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Issue 18 | July 2013

FocusDouble challenge at the Nord Stream landfall

MonitorSiemens' Environmental Portfolio —As green as it can get

Spotlight Conserving water in the oil and gas industry

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Dear Readers,This issue of Venture focuses on various solutions designed to improve the sustain-ability of oil and gas operations. Our cover story showcases Gascade’s landfall station in Lubmin, Germany, where the first SGT-750 gas turbine successfully passed its initial performance tests. Using the turbine’s exhaust gases for re-heating natural gas before further transport, the SGT-750 CHP plant achieves an efficiency of approxi-mately 90 percent.

In a related topic, conservation of natural resources, we take a look at a workable wastewater treatment solution for the oil and gas industry, jointly devised by Siemens and Saudi Aramco. Giving hope to water-starved environments, EcoRight is justifiably classified as a Green Technology, which qualifies for CO2 reduction points.

In Duisburg, Germany, we meet Dr Peter Woywode, Head of Innovation Management at the Oil & Gas Division of Siemens Energy. He explains the many aspects of sustain-ability throughout the value chain, presents Siemens’ Environmental Portfolio, and describes the added value of a Siemens Green Certificate.

We move on to Australia, where huge discoveries of natural gas prompted the development of a number of LNG projects, including Gladstone LNG on Curtis Island, to which Siemens Singapore delivered massive powerhouses.

Finally, let me draw your attention to the Venture App, which is published alongside the printed magazine. With its supporting interactive features and audiovisual material, the Venture App provides an even more in-depth coverage of our business. Look up “Siemens Venture” at the iTunes App Store or Google Play and install the App from there.

Enjoy reading!

Adil Toubia, CEOSiemens Energy Sector, Oil & Gas Division

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IMPRINT

Inside12 SPOTLIGHT

22 LEADING EDGE

Powering Australiangas exploitation

Double challenge at the Nord Stream landfall

06 FOCUS

Joining forces to conserve water

Publisher: Siemens AG, Energy Sector, Oil & Gas, Wolfgang-Reuter-Platz, 47053 Duisburg, Germany Responsible: Dr. Uwe Schütz Editorial team: Lynne Anderson (Head), Manfred Wegner Contact: [email protected] Contributing editors: John Sealander, Edgar Hendrassen Design: STUDIO F, Berlin Photography: Jochen Balke, Florian Sander, Manfred Wegner Lithography: TiMe GmbH, Mülheim Printing: J.L. Romen GmbH & Co.KG, Emmerich.

© 2013 Siemens AG. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical photocopying, or otherwise, without prior permission in writing from the publisher.

Venture 1802/03 Inside

16 MONITOR

Siemens' Enviromental Portfolio—As green as it can get

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Venture 1804/05 NEWS FLASH04/05 NEWS FLASH

Around the walls —The Baltic Sea near Lubmin, Germany, where the Nord Stream pipline surfaces.

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Siemens acquires know-how in organic Rankine cycle applicationsSiemens has expanded its portfolio of environmentally compatible products and solutions by acquiring specialized know-how of organic Rankine cycle technology from insolvency administrators managing the assets of Maxxtec AG and Adoratec GmbH in Sinsheim, Germany. The purchase agreements have been signed and the transaction will soon be concluded. The organic Rankine cycle (ORC) is a thermodynamic process, which uses fluids with a lower boiling point than water — such as silicone oils, refrigerants or hydrocarbons — as the working circulating fluid. This allows electrical power to be generated economically even from lower-temperature sources.

This technology can significantly lower overall electrical generating costs because it allows otherwise wasted heat to be converted into electricity. The ORC process is used when the temperature differential between heat source and heat sink is too low to drive a steam turbine operated on steam generated from water. ORC facilities can also use geothermic sources or produce electricity from the thermal energy generated by biomass combustion. Siemens will initially supply products and components for biomass-fired and waste-heat recovery plants with outputs of 2 megawatts (MW). Over the medium term, geothermal plants with electrical generating capacities of up to 5 MW will be added to the product range.

Compression solutions for LNG plant in MalaysiaSiemens Energy’s Oil & Gas Division has been awarded a contract to supply turbo compressors and mechanical-drive gas turbines for the Petronas Bintulu Plant in Sarawak, East Malaysia. The project will help to improve overall plant efficiency and minimize gas flaring at this Liquefied Natural Gas (LNG) facility. The plant will employ the world’s first gas-turbine-driven cryogenic-temper-ature BOG turbo-compressor from Siemens.

The LNG project is implemented by Malaysia LNG, a subsidiary of Petronas. Engineering, procurement, and construction man-agement (EPC) is contracted to Munich-based LINDE Engineering. These companies are thus pioneering world-scale boil-off gas reliquefaction within LNG plants and are implementing technol-ogy from Siemens to improve efficiency and help to reach inter-national emission standards.

The scope of supply covers the engineering, manufacturing and testing of one tandem-casing, cryogenic-temperature BOG turbo compressor and one single-casing LNG-refrigerant turbo com-pressor. Both compressors will be direct-driven by Siemens SGT-700 mechanical-drive gas turbines. Project completion is expected in April 2014, the plant will start operation in October 2014.

Petronas’ Bintulu LNG complex is one of the world's largest LNG facilities. It consists of three plants, with a combined capacity of 24 million tonnes per annum (MTPA).

Siemens technology heats up VersaillesCentrax has completed the installation of its first Siemens CX400 package in Versailles, France. The CX400 (Centrax 400) package is none other than the Siemens SGT-400 in a new guise. It was in June 2011 that Centrax and Siemens signed an agreement enabling Centrax to market the SGT-300 and SGT-400 gas turbines in the UK, France, Italy, Netherlands and Belgium.

The combined heat and power installation at Versailles is the first Siemens gas turbine to be packaged by Centrax. Besides its technical benefits, it has the commercial advantage of providing the greatest power output and energy efficiency below the 12-MW cap imposed on cogeneration projects in France. The 12-MW unit is now meeting 40 percent of the hot water demand of the city, including its famous palace, while also producing electricity for sale to French power utility EDF (Electricité de France).

The incorporation of Siemens gas turbines into the Centrax product range gives customers one of the widest choices of power output in Europe, with a range of between 2.5MW and 64MW.

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Around the world

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Venture 1806/07 Focus

Since the start of gas fl ow through line 2 on October 8, 2012, the Nord Stream twin pipeline system came on stream. Right next to the pipeline’s landfall near Lubmin, Germany, Gascade operates a facility designed to heat up the incoming Russian gas for further transport to the next compressor station some 260 kilometers distant. Engineering and building this facility was a double challenge, for Gascade as much as for Siemens—a challenge that was met. Time for Venture to have a closer look and talk to the people who made it happen.

Double challenge

TEXT Manfred Wegner

PHOTOS Florian Sander

FURTHER RELATED INFORMATION

www.siemens.com/venture

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It is always enchanting to meet with people who, a short while previously, got proof that they were successful in completing some major project. Sparkling with enthusi-asm, they can take you on a virtual roller-coaster ride through a project’s twists and turns and on to their fi nal achievement. “Mission (almost) accomplished” was the fundamental message Venture got when visiting Gascade’s gas-heating facility near Lubmin, Germany.

Formerly known as Wingas Transport, Gascade operates a natural-gas transport infrastructure encompassing some 2,300 kilometers of pipelines and nine compres-sor stations. The change of name and structure became necessary following the EU’s Third Liberalization Package and the German Energy Management Act (EnWG). As a result, Wingas Transport shareholders formed Gascade as an independent transmis-sion operator (ITO) fully separated from affi liated trading companies with regard to its name and external profi le.

Joule and Thomson

The gas delivered by the Nord Stream pipeline mostly originates from Western Siberia. At Portovaya, Russia, it is compressed to 215 bar during full-load operation to make its way through the 1,224 kilometers of 1.2-meter pipeline through the Baltic Sea. Upon landfall near Lubmin, Germany, the gas travelled for three days, and its pres-sure dropped to some 110 bar. In order to match the pressure specifi cation of the pipeline system following the landfall, the gas is further expanded to 102 bar. When expanded, a gas cools, as described by the Joule-Thomson effect. We benefi t from this effect in the form of refrigerators, air conditioners, and air separation plants for instance. However, in the case of the expansion of natural gas in a pipeline, measures have to be taken before the gas may travel on in order to avoid the freezing of pipes and appliances, and of the ground that surrounds the pipes. Essentially, Gascade’s Lubmin landfall station is a heating facility for the arriving expanded and cooled natural gas.

A smarter heater

For heating natural gas at a pipeline facility, gas-powered boilers would be the natural choice. And indeed, the Lubmin station features three of them, each rated at 40 megawatt (MW) thermal power. However, in order to meet the 160 MW of total

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Gascade’s pipeline network not only contributes to German domestic supply but is a vital part of Central Europe’s gas transport infra structure with land- or seaborne transit connections to neighbor-ing countries.

Much of the Lubmin station’s tubing is insulated to minimize thermal losses of the reheated gas and the hot water used for heating.


maximum demand, the plant would have needed a fourth such boiler — or an alter-native source of thermal energy. Says Klaus Haussmann, CHP Project Leader, BASF: “We could have installed another boiler to cover the peak demand for thermal energy. But there are ways to use energy in a more effi cient and ecologically thought-ful way, such as using the 420 to 500 degrees Celsius hot waste heat of a gas turbine’s exhaust gas.”

This scenario had fi rst been outlined some four years ago. When, in 2011, Siemens had a prototype design of its latest SGT-750 gas turbine ready for discussion with industry partners, Haussmann found the perfect match for his vision. Soon after, there was consensus among all partners to the Lubmin facility, including E.ON, Fluxys, Gasunie and Wingas, that a combined heat-and-power generation with an SGT-750 at the heart of it would be a benefi cial alternative under both economical and ecological aspects.

The smarter ‘heating solution’, however, had yet to be built — and under consider-able time pressure to fi t into the overall planning of the Lubmin facility. Says Erik Bergstroem, Siemens Project Manager, Finspong: “We didn’t have much headroom for failure of any kind. So we decided to have the team that would manufacture the gas turbine in Sweden also on site in Lubmin for construction, testing and commis-sioning — a team of people who knew the machine from the very fi rst steps of devel-opment on.” A continuity much appreciated by the customer.

Great expectations met

End of January this year, the turbine was fi red for the fi rst time on site. In February however, the return of wintery conditions interrupted civil construction work, and the eagerly awaited performance test couldn’t be carried out before end of April. But it was worth waiting. Klaus Haussmann: “Results were excellent. Vibration was very stable, and the 100-percent performance test revealed effi ciencies signifi cantly higher than those stated in the contract. We are very satisfi ed.”

When Venture was on site mid-May, the 72-hour test was just about to come to an end — an important milestone for both, customer and Siemens, and a pre-requisite for the later 2 or 3-week test drive. During the 72-hour test, the gas turbine was run under a range of different operating conditions in order to check its behavior. The test confi rmed all expectations were met — or surpassed. The CHP plant delivers


“It was amazing to see the SGT-750 evolve from a mere 3D simulation in November 2010 to the perfectly running gas turbine we now have on site in Lubmin. For me, it was the most interesting project I worked on.”Klaus HaussmannCHP Project LeaderBASF

Eischleben revisited

In the oil and gas industry hardly any piece of machinery is purchased without fi eld reference, least of all a multi-million euro asset such as a gas turbine. And yet, this was not unprecedented in the case of the former Wingas. Without any fi eld data available, its compressor station near Eischle-ben, Germany, had been equipped with the then newly released SGT-700 gas turbine — in the words of Klaus Haussmann “ … a decision based purely on historical experience with Siemens and the proven reputation of the Siemens gas turbine family in general.”


38 MW-electrical and 50 MW-thermal. It achieves a total efficiency of some 90 per-cent, where 40 percent of the SGT-750’s energy input is used for power generation and 50 percent for gas heating.

New dimensions mastered

While Haussmann already managed a couple of power plant projects on a much larger scale, the complexity of the process of the landfall station was a challenge in its own right. Says Ralf Hartmann, Electrical and Instrumentation Project Leader with Gascade: “So far, we’ve mostly built compressor stations but never before a CHP plant or a 110 kilovolt (kV) feed to a local grid.” Gas turbine, generator, medium-voltage switchgear, 110-kV transformer and the feed to a nearby utility grid — to date, all that is in place as scheduled due to a joint team effort of Gascade and Siemens. And one might assume the team would relax by now. But the thrill is not gone yet.

Initially, the station’s Siemens S7/PCS 7-based control system was laid out to process some 3,000 I/Os, a number already beyond what any other of Gascade’s facilities fea-ture. With the evolution of the CHP plant project, the number of I/Os surged dramati-cally, now totaling a multiple of the initial value. More and more appliances had to be woven in. In essence, three control systems are now in place: for the landfall station; for the SGT-750; and for waste-heat reuse, power generation and the 110-kV feed.

The SGT-750 prototype. For Gascade, it was the perfect match for their requirements. For Siemens, the Lubmin station offers the opportunity to demonstrate this latest development to customers, potential and existing.

“This process control system is the heartbeat of the largest energy infra structure investment in Europe in recent years.”Ralf HartmannElectrical and Instrumentation Project LeaderGascade


Tuning on the fl y

The ongoing challenge is to interconnect the three control systems and develop a coherent solution for operation and automation, all with the same look and feel. “What we do right now is like an operation on an open heart, like changing tires while driving, as the landfall station is already in operation and can’t be switched off,” says Ralf Hartmann, and adds: “That’s where you need extremely competent people, both in a professional and social sense. And that’s what we found in our partners from Siemens.”

In the weeks and months to come, the relative heat and power generation levels of the CHP plant have to be carefully adjusted to match the requirements of changing seasonal volume fl ow and temperature scenarios. As there is no off-the-shelf solution available, and simulations are inherently out of the question, again much of this has to be done in an iterative way and without impacting on the plant’s operation.

Technological consistency

Complexity will ultimately have a bearing on costs and availability. Hence, it always was among Gascade’s key interests to achieve maximum technological consistency throughout all of its facilities, from the fi eld right through to the dispatching center in Kassel, Germany.


“Ensuring technological consistency is essential for an operation as complex as Gascade’s gas transport infrastructure.

And technological consistency is among the major contributions Siemens could

make.”

Stefan EngelshoveHead of the Siemens Energy Division’s Oil & Gas and Energy Service,

Germany

Another fi rst: Remote-parameterized fi eld instrumentation

All of the station’s fi eld instrumentation can be remote- parameterized, keeping downtime due to instrument failure at a minimum. Parameter values are stored in a central Siemens PDM data-base, which is part of the PCS 7 software family.


As a result, Siemens rotating and electrical equipment is ubiquitous along the com-pany’s vast operations. "We were able to realize a consistently high technical standard at the locations of Gascade and Wingas in Germany,” says Stefan Engelshove, Head of the Siemens Energy Division’s Oil & Gas and Energy Service, Germany, and adds: “This optimizes costs, eases maintenance and ensures maximum availability."

Coming soon

In an effort to further diversify and expand gas transport capabilities to Europe, additional pipeline projects have been initiated in recent years. Nabucco, a proposed land-borne pipeline that would link Central and Southern Europe to reservoirs in the Caspian Sea, is stalling due to unclear gas supplies. In April, one of the share-holders, German power utility RWE, left the consortium.

In contrast, construction of the South Stream pipeline was kicked off in December 2012 at the Eastern starting point of its Black Sea crossing offshore section near Anapa, Russia. Spanning more than 2,300 km in total, South Stream is designed to deliver up to 63 billion cubic meters per year of Russian natural gas by 2019 — about 12 percent of the EU’s gas consumption forecasted for 2020.

BASF-affi liate Wintershall is among the South Stream shareholders, and Klaus Haussmann has already been assigned his next projects — the Anapa and Varna, Bulgaria, landfall stations, facilities comparable to Gascades’s Lubmin operations. Of course, Venture is excited to see things evolve and will be there as and when.

Some three kilometers of subterranean high-tension cable connect the power output of the CHP plant to E.ON’s local grid.

Stepping up the generator output to 110 kV for further transmission to E.ON’s nearby local grid.

The ‘electrical team’. From left to right: Thomas Schneider, Siemens; Ralf Hartmann, Gascade; Johannes Kroese, Siemens; Ansgar Hinze, Gascade.


Venture 1812/13 Spotlight

In addition to our obvious need for safe, clean drinking water, modern industrial processes also depend on reliable, clean sources of water. This is particularly true in the oil and gas industry, which uses copious amounts of water for power generation and cooling in refi ning processes, and even more so when this industry operates in a desert country like Saudi Arabia. Saudi Aramco, the world’s largest oil producer, and Siemens teamed up to address the need to reduce fresh water usage and recycle process wastewaters, and came up with a workable wastewater treatment solution, appropriately called EcoRight™.

Joining forces to conserve our most precious natural resource

EcoRight™ systems by Siemens promise signifi cant improvements over conventional refi nery waste water treatment methods. EcoRight™ pilot demonstration unit shown above.

TEXT John Sealander

PHOTOS Siemens



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Although many people still take water for granted, in water-starved regions of the world it is a resource more precious than gold—or oil. It is not surprising that a desert country like Saudi Arabia is already experiencing severe water shortages. Currently, Saudi Arabia obtains much of its usable water through the desalinization of seawater, and from its ancient aquifer which is quickly being depleted. Although the desalinization process is safe and effective, it doesn’t produce nearly enough clean water to meet the country’s growing needs. This is why the ability to reuse wastewater from petroleum refi neries, petrochemical plants and other industrial facilities is fast becoming an operational necessity in Saudi Arabia and other water-starved regions of the world.

The importance of wastewater treatment in the oil and gas industry

The petroleum industry uses very large quantities of water. Refi neries, for instance, need approximately two barrels of water for every barrel of crude oil that is processed. The median discharge of water in even the most advanced refi neries is still somewhere between 100,000 and 150,000 barrels a day (3 to 4.6 million gallons, or 16,000 to 24,000 m3).

It is becoming increasingly diffi cult to reduce that fi gure further because water is an essential component in the refi ning process. The crude oil distillation tower at the heart of most modern refi neries depends on water as a heat exchange mechanism. Water is also used to provide steam as a power source and for washing or desalting crude.

It should come as no surprise that meeting this fresh water requirement through an expensive reverse osmosis desalini-zation process, and transporting this water to the refi neries, is becoming cost-prohibitive for Saudi Aramco. This is why Saudi Aramco has teamed up with Siemens to look for new ways to recover and reuse its existing water supply to reduce the impact on desalinization facilities and the local fresh water supply.

Reinventing the traditional wastewater treatment plant

Originally developed by Saudi Aramco environmental experts, who then teamed with Siemens Water Solutions, an effective new technology has been developed that

inexpensively treats oily or industrial wastewater and conserves groundwater/desalinated seawater, while allowing the treated water to be used again and again for industrial processes. This new technology, currently being marketed as the EcoRight™ biological wastewater treatment system, meets strict new environmental requirements and shows great potential for reducing refi nery capital and operating costs, especially when compared to traditional wastewater treatment solutions. In refi nery applications, the EcoRight™ system can signifi cantly reduce the marine discharge of wastewater and the cost associated with using other fresh water supplies by reuse of the wastewater. In gas plantapplications, the new wastewater treatment system can eliminate or dramatically reduce traditional evaporation ponds. These applications, as well as other potential applications in the pulp and paper, pharmaceutical, and municipal sectors, promise signifi cant improvements over traditional biological wastewater treatment methods.

The ecological advantages of adding activated carbon to the microbiology

Wastewater from oil-processing facilities provides a num-ber of challenges for refi ners. The oily wastewater often has a high concentration of dissolved solids that must be removed before reuse as boiler feed water, cooling water, and utility water. Diffi cult-to-degrade (refractory) organic compounds are also present in refi nery wastewater and these compounds must fi rst be removed to protect reverse osmosis equipment designed to remove the dissolved solids. Typical biological oxidation methods used to treat these wastewaters often provide inadequate removal of diffi cult-to-degrade organic compounds, resulting in prob-lems complying with regulatory discharge requirements. Most importantly, for water-starved areas like Saudi Arabia, the residual oils and refractory compounds in the treated discharge make the effl uent inappropriate for feed to dis-solved solids removal equipment for reuse.

This is where the synergy of combining activated carbon with the microbiology, as in the EcoRight™ system, can help. By integrating membrane bioreactor technology and carbon adsorption purifi cation into a single treatment technology, the EcoRight™ system is well-suited to treat the highly organic wastewaters found in many industrial applications. The use of this new technology provides the synergistic effects of biological treatment (combined suspended growth and fi xed fi lm), adsorption and biological regeneration.


The EcoRight™ system: a new paradigm for contaminant removal

The patented EcoRight™ system has shown to be a cost-effective solution for treating refi nery wastewater targeted for reuse. Membrane abrasion is eliminated by separating the granular activated carbon from microbiology prior to the membrane tank. The EcoRight™ system provides a very stable system which results in lower contaminant concen-trations in the treated effl uent, allowing the wastewater to be economically and effi ciently sent for further treatment for reuse, or to provide a high quality water to meet most discharge requirements.

An EcoRight™ system pilot plant in a Saudi Aramco petro-leum refi nery has already shown dramatic results over a 319-day operating period. Despite extraordinarily variable discharges of oil and grease, Chemical Oxygen Demand (COD) loading, and frequent power interruptions, the EcoRight™ system treated effl uent complied with all dis-charge standards, clearly demonstrating that this new technology has the capacity to process upsets and quickly

return to normal operating conditions. The effl uent from the EcoRight system pilot plant was fed directly to a reverse osmosis (RO) system to produce boiler feed water. The system operated for approximately three months with no detrimental effects and without the need for cleaning the RO membranes.

New hope for water-starved environments

Since the EcoRight™ system combines multiple treatment steps into a single treatment technology, and provides the same contaminant removal capabilities and capacity, it qualifi es as a green technology and can earn CO2 reduction credits. In most cases, the treated effl uent can be reused, or fed directly to RO equipment for reuse as boiler feed or cooling water, all while meeting today’s stringent environ-mental discharge requirements.

Siemens innovation for a greener planet

Siemens is committed to sustainability. Says Tom Schultz, Director of Sales & Marketing for Siemens Water Solutions. “Sustaining water resources in the oil and gas industry and other industrial applications is the cornerstone of every-thing we do. Our new EcoRight™ system is just one more example in a growing portfolio of innovative products and solutions that help our customers improve water sustain-ability through economic reuse of water in their facilities.” Anthony Pink, head of the Siemens Water Solutions busi-ness adds: “We are convinced that the key to sustaining our customers’ growth and profi tability in the years ahead is to be a responsible global citizen and ensure that high water quality is available, at economically affordable costs. We don’t just talk about sustainability; we implement it around the world.”

Adding granular activated carbon to a membrane biological reactor shows dramatic improvements in effl uent quality.

The EcoRight™ system shows dramatic effl uent quality im-provements over simple aeration tank and membrane operating systems.

“Sustaining water resources in the oil and gas industry and other industrial

applications is the cornerstone of everything we do.”

Tom Schultz, Director of Sales & Marketing for Siemens Water Solutions

Venture 1814/15 Spotlight

Feed Anoxic Mix Tank

Aeration TankML

MOS Return

Effl uent PetroTM MBR Effl uent

Activated Carbon Assisted MBR Effl uent


EcoRight™ and related Petro™ MBR systems are ideally suited to a wide range of refi nery, petrochemical and production water-treatment applications.

Siemens recently announced that it will sell its Industry Sector Water Technologies business, comprising the capital and services segments associated with the municipal and general industry markets. However, the Energy Oil & Gas Water Solutions business will remain within Siemens, and will not be affected by this sale. Also, the Energy Sector Water Solutions manufacturing sites will not be affected by the sale of Water Technologies, nor will our offering of oil and gas fl owback and offshore reverse osmosis services.

What does this mean to you? It means that Siemens will continue to support our oil and gas customers world-wide with compre-hensive water treatment solutions as part of the overall Siemens Energy portfolio.

Siemens Water Solutions has a long history of experience in the oil and gas industry, and is made up in part by the companies for-merly known as Zimpro Environmental in Rothschild, Wisconsin, and Monosep Corporation, in Broussard, Louisiana. Names you know, names you trust. We understand the importance of water in the oil and gas industry and can provide solutions to achieve water quality suitable for use, re-use or disposal.

Our offering includes core technologies for hydrothermal treat-ment systems; upstream and downstream oil and gas products; and biological (downstream) treatment systems. Project complex-ity ranges from standalone products to complex systems to fully integrated solutions.

The Oil & Gas Water Solutions products that will remain with Siemens include the following:

• Zimpro® wet air oxidation• Brise™ dissolved gas fl otation pump• Vorsep™, Spinsep™, Veirsep™, Cyclosep™ and Combosep™ fl otation systems for produced water treatment• Hydrocell™ and Quadricell™ induced gas fl otation systems• Hydrocyclones (liquid/liquid)• Hydrocyclones (solid/liquid)• Corrugated plate separators• Media fi lters, including Auto-Shell™ and Monosep™ walnut shell fi lters• Water injection/reinjection solutions• API separators• DAF/DGF separators• Petro™ MBR systems• EcoRight™ MBR systems• PACT®/WAR systems• Sulfur Recovery Units• Offshore UF technologies

Siemens Water Solutions is committed to serving our oil and gas customers, whether upstream, downstream, onshore or offshore, with full solutions for water and wastewater treatment.

Siemens Water Solutions —Committed to the oil and gas industry


TEXT Edgar Hendrassen

PHOTOS Harald Reusmann,

Florian Sander, Edgar Hendrassen, Siemens



Venture 1816/17 Monitor

‘Green’ has without doubt become the buzzword of our times. An avalanche of messages from a vast range of human endeavor cascades it in countless contexts. At Siemens, however, ‘green’ has become the selective criterion for a dedicated portfolio of products and solutions. Their ‘greenness’ is benchmarked, calculated, certifi ed and monitored by an independent auditing company, providing dependable evidence of ‘green’ benefi ts for the customer and the environment.

As green as it can get

Biomass power plants use organic materials and wastes as a renewable source of energy. A typical biomass plant with a Siemens 90-megawatt SST-800 steam turbine would avoid about 625,000 tonnes of CO

2 emissions per year.

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According to the New Oxford American Diction-ary’s 2nd edition, a ‘green’ product is a product, which is not harmful to the environment. Fair enough. But what is it that makes a product ‘green’ so that it won’t harm the environment, at least not more than is unavoidable at any given state of the art? Start of journey …

Setting the bar

In 2008, Siemens set out to defi ne the bench-mark indicators that would have to be matched by any of the company’s products or solutions in order to enter a so-called “Environmental Portfolio”. These include energy effi ciency, CO2 abatement, application in renewable power generation, and emissions reduction. Let’s have a look at these indicators and examples one by one.• Energy effi ciency — On global average,

power plants operate at effi ciencies of about 34 percent. This value could be substantially boosted by employing gas turbines such as Siemens’ SGT-750, which achieve effi ciencies of near to 40 percent in simple cycle mode. Plants could further be optimized by adding a waste-heat recovery system to operate the plant in combined-cycle or combined heat and power mode, which means a further improvement of plant effi ciency of more than 35 percent in combined-cycle mode.

• CO2 abatement — Take an LNG plant produc-ing 5 MTPA of liquefi ed natural gas, for instance. The main refrigerant compressors of such plants are usually direct-driven by gas turbines. Replacing these gas turbines by electric drives powered by a combined-cycle power plant would mean a CO2 abatement of some 370,000 tonnes per plant and year.

• Renewables — Equipment, products and solutions for renewable energy. Siemens delivered dozens of steam turbines for Con-centrated Solar Power plants (CSP) in Spain, the US, South Africa and India. And there is more to come, as the roadmaps of Saudi Arabia and the Desertec initiatives show a reasonable share of CSP in their projects. In addition, steam turbines are used in biomass and geothermal plants, e.g. in China and Indonesia.

• Reducing emissions — In its immediate sense, this criterion applies to dedicated com-pressors for aeration in wastewater treat-ment, for the desulfurization of fl ue-gas and automotive fuels, and to emission-free com-pressors such as the STC-ECO, a hermetically sealed motor-compressor unit for dirty-gas applications.

The above criteria are set forth in the Siemens Sustainability Guideline. Products matching the criteria are proposed by the Oil & Gas Divi-sion together with the respective business units, and checked by the Siemens Corporate Sustainability Offi ce in Munich. As an indepen-dent third party, Ernst & Young, the auditing company, checks compliance with the criteria and the respective achievements of the pro-posed equipment, products and solutions. In a fi nal step, the list of matching products is rati-fi ed by the Division CEOs. The certifi cation process is repeated and the list reviewed once per year to ensure the accu-racy of all statements, notably because the Environmental Portfolio is part of the Annual Report and therefore has to be treated with the same legally required diligence. Says Dr Peter Woywode, Head of Innovation Management at Siemens Energy/Oil & Gas: “We do not know of any other company in our sector with such an elaborate process in place.”To date, 23 products qualifi ed for the Oil & Gas Division Environmental Portfolio — gas tur-bines; steam turbines; variable-speed drives for compressors, pumps and drilling rigs and turbine-driven trains using excess heat from exothermal processes such as PTA (purifi ed terephthalic acid). However, there is more to come. Peter Woywode: “We see a very strong pull among our customers to improve their water footprint.” Currently, Siemens Oil & Gas Water Solutions work on a number of joint development projects which address specifi c needs in the oil and gas industry, and which are also part of the Environmental Portfolio (see respective article in this issue). Two examples may illustrate what good some of the current products and solutions from the green list can do in the oil and gas industry.

Improving the operations footprint

On average, today’s oil and gas industry con-sumes some 20 percent of all produced oil and gas for production, upgrading, transportation and a number of other stages in the value chain, i.e. before the fi nal product reaches the customer. In terms of greening, some opera-tions are easier to improve than others. Here are just two examples that may illustrate typi-cal headroom for improvement.The fi rst example could be headlined ‘Installed technology versus latest technology’. Imagine a long-distance gas pipeline. Every 300 kilo-meters or so you need a compressor station to maintain a suffi ciently high pressure level. Each of these compressor stations typically

40302010

0

29% 27%

Materials Manufacturing Service

44%

“End of life” – Recycling reduces the environmental impact of the product and gives a positive contribution to the overall GWP of the product (not shown).

Global Warming Potential

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29% 27%


44%



“Water is the next CO2.”Dr Peter Woywode, Head of Innovation Management, Siemens Energy, Oil & Gas

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29% 27%


44%



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29% 27%


44%



Global warming potential of life-cycle stages of an SGT-300 gas turbine


operates three 25-megawatt (MW) gas turbines, each of which consumes some 75 MW of ther-mal power. In total, ten such compressor sta-tions would add up to some 3 gigawatts (GW) of power consumption. Hence, every one per-cent increase of compressor effi ciencies is 30 MW or 3000 cubic meters of gas per hour, increasing the sellable share of the transported gas. Compared to conventional compressor technology, state-of-the art pipeline compres-sors have been calculated to achieve a reduc-tion of CO2 emissions in the order of 7,000 tonnes per year and machine. Another approach is to ‘electrify’ oil and gas operations. Let’s have a closer look at our LNG example. Liquefaction and transportation are the most energy-hungry stages of the LNG value chain. In most LNG plants, the main refrigeration compressors are driven by gas turbines. In such mechanical drive applications, the latest gas turbines would run at effi ciencies of 40 percent at best, which is an achievement indeed — among gas turbines. Compare that, however to electric motors, which typically boast effi ciencies of 97+ per-cent (IE4 Super Premium class, EN 60034-30, issued in 2009). Of course, electric drives need a steady source of electric power. But we’re not stuck here. Because, in power generation applications, gas turbines can be fi tted with waste-heat recovery systems (WHRS) and work in combined-cycle mode, boosting overall effi ciency to more than 60 percent. Hence, in the given example, an overall scheme with a gas-turbine-driven combined-cycle power plant

powering electric-motor driven liquefaction strings would outperform any mechanical-drive solution in terms of effi ciency by some 20 percentage points.However, there may be a downside to this seemingly smart solution, as it encompasses a larger number of assets, the manufacturing of which consumes a range of additional material resources — and additional energy. Also, replacing existing machines which run perfectly in a technical sense, and whose existence rep-resents huge resources, will have a bearing on the overall ‘sense’ or ‘footprint’ such an up-grade would make. It is time to widen the focus from operational greenness to sustainability.

Assessing a product’s life cycle

So far, we’ve basically looked at what good a greener product can do in operation. But the products and solutions have their own environ-mental footprint, which starts as soon as they are conceived, i.e. at the very beginning of their life cycle. Materials selection, manufacturing and trans-port, operation, and end of life — these stages all have their specifi c bearing on the greenness of a product or solution. That’s why they are benchmarked in the Environmental Product Declaration available for all of Siemens’ Envi-ronmental Portfolio products and solutions. The life-cycle stage “Materials” includes the material inventory which involves the extraction of natural resources, transport to the process-

5

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32

■ High alloy steel■ Low alloy steel■ Un alloyed steel■ Cast iron

17%

58%

9%

7%3% 5%

■ Aluminum■ Copper■ Others (0.5%)

“As a sustainability leader ourselves

we can help our clients

be champions too.” Adil Toubia

CEO Siemens Energy Sector, Oil & Gas Division


Materials breakdown of an SGT-300 gas turbine

Operations control software such as Siemens XHQ offers real-time visualization and comparison of key performance indicators for environ-mental and process safety. It also helps to reduce energy consumption of utilities by identifying key areas for improvement.


ing sites and the production of raw materials. All materials are chosen with regard to mini-mizing environmental impact. For instance, ferrous and non-ferrous metals ensure a high degree of recyclability.The “Manufacturing” stage encompasses all production processes up to the assembly of the fi nished product at the manufacturing site. Essential data like energy, water and gas con-sumption are based on the manufacturing data of the respective site. The “Transportation” stage includes the trans-port, mainly per sea, to the customer site. Typic-al product-specifi c geographical locations of customer sites are assumed for this assessment.The life-cycle stage “Operation” covers all envi-ronmental impacts of a specifi c product or system during its operational phase, including all related service equipment. For gas turbines, a normal operational lifetime of 20 years is

assumed. A SGT-300, for instance, is often used within a baseload CHP application with 7,000 operating hours per year.The "End-of-life" scenario includes the disas-sembly, recycling and thermal treatment of all recyclable materials, plus the disposal of all other materials. Recycling signifi cantly reduces the consumption of primary materials. In the case of our SGT-300 example, a high amount of steel means a high degree of recyclability, as steel can be recycled by almost 100 percent.

Calculating these scenarios delivers compre-hensive insight into just how much sense a product makes with regard to global warming and use of resources. Results are published in the form of product-specifi c Environmental Product Declarations conforming to ISO 14021 and issued for every product, system or solu-tion included in the Environmental Portfolio.

The energy effi ciency of compressors with variable speed drives is about 50 percent higher than with gas turbine drives. For a mid-size LNG plant of 0.5 MTPA (35 MW liquefaction power) this translates into a CO

2 abatement of some 65,000 tonnes per year.

Concentrated solar power (CSP) plants use the heat of the sun to generate power. Siemens steam turbines are optimized for complex start-stop operation. A CSP plant employing a 50-megawatt SST-700 steam turbine saves CO

2 emissions of over 130,000 tonnes per year.


Global achievements, future commitment

In fiscal 2012, Siemens sold Environmental Portfolio products totaling 1.9 billion euro. That’s close to 40 percent of sales to the oil and gas industry. The aggregated environmental benefit of these products equals a CO2 abate-ment of 4.4 million tonnes per year, corre-sponding to the annual CO2 footprint of some 2 million passenger cars. As customers from the oil and gas industry

seek to ensure process safety, improve energy efficiency, decrease OPEX and at the same time reduce CO2 emissions, it comes as no surprise that Siemens keeps heading towards sustain-ability and invests about 50 percent of R&D spendings on greener products. Walking the talk, Siemens has a corporate sus-tainability program in place since the late 90s. The company worked hard to continuously improve the footprint of its own operations around the world, and thus became a global sustainability leader: for two consecutive years Siemens ranks no. 1 in the Industry & Services sector of the Dow Jones Sustainability Index. Says Tim Flannery, member of the Siemens Sustainability Advisory Board: “Siemens has the capacity to be a key player in the transition towards a green economy, and I encourage maintaining this strategy.”

“Siemens has the capacity to be a key player in the transition towards a green economy, and I encourage maintaining this strategy.” Tim FlanneryMember of the Siemens Sustainability Advisory Board. In 2011, he was appointed to head the Climate Change Commission established by the Australian Prime Minister. He is professor at Macquarie University, Sydney.


Siemens offers a wide spectrum of energy-saving water treatment products, systems, solutions and services. Main applications are for the treatment of upstream water for injection, produced water and flow-back water.

The STC-ECO is an integrated, seal-less motor-com-pressor unit. Compared to conventional sealing technology, its 6.2-megawatt variant avoids process gas emissions equivalent to 1,100 tonnes of CO

2 per year.


Burners, blading and other components of gas turbines are continuously optimized to achieve maximum efficiency. In a combined-cycle power plant, gas turbines dramatically cut costs, save fossil fuels, and minimize environmental footprint. For example, an SGT-750 combined-cycle plant may achieve savings of over 65,000 t of CO

2 per year compared to average world fossil power generation.


Venture 18

Curtis Island (Queensland, Australia) is home to stunning secluded beaches, sparkling coral sea and sprawling gas projects including the construction of world-class liquefi ed natural gas (LNG) plants. Determined to play a signifi cant role in the build-up of this industry, Siemens Oil & Gas won a contract for the supply of powerhouses and electrical equipment for the Gladstone LNG (GLNG) plant on Curtis Island, off the coast of Gladstone. The project is executed by Siemens Singapore, Energy — Oil & Gas.

Powering Australian gas exploitation

TEXT Pierre Hausheer

PHOTOS Siemens



22/23 Leading Edge

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QUEENSLAND

Br isbane

Sydney

Cur t i s I s land

23° 51' S

151° 15' E

Over the last decade, huge discoveries of natural gas have been made in Australia in the form of coal bed methane (CBM), otherwise known as coal seam gas (CSG). Advanced extraction tech-nologies have formed the basis of a major new LNG export industry.

Announced in 2007, GLNG is a leading project in the exploitation of coal seam gas. The joint venture between Santos, PETRONAS, TOTAL, and Kogas, involves the extraction of coal seam gas from Surat and Bowen Basin gas fields (Queensland), the construction of a 435-kilo-meter underground gas transmission pipeline, and a two-train LNG processing facility on Curtis Island. The design and construction of the LNG facility on Curtis Island and its marine terminal for exportation is handled by Bechtel International, the engineering, procurement and construction company.

The contract that was awarded to Siemens has a total value of approximately 35 million euro. It consists of nine packaged substation build-ings (or substations) including medium and low-voltage (MV/LV) switchgears, 400/230V distribution boards, power management sys-tem (PMS ), distribution transformers, bus ducts and an AC/DC uninterruptible power supply (UPS). Four of these substations (for the main systems and the compressors) will be blast-resistant and, like another one (for the loading area), they will be split in two due to their large size. The largest of these buildings stands 56 meters long, 16.5 meters wide and 5.5 meters high, weighing in at a massive 750 tonnes. The project is handled between Bechtel USA and the Solutions Business Unit of Siemens Energy Sector's Oil & Gas Division in Singapore, with engineers stationed in Bechtel and Siemens Houston for assistance in co-ordi-nation and drawings during the initial phase of engineering. The first two substations have been delivered and arrived in Australia March 30, 2013. The other substations are currently

being shipped, tested or built, and will be deliv-ered in the course of this year.

The flexibility of the project management team was very much appreciated as it permitted the implementation of changes up to a very late phase. In addition, the GLNG plant owners will enjoy a competitive total cost of ownership thanks to the high reliability and efficiency of the Siemens solutions, which are backed by decades of experience from thousands of installations around the globe.

The award from GLNG is a big step for Siemens, being its first major contract with the emerg-ing Australian LNG industry. Other LNG pro-cessing facilities are being built, not only on Curtis Island, but across the country. Chances are there will be more contract opportunities for Siemens, which offers products, systems and solutions along the entire LNG value chain. As a matter of fact, Siemens has already secured another contract and is working on the APLNG project. So watch this space!

“I would like to commend Siemens on

the readiness and execution of the

testing prior to our arrival. The commitment

of the entire Siemens team to ensure a

successful IFAT* was greatly appreciated.”

Ray PetersProject Procurement Manager,

GLNG Plant ProjectBechtel International, Inc.

* Integrated factory acceptance test

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www.siemens.com

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venture - energy · venture into the world of industrial turbomachinery and oil and gas solutions...

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