master presentation - brief
TRANSCRIPT
Modification of El Wastani Plant For
Increasing Its Capacity
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
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
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.
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 - - -
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).
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
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
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
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
Natural Gas Liquids (NGL) Recovery Methods
• Dew point control & Low temperature separation
• Refrigeration
• Stabilization process
• Lean oil absorption
• JT Expansion
• Turbo-Expander Process
Improved Overhead Recycle (IOR) process [5]
Single Column Overhead Recycle (SCORE) process
Cash flow model
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.
•
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
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
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
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
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
Phase II ( 150 MMSCFD )
3000 bbl/d Condensate
Phase III ( 160 MMSCFD )
157 MMSCFD Sales gas
4780 bbl/d Condensate
227 Ton/d LPG
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
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.
• 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
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:
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.
• 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.
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
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).
• 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:
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%
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:
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.
Process Equipment bottlenecking for the New
Retrofitted Plant.
• The following table shows the bottlenecking
results for the existing process equipment in the
LPG plant.
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
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
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
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
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
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
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
• 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
• 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
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.
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)
• 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
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:
• 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
• 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 $
• 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 $
• 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
• Cash flow model • Cash flow diagram for existing LPG plant (first year of operation)
• 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
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
• 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
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
• 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
• 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 $
• 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 $
• 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 %
• The Payback period = Total capital investment
Net profit after taxes
= 145,249,837 ÷ 376,006,936
= 0.39 Year
= 5 Months
• Cash flow model • Cash flow diagram for new retrofitted plant in case of commercial
propane production (first year of operation)
• 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
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 :
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
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.
Process Equipment bottlenecking for the New
Retrofitted Plant.
• The following table shows the bottlenecking
results for the existing process equipment in the
LPG plant.
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
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
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
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
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
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
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
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)
• 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.
• 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
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
• 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
• 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
• 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
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 - - -
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
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 - - -
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.
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.
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.