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Modification of El Wastani Plant For Increasing Its Capacity

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Page 1: Master Presentation - Brief

Modification of El Wastani Plant For

Increasing Its Capacity

Page 2: Master Presentation - Brief

Summary

Introduction

Theoretical Part

Pertinent Background

Retrofitting The Existing LPG Plant

• RETROFITTING THE EXISTING PLANT TO PRODUCE

COMMERCIAL PROPANE AND MAXIMIZE THE LPG

RECOVERY

• RETROFITTING THE EXISTING PLANT TO PRODUCE

COMMERCIAL PROPANE AND MAXIMIZE THE LPG

RECOVERY

Results & Discussion

Conclusions & Recommendations

Page 3: Master Presentation - Brief
Page 4: Master Presentation - Brief

A model was built to retrofit an existing LPG

plant in Egypt

Enhance LPG recovery percentage and to

produce an additional product commercial

propane with high propane recovery

percentage

Increase the handling capacity from 160 to

200 MMSCFD

Page 5: Master Presentation - Brief

Economic evaluation in two cases:

Enhance LPG recovery percentage and to

produce an additional product commercial

propane with high propane recovery

percentage

Increase the handling capacity from 160 to 200

MMSCFD

So the new retrofitted plant will work as a

dual operation mode plant.

Page 6: Master Presentation - Brief

Products

Retrofitted plant (Case-I: Maximizing propane production rate)

Units Production rate

Butane

recovery

%

Propane

recovery

%

Net profit

after taxes,$

ROI,

%

Payback

period,

months

Sales gas MMscfd 155.6 - -

376,006,936 259 5

Condensate Bbls 4783 - -

LPG Ton 164.8 99.95 -

Commercial

propane Ton 186.1 - 92.52

Products

Existing LPG plant

Units Production

rate

Butane

recovery

%

Propane

recovery

%

Net profit

after taxes,$

ROI

%

Payback

period,

months

Sales gas MMscfd 157.3 - -

314,656,256 290 4.5

Condensate Bbls 4780 - -

LPG Ton 226 80 -

Commercial

propane Ton - - -

Products

Retrofitted plant (Case-I: Maximizing Capacity to 200 MMSCFD production

rate)

Units Production rate Butane

recovery%

Propane

recovery%

Net profit

after taxes,$

ROI

, %

Payback

period,

months

Sales gas MMscfd 200 - -

413,179,365 266 4.5

Condensate Bbls 5000 - -

LPG Ton 3000 94.35 -

Commercial

propane Ton - - -

Page 7: Master Presentation - Brief

It was remarkable that the new retrofitted plant has a

great value from the economic point of view as the

total capital investment will be paid back within less

than six months so the new retrofitted plant will

achieve high and rapid return on investment (ROI).

Page 8: Master Presentation - Brief
Page 9: Master Presentation - Brief

Primary energy sources in the world:

• Natural gas shares by 23.5 % as a clean energy

source in the world.

Index Description Share value%

1 Crude oil 35.3

2 Coal 24.1

3 Natural Gas 23.5

4 Hydro electrical 6.6

5 Nuclear 6.6

6 NGL 2.6

7 All Other 1.4

Crude oil35%

Coal24%

Natural Gas23%

Hydro electrical7%

Nuclear7%

NGL3%

All Other1%

Crude oil

Coal

Natural Gas

Hydro electrical

Nuclear

NGL

All Other

Primary energy sources in the world

Page 10: Master Presentation - Brief

Natural gas production in Egypt:

Natural gas production regions in Egypt

No. Description Share

percent

1 Mediterranean region 78

2 western desert 11

3 Gulf of Suez 8

4 Nile Delta 3

Mediterranean region

78%

western desert11%

Gulf of Suez8%

Nile Delta3%

production region share percent

Mediterranean region

western desert

Gulf of Suez

Nile Delta

Page 11: Master Presentation - Brief

Index Description Share

percent

1 Power generation 62

2 Fertilizer 8

3 Industry sector 10

4 Cement 7

5 Petroleum 7

6 Gas Derivatives 3

7 Domestic 2

8 CNG 1

• The current gas consumption in different sectors

Power generation62%

Fertilizer8%

Industry sector10%

Cement 7%

Petroleum7%

Gas Derivatives3%

Domestic2%

CNG1%

Power generation

Fertilizer

Industry sector

Cement

Petroleum

Gas Derivatives

Domestic

CNG

Current gas consumption

in different sectors

Page 12: Master Presentation - Brief

NGL

Facilities

Inlet Gas

International

Market and

Petrochemical

Feed Stock

Local Market

Products

Local Market C3/C4

LPG

C5+

COND.

C3

Propane

Gas GRID N2

CO2

C1

C2

C3

C4

C5+

Liquids

Fuel Gases

Gases C2/C3

Mixture

Petrochemical

Feed Stock

C2

Overview for NGL Industry in Egypt

Page 13: Master Presentation - Brief
Page 14: Master Presentation - Brief

Natural Gas Liquids (NGL) Recovery Methods

• Dew point control & Low temperature separation

• Refrigeration

• Stabilization process

• Lean oil absorption

• JT Expansion

• Turbo-Expander Process

Page 15: Master Presentation - Brief

Improved Overhead Recycle (IOR) process [5]

Page 16: Master Presentation - Brief

Single Column Overhead Recycle (SCORE) process

Page 17: Master Presentation - Brief

Cash flow model

Page 18: Master Presentation - Brief
Page 19: Master Presentation - Brief

Overview of El Wastani Gas Plant Processing • El-Wastani Petroleum Company (WASCO) owns and

operates El Wastani network of wells and gathering system in the Nile Delta area of Egypt.

• The Existing LPG plant was originally designed to process 160 MMscfd of feed gas (Its Molecular weight = 19.13) and 4000 Bbls/day as raw condensate (CGR 25 Bbls/MMscfd) to produce 245 ton/day LPG product to the local market, 5000 Bbls/day stabilized condensate and 153 MMscfd sales gas to the Egyptian national gas grid.

Page 20: Master Presentation - Brief
Page 21: Master Presentation - Brief

List of the Process Equipment Exist in The LPG Plant:

No. Description Size Other parameters

Vessels

1 Two inlet separators

Capacity/each: 80 MMscfd

gas capacity, 4000 Bbls/d

condensate and 3200 Bbls /d

water

2 Low temperature

separator Size : 6' I.D.*32' S/S

1440 Psig@-20 &130 F°

3 Turbo expander suction

vessel Size: 90"O.D.*12' S/S

1430 Psig@ 130 &-50 °F

MDMT

4 Turbo expander

discharge vessel Size: 42"O.D. *16' S/S

800 Psig @ 130&-70 °F

MDMT

5 Feed drum Size : 30" I.D.*8' S/S 250 Psig@-20&450 °F

MDMT

6 Deethanizer Reflux

drum Size: 42"I.D.*10' S/S

600 Psig@300/-20 °F

MDMT

7 DeC4 Reflux drum Size :42"I.D.*10'S/S 270 psig@ 300/-20 °F

8 Fuel Gas scrubber Size: 30"O.D.*8' S/S 250 psig@ 200/-20 °F

Page 22: Master Presentation - Brief

Towers

1 Deethanizer Tower

Size: 66"I.D.

*47'+42"I.D. *25' (75'S/S)

28 valve trays

3 feed distributor

600 Psig @ 450/-20 °F

2 Debutanizer Tower Size: 48"I.D.*60' S/S

24 valve trays

270 Psig@ 400/-20 °F

3 Condensate Stabilizer

tower

Size: 42"I.D. *47'

14 Valve trays

250 Psig@ 500/-20 °F

Reboilers

1 Deethanizer

reboiler 8 440 000 Btu/hr

Tube 150 Psig @550/-20

°F,Shell 600 Psig@450/-

20 °F

2 Debutanizer

reboiler 6 835 000 Btu/hr

Tube 150 Psig @500/-20

°F,Shell 400 Psig@550/-

20 °F

3 Stab. Re boiler 7 880 000 Btu/hr

Tube 161 psig @-20& 550

°F,Shell 217 psig @-20 &

450 °F

Page 23: Master Presentation - Brief

Heat transfer equipments

1 MRU-1 propane sub

cooler cooler 300 000 BTU /hr

Tube 1440 psig, Shell 350

psig

2 Gas/Gas exchanger 15 572 886 BTU/hr Tube/Shell 1440 Psig@ -

20&130 F

3 Chiller 5 660 000 BTU/hr

Shell 300,Tube 1440

Psig@ -20&130 F

4

Condensate

/Condensate

Exchanger

370 000 BTU/hr

Shell 350,Tube 1440 Psig

@ -20&130 °F

5 Cold box

brazed aluminum

3 stream plate fin

system,1.1% excess

Page 24: Master Presentation - Brief

6 Condensate air cooler

(AC) 5 961 625 Btu/hr

Tube 150 Psig

@450/35°F, forced draft

AC

7

Deethanizer

Condenser use

propane MRU chiller

1 435 433Btu/hr

Tube 600 Psig@ 130/-20

°F

Shell 350 Psig @ 130/-20

°F

8

Debutanizer

Condenser using air

condenser

1 967 500 Btu/hr

40 HP@1500 RPM

Tube 250 Psig@ 300/39

°F

Page 25: Master Presentation - Brief

Rotating equipments

1 Deethanizer tower

overhead compressor

Design gas flow rate, 12

MMscfd

2 Stabilizer tower

overhead compressor

Design gas flow rate, 3.2

MMscfd

3 Expander 932 HP@12 700 RPM 1260 psig inlet, outlet @ -

150&175 °F

4 Expander

recompressor 925 HP @12 700 RPM

1000 Psig inlet, outlet @ -

20/175°F

5

Dethanizer Reflux

Pump 7.5 HP @ 3000 RPM

Rated 36 USGPM @150 ft

Min flow 8 USGPM @

Max. Head 165 Ft

6 Debutanizer Reflux

pump

Centrifugal pump

75 HP @ 2925 RPM

Rated 228 USGPM @142

ft differential

Page 26: Master Presentation - Brief
Page 27: Master Presentation - Brief

Phase II ( 150 MMSCFD )

3000 bbl/d Condensate

Page 28: Master Presentation - Brief
Page 29: Master Presentation - Brief

Phase III ( 160 MMSCFD )

157 MMSCFD Sales gas

4780 bbl/d Condensate

227 Ton/d LPG

Page 30: Master Presentation - Brief

Existing LPG Plant Modeling • Gas and liquid (condensate) samples were taken

from the plant inlet pipe line to be analyzed in an external laboratory. (See Appendix A) for the sampling results from the Egyptian Petroleum Research Institute Laboratory (EPRI). By modeling the current LPG plant using Aspen HYSYS simulation (See Appendix B) and using the new gas and condensate compositional analysis results, the following products flow rates will be obtained:

Sales gas to be delivered to Egyptian natural gas grid: 157.3 MMscfd

Stabilized condensate: 4780 Bbls/day LPG: 226.6 ton/day

Page 31: Master Presentation - Brief
Page 32: Master Presentation - Brief
Page 33: Master Presentation - Brief

Retrofitting of the Existing LPG Plant:

• The existing plant is designed to produce LPG

product with butane recovery of 80% and propane

recovery of 35-40%.

• The following block diagram is showing the main

unit operations in the existing LPG plant.

Page 34: Master Presentation - Brief
Page 35: Master Presentation - Brief

• The current LPG plant is producing many products

which meet the pipe line transportation

specifications shown in the following tables:

Component or Gas Property Specification Limit

Gross Calorific Value Minimum: 1040 Btu/scf

Water Dew point 0 °C at 70 kg/cm2g

Hydrocarbon Dew point 5 °C at any pressure below delivery pressure

Carbon Dioxide Maximum 3.0 mol%

Hydrogen Sulphide Maximum 4 ppm v

Mercaptan Sulphur as Sulphur Maximum 15.0 mg/sm3

Total Sulphur Maximum 150 mg/sm3

Oxygen Maximum 0.1 mol%

Purity Statement Gas shall be free from sand, gums, oils, impurities, and

other objectionable substances

Pressure

The operating design delivery pressure at the battery

limit will be 70 barg. A maximum delivery pressure of

75 barg is required.

Sales Gas Specification

Page 36: Master Presentation - Brief

Properties Unit Value Method

Pentane and heavier

hydrocarbons

liquid

volume% 2 max ASTM D-2163

Dienes (as 1,3 Butadiene) liquid

volume% 0.5 max ASTM D-2163

Temperature at 95%

Evaporation °C 96.8 ASTM D-1837

Vapor Pressure at 50 °C Kg/cm2g 10.0 max ASTM D-1267/ IP 161

Hydrogen Sulphide Nil IP 103

Odorizing Mercaptans wt% 0.003 min

0.008 max IP 104

Total Sulphur wt% 0.014 max ASTM D-2784

Copper Corrosion (100 F for

1 hour)° 1 max ASTM D-1838

Free Water Nil Visual

LPG (Liquefied Petroleum Gases) Specifications:

Page 37: Master Presentation - Brief
Page 38: Master Presentation - Brief

There are two situations that can be encountered in

process design.

The first is in the design of new plant or grassroot

design.

In the second, the design is carried out to modify

an existing plant in retrofit or revamp. The

motivation to retrofit an existing plant could be,

for example, to increase capacity, allow for

different feed or product specifications, reduce

operating costs, improve safety or reduce

environmental emissions.

Page 39: Master Presentation - Brief

• Targets from Retrofitting the Existing LPG

Plant:

• First target will be achieved after retrofitting the

existing LPG plant as the following:

• I- Producing commercial propane with propane

recovery more than 90% ready for shipment to

Egyptian market as an additional product from the

existing LPG plant.

Page 40: Master Presentation - Brief

Condensate specification will be set by the balance of

material remaining after all products are removed and

Sales gas sent to the grid.

The condensate stream will be around 12 psia RVP.

There shall be a minimum practical concentration of

butane in the DNG.

Condensate or Debutanized Natural Gasoline

(DNG) Product

Page 41: Master Presentation - Brief

New Retrofitted Plant Modeling • Modeling the Retrofitted Plant to Maximize the

Propane Production Rate Figure.

• The existing LPG plant was retrofitted to produce propane in addition to the current condensate, sales gas and LPG products and to increase the butane recovery percentage.

• The new retrofitted plant was modeled using Aspen HYSYS simulation program. (See Appendix B).

Page 42: Master Presentation - Brief

• Some changes to the existing process facilities have

been proposed to retrofit the LPG plant which will be

economically evaluated later.

• The following block diagram is showing the unit

operations have been modified during retrofitting the

existing LPG plant:

Page 43: Master Presentation - Brief
Page 44: Master Presentation - Brief
Page 45: Master Presentation - Brief
Page 46: Master Presentation - Brief

Products from the Retrofitted Plant Modeling

(Case-I: Maximizing propane production rate)

Sales gas : to be delivered to Egyptian natural gas grid

155.6 MMscfd.

Stabilized condensate: 4783 Bbls/day

LPG: 164.8ton/day with butane recovery of 99%

Propane: 186.1 ton/day with propane recovery ≥ 90%

Page 47: Master Presentation - Brief

Composition

Not less than 95 liquid volume percent

propane plus propylene Not more than

5 liquid volume percent propylene

Ethane & lighter, liquid volume percent

max

1.8

Butane & heavier, liquid volume percent

max

2.5

Residue matter :

Residue on evaporation of 100 ml, max

Oil stain observation

0.05

pass

Corrosion copper strip, max No.1

Total Sulphur ppm w, max 15

Methanol content ppm w, max. 10

Moisture content 60 sec freeze valve test; ASTM D-2713

Free water content None

Commercial Propane Specifications:

Page 48: Master Presentation - Brief

Process Equipment Rating and Selection

• Process equipment modeling will be helpful in

bottlenecking the existing process equipment and

to get the required process design data needed for

the preliminary study of the retrofitted plant and

also will be used to get estimated purchasing cost

for the new process equipment.

Page 49: Master Presentation - Brief

Process Equipment bottlenecking for the New

Retrofitted Plant.

• The following table shows the bottlenecking

results for the existing process equipment in the

LPG plant.

Page 50: Master Presentation - Brief

Main existing equipment comparison

Equipment Process data

Original

Design

case

New case

(Commercial

propane)

Turbo-

expander

Power (hp) 932 509.3

Design flow rate (MMscfd) 190.8 119.1

Inlet pressure (psia) 709.7 729

Outlet pressure (psia) 540 528.7

Expander

recompressor

Power (hp) 924 509.335

Design flow rate (MMscfd) 190.8 155.6

Inlet pressure (psia) 525 343.5

Outlet pressure (psia) 585.7 362.6

Stabilizer

tower

overhead

compressor

Power (hp) 477 453.3

Design flow rate (MMscfd) 3.2 3.2

Inlet pressure (psia) 100 100

Page 51: Master Presentation - Brief

Outlet pressure (psia) 750.4 744.7

Sales gas

compressors

Power (hp) 7776 8627.4 Design flow rate

(MMscfd) 160 116

Inlet pressure (psia) 639.7 362.6

Outlet pressure (psia) 1329.7 1030

Deethanizer

tower reflux

pump

Power (hp) 4.9 0.507

Inletr rate (USGPM) 33 478.63

Debutanizer

tower reflux

pump

Power (hp) 8.09 2.95

Inletr rate (USGPM) 228 190.20

Debutanizer

overhead

condenser

Duty (MMBtu/hr) 8.46 8.327

Mass inlet rate (lb/hr) 62132 69390

Stabilized

condensate

cooler

Duty (MMBtu/hr) 5.962 5.849

Mass inlet rate (lb/hr) 50600 50250

Page 52: Master Presentation - Brief

Stabilizer

overhead cooler Duty (MMBtu/hr)

0.774 2.725

Inlet rate (MMscfd) 3.18 3.01

Gas/Gas heat

exchanger

Duty (MMBtu/hr) 15.573 13.93

Mass inlet rate (lb/hr) 345000 351500

Gas chiller Duty (MMBtu/hr)

6.7 7.298

Mass inlet rate (lb/hr) 342700 352900

Propane sub

cooler A

Duty (MMBtu/hr) 0.3 0.2571

Mass inlet rate (lb/hr) 21940 33610

Condensate/conde

nsate exchanger

Duty (MMBtu/hr) 0.37 0.3273

Mass inlet rate (lb/hr) 21940 33610

Page 53: Master Presentation - Brief

Stabilizer reboiler Duty (MMBtu/hr)

7.88 6.2

Mass inlet rate (lb/hr) 88530 89670

Deethanizer

reboiler

Duty (MMBtu/hr) 8.44 10.6

Mass inlet rate (lb/hr) 121800 145300

Debutanizer

reboiler

Duty (MMBtu/hr) 6.835 7.205

Mass inlet rate (lb/hr) 71140 84890

Cold Box Duty (MMBtu/hr)

12.797 32.88

Mass inlet rate (lb/hr) 321157 317400

Duty (M

Page 54: Master Presentation - Brief

Expander suction vessel

Gas actual inlet

volumetric flow

rate (ft3/hr)

77070 40329.39

Liquid actual inlet

volumetric flow

rate (ft3/hr)

754.3 4191.85

Aqueous phase

actual inlet

volumetric flow

rate (ft3/hr)

0 0

Deethanizer reflux drum

Gas actual inlet

volumetric flow

rate (ft3/hr)

7596 0.00

Liquid actual inlet

volumetric flow

rate (ft3/hr)

238.7 2960.78

Aqueous phase

actual inlet

volumetric flow

rate (ft3/hr)

0 0.01

Page 55: Master Presentation - Brief

Debutanizer reflux

drum

Gas actual inlet

volumetric flow

rate (ft3/hr)

0

Liquid actual

inlet volumetric

flow rate (ft3/hr) 2283 35152.25

Aqueous phase

actual inlet

volumetric flow

rate (ft3/hr)

0 0

Stabilizer tower

Total inlet

volumetric flow

rate (ft3/hr) 3257 6025.75

Page 56: Master Presentation - Brief

Deethanizer tower

Total inlet

volumetric flow

rate (ft3/hr) 5225.6 108292.5276

Debutanizer tower

Total inlet

volumetric flow

rate (ft3/hr)

9304.5 6533.2195

Page 57: Master Presentation - Brief

• Also the following new equipment will be added:

• Deethanizer tower liquid side stream heat exchanger

• Depropanizer tower reflux drum.

• Two reflux pumps for the depropanizer tower. For high

reliability one pump will be running and the other one will be

standby.

• Depropanizer tower overhead vapors condenser

• Depropanizer tower bottom kettle reboiler

Page 58: Master Presentation - Brief

• Referring to the following table, additional thermal

oil heater with rated heat duty of 4334000 Btu/hr

will be needed and by adding 10% excess in duty,

the new purchased hot thermal oil heater has a

heat duty of 5 MMBtu/hr as the existing thermal oil

heaters have total heat duty of 32000000 Btu/hr

Total heat duty required for the retrofitted plant

Reboilers Heat duty required, Btu/hr (See

appendix B)

Stabilizer tower reboiler 6200000

Deethanizer tower reboiler 10600000

Depropanizer tower reboiler 11130000

Debutanizer tower reboiler 7205000

Ethylene glycol regeneration reboiler 1200000

Total heat duty required 36335000

Page 59: Master Presentation - Brief

A good project should ensure rapid return of the

investment (ROI), comparable with other

industrial or financial projects and alternatives to

provide management/decision makers with the

facts necessary to make an investment decision.

Page 60: Master Presentation - Brief

Economic Evaluation for the Existing LPG

Plant:

• Total Capital Investment (TCI) indicates the amount

of funds needed to design, build, and operate the

plant, and is the contribution of two main categories,

fixed-capital and working-capital.[1]

• Total capital investment (TCI) = Fixed capital

investment (FCI) + Working capital investment (WCI)

Page 61: Master Presentation - Brief

• From the total purchased cost of the existing equipment cost, the direct and indirect costs will be estimated using ratio factors [1].

• Total Product Cost Estimation:

• Total operating cost (TOC) = 1.11 (Raw material +Utility cost) + 0.183 (Total fixed cost) + 0.028 (Sales).

Raw material cost = (10 – 50%) TOC and Utilities cost = (10 – 20%) TOC [1] so total operating

expenses can be estimated by the following simplified model:

Total estimated operating cost= [0.183(Total fixed cost)

+ 0.028(Sales)]/0.223

Page 62: Master Presentation - Brief

Total capital investment (TCI) 108,513,163

$

Ratio factors [1] Fixed capital investment (FCI) 86,810,530 $

Direct costs (DC) 68,456,304 $

Onsite (ISBL) 60,023,281 $

Purchased equipment, PEC 24,803,009 $

Purchased equipment installation 11,657,414 $ 0.47 PEC

Instrumentation & control 4,464,542 $ 0.18 PEC

Piping 16,369,986 $ 0.66 PEC

Electrical equipment & material 2,728,331 $ 0.11 PEC

Offsite (OSBL) 8,433,023 $

Buildings 4,464,542 $ 0.18 PEC

Yard improvement & service facilities 2,480,301 $ 0.10 PEC

Land 1,488,181 $ 0.06 PEC

Indirect costs 18,354,226 $ 0.74 PEC

Engineering & supervision 3,422,815 $ 0.05 DC

Construction expenses and contractors'

fee 8,681,053

$ 0.10 FCI

Contingencies 4,340,527 $ 0.05 FCI

Legal expenses 868,105 $ 0.01 FCI

Working capital investment (WCI) 13,021,580 $ 0.15 FCI

Startup costs (StC) 8,681,053 $ 0.10 FCI

Total capital investment summary for existing LPG plant:

Page 63: Master Presentation - Brief

• Total estimated operating cost= [0.183(Total fixed

cost) + 0.028(Sales)]/0.223

= 146,725,508 $

• Total Sales Estimation :

• Total heating value calculation for sales gas

Components HHV Btu/scf Mole fraction Sales gas Btu/scf

C1 1010 0.9102 919.2636

C2 1769.6 0.0691 122.2059

C3 2516.1 0.0132 33.2481

i-C4 3251.9 0.0017 5.4167

n-C4 3262.3 0.0009 2.8300

i-C5 4000.9 0.0001 0.3166

n-C5 4008.9 0.0000 0.0908

Total 1083.37

Page 64: Master Presentation - Brief

• Daily products sales revenues for existing LPG

plant

Products Quantity Unit

Selling price,

$/unit

Total sales

price, $

Sales gas 170,414 MMBtu 6 1,022,486

Stabilized

condensate 4780 Bbls 100 478,000

LPG 226 Ton 750 169,500

Total sales price, $ 1,669,986

So the total annual sales revenue is 601,195,047 $

Page 65: Master Presentation - Brief

• Profit Calculation

Gross profit before depreciation = Total sales revenues – Total

product cost.

= 601,195,047 - 146,725,508

= 454,469,539 $

Gross profit = Gross profit before depreciation – Depreciation

costs

= 454,469,539 - 4,960,602

= 449,508,937 $

Assuming local taxes of 30%

So the Annual Net Profit after taxes = 314,656,256 $

Page 66: Master Presentation - Brief

• Return on Investment (ROI) =

Net profit after taxes × 100

Total capital investment

= 314,656,256 ÷ 108,513,163

= 290 % • The Payback period = Total capital investment

Net profit after taxes

= 108,513,163 ÷ 314,656,256

= 0.34 Year

= 4.5 Months

Page 67: Master Presentation - Brief

• Cash flow model • Cash flow diagram for existing LPG plant (first year of operation)

Page 68: Master Presentation - Brief

• Economic Evaluation for the New Retrofitted Plant

in Case of PRODUCE COMMERCIAL PROPANE

• New Process Equipment Purchased Cost

Estimation:

• The cost of process equipment can be estimated

for preliminary design by means of a global

quotation called the capacity ratio method. The

cost is expressed by a power-law correlation [8] :

C2= C1 (S2/S1) n

known as the six-tenths or 0.6 rule

Page 69: Master Presentation - Brief

Cost Capacity Exponents

Equipment group Average exponent

General equipment 0.68

Heat exchange equipment 0.68

Fluid moving equipment 0.63

Tanks, vessels, and towers 0.63

Environmental equipment 0.82

Cost capacity exponents for the 0.6 rule

Page 70: Master Presentation - Brief

• Process Equipment Total Purchased Cost

Estimation

Process Equipment Required

quantity Purchased cost, $

Sales gas compressor 3 3,672,507

Deethanizer tower reflux pump 2 456,431

Stabilizer tower overhead gas cooler 1 100,998

Main cold box heat exchanger 1 1,255,945

New debutanizer reflux drum 1 244,726

New stabilizer tower 1 228,414

New deethanizer tower 1 2,774,732

Liquid side stream heat exchanger 1 177,604

Depropanizer tower reflux pump 2 340,781

Depropanizer tower overhead condenser 1 827,747

Depropanizer tower Kettle reboiler 1 147,462

Depropanizer tower reflux drum 1 222,667

Deethanizer tower Kettle reboiler 1 142,650

New thermal oil heating system 1 260,651

Total Equipment purchased cost, $ 10,853,316

So, the total estimated cost for the new process equipment

$316 ,853,10exist inside the plant battery limit is

Page 71: Master Presentation - Brief

Total Capital Investment Estimation

Total capital investment (TCI) 145,249,837 $

Ratio factors [1] Fixed capital investment (FCI) 116,199,869 $

Direct costs (DC) 91,631,897 $

Onsite (ISBL) 80,343,910 $

Purchased equipment, PEC 33,199,963 $

Purchased equipment installation 15,603,982 $ 0.47 PEC

Instrumentation & control 5,975,993 $ 0.18 PEC

Piping 21,911,975 $ 0.66 PEC

Electrical equipment & material 3,651,996 $ 0.11 PEC

Offsite (OSBL) 11,287,987 $

Buildings 5,975,993 $ 0.18 PEC

Yard improvement & service facilities 3,319,996 $ 0.10 PEC

Land 1,991,998 $ 0.06 PEC

Indirect costs 24,567,972 $ 0.74 PEC

Engineering & supervision 4,581,595 $ 0.05 DC

Construction expenses and

contractors's fee 11,619,987

$ 0.10 FCI

Contingencies 5,809,993 $ 0.05 FCI

Legal expenses 1,161,999 $ 0.01 FCI

Working capital investment (WCI) 17,429,980 $ 0.15 FCI

Startup costs (StC) 11,619,987 $ 0.10 FCI

Page 72: Master Presentation - Brief

• Total Product Cost Estimation

• Total operating cost (TOC) = 1.11 (Raw material

+Utility cost) + 0.183 (Total fixed cost) + 0.028

(Sales).

=95,579,843 $

• Total Sales Estimation

• Total heating value calculation for sales gas

Components HHV Btu/scf Mole fraction Sales gas Btu/scf

C1 1010 0.9102 919.2636

C2 1769.6 0.0691 122.2059

C3 2516.1 0.0132 33.2481

i-C4 3251.9 0.0017 5.4167

n-C4 3262.3 0.0009 2.8300

i-C5 4000.9 0.0001 0.3166

n-C5 4008.9 0.0000 0.0908

Total 1083.37

Page 73: Master Presentation - Brief

• Daily products sales revenues for the new

retrofitted plant in case of maximizing propane

production rate figure

Products Quantity Unit

Selling price,

$/unit

Total sales price,

$

Sales gas 165,293 MMBtu 6 991,757

Stabilized condensate 4783 Bbls 100 478,300

LPG 164.8 Ton 750 123,600

Propane 186.1 Ton 980 182,378

Total sales price, $ 1,776,035

So, the total annual sales revenue is 639,372,602 $

Page 74: Master Presentation - Brief

• Profit Calculation

• Gross profit before depreciation =

Total sales revenues – Total product cost =

639,372,602 - 95,579,843

= 543,792,759 $

• The depreciation cost for the process equipment after

one year

= 33,199,963 (1-0.2)

= 26,559,970 $

• Depreciation cost for process equipment after one

year = (33,199,963 - 26,559,970)

= 6,639,993 $

Page 75: Master Presentation - Brief

• Gross profit = Gross profit before depreciation –

Depreciation costs

= 543,792,759 - 6,639,993

= 537,152,766 $

Assuming local taxes of 30%

• So the Annual Net Profit after taxes = 376,006,936 $

• Return on Investment (ROI) =

Net profit after taxes

Total capital investment × 100

= 376,006,936 ÷ 145,249,837

= 259 %

Page 76: Master Presentation - Brief

• The Payback period = Total capital investment

Net profit after taxes

= 145,249,837 ÷ 376,006,936

= 0.39 Year

= 5 Months

Page 77: Master Presentation - Brief

• Cash flow model • Cash flow diagram for new retrofitted plant in case of commercial

propane production (first year of operation)

Page 78: Master Presentation - Brief
Page 79: Master Presentation - Brief

• Targets from Retrofitting the Existing LPG

Plant:

• Second target will be achieved after retrofitting the

existing LPG plant as the following:

• I- DE-BOTTLE STUDY ON THE PLANT TO

INCREASE CAPACITY TO REACH 200 MMSCFD

AND IMPROVE LPG RECOVERY

Page 80: Master Presentation - Brief

New Retrofitted Plant Modeling

The same model for the retrofitted plant has a great

advantage to re-run the module again with a higher gas,

condensate and water rates, checking every single pump,

vessel to extract the week point in design.

Adequacy checks for El-Wastani plant have been

performed to evaluate El-Wastani plant performance and

bottleneck at gas feed throughput of 200 MMSCFD and the

results of these checks revealed the validation to

accommodate the plant facilities with 200 MMSCFD feed

gas at satisfactory :

Page 81: Master Presentation - Brief
Page 82: Master Presentation - Brief

Products from the Retrofitted Plant Modeling

(Case-I: Maximizing propane production rate)

Sales gas to be delivered to Egyptian natural gas grid:

200 MMscfd.

Stabilized condensate: 5800 Bbls/day

LPG: 285 ton/day with butane recovery of 99%

Products Quantity Unit Selling price, $/unit Total sales price, $

Sales gas 200 MMBtu 6 1299600

Stabilized condensate 5800 Bbls 100 580,000

LPG 285 Ton 750 213,750

Total sales price, $ 2,093,350

Page 83: Master Presentation - Brief

Process Equipment Rating and Selection

• Process equipment modeling will be helpful in

bottlenecking the existing process equipment

and to get the required process design data

needed for the preliminary study of the retrofitted

plant and also will be used to get estimated

purchasing cost for the new process equipment.

Page 84: Master Presentation - Brief

Process Equipment bottlenecking for the New

Retrofitted Plant.

• The following table shows the bottlenecking

results for the existing process equipment in the

LPG plant.

Page 85: Master Presentation - Brief

Main existing equipment comparison

Equipment Process data

Original

Design

case

New case

(Commercial

propane)

Turbo-

expander

Power (hp) 932 971.4

Design flow rate (MMscfd) 190.8 95,010

Inlet pressure (psia) 709.7 707.4

Outlet pressure (psia) 540 560

Expander

recompressor

Power (hp) 924 971.4

Design flow rate (MMscfd) 190.8 221,600

Inlet pressure (psia) 525 507.3

Outlet pressure (psia) 585.7 548.1

Stabilizer

tower

overhead

compressor

Power (hp) 477 194.21

Design flow rate (MMscfd) 3.2 11,220

Inlet pressure (psia) 100 100

Page 86: Master Presentation - Brief

Outlet pressure (psia) 750.4 744.7

Sales gas

compressors

Power (hp) 7776 1,166

Design flow rate

(MMscfd) 160 53,030

Inlet pressure (psia) 639.7 548.1

Outlet pressure (psia) 1329.7 875

De-ethanizer

tower reflux

pump

Power (hp) 4.9 4.4

Inletr rate (USGPM) 33 26.58

Debutanizer

tower reflux

pump

Power (hp) 8.09 7.5

Inletr rate (USGPM) 228 206.5

Debutanizer

overhead

condenser

Duty (MMBtu/hr) 8.46 7.704

Mass inlet rate (lb/hr) 62132 154.3

Stabilized

condensate

cooler

Duty (MMBtu/hr) 5.962 5.706

Mass inlet rate (lb/hr) 50600 313

Page 87: Master Presentation - Brief

Stabilizer

overhead cooler Duty (MMBtu/hr)

0.774 0.3244

Inlet rate (MMscfd) 3.18 3.3

Gas/Gas heat

exchanger

Duty (MMBtu/hr) 15.573 20.53

Mass inlet rate (lb/hr) 345000 400020

Gas chiller Duty (MMBtu/hr)

6.7 7.249

Mass inlet rate (lb/hr) 342700 397300

Propane sub

cooler A

Duty (MMBtu/hr) 0.3 0.3151

Mass inlet rate (lb/hr) 21940 23490

Condensate/conde

nsate exchanger

Duty (MMBtu/hr) 0.37 0.3559

Mass inlet rate (lb/hr) 21940 26392

Page 88: Master Presentation - Brief

Stabilizer reboiler Duty (MMBtu/hr)

7.88 4.958

Mass inlet rate (lb/hr) 88530

78,430

Deethanizer

reboiler

Duty (MMBtu/hr) 8.44 9.056

Mass inlet rate (lb/hr) 121800

124,000

Debutanizer

reboiler

Duty (MMBtu/hr) 6.835 8.205

Mass inlet rate (lb/hr) 71140 94890

Cold Box Duty (MMBtu/hr)

12.797 39.88

Mass inlet rate (lb/hr) 321157 356400

Duty (M

Page 89: Master Presentation - Brief

Expander suction vessel

Gas actual inlet

volumetric flow

rate (ft3/hr)

77070 40329.39

Liquid actual inlet

volumetric flow

rate (ft3/hr)

754.3 4191.85

Aqueous phase

actual inlet

volumetric flow

rate (ft3/hr)

0 0

Deethanizer reflux drum

Gas actual inlet

volumetric flow

rate (ft3/hr)

7596 0.00

Liquid actual inlet

volumetric flow

rate (ft3/hr)

238.7 2960.78

Aqueous phase

actual inlet

volumetric flow

rate (ft3/hr)

0 0.01

Page 90: Master Presentation - Brief

Debutanizer reflux

drum

Gas actual inlet

volumetric flow

rate (ft3/hr)

0

Liquid actual

inlet volumetric

flow rate (ft3/hr) 2283 35152.25

Aqueous phase

actual inlet

volumetric flow

rate (ft3/hr)

0 0

Stabilizer tower

Total inlet

volumetric flow

rate (ft3/hr) 3257 6025.75

Page 91: Master Presentation - Brief

Deethanizer tower

Total inlet

volumetric flow

rate (ft3/hr) 5225.6 108292.5276

Debutanizer tower

Total inlet

volumetric flow

rate (ft3/hr)

9304.5 6533.2195

Page 92: Master Presentation - Brief

conditions if considering the under mentioned

findings which are partially resulted from the

original design of the plant

A detailed list of the findings presentment inside the

thesis here are the major findings.

1. Gas/Gas Exchanger (E-15-01)

2. Gas Chiller (E-15-02)

3. Propane Sub-Cooler A (E-15-04)

4. Stabilizer Reboiler (H-30-01)

5. De-Ethanizer Reboiler (H-34-01)

6. De-Butanizer Reboiler (H-35-01)

Page 93: Master Presentation - Brief

• Economic Evaluation for the New Retrofitted Plant

in Case of 200 MMSCFD productions and

maximize LPG production rate

• The total capital investment is the same 150,249,837 $

• Total Product Cost Estimation

is 95,576,095 $ using the previous simplified model

for estimating operating cost.

Page 94: Master Presentation - Brief

• Total Sales Estimation

• Total heating value calculation for sales gas

Components HHV Btu/scf Mole fraction Sales gas

Btu/scf

C1 1010 0.9219 931.1535

C2 1769.6 0.0702 124.3037

C3 2516.1 0.0027 6.9152

i-C4 3251.9 0.0000 0.1534

n-C4 3262.3 0.0000 0.0528

i-C5 4000.9 0.0000 0.0049

n-C5 4008.9 0.0000 0.0009

Total 1062.58

Page 95: Master Presentation - Brief

Products Quantity Unit Selling price, $/unit Total sales price, $

Sales gas

200 MMBtu 6 1299600

Stabilized condensate

5800 Bbls 100 580,000

LPG 285 Ton 750 213,750

Total sales price, $ 2,093,350

So, the total annual sales revenue is 764,072,750

• Daily products sales revenues for the new retrofitted

plan in case of 200 MMSCFD productions and

maximize LPG production rate

Page 96: Master Presentation - Brief

• Profit Calculation

Gross profit before depreciation

= Total sales revenues – Total product cost.

= 64,072,750- 167,176,520

= 596,896,229

Assuming local taxes of 30%

So the Annual Net Profit after taxes = 413,179,365

Page 97: Master Presentation - Brief

• Return on Investment (ROI) =

Net profit after taxes × 100

Total capital investment

= 413,179,365 ÷ 155,249,837

= 266 %

• The Payback period = Total capital investment

Net profit after taxes

= 155,249,837÷ 413,179,365

= 0.39 Year

= 4.5 Months

Page 98: Master Presentation - Brief

• Cash flow model • Cash flow diagram for new retrofitted plant in case of 200 MMSCFD

productions and maximize LPG production rate (first year of operation)

Revenue Cash Operating expenses

764,072,750 95,576,095

Depreciation Operating income

6,639,993 596,896,229

Gross Income (Profit) Income Tax

590,256,236 167,176,520

Net Profit after Taxes

413,179,365

Cash Flow

419,819,358

Operations

Page 99: Master Presentation - Brief
Page 100: Master Presentation - Brief

Results & Discussion Daily products sales revenues for existing LPG

plant

Products

Existing LPG plant

Units Producti

on rate

Butane

recover

y%

Propane

recovery

%

Net profit

after

taxes,$

ROI,

%

Payback

period,

months

Sales gas MMscfd 157.3 - -

314,656,

256 290 4.5

Condensate Bbls 4780 - -

LPG Ton 226 80 -

Commercial

propane Ton - - -

Page 101: Master Presentation - Brief

Daily products sales revenues for new

retrofitted plant in case of maximizing propane

production rate.

Products

Retrofitted plant (Case-I: Maximizing propane production

rate)

Units Producti

on rate

Butane

recover

y%

Propane

recovery

%

Net

profit

after

taxes,$

ROI,

%

Payback

period,

months

Sales gas MMscfd 155.6 - -

376,006

,936 259 5

Condensate Bbls 4783 - -

LPG Ton 164.8 99.95 -

Commercial

propane Ton 186.1 - 92.52

Page 102: Master Presentation - Brief

Daily products sales revenues for new

retrofitted plant in case of 200 MMSCFD

productions and maximize LPG production

rate

Products

Retrofitted plant (Case-I: Maximizing Capacity to 200 MMSCFD

production rate)

Units Production

rate

Butane

recovery

%

Propane

recovery%

Net profit

after

taxes,$

ROI

, %

Payback

period,

months

Sales gas MMscfd 200 - -

413,179,36

5 266 4.5

Condensat

e Bbls 5000 - -

LPG Ton 3000 94.35 -

Commercia

l propane Ton - - -

Page 103: Master Presentation - Brief
Page 104: Master Presentation - Brief

Option -1:

The current LPG production rate figure was increased using the new retrofitted plant model as the butane recovery was increased from 80 to 99.9%. Also the new commercial propane product, which has great value for the local market as a petrochemical feedstock, was added to the existing LPG plant and to the Egyptian market with high propane recovery percentage of more than 90%.

• From the economic point of view, option one retrofitting the

existing LPG plant has a great economic value and high

profitability as the new retrofitted plant has rapid return on

investment (ROI) as the total capital investment (TCI) will be

paid back within 4.5 months. Also it has high net profit

compared with the existing LPG plant, the disadvantage of

the first option is the high capital cost needed to be spent for

the retrofitting 37 Million USD.

Page 105: Master Presentation - Brief

Option-2:

The current LPG production rate figure was increased using

the new retrofitted plant model as the butane recovery was increased from 80 to 94.35%. Also the new company wells in bring to production and the plant capacity reach to 200 MMSCFD.

• From the economic point of view, option two revamped the

existing LPG plant has a great economic value and high

profitability as the new revamped plant has rapid return on

investment (ROI) as the total capital investment (TCI) will be

paid back within 5 months. Also it has high net profit compared

with the existing LPG plant, one of the advantages of

revamping the original plant to higher capacity with more LPG

is the capital cost needed to be spent for the retrofitting 10

Million USD.

Page 106: Master Presentation - Brief

Hence, I recommend getting advantage of this work for

further study to increase the propane recovery percentage

and to produce liquid ethane which is a vital feed stock to the

petrochemical industries.

Page 107: Master Presentation - Brief