and technology forum - hydrocarbon processing · unit desalting operation. ... refinery: •...
TRANSCRIPT
Tuesday/Wednesday, October 9/10, 2007 NPRA 2007 Q&A and Technology Forum 1
Conference Daily Day One Tuesday/Wednesday, October 9/10, 2007
2007 Q&A and Technology Forum
Design, Build, Manage, Operate, Maintain Better HPI Plants
with HYDROCARBON PROCESSING®
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HH 8th horz NPRA.indd 1 10/10/07 8:31:20 AM
Crude oil contaminant removal technology
Baker Petrolite has developed a technology for removing certain con-taminants from crude oils in the crude unit desalting operation. EXCALIBUR Contaminant Removal Technology is used to process higher rates of many types of lower cost “opportunity” crudes, improving refinery feedstock flexibility and profitability.
Problems with contaminants. Crude unit feedstock contaminants such as calcium naphthenates, inor-ganic iron, caustics and other alkaline
materials can cause several operating and product quality problems in a refinery:
• Desalter emulsion stabilization, with resulting water carryover and oil carryunder
• Higher crude oil conductivity, causing desalter capacity constraints
• Crude unit preheat exchanger and heater tube fouling
• Desalter vessel and effluent water system scaling
• FCCU catalyst deactivationSee EXCALIBUR, page 12See INvEsTmENT, page 10
On behalf of the NPRA, welcome to the 2007 Q&A and Technology Forum.
As you know, ours is an extremely competitive industry. To maintain that competitiveness in a challenging regulatory and legislative environment, we must constantly focus on the core objectives of plant safety, regulatory compliance, innovative technology, and excellence in our operations. The Q&A and Technology Forum offers NPRA members a unique opportu-nity to discuss best practices and learn about new processes that will allow our facilities to operate even more effi-ciently and safely, and meet those four core objectives.
This year’s conference is empha-sizing process safety by placing those issues front and center in each session. Our industry has been challenged to make a step change in safety perfor-mance and the NPRA is committed to helping members meet the challenge.
We’re fortunate to have Carolyn Mer-ritt, former Chairman of the U.S. Chemical Safety Board, join us as our keynote speaker to offer her perspec-tive on safety and the nature of the challenge that we face.
We’re also glad to continue offering the Principles & Practices track at this year’s Forum. These sessions, which correspond to the Q&A sessions, focus on the fundamentals of good opera-tions and the elimination of persistent problems.
Additionally, the ten Plant Auto-mation and Decision Support sessions will cover an array of topics ranging from readying your operating system for the next unplanned shutdown to what the refinery of the future will look like. And finally, new to this year’s program is the Cyber Security Roundtable, which will highlight some of the tools available to those who must protect IT networks and SCADA systems from outside intru-sions and cyber-attacks.
The combined knowledge and practical experience of today’s refiners, petrochemical producers, catalyst and chemicals suppliers, plant automation specialists, process licensors, engineer-
ing firms, and other industry experts who participate in the Q&A program speaks volumes about the strength of our industry and the value of this annual forum.
We look forward to your continu-ing participation, and hope you enjoy your stay in Austin.
Charles T. DrevnaExecutive Vice PresidentNPRA
Welcome to the Forum
Charles T. Drevna
Demand for motor fuels in the US has steadily grown over the past 15 years. Motor gasoline and diesel demand alone rose by over 3 million barrels/day (MMbpd), from a com-bined 8.6 MMbpd to 11.7 MMbpd between 1990 and 2006, according to a new outlook from research foun-dation EPRINC (www.eprinc.org). With continued economic growth, this demand is likely to increase over the next decade, though price rises of the past few years are expected to temper the rate.
“Domestic capacity to refine petro-leum into motor fuels, already strained by past increases in demand, is likely to expand modestly, although the amount of expansion is uncertain,” says this analysis. Policymakers have expressed concern over rising refiner margins, high gasoline prices, and growing dependence on petroleum imports. As a response, a raft of antiprice-gouging legislation has been introduced in both houses of Congress, along with an assortment of new energy taxes.
US policy uncertainties cloud refiners’ investment decisions
Inside this issue . . .
Welcome to Austin . . . . . . . . . . . . . . . . .3
Schedule of sessions . . . . . . . . . . . . . . .3
Panelist profiles . . . . . . . . . . . . . . . . . 4–6
Jet and kerosine production strategies . . . . . . . . . . . . . . . . . . . . . . .8
Restaurant recommendations . . . . . .9
Hospitality suites . . . . . . . . . . . . . . . . . 14
Hotel layout . . . . . . . . . . . . . . . . . . . . . 14
Heavy Feeds
cleaner transportation fuelslow sulfur fuel oil(0.1% - 0.5% S)RFCC feed(3-6 MCR)(5-15 ppm V & Ni)coker feed
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Tuesday/Wednesday, October 9/10, 2007 NPRA 2007 Q&A and Technology Forum 3
SChedUle of SeSSionS and SPeCial eventS
tuesday october 9, 20072:00 pm – 8:00 pm Registration Austin Grand Ballroom Foyer
6:00 pm – 8:00 pm Reception Austin Grand Ballroom Salon J-K
Wednesday october 10, 20077:00 am – 5:00 pm Registration Austin Grand Ballroom Foyer
8:00 am – 9:00 am Keynote Address Austin Grand Ballroom Salon H
9:00 am – 10:00 am Plant Automation: Readiness / Lessons Learned Austin Grand Ballroom Salon F
9:00 am – 12:30 pm FCC Q&A Austin Grand Ballroom Salon H
Plant-wide systems Principles & Practices (P&P) Austin Grand Ballroom Salon G
10:00 am – 10:30 am Coffee Break Austin Grand Ballroom Salon Foyer
10:30 am – 12:30 pm Plant Automation: Readiness / Industry Perspectives Austin Grand Ballroom Salon F
12:30 pm – 1:30 pm Lunch Austin Grand Ballroom Salon J-K
1:30 pm – 3:00 pm Plant Automation: A Crude Reality Check Austin Grand Ballroom Salon F
1:30 pm – 5:00 pm Crude & vacuum Distillation and Coking Q&A Austin Grand Ballroom Salon H
FCC P&P Austin Grand Ballroom Salon G
3:00 pm – 3:30 pm Refreshment Break Austin Grand Ballroom Salon Foyer
3:30 pm – 5:00 pm Plant Automation: Convergence of IT and PC Austin Grand Ballroom Salon F
We welcome you to Austin, the capital of Texas and one of the country’s most popular cities. People often describe Austin as down-home, yet sophisticated. Laid-back and bustling with high energy. Traditional and avant-garde at the same time. These qualities allow Austinites and visitors alike to embrace the city’s unique, often quirky, identity and appreciate the traditions that it was founded upon.
As the Live Music Capital of the World, Austin echoes with the sound of coun-try, rock ‘n’ roll, blues, jazz and Tejano. On any given evening, you can find live music playing in nearly 200 different venues. Over the past two decades, the small university town where Willie Nelson crafted his own unique musical style grew into a big city with a glittering skyline and 1.4 million people in the metropolitan area.
Austin stands as the gateway to the scenic Texas Hill Country, marked by roll-ing hills and wide-open landscapes. One national magazine proclaims our city as a “hymn to the outdoors.” Surrounded by three lakes and a network of parks, Austin offers the perfect environment for enjoying the best of nature.
For more information on the area, visit the Austin Visitors Center website at www.austintexas.org for more information. We hope you enjoy your time in Austin.
Katalco
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Welcome to Austin
Courtesy Austin Convention and Visitors Bureau
ReStaURant ReCommendationS, Page 9
BallRoom and Salon layoUt, Page 14
4 NPRA 2007 Q&A and Technology Forum Tuesday/Wednesday, October 9/10, 2007
fCC Q&a Session Wednesday, october 10 9:00 a.m. – 12:30 p.m.
Aram Asdourian Lead process engineer at the Sunoco Philadelphia
refinery; provides technical support for the FCCUs, hydrotreaters and crude/vacuum distillation units
19 years in refining industry in various technical roles with Tosco Refining Co., Hess Oil Virgin Islands Co. and Sunoco
BS degree in chemistry/biology from West Chester University; BS degree in chemical engineering from Drexel University; MBA from Villanova University.
Rex Heater Senior account manager, BASF Catalysts; provides
sales and technical support to FCC customers throughout US
34 years of experience in the refining industry and has served in a number of positions, from process engineer to refinery superintendent
BS degree in chemical engineering from the University of Kansas.
Regan Howell Process engineering manager for Holly Refining
& Marketing, Woods Cross, Utah; responsibilities include energy optimization efforts, capital project evaluation and justification, catalyst selection, chemical treating oversight and monitoring/optimization of the process units
Experience with FCCs, crude distillation, SRUs, utilities and wastewater, hydrotreating, solvent deasphalting and aromatics extraction
BS degree in chemical engineering from the University of Utah.
Ralph Thompson Senior process engineer for Chevron in El
Segundo, California; provides advanced process support in the FCCU and alkylation areas for the El Segundo refinery and also provides training, troubleshooting, environmental, project and startup support for Chevron’s other North American FCCUs
MS degree in chemical engineering from the University of Wyoming.
Patrick Walker Member of UOP’s FCC Operating Technical
Services Group; responsibilities include home office support for checkout and commissioning of new and revamped FCC units, troubleshooting and training
15 years international experience with design and operation of FCC units
Experience includes basic engineering process and project design of FCC unit reactors, regenerators, main columns and gas concentration units.
Michael Wardinsky FCC network lead for ConocoPhillips refining
technology services group in Ponca City, Oklahoma; responsibilities include the development, implementation and sharing of best practices for seventeen FCCU’s operated by ConocoPhillips
BS degree in chemistry from the University of Washington; MS and PhD degrees in chemical engineering from Brigham Young University.
gasoline Processes Q&a Session thursday, october 11 8:30 a.m. – 12:30 p.m.
Pedro Fernandez Group manager for Jacobs Consultancy, Inc.;
responsibilities have included process unit startups, technology design, business and project development
25 years experience in research, development and supply of process technology for the petroleum, petrochemical and gas processing industries
BS degree in chemical engineering from Universidad Autonoma Metropolitana in Mexico; MS degree in chemical engineering from the University of Delaware.
Kleber Hadsell Senior process engineer for Tesoro Corporation at
their Mandan, North Dakota refinery 21 years of experience in the petroleum refining
industry. Assignments have included refining research
and development and operations engineering in alkylation, isomerization, reforming, FCC, and crude distillation
BS degree in chemistry from Colorado State University and a MS degree in chemical petroleum and refining engineering from the Colorado School of Mines.
Edward Lowe Has been the plant manager for several facilities
and has refining experience at the superintendent level for both Marathon Ashland Petroleum and Pasadena Refining System, Inc. in CCR, SRU and HF alkylation units
BS degree from Drexel University in commerce and engineering; BS degree from the New Jersey Institute of Technology in chemical engineering.
Greg Mullins Technical services manager at Marathon Oil Co.’s
Detroit refinery Has worked at Marathon’s Detroit, Garyville and
Texas City refineries with responsibilities ranging from process and project engineering to technical and operational supervision and management
A member of AIChE and chairman of the Wayne State University Chemical Engineering Industrial Advisory Board
BS degree in chemical engineering from Wayne State University.
Jay Ross Technology manager covering the field of
transportation fuels including FCC, catalytic reforming, isomerization and biodiesel production.
Has over 25 years of experience in the refining and petrochemical industries and has authored several patents and numerous technical papers and articles.
BSChE degree from Princeton University.
2007 nPRa Q&a and technology forum Panelists
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6 NPRA 2007 Q&A and Technology Forum Tuesday/Wednesday, October 9/10, 2007
Crude/vacuum distillation & Coking Q&a Session
Wednesday, october 10 1:30 p.m. – 5:00 p.m.
Bill Cates Senior refinery engineer at the Hunt Refining 50,000
bpd Tuscaloosa, Alabama, refinery; functions as a consultant to any department requiring assistance in troubleshooting processes and works to help with process improvement projects
21 years with Cross Oil in Smackover, Arkansas, as a project engineer, process engineer, maintenance manager, engineering manager and operations manager
BS degree in chemical engineering from Louisiana Tech University.
Brian Doerksen Principal engineer in refining technical services,
coke technology for ConocoPhillips 27 years with ConocoPhillips, including 13 years
in the Westlake, Louisiana, refinery in positions ranging from engineering to maintenance superintendent.
BSME degree from Kansas State University.
Regan Howell Process engineering manager for Holly Refining
& Marketing, Woods Cross, Utah; responsibilities include energy optimization efforts, capital project evaluation and justification, catalyst selection, chemical treating oversight and monitoring/optimization of the process units
Experience with FCCs, crude distillation, SRUs, utilities and wastewater, hydrotreating, solvent deasphalting and aromatics extraction
BS degree in chemical engineering from the University of Utah.
Eberhard Lucke Process design manager of the delayed coking
group for CB&I More than 16 years of experience in the oil
refining industry, with 14 years dedicated to delayed coking
MS degree in chemical engineering from the University of Essen, Germany.
Paul Norton Crude unit specialist for Sunoco R&S; responsible
for coordination of standard crude unit practices across Sunoco facilities, and the identification of crude unit capital projects that are aligned toward the company’s strategic operating goals
30 years of experience in refining, 15 years of experience in refinery technical services including crude and vacuum units and 12 years of experience in process design
BS degree in chemical engineering from Drexel University.
Randy Rechtien Senior technical support engineer for Baker
Petrolite Corp. in St. Louis, Missouri; responsible for optimizing and troubleshooting refinery additive applications with an emphasis on corrosion control programs
Has implemented process improvements in crude units, FCCU’s, hydroprocessors, cokers and finished fuels
BSChE degree from Rice University in Houston, Texas.
hydroprocessing Q&a Session
thursday, october 11 1:30 p.m. – 5:00 p.m.
Shaun Boardman Hydroprocessing group manager for Jacobs
Consultancy 24 years of experience in oil refining, including
refinery operations, hydrotreating catalyst applications, process optimization, process design and refinery reconfiguration analysis.
BSChE degree from the University of Natal’s Howard College in South Africa.
Paul Ceccato Senior technical services engineer for Criterion (10
years); supports catalytic applications including NHT, ULSD, CFH, hydrocracking, tail gas and reforming
Responsibilities include unit monitoring, operation, and optimization, specification and application of catalytic systems, unit design, revamp and integration and course instruction on hydrotreating
BS degree in chemical engineering from the University of California at Berkeley.
Gary Everett Senior refining consultant for Houston Refining
LP in Houston, Texas; provides strategic technical guidance to Houston Refining management and Lyondell Chemical corporate staff
35 years experience with ARCO and Lyondell focused on hydroprocessing technologies, many of which have been licensed worldwide
BSChE degree from Michigan State University; MSChE degree from Illinois Institute of Technology.
Scott Harper Process engineering specialist for Consumers
Co-operative Refineries Limited in Regina, Saskatchewan, Canada; duties include catalyst management and process engineering advisor on unit revamp projects
BS degree in chemical engineering from the University of Calgary.
Yvonne Jeanneret Process technology manager at CITGO
Petroleum’s Lemont, Illinois refinery; responsible for the operations process engineering group, process design and process technologists
BSChE degree from the University of Wisconsin, Madison.
Greg Mullins Technical services manager at Marathon Oil Co.’s
Detroit refinery Has worked at Marathon’s Detroit, Garyville and
Texas City refineries with responsibilities ranging from process and project engineering to technical and operational supervision and management
A member of AIChE and chairman of the Wayne State University Chemical Engineering Industrial Advisory Board
BS degree in chemical engineering from Wayne State University.
2007 nPRa Q&a and technology forum Panelists
Tuesday/Wednesday, October 9/10, 2007 NPRA 2007 Q&A and Technology Forum 7
The year 2006 presented another 12 months of high and volatile energy prices. But despite elevated costs, world energy consumption growth remained above average, continuing the trend of recent years. Energy use is also increasingly shifting away from OECD countries and becoming more carbon-intensive.
“It was a year when energy markets were once again the center of atten-tion, attracting the inter-est of politicians, con-sumers and policy-makers alike,” says Christof Rühl, BP’s chief economist-designate. The oil com-pany recently released its annual Statistical Review of World Energy.
Here are key high-lights from BP’s compre-hensive analysis:
overview. For the second year in a row, world energy growth slowed, rising by 2.4%, down from 3.2% in 2005, but still just above the 10-yr average. The pattern of recent years, which has seen robust demand in Asia-Pacific, was repeated with Chinese energy consump-tion rising more than 8%. China’s use of all forms of energy rose in the year,
taking the country’s share of total global consumption to more than 15%.
Oil remains the leading energy source in all regions except Asia-Pacific and Eurasia. Coal dominates in Asia-Pacific, while natural gas is the leading fuel in Europe and Eurasia. Asia-Pacific accounted for two-thirds of global
energy consumption growth in 2006.Continued high energy prices
resulted in slower consumption growth among the main energy importers, par-ticularly the US where primary energy consumption fell by 1% in 2006 com-pared with 2005, despite economic growth. Oil, natural gas and coal usage
0
18
16
14
12
10
8
6
4
2
06050403020100
$/bb
l
NWE Brent crackingSingapore Dubai hydrocracking
USGC West Texas sour coking
FIG. 1. Regional refining margins for three major global centers, 2000–2006.
Review: Crude runs echo regional demand upswings in 2006
See REvIEw, page 9
Publishermark [email protected]
NPRA ContactHelen Kutska
EditorBilly Thinnes
Contributing EditorGeorge Ives
Production ManagerBeth Cunningham
Hydrocarbon Processing2 Greenway Plaza, Suite 1020Houston, TX 77252-77046713-529-4301
ADvERTIsERs:Chevron Lummus Global . . 2Johnson Matthey Catalysts 3Criterion. . . . . . . . . . . . . . . . 5 Baker Petrolite. . . . . . . . . 7, 9KBC . . . . . . . . . . . . . . . . . . 10 Aramco Services. . . . . . . . 11Intercat. . . . . . . . . . . . . . . . 13NPRA . . . . . . . . . . . . . . . . . 15Axens. . . . . . . . . . . . . . . . . 16
Published as three daily editions, October 9/10, 11 and 12, by Hydrocarbon Processing. If you wish to advertise on the second or third day in this newspaper, or to submit a press release, please contact the Editor at email [email protected] or 832-656-5341.
www.hydrocarbonProcessing.com
2007 Q&A and Technology Forum
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8 NPRA 2007 Q&A and Technology Forum Tuesday/Wednesday, October 9/10, 2007
Evolving local and global product specifications and environmental regu-lations are causing refiners to closely examine their jet and kerosine produc-tion strategies, especially when com-bined with clean fuels and expansion scenarios. A significant shift in any one of these parameters could affect a refiner’s technical or economic ability to product kerosine and jet product.
Over the last two decades, quality specifications for gasoline and diesel have changed dramatically, particularly around sulfur. During this same period, the specifications for kerosine and jet have remained largely fixed. Table 1 provides a summary of some global kerosine and jet products.
Within the last few years, regulatory and industry entities have begun discuss-ing changing the specifications, especially on jet fuel. As shown in Table 1, jet fuel has different specifications, depending on region and final usage, though some degree of rationalization has already occurred. Yet, jet fuel is essentially a global product, as the end-use vehicles are aircraft rather than land-based vehicles. Hence, the concept of a single consistent global specification for jet fuel is attractive from equipment, sup-ply, and safety perspectives.
Environmental impacts of jet fuel combustion are now being reviewed. The primary specification change that could improve emissions is a reduction in sulfur. By lowering the sulfur level, the amount of sulfur oxides released in the upper atmosphere would reduce. Hence, jet fuel could follow the same path as gasoline and diesel, from a sulfur perspective.
Tightening of smoke point and aromat-ics specifications could also lead to a reduc-tion in emissions. However, changing these specifications could have a dramatic effect on refiner’s ability to meet market demand. The industry is considering increasing the flash point specification to improve vola-tility-related safety issues. Improved fuel loading and management systems may be more attractive alternatives to adjusting flash point, as this specification change would affect other jet properties and influ-ences engine performance.
Any emissions and environmental benefits gained from changing jet and kerosine specifications must be examined against investment and operating cost debits within the refining industry. In addition, some changes will require more intensive processing options in process-ing facilities, which will then increase energy usage and carbon emissions (CO2 and other green house gases). Hence, a holistic review is recommended to justify the proposed specification changes.
Though no specification changes or “harmonization” have been completed,
the desire to rationalize jet qualities will affect how refiners operate to meet the market demands.
effects of specification changes. For many refiners, the cur-rent total sulfur specification of 0.3 wt% is not a major constraint for jet produc-tion, unless processing heavy crudes, such as Urals Heavy, Basra Heavy, Cold Lake, and Maya. Instead, mercaptan sulfur is the more typical limiting sulfur specification.
To meet mercaptan sulfur specifica-tion, most refiners use some form of extractive sweetening process to convert the mercaptans to disulfides. Alterna-tively, some refiners utilize hydrotreat-ing units to remove mercaptans as well as improve color stability.
For low sulfur kerosine products, hydroprocessing (HDT) is typically the method of choice to meet product speci-fications. These units typically operate at temperatures between 300 and 325°C, hydrogen partial pressures between 250 and 600 psig, and space velocities between 1.0 and 3.0 hr-1, though some units operate outside these windows will meet product and operational specifica-
tions. Often, these same HDT units are used to produce jet fuel from high sulfur kerosine streams, though operate at lower severity. In this operation, the HDT is used to improve color and stability, while managing mercaptans and total sulfur.
For many of these refiners, jet prod-uct sulfur is substantially below specifi-cation, as the HDT removes 70 to 90% of the sulfur, even at the lower severity. For those refiners with Hydrocrackers (HDC), jet/kerosine sulfur will typi-cally be a few ppm, as the pretreat stage of the HDC will remove most of the feed sulfur. In those instances, the trace amounts of sulfur are typically due to mercaptan reversion, which is managed by including a post treat bed in the bot-tom of the cracking reactor.
Hence, the ability of the refiner to manage a reduction in sulfur specifica-tion is dependent on the refiner’s current facility configuration and crude slate.
flash point. Flash point is typically set by the amount of stripping or reboiler duty used in the Crude unit product side stripper or hydrotreater stripper/fraction-ator. In many instances, refiners operate
with some flash point giveaway, as the strippers are operated at a higher sever-ity to ensure the resultant product meets water and corrosion specifications (i.e., H2S removal). Increasing the flash point specification would not only shift kero-sine materialto naphtha but also increase energy utilization to achieve the new tar-get. Hence, refiners may need to increase fuel firing in the system, thereby generat-ing more CO2 and GHG emissions.
Case study. To illustrate this effect of altering flash point specification, a Petro-SIM* rigorous simulation tower was used to simulate how meeting flash point would change duty require-ments and kerosine yield in a kerosine hydrotreater. As shown by Fig. 1, raising flash specification from 38°C to 52°C could reduce kerosine yield by 8 lv% and increase reboiler duty requirement by 50%, at constant naphtha back-end distillation.
The actual energy increase may vary, as the wild naphtha from the kerosine unit may be sent to the crude unit for reprocessing, thereby increasing total energy and capacity consumption, or the flash point of the crude unit adjusted, thereby shifting the stripper duty increase from the HDT to the crude unit. Either way, raising flash point specification will reduce kerosine yield and increase energy consumption.
To meet potential specification changes, refiners will have to employ traditional and novel techniques. By understanding the existing and potential capabilities of each refinery, along with market conditions and crude processing options, the refiners can meet this chal-lenge, as they have for the gasoline and diesel markets. Part two of this series will appear in tomorrow’s issue. It will exam-ine options refiners can utilize to increase production and off-set production lost to due stricter specifications.
The second part of this article, to be published tomorrow, will explore the cur-rent and projected jet and kerosine market conditions and the short and long-term operational and investment options that refiners can utilize to manage these cur-rent and potential market forces. ■
* Petro-SIM is a trademark of KBC Advanced Technologies.
Strategies for managing specification, market and technical changes in jet and kerosine production—Part 1RobeRt ohmes, KBC Advanced Technologies, Inc., Houston, Texas
Table 1: Global jet fuel and kerosine specifications
Source ASTM D1655-05 UK defense standard MIL-DTL-83133 JP-8 Japan kerosine 91-91 2007 JIS K2203
Jet Jet Jet Kerosine
Density at 0.775–0.840 0.775–0.840 0.775–0.840 15°C, g/ml
Total sulfur, wt% < 0.30 < 0.30 < 0.15 < 0.0009
Mercaptan sulfur, wt% < 0.003 < 0.003 < 0.002
Smoke point, mm > 25 mm or > 25 mm or > 25 mm or > 23 Summer, > 18 mm & < 3.0 > 19 mm & < 3.0 > 19 mm & < 3.0 > 21 Winter vol% naphthalenes vol% naphthalenes vol% naphthalenes
FIA aromatics, vol% < 25% < 25% < 25%
Flash point, °C > 38 > 38 > 38 > 41
Freeze point, °C < –40 Jet A, < -47 < –47 < –45 Jet A-1
Kinematic viscosity < 8.0 < 8.0 < 8.0 at –20°C, cSt
Distillation (D86), °C
IBP > 140
10% < 205 < 205 < 205
95% < 270
Final boiling point < 300 < 300 < 300
Robert Ohmes is a senior consultant with KBC Advanced Technologies, Inc., Houston, Texas. His primary responsibilities are centered on hydroprocessing unit consulting for domestic and international clients. Prior to joining KBC, he worked as a refinery engineer for Koch Refining Co. in Corpus Christi, Texas. He holds degrees from Kansas State University (BSChE) and Tulane Univer-sity (MBA) and is a licensed professional engineer in Louisiana.
Effect of flash specification
-8.0-7.0
-6.0
-5.0
-4.0
-3.0
-2.0
-1.0
0.0
38 40 42 44 46 48 50 52Flash point, °C
Delta
ker
osen
e, L
V %
0
10
20
30
40
50
Delta
abs
orbe
d du
ty, %
KeroseneDuty
FIG. 1. Effect of flash point specification changes
Tuesday/Wednesday, October 9/10, 2007 NPRA 2007 Q&A and Technology Forum 9
were down while nuclear energy and hydroelectricity were up slightly.
Oil and gas reserves were largely unchanged in the year with the reserves-to-production ratio remaining above 40 years for oil and 60 years for gas. Despite a small decline in 2006, oil reserves are still approximately 15% higher than a decade ago at 1,208 bil-lion barrels. Global gas reserves were slightly higher at 181 trillion cubic meters, with the US and several OPEC members showing increases.
oil. A 400 thousand barrels/day (Mbpd) fall in OECD oil consumption, the biggest decline from that grouping for more than 20 years, underlines the impact of rising oil prices. Prices peaked at more than $78/bbl in August as the average price of dated Brent increased by nearly one-fifth to $65.14/bbl in 2006. The OECD fall was the main fac-tor behind the weakest global growth rate for oil since 2001, at 0.7% or half the average for the past decade.
Overall, global production was up about 0.4% to 81.7 million barrels/day (MMbpd). Faced with weak demand, OPEC cut production late in 2006 for the first time in nearly two years. For the year as a whole, OPEC increased its production by an average 130 Mbpd to 34.2 MMbpd.
Among OPEC producers, the main
increases came from the United Arab Emirates and Iraq. Declines were in Saudi Arabia, Venezuela and Nigeria. Outside of OPEC, output was up 300 Mbpd in 2006, though this rise was less than half the 10-yr average. The biggest growth came from Russia, up by 220 Mbpd, and Azerbaijan, Angola and Can-ada. Oil production was down in the UK for the seventh year in a row, and in the US for the sixth year in a row.
Refining margins. Fig. 1 shows benchmark refining margins for three major global refining centers: the US Gulf Coast (USGC), Northwest Europe (NWE) and Singapore.
In each case, the data are based on a single crude oil appropriate for that region and have optimized product yields based on generic refinery configuration: cracking, hydrocracking and coking. The margins are calculated after all variable costs and fixed-energy costs.
Refinery utilization. Demand growth slowed in 2006 and was exceeded by global refining capacity additions for the first time since 2001. As a result, global average refinery utilization fell to 85.8% vs 86.6% for 2005.
Even so, crude runs grew rapidly in Asia-Pacific, the Middle East and the Former Soviet Union in support of strong domestic demand. In every other region, throughputs fell versus 2005 levels. ■
REvIEw, from page 7
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CHEZ NOUS Cuisine: French Fine Dining510 Neches512-473-2413Hours: Tues.–Fri. 11:45 am–2 pm; Tues.–Thurs. 6 pm–10 pmDistance from Hilton: 400 feet
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10 NPRA 2007 Q&A and Technology Forum Tuesday/Wednesday, October 9/10, 2007
The study’s findings suggest that there will be substantial effects on the gasoline market, but fairly small effects on the diesel market. “The administration’s program to decrease gasoline demand 20% in 10 years is unlikely to reach that goal, but pursuit of biofuels and higher Corporate Aver-age Fuel Economy (CAFE) standards could substantially reduce historic gasoline demand growth,” according to EPRINC.
Continued economic growth should stimulate diesel demand, though constraints on carbon may moderate its rate of growth. Over-all, demand for motor fuels is likely to grow, with much of that growth concentrated in the diesel market. Yet, refiners face more rather than less risk in making decisions on how much capacity to add over the next 10 years.
fuels market direction. Over the past 15 years, motor fuel demand in the US has headed steadily upward. On average, gasoline demand has increased about 1.5%/yr; on-road diesel demand has risen faster—up almost 4%/yr.
Fig. 1 shows US gasoline and die-sel demand from 1990 to 2006 (die-
sel demand through 2005). Gaso-line demand grew at a 1.5% annual rate, rising from 7.2 MMbpd to 9.2 MMbpd. Diesel demand rose virtu-ally without slowing at a rate of 3.9%/yr, increasing from 1.4 MMbpd to 2.5 MMbpd. The principal factors affecting demand for motor fuels are national income—the combination of population and per-capita GDP—and price.
Between 1990 and 2004, the num-ber of automobiles changed very little, but the numbers of light trucks and sport utility vehicles (SUVs) changed a great deal. In 1990, light trucks and SUVs comprised about a third of all light vehicles sold in the US. But since 2000, these categories have
comprised between 50% and 55% of all new light vehicles sold. Thus, their numbers have been rising both absolutely and as a proportion of the vehicle fleet.
Fig . 2 shows rea l ( in f la t ion adjusted) prices for gasoline and die-sel from 1990 to 2006. From 1990 through 2002, real prices did not rise, but since then there has been an increase of about 50% in both fuels. Real prices have risen even further in 2007. These increases will have an effect on demand over time; they will change the choices consumers make on the types of vehicles purchased.
“Nevertheless, the clear implication is that so long as US GDP continues to rise, the on-road diesel market is likely to remain strong,” according to this analysis.
Cafe. Automakers receive credit toward CAFE goals by marketing flexible fuel vehicles—vehicles able to use alternative fuels such as ethanol or methanol as well as gasoline.
However, almost all of today’s flexi-ble fuel vehicles are run on gasoline so that their production has little effect on demand. Other factors would reduce the impact of increased CAFE standards further. Better gas mileage means a lower cost of travel, which will induce people to drive more.
dieselization. Another means to reduce US motor fuel consumption would be a massive transformation of the light-duty vehicle fleet from gaso-line to diesel. Fewer gallons would be needed to propel vehicles because die-sel has about 14% more Btu/gal and because it combusts more efficiently than gasoline.
The two effects combined result in a vehicle of given size and weight going about 30% further on a gallon of diesel than on a gallon of gasoline. Thus, for given aggregate vehicle miles traveled, about 23% fewer gal-lons would be needed.
A new policy to encourage die-sel use in the US would require US refineries to substantially change their makeup. At present, the product mix is heavily oriented toward gasoline, which makes up over 50% of produc-
tion. Only a little over 20% is diesel. “A large-scale switch from gasoline to diesel would render past capital investments in catalytic cracking less valuable and would require large new investments in hydrotreating and hydrocracking,” according to this analysis.
However, US policymakers are indicating a preference for biofuels and fuel economy measures as the core strategy to reduce motor fuel consumption. Although diesel fuel offers considerable potential for fuel savings, it appears unlikely that this alternative will be given serious con-sideration at this time, according to EPRINC.
outlook. Diesel demand is mostly sensitive to economic growth. As a result, the diesel market will remain strong if the economy continues to do well. Growth of 15%–20% in motor fuels over the next decade would be slower than the recent past, but continued adjustment to past price increases and a somewhat lower eco-nomic growth rate plausibly will push future demand into that range.
The gasoline market will grow with the economy but is more sensi-tive to price and is still adjusting to past price increases. Base case growth of 15%–20% over the next 10 years is plausible. However, biofuels, CAFE policies and changes in the vehicle mix together could reduce gasoline demand by up to 1.2 MMbpd. Alter-natively, constraints on carbon emis-sions plus biofuels substitution could reduce overall motor fuels demand by as much as 1.3 MMbpd. In that case, the gasoline market would grow by only around 200 thousand barrels/day (Mbpd) over the 10-year period, while diesel would grow 400 Mbpd.
“Given reasonable assumptions about US economic growth over the next several years, the market for motor fuels appears poised to grow, albeit more slowly than in the recent past. Investment in new diesel and gasoline processing capacity appears necessary, and consumers will ben-efit if additions to refining capacity keep pace with demand,” concludes EPRINC’s analysis. ■
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INvEsTmENT, from page 1
01990
Gasoline demandDiesel demand
Source: EIA, Monthly Energy Review
1992 1994 1996 1998 2000 2002 2004 2006
1
2
3
4
5
Mill
ion
bpd 6
7
8
9
10
FIG. 1. US gasoline and diesel demand, 1990–2006.
01990
Gasoline demandDiesel demand
Source: EIA, Monthly Energy Review
1992 1994 1996 1998 2000 2002 2004 2006
1
2
3
4
5
Mill
ion
bpd 6
7
8
9
10
FIG. 2. Real price of gasoline and diesel ($2000).
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12 NPRA 2007 Q&A and Technology Forum Tuesday/Wednesday, October 9/10, 2007
• High heavy fuel oil metals and ash content
• High fuel and anode grade coke metals and ash content.
These problems often make refiners reluctant to process these materials. However, many of the feedstocks with high levels of certain contaminants are available at a discount, so increasing the amount of these feedstocks in the
crude blend can be economically attractive.
the solution. The EXCALI-BUR technology process involves injection of a water soluble com-plexing agent into the crude unit desalter wash water to reduce the pH of the wash water, and to increase the solubility of contami-nants in the aqueous phase. Dis-solved contaminants are removed from the desalter with the effluent water drained from the bottom of the vessel.
The complexing agent formu-lation contains corrosion inhibi-tors that allow its safe use in crude unit desalting equipment. Specially formulated emulsion breaking chemicals are also used to resolve stabilized emulsions and to maximize crude oil dehydration. Use of these specialized emulsion breakers reduces the carry over of dissolved met-als into the desalted crude oil stream. For certain crude oil types, scale inhib-itor can be applied to prevent deposi-tion of any metal carbonates or sulfates in the desalter effluent water removal system.
technology benefits. EXCALI-BUR technology allows refiners to improve plant profitability by process-ing higher rates of lower cost “oppor-tunity” crude oils while continuing to produce on-specification coke and heavy fuel oils. Refiners have also been able to maintain target rates of reduced crudes to their resid FCCUs while pro-cessing high metals crudes.
These benefits are delivered with minimal capital expense, while main-
taining stable desalter and waste water plant operation and performance, and with no contaminant metal scal-ing or fouling problems. For example, calcium removal efficiencies as high as 95% have been achieved in units processing crude oils high in calcium naphthenate content, such as Doba, Shengli and various North Sea crudes. Crude oil iron removal efficiencies greater than 70% have also been achieved in commercial applications of EXCALIBUR technology.
By providing a lower, more stable pH in the crude unit desalters, use of EXCALIBUR additives can also improve desalter operation when processing feedstocks contaminated by caustics or other alkaline contami-nants such as ammonia and amines. Benefits include better control of desalter emulsion layer buildup, improved desalter effluent water quality and more reliable waste water treatment plant operations.
Screening tests. Laboratory pre-screening tests have been developed that can predict the level of calcium, iron and other contaminant removal achiev-able in a specific crude unit desalter operation, with representative samples of crude oil blends being processed. The results of these screening tests, plus a thorough unit survey can be used to develop an EXCALIBUR technology solution for particular crude blends, desalting equipment and desalter oper-ating environment. ■
* EXCALIBUR is a trademark of Baker Hughes Incorporated.
BIBLIOGRAPHYWeers, J. and L. Kremer, “New Chemical Process Removes
Crude Oil Contaminants,” 2006 NPRA Annual Meeting, March 19–21, 2006, Salt Lake City, Utah (AM-06-31).
Bieber, S., B. Fahey, R. B. Jiang, H. B. Tian and T. H. Liu, “Successful Strategies for Processing High Calcium, High TAN Crude Oils,” 9th Annual Asian Refining Tech-nology Conference, March 7–9, 2006, Kuala Lumpur, Malaysia.
Weers, J. and S. Bieber, “Calcium Removal From High TAN Crudes,” Petroleum Technology Quarterly, Q3, 2005.
Weers, J. and J. Nguyen, “A New Metals Removal Pro-cess For Doba Crude Oil,” ERTC 9th Annual Meeting, November 15, 2004, Prague, Czech Republic.
Kremer, L., J. Nguyen and J. Weers, “Removal of Calcium and other Metal Species from Crude Oil in the Desalting Process,” Presented at the AIChE Spring National Meet-ing 2004, New Orleans, Louisiana.
Blend 10
2
4
6
8
10
12
14
16
18
86% 75% 71%
Raw crude FeDesalted crude Fe
81%
Blend 2
Crude blends, N. Sea, W. Africa
EXCALIBUR iron removal in acommercial application
Crud
e oi
l iro
n co
nten
t, pa
rts
per m
illio
n
Blend 3 Blend 4
FIG. 3. EXCALIBUR program iron removal efficiency data.
2-July
Calc
ium
cru
de o
il, m
g/L
Calc
ium
rem
oval
, %
010
20
30
40
50
60
70
80
90
100
010
20
30
40
50
60
70
80
90
100
7-July 12-July 17-July 22-July
Raw crudeCa removal %Desalted crude
27-July
EXCALIBUR calcium removal data 15% – 18% Doba in crude blend
2-Aug 6-Aug 11-Aug 16-Aug
FIG. 2. EXCALIBUR program calcium removal efficiency data.
EXCALIBUR, from page 1
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Desalter effluentwater to waste watertreatment plant
Wash waterto desalter
Treated crude oilto hot preheat train
DesalterCrude oilstorage
Baker Petrolite emulsionbreaking chemical
EXCALIBUR™ contaminantremoval additive
Mix valve
Baker Petrolitecalcium scale inhibitor
FIG. 1. Example EXCALIBUR technology application.
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14 NPRA 2007 Q&A and Technology Forum Tuesday/Wednesday, October 9/10, 2007
hospitality suitesCompany Location and dates
ABB Lummus Global Inc. . . . . . . . . . . . . . .Suite TBA Tuesday, Wednesday
Albemarle Catalysts Meeting . . . . . . . . . Room 400 Tuesday, Wednesday, Thursday
Axens North America Meeting . . . . . . . . Room 410 Wednesday, Thursday
Baker Petrolite . . . . . . . . . . . . . .Meeting Room 412 Wednesday, Thursday
BASF Catalysts LLC . . . . . . . . . . . . . . . . . . . . Salon D Wednesday, Thursday
Champion Technologies . . . . . . . . . . . . . . . .Salon C Wednesday, Thursday
Criterion Catalysts . . . . . . . . . . .Meeting Room 404 & Technologies Tuesday, Wednesday, Thursday
DuPont™ STRATCO®, BELCO® . . . . . . . .Suite TBA & Sulfur Solutions Tuesday, Wednesday, Thursday
Emerson Process Management . . . . . . . . . . . Salon E Wednesday, Thursday
GE Water and Process Technologies . . . .Suite TBA Wednesday
Grace Davison / ART . . . . . . . . . .Meeting Room 406 Tuesday, Wednesday, Thursday
Gulf Chemical & Metallurgical. .Meeting Room 408 Corporation Tuesday, Wednesday, Thursday
Haldor Topsoe, Inc. . . . . . . . . . . . . . . . . . . .Suite TBA Wednesday, Thursday
Honeywell Process Solutions . . . . . . . . . . .Suite TBA Tuesday, Wednesday
INTERCAT, Inc. . . . . . . . . . . . . . . . . . . . . . . .Suite TBA Tuesday, Wednesday, Thursday
Intertek PARC . . . . . . . . . . . . . . .Meeting Room 415 Wednesday, Thursday
Invensys SimSci-Esscor . . . . . . . . . . . . . . . .Suite TBA Wednesday
Johnson Mathey Catalysts/Tracero . . . . . . . Salon A Tuesday, Wednesday, Thursday
Koch Heat Transfer Company . .Meeting Room 402 Wednesday, Thursday
Nalco Company . . . . . . . . . . . . . . . . . . . . .Suite TBA Wednesday, Thursday
OnBase by Hyland Software . . Meeting Rooms 403 Wednesday
OSIsoft . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Suite TBA Tuesday, Wednesday, Thursday
Shaw Stone & Webster . . . . . . . . . . . . . . . . .Salon B Wednesday, Thursday
SUD-CHEMIE INC. . . . . . . . . . . . . . . . . . . . .Suite TBA Wednesday, Thursday
UOP LLC . . . . . . . . . . . . . . . . . . . . . . . . . . . .Suite TBA Tuesday, Wednesday, Thursday
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ShowDaily_Ldrshp07.qxd 9/20/07 2:30 PM Page 1
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