and cleaner
fuels, such as biofuels.1
To reduce energy dependency, encourage the use of energy from renewable sources and reduce greenhouse gases, the
European Parliament and the Council of the European Union

(EU) adopted the Directive 2009/28/EC. The directive establishes the objective of achieving a 20% share of energy from
renewable sources in the EUs total energy consumption by
2020. It also includes the objective that at least 10% of the energy consumed by transport in each member state must come
from renewable sources by 2020.2
Since the German-French scientist Rudolf Diesel first began
using vegetable oils as fuel for his diesel engines, it has been
clear that this product of vegetable origin can be used as a real
alternative to liquid fuels of fossil origin.
Owing to their high triglycerides content, vegetable oils are
an ideal feedstock for the production of biofuels, such as biodiesel.3 Many different types of vegetable oils can be used for
this purpose, but cooking oil is a good alternative. Its use not
only eliminates an environmental contaminant residue, but a
combustible product of high-added value is also obtained. FIG. 1
shows the typical structure of a triglyceride.4
Transesterification is the process most often used to transform vegetable oil into fuel. In this process, a reaction between
oil triglycerides and a short-chain alcoholusually methanolis carried out in the presence of a basic catalyst, such as
NaOH or KOH, thus forming fatty acid methyl esters (FAMEs) and glycerin.5
BioGO, or HVO, is an alternative to traditional biodiesel.
It consists of a biofuel formed mainly of n-paraffins, and is obtained from the catalytic hydrotreating of vegetable oil under
H
H

O
O

C
O

C
O

C
C

C
C
C

C
C
C

C
C
C

C
C
C

C
C
C

C
C
C

C
C
C

C
C
C

C
C
C
C

C
C
C

C
C
C
C

C
C
C

C
C

C
C

Oleic acid
chain

C
Linoleic acid
chains

C
C

FIG. 1. Example of a triglyceride structure.


Hydrocarbon Processing|MAY 201659

Process Engineering and Optimization


Therefore, the coprocessing of vegetable
oil
and diesel oil in a diesel hydrodesulfuron
onylati
ization unit is postulated as a suitable methDecarb CO
H2
O
O
O
O
od to obtain a biofuel of paraffinic chartion
la
=R1
O
O
O
O
R2= H2 R1
R2 H2
y
n
acter. This biofuel integrates well into the
o
DecarbH H O
Diglycerides
2
2
desulfurized product diesel oil, improving
n-C18
Monoglycerides
iso-C
n-C16 Isomerization iso-C18
Acids
R3=
R3
O
O
some of its main properties, such as cetane
16
Hydrogenation/ Propane
Waxes
index or density.10,11
dehydration
O
O
Hydrogenated triglycerides
Vegetable oil (triglycerides)
Here, the aim is to analyze, in a diesel hydrodesulfurization
pilot plant, the catalytic
FIG. 2. Chemical reactions occurring during the hydrotreating of vegetable oil.
coprocessing of vegetable cooking oil and
diesel oil, focusing on the following aspects:

Influence
of
the
coprocessing of vegetable cooking oil
TABLE 1. Results of analyses performed on cooking oil
with diesel oil on the operation of the hydrotreating
Analysis
Result
pilot plant for the desulfurization of diesel oil
Density at 15C, kg/l
0.922
Influence of the coprocessing of vegetable cooking oil
43.54
Viscosity at 40C, mm2/s
with diesel oil on the properties of the desulfurized
product diesel oil obtained in the hydrotreating pilot plant
Acid number, mg KOH/g
2.87

Analysis of liquid and gaseous products and byproducts


Sulfur content, mg/Kg
4.1
formed as a result of catalytic coprocessing of vegetable
Karl Fischer water, ppm
555
oil, consisting mainly of n-paraffins and light gases,
Elemental analysis, % m/m

such as C3H8 , CO and CO2.


CO 2

iso-C17
n-C15
n-C17 Isomerization iso-C15
Propane
Cracking lighter alkanes

Carbon

76.91

Hydrogen

11.93

Nitrogen
Metals, mg/kg
Ca

< 0.01

0.1

4.4

Fe

< 0.1

Mg

< 0.1

<1

Si

0.9

Na

2.1

high temperature and pressure conditions (350C400C and


50 bar80 bar).6
The catalyst is the main element of this process, as it offers the active surface at which the chemical reactions of the
hydrotreating of vegetable oil occur (FIG. 2).6 The triglyceride
is first hydrogenated, and then subsequently breaks, releasing
propane and forming intermediate products, such as carboxylic
acids, diglycerides, monoglycerides and others. These products
continue to be hydrogenated until they form n-paraffins.3
Three chemical reactions cause the formation of n-paraffins
during hydrotreating: hydrodeoxygenation, decarboxylation and
decarbonylation. The main difference between these routes is the
mechanism of oxygen removal, resulting in the formation of two
molecules of H2O per n-paraffin molecule formed in the first case,
one molecule of CO2 in the second case, and one molecule of CO
and another of H2O in the third reaction, leading to a shortening
of the n-paraffin chain formed in the last two scenarios.7,8
Catalytic hydrotreating of oil has many advantages over the
traditional processes of obtaining biodiesel. The biofuel obtained has exceptional properties, and propane gas is formed as
a byproduct.9 More importantly, the incorporation of bioGO
production into the structure of an existing refinery does not
require high investment or operating costs.
60MAY 2016|HydrocarbonProcessing.com

Experimental methods. A catalytic coprocessing of vegetable


cooking oil with diesel oil was performed in a hydrodesulfurization pilot plant. The vegetable oil used was gathered from local
households and restaurants. To remove food scraps and frying
waste, the vegetable cooking oil was filtered and then stored in a
tank, in the absence of light and moisture, to avoid its degradation.
TABLE 1 shows the main characteristics of the cooking oil used.
Most of the analyses show normal values, which are characteristic
of vegetable oils. The low concentration of metals is particularly
interesting. It indicates that the cooking oil is not contaminated
with other lubricating oils. Its acid number is also of note, as it is
predictably higher than that of fresh vegetable oils, such as olive or
sunflower oils. FIG. 3 shows the result of a Fourier transform infrared spectroscopy (FTIR) analysis of the same oil. The main functional groups of the oil triglycerides are marked with a circle.12
SRGO used for coprocessing was supplied by a Cepsa refinery in Spain. TABLE 2 shows the main characteristics of this diesel oil. The SRGO shares common features with other types of
hydrocarbons, especially for density and sulfur content, which
allow its use as raw material in the production of automotive
gasoil (AGO).
The mixture between the cooking oil and diesel oil used in
the study was of 20/80 in weight to more accurately detect the
effects of the addition of oil to the plant feed.
A commercial catalyst of NiMo/Al2O3 was used in the catalyst bed; this type of catalyst is normally used in industrial diesel
oil hydrodesulfurization units. FIG. 4 shows an image taken by
electron microscopy of the catalyst used, where the approximate dimensions of the extruded catalyst can be seen.
The tests of coprocessing of cooking oil and diesel oil were
carried out in a pilot plant at the Cepsa Research Center located
in Madrid. This pilot plant is well equipped to perform simulations of industrial processes of diesel hydrodesulfurization.
FIG. 5 shows a simplified diagram of the pilot plant, which
consists of five sections: reagent feed, reaction system, separation system, product outlet and control system.

Process Engineering and Optimization


Liquid reagents (diesel oil or vegetable oil/diesel oil) are
stored in a stainless steel (SS) tank and fed to the reaction system
through a circulation pump. The gaseous reagents are supplied
to the pilot plant from a general line of gas, with pressure regulators to suit the needs of the reaction system.
The reaction system consists of a tubular SS reactor, which
has a concentric furnace with four heating sections to reach the
reaction temperature inside the reactor. The heating of the reactor is controlled by two sets of four thermocouples. One of them
is positioned inside the reactor in a thermocouple sheath, and
the other is positioned outside the reactor.
The catalyst bed is inside the tubular reactor. It consists of a
mixture of the commercial catalyst NiMo/Al2O3 and carborun-

Temperature, %

79.3
75
70
65
60
55
50
45
40
35
30
25
20
15
10
0.5
-0.5
4,000

dum (SiC), a product that is used to reduce the porosity of the


catalyst bed to minimize wall effects and improve heat transfer
inside the reactor. The reactor feed stream used was a descending
one, and this operation was simulated as in a real industrial reactor.
TABLE 2. Results of analyses performed on SRGO feed
Analysis

0.842

Sulfur content, % m/m

1.058

Nitrogen content, mg/l


Aniline point, C
Refractive index 20C
Distillation, C

1,377.86

-C=O strech
(ester)

1,238.54

3,007.48
1,465.41

1,746.51
2,854.89

2,920.07
3,000

2,000

1,164.57
Cm-1

1,500

-C-O strech
(acids)
1,000

FIG. 3. FTIR analysis of vegetable cooking oil.

86
70.4
1.4697

T10

237.9

T30

269.2

T50

289

T70

313.9

T90

347.6

T95

388.4

Aromatics, %m/m
600

Result

Density at 15C, kg/l

Monoaromatics

16.3

Diaromatics

Triaromatics

0.6

Chemically Inert
Coatings for Reliable
Low-Level Sampling

Ensure compliance with Tier 3 regulations.


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Hydrocarbon Processing|MAY 201661

Process Engineering and Optimization


Once it has been hydrotreated, the reaction product continues until it reaches a gas-liquid separator system, which makes it
possible to separate the two phases of the product. When separated, liquid products are accumulated in a storage tank of similar characteristics to the feed tank. Gaseous reagents are quantified as they leave the unit and undergo a chemical treatment
to eliminate the possible hazardous contaminants. Finally, the
plant has an automatic control system that permits the regulation of the system variables and the collection of the data.
To hydrodesulfurize diesel oil and to hydrotreat cooking
oil, operating conditions similar to those found in Reference 6
of the Literature Cited were used. These conditions are shown
in TABLE 3.6
Experimental procedure. The experimental procedure was
divided into four stages: (1) presulfuration of the catalyst, (2)
TABLE 3. Operating conditions used
Condition

Measurement

Operating temperature, C
Catalyst used

340385
NiMo/Al2O3

Liquid hourly space velocity (LHSV), h1

H2 /HC relation, Nl/l


Vegetable oil in the co-processing, % m/m

500
20.48

FIG. 4. Image of the catalyst taken by scanning electron microscopy.


HDS reactor

H2 inlet

N2 inlet

SRGO/SRGO+WCO

Feed tank

FIG. 5. Simplified diagram of the pilot plant.

62MAY 2016|HydrocarbonProcessing.com

preparation of the plant, (3) coprocessing of the cooking oil and


diesel oil, and (4) a blank run.
Once the catalyst is presulfurized, the plant is prepared with
SRGO at a temperature of 340C350C. When the steady state
is reached in the plant, the coprocessing of the cooking oil is initiated; to do this, the feed is substituted for a mixture of 20% of
cooking oil and 80% of SRGO, and the temperature is increased
to 385C to ensure the complete conversion of the cooking oil.
This conversion can be verified based on an FTIR analysis of
the desulfurized diesel oil produced during the coprocessing of
the cooking oil.13
Subsequently, when the cycle of the coprocessing of cooking
oil and diesel oil is completed, the feed of the unit is changed;
it is substituted for pure SRGO, and the same operating conditions are maintained so as to use it as the blank run, which is
important for evaluating the effect of the incorporation of vegetable cooking oil in the feed.
After the steady state was reached at each stage, samples of
liquid and gaseous products leaving the unit were taken. The
following characteristics of the liquid products were analyzed:
density at 15C, sulfur and nitrogen content, distillation curve,
refractive index at 20C, aniline point and aromatic compounds content.
The procedures used in these analyses were those indicated
in the regulations shown in TABLE 4. During the coprocessing of
vegetable oil, an analysis of the n-paraffins present in the sample
was also performed using a gas chromatograph with a flame ionization detector (FID). The analysis of the gaseous product was
performed online using a gas chromatograph with a thermal conductivity detector (TCD).

Results and discussion. The results allow the analysis of the operation of the unit, as well as the hydrotreating products obtained.
The coprocessing of vegetable cooking oil with diesel oil
influences the operation of the hydrotreating pilot plant during the desulfurization of diesel oil. Chemical reactions of the
hydrotreating of vegetable oil are exothermic, so an increase in
temperature along the catalyst bed of the reactor is expected.
The variation of temperatures in each section of the catalyst bed
during the experiment is represented in FIG. 6, along with the average temperature of the bed.
The thermocouples arranged at the top of the catalyst bed
(Sections 1 and 2) record an increase of temperature, exceeding 385C of setpoint temperature, which
would be due to the exothermicity of the reactions of the cooking oil hydrotreating. The
GC
Gas outlet
other two thermocouples (Sections 3 and
4) do not show an increase in temperature;
they remain below the setpoint temperature.
This can be due to the fact that the cooking
Gas-liquid separator
oil conversion takes place in the first part of
the catalyst bed.
When the coprocessing of vegetable oil
finishes and the blank run of the experiment begins, a general decrease in temperaSampler
ture can be observed. This observation is
especially visible in the thermocouples that
Collecting tank
measure the temperature at the top of the
catalyst bed of the reactor, since exothermic

Process Engineering and Optimization


reactions associated with the hydrotreating of vegetable oil disappear when vegetable oil stops being introduced.
Finally, after reaching the steady state with the processing
of pure diesel oil, the temperature is seen stabilizing with an
average value close to the setpoint temperature of the reactor.
Thus, a first effect observed is an increase in temperature
or exothermicity during the coprocessing, which would imply
a more rigorous control of the temperature in the catalyst bed
of the reactor.
The coprocessing of vegetable cooking oil with diesel oil
influences the properties of the desulfurized diesel oil product
393

Temperature section 1
Temperature section 2
Temperature section 3
Temperature section 4
Average temperature

391
389
Temperature, C

387
385
383
381
379
377
375
379

WCO+SRGO
0

SRGO

10 20 30 40 50 60 70 80 90 100 110 120 130 140 150 160 170


Time onstream for coprocessing, hr

FIG. 6. Internal temperatures of the catalyst bed of the reactor during


the coprocessing of cooking oil and the blank run.

obtained in the hydrotreating pilot plant. Hydrotreating of vegetable oil produces n-paraffins that can change the characteristics of the desulfurized product diesel oil when coprocessing of
TABLE 4. Regulations corresponding to analyses performed
on desulfurized product diesel
Analysis

Regulation

Standard test method for density, relative density


and API gravity of liquids by digital density meter

ASTM D 4052

Petroleum products, determination of sulfur content


of automotive fuels, ultraviolet fluorescence method

EN ISO 20846

Standard test method for trace nitrogen in liquid


petroleum hydrocarbons by syringe/inlet oxidative
combustion and chemiluminescence detection

ASTM D 4629

Standard test method for distillation of petroleum


products at atmospheric pressure

ASTM D 86

Standard test method for boiling-range distribution


of petroleum fractions by gas chromatography

ASTM D 2887

Standard test method for refractive index and


refractive dispersion of hydrocarbon liquids

ASTM D 1218

Petroleum products, determination of aromatic


hydrocarbon types in middle distillates, highperformance liquid chromatography method
with refractive index detection

EN 12916

Standard test methods for aniline point and


mixed aniline point of petroleum products and
hydrocarbon solvents

ASTM D 611

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Hydrocarbon Processing|MAY 201663

Process Engineering and Optimization


cooking oil/diesel oil is performed. The average values of the
characteristics of the diesel oil obtained during the coprocessing of oil, and during the blank run, are shown in TABLE 5.
Based on the results, it can be seen that the nitrogen and density values of the product diesel oil decrease when vegetable oil
is coprocessed with sulfur. This is because part of the feed diesel
oil is substituted for vegetable oil. When hydrotreated, the vegetable oil does not have high concentrations of sulfur or nitrogen
and becomes a lighter product than the original.
The formation of n-paraffins in the desulfurized diesel oil
causes a decrease of the refractive index and an increase in the
aniline point, due to the increase of the paraffinic character
of the diesel oil at the expense of a decrease in aromatic compounds, as it is observed in the mass percentage of the monoaromatic compounds in the sample.
The cetane index, which is calculated using the data from
the distillation of the product and its density in the two relevant
stages of the experiment, shows an increase of almost five units.
100.0
99.9
HDS, %

99.8
99.7

99.6
99.5

WCO+SRGO
0

SRGO

10 20 30 40 50 60 70 80 90 100 110 120 130 140 150 160 170


Time onstream for coprocessing, hr

FIG. 7. Percentage of desulfurization during the coprocessing of


cooking oil and the blank run.

S0 SP
100
S0

(1)

where:
S0 is the sulfur concentration of the feed in mg/l
SP is the sulfur concentration of the product diesel oil in mg/l.
Equivalently, but using the nitrogen concentration of the
samples, the value of the percentage of denitrification can be
determined using Eq. 2:
% Denitrification=

N0 NP
100
N0

(2)

where:
N0 is the nitrogen concentration of the feed in mg/l
NP is the nitrogen concentration of the product diesel oil
in mg/l.
FIGS. 7 and 8 show the percentage of desulfurization and denitrification during the coprocessing and the blank run. It can
be seen that, during the coprocessing, desulfurization remains
virtually constant, with values ranging from 99.73% to 99.84%
and an average value of 99.74%. Meanwhile, in the blank run,
the percentage of desulfurization is 99.8%. If the percentage of
denitrification of the diesel oil is analyzed, it can be seen that a
decrease occurs when oil is coprocessedfrom 97.5% to 95.5%.

Pure diesel oil

Coprocessing of
cooking oil/diesel oil

Sulfur, mg/l

21.7

15.3

Nitrogen, mg/l

2.18

2.1

0.828

0.821

1.4607

1.4577

74.17

78.5

60.35

65.2

Parameter
WCO+SRGO
0

10

SRGO

20 30 40 50 60 70 80 90 100 110 120 130 140 150 160 170


Time onstream for coprocessing, hr

FIG. 8. Percentage of denitrification during the coprocessing of


cooking oil and the blank run.

Density at 15C, kg/l


Refractive index at 20C
Aniline point, C
Cetane index

35

T10

233.9

222.3

25

T30

259.3

262.7

20

T50

280

295.9

15

T70

306.1

316.8

T90

340.4

359.4

T95

380.4

380.4

SRGO+WCO
SRGO

30

% m/m

% Desulfurization=

TABLE 5. Results of analyses performed on product diesel oil


obtained during coprocessing of oil and the blank run

HDS, %

100
99
98
97
96
95
94
93

This increase is significant and provides proof of the improvement of quality in terms of self-ignition that the product diesel
oil experiences as it contains HVO.5
It is interesting to compare the percentage of desulfurization
and denitrification of the feed during the experiment of coprocessing and the blank run. The percentage of desulfurization of
diesel oil can be determined using Eq. 1:

10
5
0

Distillation, C

Aromatics, %m/m
nC8 nC9 nC10 nC11 nC12 nC13 nC14 nC15 nC16 nC17 nC18 nC19 nC20 nC21 nC22 nC23
n-paraffins

FIG. 9. Analysis of the n-paraffins of desulfurized product diesel oil.

64MAY 2016|HydrocarbonProcessing.com

21.9

19.8

Diaromatics

2.8

2.9

Triaromatics

0.3

0.3

Monoaromatics

Process Engineering and Optimization


In view of these results, it could be said that coprocessing of
cooking oil in high concentrations (20% by weight) can lead to
slight decreases in the desulfurization capacitiesand, more
clearly, in the denitrification capacitiesof the hydrotreating
catalyst. These decreases can be especially observed in light of
the feed having a smaller amount of sulfur and nitrogen than the
pure SRGO during the coprocessing (TABLE 6).14,15,16
Analysis was also performed on liquid and gaseous products
and byproducts formed as a result of catalytic coprocessing of
vegetable oil. Although their formation is evident in the changes
that the desulfurized diesel oil experiences, a chromatographic
analysis can determine the content of n-paraffins in diesel oil
when vegetable oil is coprocessed, and in the blank run. The
results of this analysis are shown in FIG. 9.
As can be seen in FIG. 9, n-paraffins of 17 to 18 carbons have
increased, probably due to the hydrotreating of the vegetable
oil triglycerides. From the data obtained, the proportion of
reactions through which the cooking oil reacts can also be
determined. FIG. 10 shows a diagram of the possible reactions
that occur.17
Considering that hydrotreating of triglycerides produces nparaffins of 15 to 18 carbons, the percentage of n-paraffins that
are formed following the route of the hydrodeoxygenation can
be determined, for which Eq. 3 can be used:
Hydrodeoxygenation (%)=

nC16 +nC18
100
nC15 +nC16 +

nC17 +nC18

(3)

Decarboxylation and/or
nC15 +nC17
=
nC15 +nC16 +
Decarbonylation (%)
nC17 +nC18

100

(4)

where:
nC15 + nC17 are the n-paraffins formed following the
route of decarboxylation/decarbonylation
nC15 + nC16 + nC17 + nC18 are the n-paraffins formed
due to the hydrotreating of cooking oil.
The results of these calculations show that approximately
23% of the n-paraffins from oil are formed following the route
of the hydrodeoxygenation, whereas the remaining 77% from
following the route of the decarboxylation/decarbonylation.
This relation coincides with what has been published in literature:14 the NiMo/Al2O3 catalysts, under high-temperature
conditions and with a high percentage of vegetable oil in coprocessing, favor decarboxylation and decarbonylation reactions over those of hydrodeoxygenation.
Another important aspect to consider during the coprocessing of cooking oil with diesel oil is the formation of light
gases, such as propane, carbon dioxide and carbon monoxide,
associated with the reactions of the hydrotreating of vegetable
oil. This is shown in TABLE 7, where the composition of the gaseous products is observed and increases are seen in the amount
of propane and methane. This gives the coprocessing a higher
added value, since the production of LPG would increase.

where:
nC16 + nC18 are the n-paraffins formed following the
route of hydrodeoxygenation
nC15 + nC16 + nC17 + nC18 are the n-paraffins formed
due to the hydrotreating of cooking oil.
Likewise, the percentage of n-paraffins that follow the route
of decarboxylation and decarbonylation can be determined.
However, this time, the n-paraffins that have an odd number of
carbons in their chains must be taken into account. The equation would then read as shown in Eq. 4:
TABLE 6. Results of analyses performed on the feed during
coprocessing
Analysis

Result

Density at 15C, kg/l

0.858

Sulfur, mg/l

7160

Nitrogen, mg/l

57.1

Vegetable oil, %m/m

20.48

Decarboxylation
+H2

O
CH2

C
O

R

+H2

CH2

C
O

R

CH2

R

Decarboxylation
+2H2
Hydrodeoxygenation
+4H2

R - H + CO2 + C3H8
R - H + H2O + CO + C3H8
R - CH3 + 2H2O + C3H8

FIG. 10. Possible reaction routes of hydrogenation of triglycerides.


Select 164 at www.HydrocarbonProcessing.com/RS

65

Process Engineering and Optimization

Analysis of the gaseous products,


% by volume

Pure diesel oil

Coprocessing
of oil/diesel oil

99.055

97.649

0.04

0.457

0.543

Hydrogen
Propane
Carbon monoxide
Carbon dioxide

0.081

0.152

Methane

0.084

0.399

Other gases

0.242

0.8

Recommendations. The reactions of the hydrotreating of

vegetable oil occurring during the coprocessing stage produce


an increase in temperature at the top sections of the catalyst
bed, as well as a slight decrease in the catalyst hydrodenitrification capacity. Both observed effects are corrected once the plant
feed is substituted for pure SRGO, indicating that there is no
remaining effect from the vegetable oil.
The main products resulting from the hydroprocessing of
vegetable oil are light gases, such as CO2 , CO and propane,
as well as long-chain n-paraffins containing mainly 17 carbon
atoms. This indicates that, in the operating conditions used
(T = 385C, Oil = 20% m/m, NiMo/Al2O3 catalyst), decarboxylation/decarbonylation reactions are favored to the detriment
of hydrodeoxygenation. This implies a lower consumption of
hydrogen due to the processing of vegetable oil.
On the other hand, the increase of n-paraffins in the desulfurized diesel oil causes a decrease in its density along with a significant increase in the cetane index, which results in a quality
improvement of the product diesel oil. Under the operating conditions used, the complete conversion of the oil triglycerides and
the elimination of most of the diesel sulfur (99.7%99.8%) are
obtained, which demonstrates the technical feasibility of coprocessing using commercial catalysts for catalytic hydrotreating.
ACKNOWLEDGMENTS
The authors would like to acknowledge the following entities for their assistance or involvement in the preparation of this article: the Ministry of Education,
Culture and Sports of the Government of Spain for its Formacin del Profesorado
Universitario (FPU) grant; the Cepsa Research Center; the Cepsa Refinery in
Tenerife, Spain; and the CaHe Investigation Group, Catlisis Heterognea, at the
University of La Laguna in Spain.
LITERATURE CITED
Talebien-Kiakalaieh, A., N. Aishah and H. Mazaheri, A review on novel processes of
biodiesel production from waste cooking oil, Applied Energy, Vol. 104, April 2013.
2
European Parliament, Directive 2009/28/CE, April 2009.
3
Sotelo-Boys, R., F. Trejo-Zrraga and F. Hernndez-Loyo, 2012, Hydroconversion
of triglycerides into green liquid fuels, Hydrogenation, Croatia, October 2012.
4
Al-Sabawi, M., J. Chen and S. Ng, Fluid catalytic cracking of biomass-derived
oils and their blends with petroleum feedstocks: A review, Energy Fuels, Vol. 26,
July 2012.
5
Bezergianni, S. and A. Dimitriadis, 2013, Comparison between different types of
renewable diesel, Renew. Sust. Energ. Rev., Vol. 21, May 2013.
6
Al-Sabawi, M. and J. Chen, Hydroprocessing of biomass-derived oils and their
blends with petroleum feedstocks: A review, Energy Fuels, Vol. 26, June 2012.
7
Veriansyah, B., J. Young Han, S. Ki Kim, S. Hong, Y. Jun Kim, J. Sung Lim, Y. Shu, S.
Oh and J. Kim, Production of renewable diesel by hydroprocessing of soybean oil:
Effect of catalysts, Fuel, Vol. 94, April 2012.
8
Kim, S. K., J. Y. Han, H. Lee, T. Yum, Y. Kim and K. Kim, Production of renewable
diesel via catalytic deoxygenation of natural triglycerides: Comprehensive
understanding of reaction intermediates and hydrocarbons, Appl. Energy, Vol. 116,
March 2014.
1

66MAY 2016|HydrocarbonProcessing.com

Mikkonen, S., Second-generation renewable diesel offers advantages, Hydrocarbon


Processing, Vol. 87, February 2008.
10
Bezergianni, S., A. Dimitriadis and D. Karonis, Diesel decarbonization via effective
co-hydroprocessing of residual lipids with gasoil, Fuel, Vol. 136, November 2014.
11
Holmgren, J., C. Gosling, R. Marinangeli, T. Marker, G. Faraci and C. Perego,
New developments in renewable fuels offer more choicesVegetable oil-based
diesel can offer better integration within crude-oil refineries for fuels blending,
Hydrocarbon Processing, Vol. 127, September 2007.
12
Pinto, F., S. Martins, M. Gonalves, P. Costa, I. Gulyurtlu, A. Alves and B. Mendes,
Hydrogenation of rapeseed oil for production of liquid bio-chemicals, Appl.
Energy, Vol. 102, February 2013.
13
Liu, F., K. Fan, W. Tian, C. Liu and L. Rong, Hydroprocessing of jatropha oil over
NiMoCe/Al2O3 catalyst, Int. J. Hydrog. Energy, Vol. 37, December 2012.
14
Tiwari, R., B. S. Rana, R. Kumar, D. Verna, R. Kumar, R. K. Joshi, M. O. Garg and
A. K. Sinha, Hydrotreating and hydrocracking catalysts for processing of waste
soya-oil and refinery-oil mixtures, Catal. Commun., Vol. 12, February 2011.
15
Bezergianni, S., A. Dimitriadis and G. Meletidis, Effectiveness of CoMo and NiMo
catalysts on co-hydroprocessing of heavy atmospheric gasoil-waste cooking oil
mixtures, Fuel, Vol. 125, June 2014.
16
Kubika, D. and J. Horek, Deactivation of HDS catalysts in deoxygenation of
vegetable oils, Appl. Catal. A-Gen., Vol. 394, February 2011.
17
Vonortas A., Ch. Templis and N. Papayannakos, Effect of palm oil content on deep
hydrodesulfurization of gasoil-palm mixtures, Energy Fuels, Vol. 26, May 2012.
9

TABLE 7. Analyses of gaseous product compositions from


pilot plant

HCTOR DE PAZ CARMONA is a chemical engineer completing


his PhD in chemistry and chemical engineering at the
University of La Laguna in Santa Cruz de Tenerife, Spain.
He works in collaboration with the Cepsa Research and
Development (R&D) Center in Madrid, Spain and the Cepsa
refinery in Tenerife, Spain to study the development of new
biofuels and the addition of used cooking oil in a conventional
diesel hydrotreating unit.
ANDREA BRITO ALAYN is a professor of chemical
engineering at the University of La Laguna in Santa Cruz de
Tenerife, Spain. Since 1985, she has served as head of the
heterogeneous catalysis research group at the university.
Her main research interest is heterogeneous catalysis in
the production of biofuels from renewable raw materials.
Ms. Alayn has directed numerous research projects and
doctoral theses, and is the main author of several research papers about
biofuels, heterogeneous catalysis and petroleum chemistry.
MARIAM ROMERO VZQUEZ is responsible for the
hydrotreating and hydrocracking areas at Cepsas R&D Center.
She graduated in chemical engineering from Complutense
University in Madrid, Spain and holds an MBA degree.
Her work is focused on pilot plant testing, catalyst
benchmarking and interlocution with catalyst suppliers,
modeling and follow-up of industrial units.
JUANA FRONTELA DELGADO is the manager of Cepsas
R&D Center. She earned her degree in chemical engineering
at Complutense University of Madrid in 1986. From 1986 to
1990, she was involved with the Institute of Catalysis and
Petroleochemistry in Madrid. She joined Cepsas R&D Center
in 1990, where she acquired industrial experience in different
refining and petrochemical processes. In 1992, she assumed
responsibility of the hydroprocessing area at the R&D Center, and in 2004
she began managing the bitumen area. In 2012, she became responsible
for the refining department and biomass area. Since 2014, Ms. Delgado has
been responsible for the entire Cepsa R&D Center. She has been involved in
several R&D projects funded by Spanish and European programs, and she is
also the author of several technical papers and patents.
JOSE J. MACAS-HERNNDEZ is responsible for the planning
department of Cepsas Tenerife refinery. Previously, he held
responsibility for process engineering and advanced process
control. He also teaches in the chemical engineering
department at the University of La Laguna, where his subjects
cover simulation in chemical engineering, petroleum
technology and process design. Mr. Macas-Hernndez is
the author of several research papers and has participated in research groups
under framework programs of European cooperation.

Heat Transfer
A. CHILKA and A. GARG, Furnace Improvements
Services Inc., Sugar Land, Texas

Use computational fluid dynamic analysis


to revamp fired heaters
A refinery process fired heater system
consists of multiple sub-units, of which
the fired heater is the most critical, as it impacts the overall efficiency of the system.
Other units include the air preheater, the
burner plenum, the induced-draft (ID)
fan and the process fluid piping system.
As all of these units are interconnected, each one must operate optimally to
ensure an efficient working unit. Computational fluid dynamic (CFD) modeling is a viable simulation tool that can be
applied to improve the efficiency of these
sub-units. CFD has been applied to address issues like high tube metal temperature (TMT) and the reduction in TMT
using patented inclined firing technology.
The working philosophy applied here
is to first build a CFD model for which
results can be validated against field
measurements and observations. Once
a validated CFD model is achieved, various design modifications are evaluated
to select the most feasible design option.
Multiple design modification options,
such as reducing burner circle diameter
and changing the burner inclination angle, are evaluated. The final proposed design is selected based on the reduction in
maximum TMT, as compared to the existing heater configuration. The proposed
modification is incorporated within mechanical feasibility, and then fine-tuned
considering the practical limitations for
final implementation.
Crude heating system components.
The crude heater is one of the most essential heaters in a refinery. In the last few
years, crude units have taken on increased
importance due to crude oil feedstocks
becoming lighter. The price differential in
the crudes is also forcing refiners to switch
to lighter, shale-based crudes. With the

increase in lighter shale crude processing,


the crude heaters are becoming coked due
to asphaltenes and unstable compounds.
This is leading to short run lengths and directly affecting refinery profitability.
One of the major reasons for a short
run length is linked to coke formation in
the radiant section tubes. With excessive
coke formation, refiners cannot process
the required throughput in the furnace
and must shut down to clean the heaters
prematurely. However, coke formation
is an inevitable occurrence in the crude
heater. Coke can be laid down by flame
impingement; it may be due to low flows
on the tube side, which allow high TMT
to be attained even without excessive firing conditions. In either event, tube rupture is a foreseeable outcome.
Sometimes, localized hot spots develop on tubes where partial loss of flow or
flame impingement has occurred. In addition to flame impingement and high TMT,
other typical problems in crude heaters are
positive pressure at the arch, forced-draft
(FD) fan limiting, ID fan limiting, high
fuel gas pressure, low oxygen level and
high stack temperature. All of these issues
could be analyzed, and possible design
modification options could be evaluated
using CFD-based simulation techniques.
CFD-based simulations have become
a widely accepted tool for evaluating various design options for new and revamped
fired heaters. Over past several years, CFD
has been used extensively by the industry
to analyze existing heaters and evaluate
possible modifications to improve the performance of process heaters. Simulations
are used to evaluate the burner orientation, the spacing of burners with respect to
the flue gas flow profile, the temperature
distribution in the heater and the TMT
profile on the radiant tubes.

CFDs can be used to understand the


radiant box in detail, considering the multiple-burner system. Flue gas flow pattern
and flame characteristics depend on the
heater internal layout of burners, radiant
coils and convection section coils. The
flue gas flow patterns and the flame characteristics of a multiple-burner system
could be different from a single burner.
CFD results provide detailed insight into
the flue gas circulation patterns, multipleburner flame-to-flame interaction (if any),
and flow of hot flue gases or flame rollover
onto the radiant tubes. CFD also identifies the regions of high TMT, which could
be directly correlated with field observations or measurements.
Validation of CFD results against field
measurements and observations is crucial,
as it forms the basis of evaluating possible
design modifications. Parameters that can
be used to validate the CFD results are airside pressure drop in the burner, fuel-side
pressure drop in the burner, flue gas temperature at the arch, infrared scan data for
TMT profiles and visual observations of
flames and flue gas patterns, to name a few.
Crude heater case study. A furnace
services provider was employed by a re-

FIG. 1. A balanced-draft heater with a


common air preheat system.
Hydrocarbon Processing|MAY 201667

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Fuel Cell Technology & Smart Grids

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make sure your company doesnt miss out!

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the conference content team on content@dmgevents.com.
Or, visit our website: www.gastechevent.com/hp1

Heat Transfer
finery to review the performance of its
crude heater (FIG. 1). The crude heater is
a balanced-draft heater with a common
air preheat system. It is a vertical cylindrical twin-cell heater with a design heat
duty of 261.14 MMBtu/hr. The client
experienced high TMT in the heater and
wanted to identify ways to reduce TMT
in the radiant section.
The services provider analyzed the design and existing operation of the crude
heater flue gas ducts, air ducts and ID and
FD fans. Based on its evaluation, the company recommended that improvements
be made to the heater performance.
Existing low-NOx burners are installed
in the heater at a burner circle diameter of
17 ft, 3.75 in. The tubes are laid out on a
27-ft, 3.75-in. diameter. The burner-totube clearance is only 5 ft. It was recommended to install the burners at an angle
using patented inclined firing technology
on a smaller burner circle diameter, and
to increase the burner-to-tube clearance
to the maximum.
The heater is designed for a total process heat duty of 261.41 MMBtu/hr with
an efficiency of 90.5%. The flue gas design temperature leaving the radiant section is 1,435F.
The radiant section consists of two
vertical, cylindrical radiant cells. The
cells are identical in construction. Each
cell is 82 ft 2.25 in. tall and 30 ft
0.25 in. wide. The process coil is arranged vertically along the side walls.
The radiant section average heat flux is
10 MBtu/hr-ft2. The radiant section has
120 tubes60 tubes per cell. Each radiant cell caters to six passes.
The heaters were designed to operate with 24 numbers of floor-mounted,
forced-draught low-NOx fuel gas-fired
burners. Each cell contained 12 burners.
The burners had a normal heat release of
15 MMBtu/hr and a design heat release

of 18 MMBtu/hr. Detailed CFD-based


simulations were carried out to understand the high TMT region and the flue
gas patterns to correlate the field observations. They also showed the improvement
by lowering the TMT and improving flue
gas flow patterns in the heater. This was
accomplished by installing burners at reduced burner circle diameter and inclined
toward the center of the heater.
Geometry of the crude heater. For
simulations, a 90 sector of the heater was
considered with corresponding radiant
process tubes and a portion of convection section. The geometrical model of
the heater is meshed with a combination

Membrane
Technology

FIG. 3. Velocity vectors.

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E-mail: info@borsig.de
FIG. 2. Computational model of the heater,
showing three burners, 15 radiant tubes and
the mesh distribution around the burner.

FIG. 4. Temperature contours.

Egellsstrasse 21
D-13507 Berlin/Germany
Select 165 at www.HydrocarbonProcessing.com/RS

Heat Transfer
of hexahedral and tetrahedral elements.
The total mesh count of 6.2 MM cells
was used to simulate the crude heater.
FIG. 2 shows the computational model
with three burners, 15 radiant tubes and
the mesh distribution around the burner.
Combustion simulations were performed using a proprietary CFD software
package. Modeling details include:
A realizable K-epsilon turbulence
model was used to account for the
turbulence flow and the mixing of
air and fuel streams. For the inlet
boundaries, turbulent intensity
and hydraulic diameter values were
specified. A realizable K-epsilon
model with high-quality mesh and
higher-order discretization schemes
provides appropriate results for
flue gas flow patterns, temperature
profile and flame patterns.

A non-premixed probability
density function PDF model was
used to model the combustion
process. Based on the fuel
composition, all the relevant
species were considered and
tabulated on the corresponding
table. The PDF table was generated
after considering a sufficient
number of mean mixture fractions
and mean enthalpy points, along
with compressibility effects.
A discrete-ordinate radiation
model was used to capture the
radiative heat transfer in the heater.
The angular discretizations of three
each for the theta and phi divisions,
and two each for the theta and phi
pixels, were used to capture the
radiant heat transfer accurately.
A weighted-sum-of-gray-gases
(WSGG) domain-based model was
used for the absorption coefficient
estimation of flue gases. The
frequency of five flow iterations
per radiation iteration was used.
The gravity of acceleration was
specified, along with the ambient
density for the draft pressure
profile in the heater.
Details of the boundary conditions
used in the simulation include:
The mass flow inlet boundary type
was used for fuel and air inlets
to specify the mass flowrates and
temperature values.

A pressure-outlet boundary type


was used for the heater outlet
to specify the draft pressure at
the elevation of the heater
considered for the analysis.
A convection heat transfer boundary
condition was used for radiant
process tubes to specify the average
process fluid temperature, heat
transfer coefficient and emissivity.
As the temperature of process
fluid varies from inlet to outlet in
the radiant section, an ideal setup
would include a different process
fluid temperature for each tube.
However, for simulations, an average
process fluid temperature for all
tubes was considered. The inside
heat transfer coefficient for all of the
process tubes was initially specified
based on the data from the process
calculations. Average heat flux
across all of the radiant tubes was
matched with the data from process
calculations by adjusting the heat
transfer coefficient value.
Steady-state simulations were performed until complete convergence of
mass and energy balance for the system
was achieved. Generally, it takes about
3,5004,000 iterations to achieve fully
converged results.

FIG. 7. Heat flux distribution.

FIG. 8. Temperature profile on radiant tubes.

CFD simulation results. Air-side and

fuel-side pressure drops obtained from


CFD results were 1.1 in. WC and 19.2 psi,

FIG. 5. Draft profile in the heater.

FIG. 6. Flame profile.

70MAY 2016|HydrocarbonProcessing.com

Heat Transfer
respectively. These values matched very
closely with both the process calculations
and the field operational data. It was crucial to match the pressure drop values for
both the air and fuel sides, as these strongly
influence the flame characteristics and the
flue gas circulation pattern in the heater.
FIG. 3 shows the velocity profile in the
heater for the existing case. High-velocity
flue gas hit the radiant tubes in the lower
section of the heater. As the burners were
placed at a large burner circle diameter,
a strong downward flue gas circulation
pushed the flue gas from the center toward
the radiant tubes. This caused hot flue
gases to flow over the radiant tubes in the
lower section of the heater (also evident
in FIG. 4, showing the flue gas temperature
distribution in the heater). Flue gas with a
temperature of around 2,200F flows over
the radiant tubes in the lower section of
the heater. These results conform to the
field observations of high-tube-metaltemperature spots observed in the heater.
FIG. 5 shows the draft profile in the
heater, which increases closer to the heater
floor. To obtain realistic flue gas circulation
patterns in the heater, it is important to obtain the correct draft profile in the heater.
FIG. 6 shows the flame profiles colored
by height. The visible flame surface in the
heater is estimated using an iso-surface
of 2,000 ppmv of carbon monoxide. The
flames are 21 ft high, with the top portion
of the flame leaning toward the radiant
tubes. Due to the strong downward flow
in the central core of the heater, flames are
pushed outward toward the radiant tubes.

This, in turn, causes high flue gas temperatures to flow over the radiant tubes,
resulting in high TMT.
FIGS. 7 and 8 show the heat flux distribution and TMT profiles on the radiant
tubes, respectively. The bottom sections
of the tubes have very high heat flux and
TMTs. The maximum heat flux and TMT
are approximately 55,670 Btu/hr-ft2 and
1,100F, respectively. Heat flux and TMT
values decrease along the heater height.
Based on these results, it was concluded that the CFD model encapsulated the
flame profiles and temperature distribution, matching the field observations of
high TMT and hot flue gases flowing over
the lower section of the radiant tubes.

FIG. 10. Flame profile for the proposed


inclined firing case.

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FIG. 9. Temperature profiles for the proposed


inclined firing case.

FIG. 11. Heat flux distribution on radiant tubes


for the proposed inclined firing case.
Select 166 at www.HydrocarbonProcessing.com/RS

Heat Transfer
Various design modifications were
evaluated, with the constraint of reusing

FIG. 12. Tube metal temperature for the


proposed inclined firing case.

original low-NOx burners. Reducing the


burner circle diameter to increase the
clearance between the burners and the radiant tubes was initially evaluated. These
modifications showed some improvement
in the heat flux distribution and some reduction in the TMT. The additional modification of inclining the burners toward
the center of the heater was then evaluated. The combined modifications showed
substantial improvement in the heat flux
distribution over the radiant tubes and
some reduction in the TMT. Results for
the final proposed modifications are discussed to show the improvement.
FIG. 9 shows the temperature profile in
the heater for the proposed inclined firing
case. High flue gas temperatures move
away from the tubes and toward the center of the heater, reducing flue gas temperatures by approximately 200F around
the radiant tubes. Inclining the burners
keeps the high temperature region restricted only to the center of the heater.

FIG. 10 shows the flame profiles. The


flames have moved away from the radiant tubes toward the center of the heater.
Inclining the burners helps to increase
the clearance between the flames and the
radiant tubes, which, in turn, reduces the
heat flux and TMT. Reducing the burner
circle diameter helps to reduce the velocity of downward flue gas flow, keeping the
flames in the central core of the heater.
FIGS. 11 and 12 show the heat flux and
temperature profiles on the radiant tubes
for the proposed case. The maximum
heat flux in the bottom one-third section is reduced to 43,100 Btu/hr-ft2 from
55,670 Btu/hr-ft2. Also, the heat flux distribution is almost uniform in the bottom
two-thirds section. The heat absorption
pattern for the bottom and middle onethirds sections is 43% each, and the top
one-third section is 14%. The temperature profile also shows uniform TMT,
reducing the maximum TMT to 1,010F,
showing a reduction of almost 70F.

TABLE 1. Comparison of key process parameters for existing and proposed cases
Parameter

Unit

Air-side pressure drop

in. WC

Existing case

Proposed inclined case

1.1

1.1

Fuel pressure drop

psi

19.2

19.2

Average radiant heat flux

Btu/hr-ft2

20,560

19,430

Maximum radiant heat flux

Btu/hr-ft2

55,670

43,100

Maximum TMT

1,080

1,010

Flue gas outlet temperature

1,350

1,416

Flame height

ft

20.5

23.5

TABLE 2. Comparison of average radiant heat flux


Average radiant heat flux
Section
FIG. 13. Comparison of temperature profiles
for existing and proposed cases.

Existing case

Proposed inclined case

Bottom one-third

33,600

23,200

Middle one-third

18,800

24,800

Top one-third

9,200

10,200

FIG. 14. Comparison of normalized heat flux distribution.

72MAY 2016|HydrocarbonProcessing.com

FIG. 15. Comparison of CO mass fraction.

Heat Transfer
Comparison of cases. The comparison

of key process parameters for the existing


and proposed cases is shown in TABLE 1.
The maximum heat flux value is reduced
by 12,500 Btu/hr-ft2, and the maximum
TMT is reduced by 70F for the radiant
tubes. For the inclined firing case, the
flame height is increased by 3 ft. Overall,
a significant improvement is observed in
the flue gas flow pattern and temperature
profile of the heater, as shown in FIG. 13.
The high-temperature flue gas flowing over the radiant tubes is completely
eliminated in the proposed inclined firing case. For the proposed case, the central region of the heater has a high temperature, helping to reduce the high heat
flux and corresponding high-TMT spots
in the heater.
FIG. 14 shows the comparison plot of
the normalized heat flux distribution of
radiant tubes for the existing and proposed inclined firing cases. The heat
flux of the radiant tubes is normalized
based on the average radiant heat flux of
20,000 Btu/hr-ft2 for both cases. A normalized heat flux distribution plot along
the height of the radiant tube shows that,
for the proposed inclined firing case, heat
flux valves have been considerably reduced for the bottom one-third section
of the heater. The total height of the radiant tubes is divided into three sections:
the bottom one-third, the middle onethird and the top one-third. The average
radiant heat flux for each of the three sections is compared for both the existing
and proposed cases, as shown in TABLE 2.
FIG. 15 shows the comparison of CO
mass fraction contours at different elevations in the heater. CO mass fraction contours are used to understand the flame
profile along the height of the heater.
Horizontal planes at different elevations
in the heater are used to visualize the
flame profile for both cases. Regions with
red color signify a CO mass fraction value
of 2,000 ppm or more. For the proposed
case, the flame profile is at considerable
distance from the radiant tubes. These
profiles also show that the diameter of
the flame for the proposed case decreases
along the heater height.
CFD simulation results provided detailed insights of the heater in terms of
flame profiles, temperature distribution,
regions with high TMT, and flue gas recirculation patterns. Using CFD simulations, multiple design modifications were

evaluated to understand the extent of improvement with respect to reduction in


maximum TMT, flue gas circulation patterns and flame profiles. Based on these
results, the design modifications that
provide the most improvement in heater
performance were selected.
Proposed modifications based on the
CFD analysis presented in this study were
implemented by the client, and the field
results reported an approximate reduction
of 150F in TMT. Neither hot flue gas impingement nor flame leaning toward the
radiant tubes was observed. CFD analysis
was used alongside the process calculations to evaluate the possible modifications in the burner layout to eliminate the
high-TMT issue in the heater, and also to
improve the run length of the heater.
CFD is a viable and proven simulation
tool that is widely used for the analysis
of fired heaters and for troubleshooting
heater performance issues. Any potential design modification can be evaluated
using CFD before implementation in
the field to understand the extent of improvement possible.

AMARVIR CHILKA works at Furnace


Improvement Services' office in
Pune, India, as a CFD engineer.
He has 14 years of experience in
the field of computational fluid
dynamic modeling. He has worked
on a variety of process fired heaters,
performed detailed combustion analyses, studied and
improved air flow maldistribution across multiple
burners, and improved flow and reduced system
pressure losses for the induced-draft fan suction and
discharge side. Mr. Chilka previously worked at the
Fluent India office for six years, and Tridiagonal
Solutions for seven years, working on various CFD
consulting projects for the process, energy and oil
and gas sector. He holds an MTech degree from the
Indian Institute of Technology in Madras, India.
ASHUTOSH GARG has more than
40 years of practical experience
in the design, engineering and
troubleshooting of fired heaters.
He has provided fired heater
training for more than 15 years, and
has worked in the heater groups
of KTI India, Engineers India and KTI Corp. for almost
20 years. Since 1996, he has being leading more than
20 engineers and designers at Furnace Improvements.
Mr. Garg is a registered professional engineer and
a member of AIChE. He is also a member of the
API subcommittee on heat transfer equipment.
He holds five patents on fired heater improvements,
and he has also published several papers on fired
heaters. Mr. Garg graduated from the Indian Institute
of Technology in Kanpur, India in 1974.

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MAY 23-25 2016


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Environment
and Safety
K. MOLLY, North Highland Worldwide Consulting,
Houston, Texas

Lifting of US crude export ban will impact


process safety management
Since the Arab oil embargo in the 1970s, the US government
has restricted the export of crude oil to curb dependence on
crude oil imports. According to various reports, by 2005, total
US petroleum consumption from oil and product imports rose
to over 60%, as compared to 35% in 1973. However, with the
emergence of hydraulic fracturing and directional drilling, the
vast quantities of now-recoverable oil in the US have significantly reduced that import dependence.
As a result, in 2014, the import percentage dropped to
nearly 25%. The ramp-up of US production with light crude
oil spurred a wave of downstream and midstream development
and provided refiners with a healthy margins boost from the discounted light crude oil. Then the shale boom came, saturating
the market with an oil surplus that, today, has many exploration
and production companies at the mercy of lower oil prices.
Over the past several years, industry organizations and companies have promoted the benefits of lifting the crude export
ban. Major industry studies seemed to agree that lifting the ban
on crude oil exports would improve the US economy by providing the following tangible benefits:
Increasing oil and gas production
Reducing the price of motor fuels between $0.01 and $0.12
Increasing US jobs and wages, particularly in
manufacturing, engineering, and oil and gas
Increasing capital investments
Improving the US GDP.
As with any change in economics, there are predicted pros
and cons. Refiners are especially vulnerable, primarily because,
at some point, they may lose some of their margins associated
with the discounted light crude oil. Refiners may invest in
plant modifications to handle light crude, and producers located near ports might export to obtain international prices.
Regardless of the economics and which companies stand
to profit the most and when, downstream and midstream assets will still need to keep up with demand. This will increase
throughput on aging assets and on new assets coming online,
now that the crude oil export ban has been lifted. These changes
pose a bigger risk of potential process and personal safety incidents and will create conditions that require extra diligence
from operations, engineering and reliability/maintenance to
ensure safe operating conditions. To counter these risks, pro-

cess safety management (PSM) practices will need to evolve to


meet the increased risks to personnel and operational safety.
Why PSM is even more critical. PSM is a mixture of en-

gineering and operations management focused on preventing


catastrophic accidents, such as explosions and releases associated with the use of chemicals and petroleum products. It is one
part personal accountability for safe conditions, and two parts
an overall management system designed to prevent dangerous
operating conditions and ensure the right actions are being taken, as illustrated in FIG. 1.
Examples of what make up an overall management system
include management of change, asset integrity programs, hazard analysis, information management and other factors.
Several factors raise risks to safety and safety management
systems, and they multiply the likelihood of improper actions
contributing to a serious incident. These factors include, but are
not limited to:
Additional shutdowns and startups associated with
increased maintenance
Higher expectations of plant run times
Decreased spending on proactive maintenance
Surge in management of change (MOC)
Decreased time available to ensure that engineering data
Personal
accountability
for safe
conditions

Management
of change
Risk management
program
Hazard analysis

Training

Management system
connecting capabilities
and information across
the business

Process
safety
management

Asset integrity
programs
Information
management

FIG. 1. Dimensions of process safety management.


Hydrocarbon Processing|MAY 201675

Environment and Safety


is accurate and modified accordingly
Site congestion due to construction projects
Operator overtime with turnarounds
Training time or learning periods with new assets
Training time with new, inexperienced employees
Operations outside normal parameters.
These factors tend to occur when downstream and midstream facilities have increased throughput or are going through
expansions, such as in the case of adjusting to the new reality of
freely exporting crude oil. When multiple conditions exist, the
potential for a catastrophic incident is even greater and requires
increased diligence.
Aside from the responsibility of ensuring safe operating conditions for employees, additional impacts of todays environment
are shown in FIG. 2. While all the elements of PSM programs are
important, several key components will require additional risk
management efforts to mitigate pending impacts to the assets.
Asset integrity and reliability programs. Asset integrity
and reliability programs are needed to monitor the effects of
changing operating conditions that could result in shorter
equipment and material lifecycles. These two programs work
best in collaboration on a reactive and proactive basis. New and
modified assets, as well as older equipment that is subject to
higher performance requirements, require constant vigilance to
ensure safe and reliable operations.
Asset integrity programs help safeguard equipment and ensure it is properly designed and maintained to meet operating
demands in a safe manner. High-reliability organizations conduct consistent, sustainable and low-error operations based on
informed, high-quality decisionmaking and controls.
Typically, asset integrity programs rely on risk-based management systems to calculate corrosion attributes, pressures
and environmental/safety consequences to protect equipment
or piping from a release, ensure availability to meet needs and
prevent incidents. When operating conditions increase in pres-

Direct environmental
costs

Decreased
shareholder value

Regulator scrutiny

Direct financial
costs

Impacts of
an incident

Plant downtime

Industry and company


reputation impacts

FIG. 2. Commercial and operational impacts in the event of an incident.

76MAY 2016|HydrocarbonProcessing.com

sure or fluctuate, additional monitoring is needed to take into


account the changing conditions.
For example, if certain equipment is operating outside of its
maximum recommended parameters for a period of time, then
additional analysis should be performed to determine if the lifecycle has shortened and if an increased risk of failure exists.
Successful asset integrity and reliability groups must collaborate to go beyond their ability to make sound decisions that
maintain reliability and consistency and develop proactive programs to stay ahead of the curve. These collaborative organizations are proactive in:
Spending additional time and quality of attention to
failure and data analysis
Engaging members across various levels and functions
within the organization in the problem-resolution and
prevention process
Increasing attention to detail for better predictions
Tracking accountability to achieve performance targets
Continuously using incidents and near-misses as
opportunities for improvement and learning.
MOC and process safety info management. MOC and
information and document management systems are the keystones that link business, process and technology domains to
ensure efficient, safe and sustainable operations.
MOC involves a process of recognizing changed conditions,
evaluating associated hazards, approving the modification and
associated mitigation efforts, and closing the loop with any
updates needed to fully record the change. Increased throughput and modified and new assets all generate an abundance of
MOCs that will need to be processed thoroughly and efficiently. Effective MOC programs must have accountability to timeliness, risk analysis and mitigation efforts.
Those companies that are more progressive will tie their
MOC system to reliable asset information to ensure correct approval analysis. FIG. 3 highlights different sources of operational
changes, potentially impacted information and the risks associated with operational or commercial decisions.
The efficiency and ultimate effectiveness of MOC is dependent on the quality and access to information on which sound
decisions are based. Particularly with the increased expectancy of
commercial and operational change, organizations should move
to cohesive information and document management systems to
allow asset information to be centrally available, independent of
authoring, application or geographic location constraints. An
information and document management system should be capable of proactively delivering accurate information in support
of effective safety management decisionmaking, as well as:
Improving data integrity, design and operation efficiency
Reducing chances of errors and omissions
Decreasing time, resources and risk associated with
commissioning a new asset
Better tracking and control of the exchange and reuse
of information
Supporting hazardous operations (HAZOP) and
incident reporting
Enhancing regulatory compliance and audit
Significantly reducing time spent collecting and
reviewing asset information

Environment and Safety


Allowing for greater transparency to the sources of
information for insight, reporting and dashboards.
Contractor safety management. Contractor management

Improved sharing of information for near-incident


learnings
Improved communications with contractors/vendors on
work performance expectations.
Assessment goes beyond standard online tracking tools and
reporting. While these tools are beneficial in prequalifying a potential contractor, they are generally lagging indicators to a contractors performance and liability. Reviewing the details and
accountabilities in a contractors safety program and policies is
a better indicator of future safety performance. Field safety inspections ensure compliance to requirementsboth theirs and
the hiring companys.

pertains to managing outsourced work and compiling information on a contractors health and safety performance, insurance
information, training programs and specific documents that pertain to the work. The purpose of a contractor safety program is to
improve the qualification and monitoring of contractors, which
increasingly lies within the owners liabilities of work inside its
fence line. Larger capital and maintenance programs will increase contractor usage, and additional risks will be present due
to potential gaps in experience and capability.
A contractor safety management program
comprises three parts:
Operational/
1. Assessment
Sources of
Information impacts
commercial
Potential risks
2. Stakeholder engagement
operational changes
decisions
3. Reporting.
Drawings
Aside from screening for quality, reliable
O&M manuals
Records
contractors and vendors, the benefits of a
Regulatory
Incidents
Procedures
Integrity
Penalties
centralized contractor safety management

Operating
parameters
Operational modifications
Lost productivity

Reporting
(internal/external)
program include:
Commercial
Reputation

Measurements
Maintenance
Lost profits
Improved adherence to commercial

Training
Acquisition/divestiture
targets and better asset lifecycle costs
New construction
Modification
Potential cost savings due to fewer
Incident/spill
safety incidents, work delays and
deficient/incomplete work
FIG. 3. Systematic understanding of operational information flow and decision support.

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The Future of Downstream Project Intelligence
Project details on thousands of active projects and construction contracts in the global refining, petrochemical, gas processing,
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Advanced search, including by project type, scope, region, investment and more
Daily updates for new and updated projects
The Weekly Boxscore Update e-newsletters
Relied upon and trusted by HPI professionals for more than 60 years

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Hydrocarbon Processing|MAY 201677

Environment and Safety


Project managers can produce project safety scorecards to
track value-added metrics that tie into the individual contractors safety scorecard. In the event of a near-miss, an incident or a
questionable performance, detailed contractor safety reviews can
take place to evaluate remediation plans.
Stakeholder engagement is an ongoing process to set and support safety expectations and an owners philosophy about safety.
Leadership at the corporate level, as well as at the field site, establish the expectation through corporate safety standards and procedures, as well as time spent in communicating the importance
of adherence. Communication should be reinforced in multiple
channels by environment, health and safety; operations; procurement; commercial; and contractors. Utilizing the assessments as
Review of the facts

Project- and job-specific planning documents


Verbal and written communications
Physical conditions of the asset
Conditions of the environment (i.e., fatigue, nighttime, rain)

Root cause analysis

Who, what, when, where, why, how?


What prevented it from being a bigger event?
What could have happened?

Continuous
improvement

Corrective actions that impact others


Corrective actions that others should take
Management system improvements
Behavioral improvements

FIG. 4. Three parts to an effective contractor safety report.

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an opportunity for value-added communication supports continuous improvement in performance, as well as in learning.
Finally, formal and thorough safety reporting of hazard identification, a near-miss or an incident provides a holistic view of what
happened, what could happen and how to prevent it from happening in the future. Causation reports that rely heavily on operator error, as opposed to a full assessment of the causation(s), tend
to miss the opportunities for improvement for the individual as
well as for the organization. Effective safety reports include several
types of information (FIG. 4).
Training and communication for system think. System
think is an understanding of how disparate programs for systems
influence one another within an organization. At its essence, it is
about capable people with good information making better, safer
decisions. A safe and reliable organization has matured from a
silo-based culture to a holistic system think culture. These organizations are focused on holistic viewpoints and approaches
to openly understand vulnerabilities and solve problems, and to
routinely evaluate performance targets.
System think organizations provide examples of operational
excellence with practical evidence of high-value performance and
transferable lessons for continuous improvement for organizations that seek to reduce operational risk, improve safety and reliability, and deliver maximum value to shareholders. System think
organizations conduct consistent, sustainable and low-error operations based on informed, quality decisionmaking and controls.
While key integrating functions include asset integrity, management of change, information management and others, organizations need to ensure that leadership at all levels are equipped
and understand the accountability criteria and required behaviors to support system think. Gaps in functional training should
be closed to adequately perform and support the integration of
functions and business units. In ongoing activities, new employees and contractors require timely and effective training.
Furthermore, communications play a significant role in
bringing the desired results to fruition, particularly when organizations are stressed by changing conditions. Communications
on expectations should be messaged appropriately to the different audiences. When possible, positive reinforcement should be
used in messages to promote acceptance. To effectively achieve
adherence, expectations should be tied to corporate and field
leadership accountability of performance, improvement and
value add to the organization.
In summary, higher levels of change bring about additional
risks to process safety and reliability. While budgets may now be
tighter, companies need to ensure that they maintain and even
increase proactive risk management and other measures to prevent releases and incidents that further harm the reputation of
the company and the industry.
KATHERINE K. MOLLY is a principal with North Highland
Worldwide Consulting. She works with executive management
and project teams to improve organization processes
for safety and reliability, reduce capital program and business
process risks, and resolve program/project crisis and disputes.
Supporting owners, contractors, engineers and their legal
counsel and sureties, Ms. Molly has led assessment and
improvement organization and project programs, enhanced project execution,
coalesced conflicting parties, and participated in the settlement/litigation
of multibillion-dollar business and project disputes.

TERMINALS
AND STORAGE
2016
Special Supplement to

Optimize tank
farm operations,
safety and
profitability
T80

CORPORATE PROFILES
CB&I T85

COVER PHOTO
Atmospheric storage tanks at the Sadara project,
Saudi Arabia. Photo courtesy of CB&I.

TERMINALS AND STORAGE

OPTIMIZE TANK FARM OPERATIONS,


SAFETY AND PROFITABILITY
DIOGENES RUEDA-ROJAS, Edoxx Technical Services LLC, Sugar Land, Texas

A refinery tank farm is a key element in a facilitys profitability. The economic value added can be summarized as raw materials and fuel blending profits, schedule benefits, demurrage cost
reduction, capital cost optimization by inventory reduction and,
most importantly, client satisfaction, as tank farm operations
usually have a direct relation and interface with clients. The economic benefits in tank farm design optimization could be $0.10/
bbl to $0.25/bbl input.
Even though tank farm processes can be relatively simple,
ample opportunities exist to optimize design and operations.
To achieve these economic incentives, tank farm design requires
careful process design. The main aspects of tank farm operations and some important tips for proper and optimum design
are explored here.

of the crude distillation unit. These are related to unit stability,


desalting constraints, distillation column overhead constraints,
vacuum column residue handling constraints, and corrosivity of
crudes (naphthenic acid content that needs to be consistent with
unit equipment metallurgy).
The minimum number of required crude tanks depends
on the crude types and blending requirements. For each type
of crude, a minimum of three tanks is required: one receiving
from the pipeline, the second settling, and the third delivering
crude to units. Additional tanks may be required depending on
the size and frequency of crude batches.
Other raw materials, like heavy gasoil, that are the feed to fluid catalytic cracking units (FCCUs), are occasionally blended
to operate within process unit constraints.

Raw materials receiving and storage. Refineries receive their

Unfinished product storage. Unfinished product can serve

raw materials (e.g., crude) by pipelines and/or ships. Receipts are


done by scheduled batches; therefore, the storage capacity of crude
and other raw materialsheavy gasoil, alkylates, isobutanes, etc.
is dependent on the receiving batch sizes and is usually determined
by the most economical ship tanker capacity that arrives to the
refinery pier, or by the crude pipeline batch size. Tank farm pipelines and tank design should be in accordance with ship or pipeline
batch sizes, third-party pipeline flowrates or ship pumping rates.
Marine operations are bound by commercial contracts that
establish the time a ship will remain at the refinery pier for docking and unloading operations. This time is the basis for refinery
pipelines rates and for tank input rate design. Any delay in unloading may result in exceeding the commercial terms, resulting
in demurrage costs for the refinery.
Depending on the refinery location and crude logistics, the
total crude storage capacity could vary between five and 25 days
of crude daily charge. Usually, this figure is the result of an economic analysis utilizing linear programing that determines the
optimum for refinery operations and scheduling. The same technique is used to define other raw materials storage capacity.
Crude tanks have different capacities, but having multiple
crude tanks in the range of 250 Mbbl to 600 Mbbl of capacity
or greater is common. The crude tank type depends on the expected crude. The most important consideration to define the
tank type is Reid vapor pressure (RVP). High crude vapor pressure results in hydrocarbon emissions and material losses, and it
creates safety issues.

Raw materials blending. The blending of raw materials affects

the minimum number of tanks required, since each blending


component requires a separate storage tank. While crude blending is not always necessary, it could generate economic benefits
while maintaining crude supply within the optimum parameters

T80

TERMINALS AND STORAGE|MAY 2016|HydrocarbonProcessing.com

as feed to downstream process units or for product blending


purposes. The capacity of unfinished product tanks is usually
determined based on upstream or downstream process needs,
such as process unit upsets, blocked operations requirements,
short unit turnaround maintenance or catalyst changeovers.
Usually, a unit throughput of three to six days is considered for
capacity determination in this case.
In the case of product blending, the capacity of the tank is related to the blender capacity and the blender schedule of different
product recipes. Blending operations are often not continuous
typically 12 hr of blending operation each daywhich imposes
important tank capacity requirements. Some refineries prefer to
store unfinished products rather than finished product storage;
this is related to inline blending capabilities and the predominant
refinery sales mode in the case of sales to product pipelines.
Other considerations for unfinished product tank design are
viscosity and temperature, which will determine the process
and mechanical design.

Product blending and storage. Refineries have been changing

traditional tank blending for modern automatic inline blending operations that are optimized for maximum profitability
or minimum quality giveaway. Blending operations are typically batch operations and carried out 12 hr/day. As shown in
FIG. 1, each blending component has one or more tanks, a pump,
flowmeter and control valves. The blender has online mixers and
analyzers, and the components are mixed under blend ratio control algorithms. Economic optimization is achieved by updating
the blend ratios in 10 min. to 20 min. cycles using analyzer information from components, blended product and product tank
quality integration. Sophisticated software optimizes the blend
economically and generates the updated blending ratios until the
batch is finished within the final objective quality.

TERMINALS AND STORAGE


Component tank capacities depend on the blender capacity
and the number of recipes the blender is designed to produce
in accordance to the refinery production schedule. The blender
system monitors component tank inventories and can automatically swing component tanks if a tank runs empty.
Product tanks receive the blended product, and the quality
is certified by the refinery quality assurance laboratory. Some
blender systems send product directly to the pipelines, and the
quality is the result of the integrated batch quality.
Product tank storage capacity depends on the refinery location and product sales modes. A merchant refinery located
close to shore usually has piers for marine product export. Here,
product tank capacity is related to the ships capacities. It is not
uncommon to export products in quantities between 100 Mbbl
and 500 Mbbl. Additional tank capacity is required to store
blended products while the ship is being loaded.
Except for asphalts, heavy gasoil and fuel oils that need to
be maintained at high temperatures for fluidity, all other refinery products are stored and sold at temperatures in the 90F to
110F range.
Floating roof tanks are preferred for high-RVP products like
naphtha, solvents and gasolines (TABLE 1). Cone roof tanks are
typically used for Class 2 and 3 liquids such as kerosine, diesel
and fuel oils. Internal floating roofs can be used to reduce hydrocarbon emissions and losses (TABLE 2).

roof design (FIG. 2), and conical roof tanks with an internal floating roof, both of which meet safety and emissions requirements.

Tank design. The most important considerations in tank process

called nominal capacity, and it corresponds to the cylindrical


volume from the bottom of the tank to the top of the shell or roof
angle. The actual or working capacity for a tank is reduced by the
foam chambers location, or the overfill protection height, and by

design are the properties of the stored material, storage conditions, tank type, capacity, inlet/outlet rates, tank nozzles and
appurtenances, tank instruments, and tank protection and safety.
A variety of aboveground refinery storage tanks are shown
in TABLE 3.
Properties of stored materials. Tank type selection depends

on stored material properties, such as RVP, flash point and viscosity, and storage conditions like pressure and temperature.
These properties and conditions determine the safety and process
characteristics that must be addressed during the design. RVP is
directly related to tank pressure, hydrocarbon emissions and material losses. The most common tanks used for a liquid with an RVP
lower than 12 psia are atmospheric tanks with an external floating
FI
Kerosene

P-1
A-1
FI

Low-sulfur diesel

Blending
control
Optimized properties
Cetane index
Sulfur wt%
Pour point

P-3

FI
Additive

kerosine, diesel and heavier materials can be stored in cone roof


atmospheric tanks. Depending on storage temperatures, these
materials generate vapors that could maintain explosive mixtures in
the air space above the stored liquid, so special safety precautions
are required (FIG. 3). High-RVP components like naphtha and
gasoline create rich hydrocarbon atmospheres above liquids that
are flammable but not explosive under normal storage conditions.
High-vapor-pressure products are stored in pressurized
tanks. For low-pressure productsless than 15 psigthe tanks
are designed in accordance to API 620 guidelines. For products
with higher vapor pressure, such as butane, propane, liquefied
petroleum gas (LPG), etc., pressurized bullets or spheres are
used, usually up to 300 psig. These high-pressure tanks are designed under the ASME Boiler and Pressure Vessel Code.
LPG export facilities with total storage capacity in excess of
50 Mbbl could find economic justification to install refrigerated
low-pressure tanks rather than pressurized vessels. Since most
LPG ships are refrigerated, loading refrigerated LPG could be
done at faster rates. Low-pressure refrigerated LPG tanks have
also shown to have a good safety record.

Tank capacity. For a cylindrical tank, the geometric volume is

TABLE 1. NFPA fuel classificationsFlammable liquids (most crudes,


naphtha and gasoline-type liquids are Class 1 flammable liquids)
Flammable liquid

Any liquid with a flashpoint < 100F and RVP


at 100F lower than 40 psia

Class 1A

Flashpoint below 73F and boiling point < 100F

Class 1B

Flashpoint below 73F and boiling point = > 100F

Class 1C

73F < FP < 100F

TABLE 2. NFPA fuel classificationsCombustible liquids


Combustible liquids

Any liquid with a flashpoint >100F

Class 2Flashpoint
100F = < FP < 140F

Typical jet fuels

Class 3AFlashpoint
140F = < FP < 200F

Typical diesel fuels

Class 3BFlashpoint = > 200F

Typical heavy hydrocarbons

P-2
FI

Hydrocracker
diesel

Diesel product

Storage conditions and tank types. Low-RVP materials like

P-4

FIG. 1. The components that make up a fuel blending system.

TABLE 3. Liquid storage tank types


Cone roof atmospheric tanks

API 650

Cone roof atmospheric tank


with internal floating roof

API 650

External floating roof


atmospheric tank

API 650

Domed roof low-pressure tank


15 psig max.

API 620

Pressurized cylinder or bullets

ASME Boiler and Pressure Vessel Code

Pressurized spheres

ASME Boiler and Pressure Vessel Code

HYDROCARBON PROCESSING|MAY 2016|TERMINALS AND STORAGE

T81

TERMINALS AND STORAGE


the minimum fill level at the tank bottom. The low level at the
tank bottom is determined by the operating resting position of
a floating roof tank, or by the location of the suction nozzles in
cone roof tanks. Usually, the working capacity is 92% to 95% of
nominal capacity.
Inlet and output rates. Inlet rates are important in tank design,

because they affect the rate of vapor displacement during tank liquid movements and are directly related to the design of pressure/
vacuum vents (PVSV vents) required in tanks to avoid overpressure. Atmospheric tanks designed under API 650 guidelines are
designed for low-pressure, usually less than 10 in. of water. As a
result, safety vents are required to avoid roofs being blown off.
Outlet rates are important in the design of vacuum protection
or PVSV vents. Insufficient vacuum protection could result in a
catastrophic tank wall collapse. Tank breathing by thermal effects
(daily temperature changes in vapor space) is very important in
the design of pressure/vacuum protection for tanks, and it usually
imposes greater breathing requirements than inlet/outlet rates.
Tank vents are designed following the API 2000 guidelines.

Tanks nozzles. As shown in FIG. 4, additional nozzles (other


than inlet and outlet) are required in tanks for pump recirculation lines, especially in light materials like naphtha, gasolines and
LPG. Instruments nozzles are required for tank level instruments,
manual gauging and sampling, pressure, temperature, pressure/
vacuum vents, water level interface and level alarm switches.
Drain sumps and drain nozzles are required for those services that
could result in water separation and settling at storage conditions.
Tank appurtenances. Other appurtenances are required in

tanks for purposes that include maintenance, access and fire


protection. Normally, tanks are provided with maintenance
openings, such as 24-in. manways located at the shell and the
roof. Some tanks are designed with bigger shell inspection doors.
Ladders and platforms are properly located to access instruments
and nozzles in the tank roof. Some tanks, particularly crude service tanks and sludge tanks, are provided with side-entry agitators that help to maintain homogeneity in the stored product and
prevent solid deposition. These agitators are installed normally
on shell manways. Two agitators with 60% capacity each is a
good practice to allow for agitator maintenance.

Hot tanks. Hot tanks are used when a process unit feed or product
has a high viscosity at ambient temperature. To be pumped, the
feedstock needs to be stored at higher-than-ambient temperature to reduce the viscosity to acceptable levels. Hot tanks usually operate above 250F and have special design considerations
related to mechanical and civil design, insulation and heating
media. Fire protection needs must be carefully analyzed because
the product could be stored at a temperature closer to its flashpoint. Additionally, water needs to be avoided in streams stored in
a hot tank because of the potential to generate a boilover.
Tank fire and spill protection. In Accordance with National

Fire Protection Association (NFPA) 30, liquids to be stored in


tank farms are classified as flammable and combustible liquids
with different classes, depending on storage temperature and
the stored liquid flashpoint. This classification is used to define

FIG. 2. External floating roof tanks are the most common used for
liquids with an RVP lower than 12 psia.
Central vent

Dip pipe

Cone roof

Vents

Seal

Bleeder
vent

11

Working capacity

Seal

Floating roof

8
9

Pontoons
Support legs

FIG. 3. An internal floating roof tank can be used to reduce emissions


and material losses.
T82

TERMINALS AND STORAGE|MAY 2016|HydrocarbonProcessing.com

10

11
1. Inlet nozzle
2. TI
3. Foam chamber
4. Sampling hatch

5. PI
6. Vent or PVSV
7. Level gauge
8. Level switch

FIG. 4. Tank nozzles and appurtenances.

9. Recirculation nozzle
10. Outlet nozzle
11. Shell and roof manway
12. Drain nozzle

12

TERMINALS AND STORAGE

TABLE 4. Basic guidelines and codes applicable for tank design


Atmospheric tanks

API 650: Welded tanks for oil storage. Applicable to large flat-bottom welded tanks with max. metal temperatures
of 200F and pressure less than the weight of the roof. Usually less than 10 in. of water.
API 2000: Venting atmospheric and low-pressure tanks. Applicable for pressure/vacuum vents design.

Low-pressure tanks

API 620: Design and construction of large welded, low-pressure storage tanks. Applicable to large flat-bottom welded tanks
with max. metal temperatures of 250F and pressure less than 15 psig.
API 520: Sizing and installation of pressure-relieving devices in refineries.
API 521: Guide to pressure-relieving and depressuring system.

Pressurized tanks

ASME Boiler and Pressure Vessel Code: Applicable for pressure vessels storing liquids with vapor pressure at storage
temperature greater than 15 psig.
API 521: Guide to pressure-relieving and depressuring system.
API 520: Sizing and installation of pressure-relieving devices in refineries.
API 2510: Design and construction of LPG installations.

Tank farm and terminals

API 2610: Design, construction, operation, maintenance and inspection of terminals and tank facilities.

General

API 2530: Overfill protection for storage tanks in petroleum facilities.


API 2000: Venting atmospheric and low-pressure tanks.
API 2518: Evaporation loss from fixed-roof tanks.
NFPA 30: Flammable and combustible liquid code.
NFPA 11: Standard for low-, medium- and high-expansion foam.
NFPA 15: Standard for water spray fixed systems for fire protection.

the minimum degree of fire protection required. Most tanks are


required to have fixed foaming connections to extinguish any fire
within the tank, and the need depends on liquid classification and
ignition sources. It is required for flammable Class 1 liquids, and
is an owner option for Class 2 and 3 liquids. Fire water monitors
and hydrants are required outside the containment to cool the
tank in case of adjacent fires.
The tank itself is protected from overpressure resulting from
fires by the construction of the roof tank with frangible welds, or
by the installation of automatic emergency relief devices (ERD).
In case of internal explosion, the frangible welds generate roof
damage that could cause the tank to be out of service for months.
An outer containment, or dike, to contain liquid spills in
case of tank rupture must be provided. Multiple tanks can be arranged within a common dike with internal dividers.
Nitrogen blanketing can be used to eliminate the risk of fire
or explosion in tanks; however, this is more common in small
tanks. Nitrogen blanketing is used mainly to avoid product oxidation of the stored liquid to prevent unfavorable reactions in
process unit catalyst that could shorten its life.
Pressurized tanks are protected from overpressure by the installation of safety relief valves discharging to atmosphere or to
flares. External fixed water deluge systems are required to cool
the tanks in case of nearby fires. LPG storage areas are provided
with hydrocarbon detectors to alarm and actuate fire protection
deluge systems.
Tank instruments. Instruments are important in tank design for

transfer operations, oil accounting and safety. The basic tank


instruments are level gauges, and temperature and pressure indicators. A level gauge should be capable of measuring 116 in., or 1 mm,
to obtain good oil and material balances. While density is usually
not measured in tanks, the information can be obtained from unit
or lab data. When required, density can be calculated based on the
pressure difference in fixed-location taps. Alarm switches for high

and low level, water interface levels and trips protect tanks from
overfilling and protect pumps from running dry.
Guaranteeing monitored operations. Due to the high footprint required for a tank farm, the area is usually unattended, and
most operator activities are executed remotely from operating
rooms. This implies the requirement for abundant instrumentation. Operator rounds are normally scheduled during the shift
to execute manual activities, such as draining the tank and the
water accumulated inside dikes.
To guarantee operational safety, sensors and alarms must be
carefully defined, installed and maintained. To avoid overfilling or tank damage, level alarms can be set following API 2530
guidelines and normally depend on expected inlet and outlet
rates to the tanks and the operator response time.
SIL-rated instrumentation is normally required for Class 1
flammable liquids to guarantee reliable overfill protection. This
is accomplished by using independent level meters and alarms
switches actuating on automatic shutoff valves located at the
tank inlet line.
Software tools are available that allow operators and planners to access quality real-time online information from the
tank farm to optimize refinery operation plans and scheduling.
TABLE 4 shows a summary of the most relevant standards,
codes and guidelines used for tank farm design.
DIOGENES RUEDA-ROJAS is a senior process engineer
for Edoxx Technical Services LLC. He has more than 33 years of
experience within the petrochemical industry, including process
and project engineering in both the engineering and construction
and operating plant environments. He has also assumed
leadership roles in front-end detailed engineering for both process
and utility/offsite, including complete system designs of tank
farms, flare systems, cooling water, boiler, air, nitrogen and fire protection, including
deluge, foam and wastewater systems. He earned a BS degree in chemical
engineering from Universidad Industrial de Santander, B/manga, Colombia,
and an MS in chemical engineering from Manhattan College in New York City.
HYDROCARBON PROCESSING|MAY 2016|TERMINALS AND STORAGE

T83

STORAGE SOLUTIONS
YOU CAN COUNT ON
As the worlds most experienced tank builder, CB&I supplies complete storage solutions
to meet the needs of leading energy companies around the globe.
We execute many of our storage tank projects on a lump-sum, turnkey basis, performing
every phase of the project with our in-house resources and providing a single point of
contact for our customers. This true EPC approach is possible because we have a vast
global network of engineering, procurement, fabrication and construction resources that
allow us to quickly mobilize people, material and equipment wherever they are needed.
Our integrated business model translates into shorter project schedules, lower costs,
improved quality control and reduced risk for the customerallowing them to focus on
their core business operations. Contact CB&I for your next storage project.
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78M032016H

CB&I

CB&I DELIVERS COMPLETE INDUSTRIAL


STORAGE SOLUTIONS WORLDWIDE
CB&I is the most complete energy infrastructure focused company in
the world. With 125 years of experience and the expertise of more than
40,000 employees, CB&I provides reliable solutions while maintaining
a relentless focus on safety and an uncompromising standard of quality.
CB&I combines proven process technology with global capabilities
in engineering, procurement and construction to deliver comprehensive
solutions to customers in the energy and natural resource industries. From
bulk liquids storage facilities to low temperature, cryogenic or atmospheric storage vessels, CB&Is made-for-purpose storage solutions are
unrivaled at every level. By providing single-point responsibility, we can
optimize the entire project, rather than focusing on a single component.
This comprehensive approach can translate into shorter schedules and
lower costs for our customers.
With over 46,000 tanks built in more than 100 countries, CB&I has
accumulated more storage design and construction experience than
any other organization in the world. In addition to being a leader in
engineering, procurement, fabrication and construction of storage tanks,
we have also designed and built more than 100 storage terminals. We
have the capability to design and install pipelines for these facilities, as
well as other ancillary equipment.
Many customers draw upon this knowledge and extensive construction experience early in a projects development, enabling us to provide
project-specific solutions that deliver maximum long-term value, lower
up-front costs and shorter schedules.

Safety is a core value at CB&I and every employee worldwide is


committed to safe work practices. Our programs promote a culture of
dedication to safety in all that we do.

SPONSORED CONTENT

HYDROCARBON PROCESSING|MAY 2016|TERMINALS AND STORAGE

CONTACT INFORMATION
2103 Research Forest Drive
The Woodlands, TX 77380 USA
Tel: +1 832 513 1000
Fax: +1 832 513 1005
info@cbi.com
www.CBI.com

T85

BOB ANDREW, TECHNICAL EDITOR


Bob.Andrew@HydrocarbonProcessing.com

Innovations
Simplify safety
during shutdowns
Planned shutdowns, turnarounds and
outages (STOs) are often scheduled for
preventive maintenance and new equipment installation that must be performed
to keep a plant running and in regulatory
compliance. To minimize production
downtime, this work must be completed
in a tight time frame. STOs are a combination of engineering, planning and coordinationthe work starts months, or
even years, before the maintenance begins. A top priority is safety. To prevent
injury or loss of life, reduce liability and
keep insurance rates in check, safety departments must provide required safety
training, products and services that will
ensure that all onsite personnel and company assets are protected throughout the
scope of the operation.
Managing all that encompasses safety
for an STO, however, is often a feat of its
own. During an STO, a typical facility can
see its ranks swell by several hundred additional workers. The safety department
must properly equip and train these workers, and provide rescue and standby emergency services for them. This often requires managing multiple vendors of safety
products and services, as well as dealing
directly with workers unfamiliar with the
facility or its processes, and performing
challenging (FIG. 1), even high-risk, tasks.
To eliminate a point of complexity and
coordination in an already complicated
process, some facility safety departments
are outsourcing to a single combined safety
service provider that can deliver the entire
gamut of safety-related products and services. The benefits of this one-stop-shop
approach for a planned shutdown are a
single point of coordination, the reduction in facility personnel required to manage the safety effort, access to extensive
safety expertise and technical knowledge,
potential cost savings on basic and more
advanced PPE (personal protective equipment), and the ability to respond quickly
to unexpected situations or emergencies.

Despite the focus on speedy returnto-service, those that have participated


in planned shutdowns will attest that the
primary emphasis is not how quickly the
work is completed, but rather the safety of
all involved. The concept of a single, combined safety service provider is a novel
concept in an industry where suppliers
generally keep to well-defined market segments with minimal overlap. Large PPE
providers, for example, offer catalogues
with thousands of products, but they rarely offer safety services, and vice versa.
DXP Services operates as a single
provider of combined safety (i.e., products plus services) for plant turnarounds.
In addition to an extensive catalogue
of PPE items, the company maintains a
large asset base of equipment including
powered air trailers, supplied air trailers,
emergency showers, eye wash equipment, MROP (maintenance, repair, operations and production) trailers, fire
trucks and ambulances.
DXP also offers a comprehensive list of
services, including safety training and supervision, confined space attendants and
rescue teams, high-angle rescue teams,
rope rescue, gas detection, respiratory fit
testing, audiometric testing, industrial
hygiene, industrial medical services, fall
protection and repair services. Given the
unique requirements of each facility, there
are no one-size-fits-all safety plans, so
each project is client-specific.

programming, as well as a pre-drilled hole


for external wiring connections, such as
Modbus RTU and other outputs.
The Blancett B2900 flow monitor processes a frequency output from a flow sensor and interprets the signal to calculate
flowrate and total flow simultaneously,
with 10-point linearization for improved
accuracy. The B2900 monitor is ideal for
use with low-level frequency input signals, typically found in Blancett turbine
flowmeters, but it can be used with almost
any flow sensor producing a low-amplitude AC output or contact closure signal.
The monitor provides advanced communication capabilities over a RS485 bus
using Modbus RTU and control outputs,
allowing operators to connect meters to
a network for process automation and/
or remote flow monitoring. The Modbus
RTU connection can be configured with
user-selected baud rates.

Select 1 at www.HydrocarbonProcessing.com/RS

Flow monitor provides


advanced controls
The Blancett B2900 flow monitor
(FIG. 2) offers advanced digital signal processing technology in a simple package. Enclosed in a spacious polycarbonate NEMA
4X housing, the electronics are located on
a single board, designed for straightforward and convenient field installation. The
large enclosure provides more room for
the users hands and tools when wiring the
monitor in the field. The B2900 enclosure
features an LCD display with push-button

FIG. 1. Unexpected events, like injury in confined


spaces, can leave safety personnel scrambling.
Hydrocarbon Processing|MAY 201687

Innovations
To ensure security in remote applications, alarm parameters provide faster
warning when something changes in the
process or pipeline. Also, the keypad display can be password protected to prevent
unauthorized tampering. An added benefit for remote monitoring applications
is that the B2900 monitor can be configured for both loop power and battery
power, with the battery rated for a six-year
lifespan. The battery also acts as a backup
power source in the event of loop power
loss or interruption.
Select 2 at www.HydrocarbonProcessing.com/RS

Sintering best practice


improves MIM parts
Linde LLCs SINTERFLEX Atmosphere Control System (ACS) is an ad-

vanced system of carbon control in the


sintering of metal injection-molded
(MIM) parts. Use of the system effectively doubles the number of parts in-spec,
resulting in significant improvements in
quality, productivity and profitability.
When used as a best practice in the
sintering process, SINTERFLEX ACS
can improve the quality and productivity
of MIM parts (FIG. 3). With high-accuracy
carbon control, it has been field proven to:
Increase productivity: Improve
the number of in-spec parts,
reduce scrap and rework,
enable faster startup
Improve quality: Consistently
control carbon content, minimize
destructive parts testing, enable
remote monitoring and control,
enable data logging and tracking
of process parameters, enable
the sintering of highly alloyed
powders (Cr)
Reduce operating costs:
Reduce material costs (less scrap),
reduce need for post treatment,
optimize N2/H2 atmosphere,
quickly troubleshoot process
problems, support continuous
improvement programs.
MIM offers a low-cost alternative to
CNC machining, casting and other manufacturing processes, and it can produce
high-quality parts in volume, as well as
for low-volume prototyping. The ability
to produce complex shapes with superior strength and excellent surface finish make it ideal for many parts used in
medical devices, electronics, tools and
machines, as well as aerospace and automotive components.

88MAY 2016|HydrocarbonProcessing.com

Select 3 at www.HydrocarbonProcessing.com/RS

Ultrasonic array
improves coverage
Sensor Networks Inc. (SNI) announced
the launch of its new matPIMS ultrasonic
transducer array. This 16-element flexible ultrasonic transducer array (FIG. 4) remotely measures and monitors remaining
wall thickness in plant components, such as
piping, pressure vessels and heat exchanger
shells. The mat sensors can be arranged in
a linear or area-array fashion, which allows
for improved coverage in safety-critical
components, such as pipe elbows.
The device is unique in that all of the
ultrasonic and digital communications
hardware and software are colocated at
the sensor array, which improves signal
performance. It is ideally suited for direct
burial, under insulation or for any other
aboveground TML/CML applications
in carbon or stainless steel materials. The
matPIMS array is used in connection with
SNIs smartPIMS Modbus system and,
optionally, with webPIMS cloud-based
data analysis and viewing software.
Select 4 at www.HydrocarbonProcessing.com/RS

Customizable wireless
access points

FIG. 2. The Blancett B2900 flow monitor,


used with low-level frequency input signals

FIG. 3. The Linde SINTERFLEX Atmosphere


Control System for metal injection-molded
parts, alternative to machining or casting.

The powder metal process combines


the precision shape-forming advantages of
plastic-injection molding with the strength
and durability of metals. The final step in
MIM is sintering, the high-temperature
hardening process that fuses high-density
alloyed powders by applying heat below
the melting point in a controlled atmosphere. By establishing a carbon-neutral
atmosphere during sintering, MIM parts
avoid decarburization, a frequent problem
that prevents the carbon content from being in specification.

FIG. 4. The matPIMS ultrasonic transducer


area array remotely measures and monitors
remaining wall thickness.

Belden Inc.s BAT450-F Industrial


Wireless Local Area Network (WLAN)
Access Point devices can be mounted
anywhere, such as on masts or on walls,
making them ideal for environments
where space is a premium.
The rugged design of the BAT450-F
devices withstands harsh industrial environments, while maintaining the modular
and compact size needed in many industrial network scenarios. The wireless access points are also said to be versatile and
flexible, enabling network managers to

Innovations
use them as access clients or access points
operating as a router or a bridge. They
also offer Wireless Wide Area Network
(WWAN), WLAN and Ethernet interfaces to fit individual network needs.
The low weight and small footprint of
the BAT450-F devices ideally suit industrial environments, such as power transmission and distribution, process automation, and oil and gas, because the access
points can be mounted in confined spaces
on walls or masts and allow for communication across long distances. As the successor to the BAT300-F family, the new
WLAN access points enable integration
of Industrial Internet of Things (IIoT)
functionality and can be configured to
specific application needs, network functions and country-specific protocols.
Select 5 at www.HydrocarbonProcessing.com/RS

Metering pump
for low-pressure range
In many industries, metering tasks take
place in the low-pressure range of < 20
bar. Using a high-pressure pump for this

purpose is usually not economical. The


Ecodos diaphragm is mechanically driven,
rather than hydraulically driven.
The Lewa Ecodos is an efficient diaphragm metering pump with mechanical
diaphragm actuation. Due to its simple
construction, it operates without hydraulic
oil. Fluids that would react with hydraulic
oil can be metered just as safely (FIG. 5).
The Ecodos diaphragm, as a singledrive unit with a space-saving, vertically attached motor, has a flowrate of
0.4 l/hr to 1,500 l/hr per pump head and
a maximum discharge pressure of 20 bar.
Its multiplex capability also enables additional areas of application, for which multiple drive units with identical or different
output capacities are ideally suited, particularly for low-pulsation pumping, recipe metering and mixing tasks. For areas of
application that require an especially high
degree of cleanliness, the Ecodos is also
available in a sanitary/hygienic design
with a pump head made of polypropylene
or polished stainless steel.
The option of controlling metering in
terms of stroke length or speed results in

a wide adjustment range up to 1:50. Its 13


output ratings and material options, which
include 1.4571, PVC, PVDF and PTFE as
well as adapted accessories, allow the Ecodos to be adjusted precisely to the requirements of the specific metering task in the
low-pressure range.
Select 6 at www.HydrocarbonProcessing.com/RS

FIG. 5. The Ecodos mechanically driven


diaphragm metering pump for low-pressure
service.

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Select 201 at www.HydrocarbonProcessing.com/RS

Detailed and up-to-date information


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across the globe|ConstructionBoxscore.com

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90APRIL 2016|HydrocarbonProcessing.com

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Why Should You Filter Your Water?

SALE RENT LEASE


Superheat & Saturated Boilers
to 250,000pph 750psig
Custom Design & Manufacture Too!

Scale formation reduces the heat transfer rate andincreases the water
pressure drop through the heatexchanger and pipes. In fact, one study
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Select 202 at www.HydrocarbonProcessing.com/RS

Specialty Engineering
Static Equipment
Rotating Equipment
Metallurgical and
Materials Lab
Field Service

Structural Adhesive Resists


High Temperatures

4.25" wide x 4" high


CMYK color

Specialists in design, failure


analysis, and troubleshooting of
static and rotating equipment
www.knighthawk.com

Houston, Texas
Tel: 2812829200
Fax: 2812829333

Select 205 at www.HydrocarbonProcessing.com/RS

Master Bond Supreme 45HTQ

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AMINE PLANTS: 603300 GPM
SULFUR PLANTS: 10180 TPD
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MANY OTHER REFINING/GAS PROCESSING UNITS
We offer engineered surplus equipment solutions.

Bexar Energy Holdings, Inc.

Phone 210-342-7106Fax 210-223-0018


www.bexarenergy.comEmail: info@bexarenergy.com

Select 206 at www.HydrocarbonProcessing.com/RS

Select 203 at www.HydrocarbonProcessing.com/RS

Five Smart Reasons


why you should
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Conval has been serving
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main@masterbond.com

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Select 207 at www.HydrocarbonProcessing.com/RS

Select 204 at www.HydrocarbonProcessing.com/RS

Call +1 (972) 816-3534 for details about


Hydrocarbon Processings Marketplace

Visit HydrocarbonProcessing.com today for daily news, trends and FREE e-newsletters.
Hydrocarbon Processing|APRIL 201691

ADVERTISER INDEX / HydrocarbonProcessing.com


The first number after the company name is the page on which an advertisement appears. The second number is the Reader Service Number. There are two ways readers can obtain product and service information:
go to www.HydrocarbonProcessing.com/RS, follow the instructions on the screen, and your request will be forwarded for immediate action, or go online to the advertiser's website listed below.

Company

Page

RS#

ADIPEC .............................................................T-86
American Petroleum Institute ...............................49

(156)

Ametek Process Instruments ................................. 55

(159)

Ametek Process Instruments ................................. 10

(73)

ARCA REGLER GmbH ..............................................51

(157)

Auma Riester Gmbh & Co Kg ..................................71


Axens ..................................................................96

Website

www.info.hotims.com/61387-156
www.info.hotims.com/61387-159
www.info.hotims.com/61387-73

www.info.hotims.com/61387-157

www.info.hotims.com/61387-166
www.info.hotims.com/61387-51

Dyna-Therm ........................................................ 52
www.info.hotims.com/61387-158

(153)

Prognost Systems GmbH........................................15

(151)

Rosen Swiss AG .................................................... 45

(61)

Roth Pump Company............................................ 78

(167)

(164)

Scott Safety ..........................................................17

(70)

(58)

www.info.hotims.com/61387-65

The Petroleum Economist Ltd ................................89


Pittsburgh Corning Corporation..............................18

Idrojet ................................................................. 65

CB&I .................................................................T-84

Dynamic Air Shelters ............................................46

RS#

(51)

(165)

www.info.hotims.com/61387-162

Page

Website

(91)

Borsig GmbH .......................................................69

Clock Spring Company .......................................... 58

Company

Saint-Gobain NorPro ..............................................2

(69)

www.info.hotims.com/61387-58

RS#

(161)

Bluebeam Software Inc...........................................8


www.info.hotims.com/61387-165

Page

(166)

(63)

www.info.hotims.com/61387-69

Website

Emerson Process Management ................................5


Gastech ...............................................................68
Gulf Publishing Company
Construction Boxscore Database ........................ 77
Events..................................... 2021, 95, 67, 50A
Gulf Software ................................................... 73
HP Webcast ...................................................... 63
Marketplace ................................................9091
US Gas Processing Plant Directory ......................90
Hunter Buildings .................................................. 57

Baldor Electric Company ....................................... 42


www.info.hotims.com/61387-63

Company

(162)
(65)
(158)

www.info.hotims.com/61387-161

www.info.hotims.com/61387-164

www.info.hotims.com/61387-153
www.info.hotims.com/61387-151
www.info.hotims.com/61387-61

www.info.hotims.com/61387-167
www.info.hotims.com/61387-91
www.info.hotims.com/61387-70

ILTA ..................................................................... 74
KBC Advanced Technologies Inc............................. 22

(81)

Kobelco Compressors America, Inc ........................ 26

(62)

Man Diesel & Turbo............................................... 35

(100)

Merichem Company.............................................. 32

Silcotek ................................................................61

(163)

Spraying Systems Co ............................................30

(67)

Team Industrial Services ........................................19

(86)

(84)

Tecnimont SpA ..................................................... 28

(154)

Paharpur Cooling Towers, Ltd. ............................... 24

(99)

Tensar International Corporation ............................41

(155)

Pentair .................................................................16

(152)

Zwick Valves ........................................................ 56

(160)

Pepperl+Fuchs ..................................................... 29

(95)

Zyme Flow Decon Technology ............................... 36

(93)

www.info.hotims.com/61387-81

www.info.hotims.com/61387-62

www.info.hotims.com/61387-100
www.info.hotims.com/61387-84

www.info.hotims.com/61387-99

www.info.hotims.com/61387-152
www.info.hotims.com/61387-95

www.info.hotims.com/61387-163
www.info.hotims.com/61387-67

www.info.hotims.com/61387-86

www.info.hotims.com/61387-154
www.info.hotims.com/61387-155

www.info.hotims.com/61387-1650
www.info.hotims.com/61387-93

This Index and procedure for securing additional information is provided as a service to Hydrocarbon Processing advertisers and a convenience to our readers. Gulf Publishing Company is not responsible for omissions or errors.

Bret Ronk, Vice President


Downstream and Midstream
Phone/Fax: +1 (713) 520-4421
E-mail: Bret.Ronk@GulfPub.com
www.HydrocarbonProcessing.com
SALES OFFICESNORTH AMERICA
IL, LA, MO, OK, TX
Josh Mayer
Phone: +1 (972) 816-6745, Fax: +1 (972) 767-4442
E-mail: Josh.Mayer@GulfPub.com
AK, AL, AR, AZ, CA, CO, FL, GA, HI, IA, ID, IN, KS,
KY, MI, MN, MS, MT, ND, NE, NM, NV, OR, SD, TN,
TX, UT, WA, WI, WY, WESTERN CANADA
Ryan Akbar
Phone/Fax: +1 (713) 520-4449
Mobile: +1 (832) 691-6053
E-mail: Ryan.Akbar@GulfPub.com
CT, DC, DE, MA, MD, ME, NC, NH, NJ, NY, OH, PA,
RI, SC, VA, VT, WV, EASTERN CANADA
Merrie Lynch
Phone: +1 (617) 357-8190, Fax: +1 (617) 357-8194
Mobile: +1 (617) 594-4943
E-mail: Merrie.Lynch@GulfPub.com
CLASSIFIED SALES
Gerry Mayer
Phone: +1 (972) 816-3534, Fax: +1 (972) 767-4442
E-mail: Gerry.Mayer@GulfPub.com
DATA PRODUCTS
JNette Davis-Nichols
Phone/Fax: +1 (713) 520-4426
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92MAY 2016|HydrocarbonProcessing.com

SALES OFFICESEUROPE
FRANCE, GREECE, NORTH AFRICA,
MIDDLE EAST, SPAIN, PORTUGAL,
SOUTHERN BELGIUM, LUXEMBOURG,
SWITZERLAND, GERMANY, AUSTRIA, TURKEY
Catherine Watkins
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Fax: +33 (0) 1 30 47 92 40
E-mail: Watkins@GulfPub.com
Jim Watkins
Phone: +33 (0) 1 30 47 92 51
Fax: +33 (0) 1 30 47 92 40
Cell: +33 (0) 6 76 35 11 52
Jim.Watkins@GulfPub.com
ITALY, EASTERN EUROPE
Fabio Potest
Mediapoint & Communications SRL
Phone: +39 (010) 570-4948
Fax: +39 (010) 553-0088
E-mail: Fabio.Potesta@GulfPub.com
RUSSIA/FSU
Lilia Fedotova
Anik International & Co. Ltd.
Phone: +7 (495) 628-10-333
E-mail: Lilia.Fedotova@GulfPub.com
UNITED KINGDOM/SCANDINAVIA,
NORTHERN BELGIUM, THE NETHERLANDS
Michael Brown
Phone: +44 161 440 0854
Mobile: +44 79866 34646
E-mail: Michael.Brown@GulfPub.com

SALES OFFICESOTHER AREAS


CHINAHong Kong
Iris Yuen
Phone: +86 13802701367 (China)
Phone: +852 69185500 (Hong Kong)
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E-mail: Bret.Ronk@GulfPub.com
INDONESIA, MALAYSIA, SINGAPORE, THAILAND,
AUSTRALIAPerth
Peggy Thay
Publicitas Singapore Pte Ltd
Phone: +65 6836-2272, Fax: +65 6634-5231
E-mail: Singapore@GulfPub.com
JAPANTokyo
Yoshinori Ikeda
Pacific Business Inc.
Phone: +81 (3) 3661-6138, Fax: +81 (3) 3661-6139
E-mail: Japan@GulfPub.com
KOREA
Young-Seoh Chinn
JES Media, Inc.
Phone: +82 (2) 481-3411/3, Fax: +82 (2) 481-3414
E-mail: Korea@GulfPub.com
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Rhonda Brown, Foster Printing Service
Phone: +1 (866) 879-9144 ext. 194
E-mail: RhondaB@FosterPrinting.com

ALISSA LEETON, CONTRIBUTING EDITOR


Alissa.Leeton@GulfPub.com

Events
MAY
Offshore Technology Conference
(OTC), May 25, NRG Park,
Houston, Texas
P: 972-952-9494
2016.otcnet.org
Oil, Gas and Chemicals Filtration
& Separations Conference-Expo,
May 911, Houston Marriott
Westchase, Houston, Texas
P: 615-250-7792
afs@afssociety.org
afssociety.org
AchemAsia 2016, May 912,
China National Convention
Center, Beijing, China
P: +49 69-7564-152
www.achemasia.de
4th Annual Canada LNG Export
Conference & Exhibition,
May 1012, Vancouver,
British Columbia, Canada
P: +44 0-203-772-6022
www.canadalngexport.com
Institution of Chemical
Engineers (IChemE) Hazards 25,
May 1315, Edinburgh, UK
P: +44 0-1788-578-214
customerservices@icheme.org
www.icheme.org/hazards25
API Spring Refining and
Equipment Standards Meeting,
May 1619, Hyatt Regency
Chicago, Chicago, Illinois
(See box for contact information)
International Liquid Terminals
Association (ILTA), May 2325,
36th Annual International
Operating Conference &
Trade Show, George R. Brown
Convention Center, Houston, Texas
P: 703-875-2011
info@ilta.org
www.ilta.org
Schneider Electrics
CONNECT 2016, May 2326,
New Orleans Marriott Hotel,
New Orleans, Louisiana
justine.hemmer@schneiderelectric.com
www.se-connect2016.com
AFPM Reliability and Maintenance
Conference, May 2427,
Henry B. Gonzalez Convention
Center, San Antonio, Texas
(See box for contact information)

Managing Aging Plants


Conference & Expo Japan 2016,
May 31June 1, International
Conference Hall (Kokusai Kaigijo),
Waseda University, Tokyo, Japan
P: +31 575-789-260
k.ichikawa@kci-world.com
www.plantenmei.com
Operational Excellence
in Oil & Gas, May 31June 2,
Telus Convention Centre,
Calgary, Alberta, Canada
P: 800-652-2363 or
+44 0-20-7368-9300
enquire@iqpc.co.uk
www.opexinoilandgas.ca/

JUNE
IRPC 2016, Gulf Publishing
Company Events, June 68,
Milan Marriott Hotel, Milan, Italy
HPIRPC.com
(See box for contact information)
Global Petroleum Show,
June 79, Stampede Park,
Calgary, Alberta, Canada
P: +1 403-209-3555
brucecarew@dmgevents.com
www.globalpetroleumshow.com
ASME Turbo Expo, June 1317,
COEX Convention & Exhibition
Center, Seoul, South Korea
P: +82 2-6000-1122
karmajin@coex.co.kr
www.coex.co.kr/eng
Honeywell Users Group Americas,
June 1924, JW Marriott Hill
Country Resort & Spa,
San Antonio, Texas
margarita.ceballos@
honeywell.com
www.honeywellprocess.com
Safety 2016, June 2629,
Georgia World Congress
Center, Atlanta, GA
P: +44 20-7978-0000
safety@heiexpo.com
www.safety.asse.org/

JULY
ARC Industry Forum 2016 India,
July 78, Le Meridien Bangalore,
Bangalore, Kamataka, India
P: +91 80-2554-7114
lkanickaraj@arcweb.com
www.arcweb.com/events

ARC Industry Forum 2016 Japan,


July 12, KFC Hall, Sumida-ku,
Tokyo, Japan
P: +81 42-991-1685
skai@arcweb.com
www.arcweb.com/events
Petchem Tech Forum,
Gulf Publishing Company
Events, July 1920,
Norris Conference Center
CityCentre, Houston, Texas
PetchemTechForum.com
(See box for contact information)

AUGUST
GTL Technology Forum,
Gulf Publishing Company
Events, Aug. 23,
Norris Conference Centers
CityCentre, Houston, Texas
GTLTechForum.com
(See box for contact information)
ONS 2016, Aug. 29Sept. 1,
Stavanger, Norway
P: +47 51-84-90-40
www.ons.no/2016

SEPTEMBER
World Heavy Oil Congress,
Sept. 69, Stampede Park,
Calgary, Alberta, Canada
P: +1 403-209-3555 or
888-799-2545
mallorymcnab@dmgevents.com
www.worldheavyoilcongress.com
Turbomachinery & Pump
Symposia, Sept. 1215,
George R. Brown Convention
Center, Houston, Texas
P: 979-845-7417
info@turbo-lab.tamu.edu
www.pumpturbo.tamu.edu
Oil Sands Trade Show,
Sept. 1314, Suncor Community
Leisure Centre, Fort McMurray,
Alberta, Canada
P: +1 403-209-3555 or
888-799-2545
bradridler@dmgevents.com
www.oilsandstradeshow.com
Gas Pro Americas, Gulf Publishing
Company Events, Sept. 1314,
Norris Conference Centers
CityCentre, Houston, Texas
GasProcessingConference.com
(See box for contact information)

AFPM Q&A and Technology Forum,


Sept. 2628, Baltimore Marriott
Waterfront, Baltimore, Maryland
(See box for contact information)

OCTOBER
RIO Oil & Gas 2016 Expo and
Conference, Oct. 2427,
Rio de Janeiro, Brazil
P: +55 21-2112-9080
eventos@ibp.org.br
www.riooilgas.com.br/en
Emerson Global Users Exchange,
Oct. 2428, Austin Convention
Center, Austin, Texas
EmersonExchange@Emerson.com
www.emersonexchange.org/
americas/
LARTC 5th Annual Meeting,
Oct. 2527, Mexico City, Mexico
P: +44 0-20-7384-8022
victoria.pope@gtforum.com
www.lartc.events.gtforum.com/

NOVEMBER
Womens Global Leadership
Conference, Gulf Publishing
Company Events, Nov. 12,
Hyatt Regency Houston,
Houston, Texas
WGLconference.com
(See box for contact information)
API 11th Annual Cybersecurity
Conference for the Oil & Natural
Gas Industry, Nov. 910,
Westin Houston Memorial City,
Houston, Texas
(See box for contact information)
Hydrocarbon Processing/
Gulf Publishing Company
Events
P: +1 713-520-4475
Melissa.Smith@GulfPub.com
EnergyEvents@GulfPub.com
American Fuel &
Petrochemical Manufacturers
(AFPM)
P: +1 202-457-0480
meetings@afpm.org
www.afpm.org/Conferences
American Petroleum
Institute (API)
P: +1 202-682-8195
registrar@api.org
www.api.org
Hydrocarbon Processing|MAY 201693

MIKE RHODES, MANAGING EDITOR


Mike.Rhodes@HydrocarbonProcessing.com

People

Elliott Group has made


changes to its executive
team. Michael Lordi has
been named as chief
operating officer (COO),
succeeding Art Titus,
who is retiring after nine
years. Mr. Lordi joined
Elliott in 1987 as sales
and marketing manager
for its tube tool business
and served most recently
as vice president (VP) of
industrial products and
VP of global service.
Elliott also appointed
Toshihiko Miyashita as
deputy chief executive
officer. Mr. Miyashitas
career spans all aspects
of Elliotts engineered
products, including
applications, operations
and executive leadership.
Ronald Frye will
succeed Mr. Lordi as
VP of global service.
Mr. Frye worked most
recently as VP of industrial
products. Scott Wilshire
will succeed Mr. Frye as
VP of industrial products.
He joined the company
in 2012 as the strategic
initiatives manager
for power generation,
and then became
manager of the power
generation group.
Total has made some
executive appointments.
Momar Nguer will replace
executive committee
member, head of
marketing and services,
and new energies head
Philippe Boisseau. The
president for refining
and chemicals, Philippe
Sauquet, was named
interim president for
new energies.

aeSolutions has added


Krish Sridhar to its
team of industrial cyber
security experts in the
role of senior business
manager. Mr. Sridhar is an
expert on cyber security
solutions applied to
industrial control systems.
He brings over 20 years of
industry experience with
process automation, high
availability architectures,
industrial networks and
application software,
and has executed
many cyber security
risk and vulnerability
projects for chemical,
specialty chemical
and CFATS-compliant
companies per the NIST
framework and ISA 99/
IEC 62443 standards.
TPC Group has appointed
Courtney Ruth as VP
of reliability and capital
project management.
Mr. Ruth brings more
than 20 years of
experience running
large petrochemical
complexes, managing
significant capital budgets
and leading reliability
initiatives. He was formerly
with LyondellBasell,
where he held roles that
included maintenance
superintendent, reliability
superintendent,
production manager,
senior HR manager and
site manager. At the
time of his departure,
Mr. Ruth had leadership
responsibilities for
LyondellBasells
Channelview, Texas
facility, one of the largest
chemical complexes in
the Gulf Coast area.

94MAY 2016|HydrocarbonProcessing.com

Honeywell has named


Darius Adamczyk to
the newly created role
of president and COO,
reporting to chairman
and CEO Dave Cote.
Mr. Adamczyk served as
president of Honeywell
Scanning & Mobility
before becoming
president of Honeywell
Process Solutions in
2012. Two years later, he
was appointed president
and CEO of Honeywell
Performance Materials
and Technologies (PMT).
Succeeding him
will be Rajeev Gautam,
who began his career
with Union Carbide in
1978. He has held key
leadership positions
within Honeywell UOP,
spanning research and
development, engineering
and marketing, and
culminating in his role
as president and CEO.
Rebecca Liebert will
succeed Mr. Gautam as
president of Honeywell
UOP. After serving at
Alcoa, Nova Chemicals
and Arco Chemical
Co., Ms. Liebert joined
Honeywell in 2006.
Most recently, she
served as senior VP/
general manager of the
catalysts, adsorbents and
specialties business.
Motion Industries has
added Mark Stoneburner
as corporate account VP.
He has held positions in
product management,
marketing and systems
integration (ERP).
He most recently led
manufacturing sales and
marketing efforts.

Dr. Robert Scoffin, CEO of


Cresset, has been awarded
a fellowship of the Royal
Society of Chemistry
in the UK. Dr. Scoffin
specializes in the fields
of molecular modeling
and cheminformatics.
He joined Cresset as CEO
in 2010, and his previous
roles include CEO of
Amedis, and VP, Europe
at CambridgeSoft.
Following a March 30
meeting, the board of
directors for Brazilian
oil and gas company
Petrobras has approved
these appointments.
Hugo Repsold Jnior
is now head of human
resources (HR), HSE and
the services department.
Ivan de Souza Monteiro
will be leading the
financial and investor
relations department,
while Joo Adalberto
Elek Jnior will be in
charge of the governance,
risk and compliance
department (GRCD).
Jorge Celestino Ramos
is the executive officer of
the refining and natural
gas department (RNGD).
Roberto Moro is the head
of the production and
technology development
department (P&TD), and
Solange da Silva Guedes
will lead the exploration
and production
department (E&PD).
Brazils government,
the controlling
shareholder of Petroleo
Brasileiro SA, nominated
economist Luiz Nelson
Guedes de Carvalho to be
chairman of the board of
the state-run oil producer.

ACD LLC, which


manufactures cryogenic
pumps and turbo
expanders for the
alternative fuels and
industrial gas and oil
industries, among
other applications,
has appointed Doug
Rosson as its director of
business development
and general manager of
the companys Houston,
Texas service center.
In his new role, he will
lead ACDs efforts to
expand business in new
and emerging LNG/NGL
markets and manage the
service facility.
UK-based Lokring
Northern has made two
new appointments. Donal
Heery has been promoted
to technical sales manager.
Joining Lokring Northern
in 2011 as a technical sales
engineer, Mr. Heerys
new responsibilities
include managing a team
of sales engineers and
consultants throughout
the UK and Ireland. Jake
Rowley has been named as
technical sales engineer for
Aberdeen. He joins Lokring
Northern with a first class
mechanical and offshore
engineering degree from
Robert Gordon University,
and has embarked on
a six-month training
program that includes
account management,
sales project coordination
and marketing activities.
Lokrings advanced
fluid and gas transfer
connectors are applicable
in the oil and gas, refining,
petrochemical, shipbuilding
and nuclear sectors.

Register by May 24 & SAVE 15%

August 23, 2016

2016

Norris Conference Centers


CityCentre | Houston, Texas
GTLTechForum.com

An In-Depth Look at the Economics, Trends


+ Technologies Driving Gas-to-Liquids
The GTL Technology Forum is the go-to event for gas-to-liquids professionals in North
America. Hosted by Gulf Publishing Company, publisher of Hydrocarbon Processing and
Gas Processing, the event will be held August 23 in Houston, Texas. Now in its fourth
year, the GTL Technology Forum will once again investigate the economics, trends and
technologies at work as GTL usage and projects continue to grow in popularity.
Developed by our esteemed advisory board, the 2016 conference program
features participants from leading GTL industry experts at:
EmberClear
Gas Technology Institute
INFRA Technology
GTC Technology US LLC
Primus Green Energy
Intrexon Corporation
Velocys
Johnson Matthey Davy Technologies
Axens Process Licensing BU
Sierra Energy Group
Air Liquide Global E&C Solutions US, Inc
Standard Alcohol Company
Sessions focus on:
FT
The Future of Non FT GTL
Project Updates & News
Syngas
Alternative Users

New Technology in Steam


Methane Reforming (SMR)
& Authothermal Reforming
Technology (ATR)

Download the preliminary agenda


plus register online at GTLTechForum.com
For questions or sponsor/exhibit opportunities:
Contact Melissa Smith, Events Director,
at Melissa.Smith@GulfPub.com or +1 (713) 520-4475.

Great opportunity to meet others


in the GTL industry and to hear of
progress that is being made toward
commercialization.
Mark DeWalch, Executive Vice President,
DeWalch Technologies, Inc

VIPs Attend Free!


Employees of Owner/Operator
companies involved in Gas-toLiquids are eligible to attend this
event at NO COST.
To see if you qualify for a free pass,
contact Melissa Smith, Events Director,
at Melissa.Smith@GulfPub.com
or +1 (713) 520-4475

Select 51 at www.HydrocarbonProcessing.com/RS

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