a cura di: Ing. Ivano Giannoni (Versalis)

Ing Francesco Gravame (GE NP)

Ing Riccardo Fabbri (GE NP)

Milano - 10 dicembre 2014

Priolo Ethylene Plant Upgrade

Imagination at work.

IPMA Milano 10th Dec’14

Priolo Ethylene Plant Upgrade IPMA GOLD Award

GE Oil & Gas today From extraction, to transportation, to end use …

3

Subsea Systems Subsea production

systems

Turbomachinery Solutions

LNG, on- and offshore, pipeline

Downstream Technology Solutions

Refinery and gas distribution

Drilling & Surface BOPs and risers,

onshore trees,

Artificial lift

~45,000 employees

Delivering customer solutions by applying

systems-level engineering across the value chain

Measurement & Control Controls, diagnostics

Downstream technology focus

DRAFT Oct 3 4

PRODUCTS &

SERVICES

High Speed Recips

Reciprocating Compressors

Pumps & Valves

Steam Turbines

Compressors

Small-Scale LNG 25k – 600k gal/day

CNG In A Box 10k – 21k GGE/day

Services & Upgrade

SEGMENTS

Industrial

Processin

g

Gas Distribution

& Processing Small CNG

& LNG

Industrial Power

Generation

Ammonia Ethylene

LDPE / HDPE

Urea Refinery

Processing

2006

Beyo

nd

GE

in

sta

lled

base

G

E i

ns

tall

ed

bas

e

200

8

2009

201

0

2011

2012

2013 Large rehabilitation

projects

Beyond F2F

• Engine & Modular

Replacement F2F:

• Rebundle

• NOx

Upgrade Evolution

Plant Upgrade

(Priolo) 2014

OEM System Integrator Plant

Process

GE &IPMA Project Excellence Award

2009

Statfjord - Upgrade

PM: Roberto Zavani

PRIZE

2010

Darwin - Upgrade

PM: Francesco

Gravame

PRIZE

2011

Qatar Gas - CSA

PM: Carlo Gragnoli

AWARD

2012

ALNG - CSA & TAG -

TM

PM M. Ferri & F.

Giuntini

FINALIST

S

2013

Gorgon - TM

BRONZE

Insert Image

2014

Priolo – DTS

Upgrade

PM: Riccardo Fabbri

GOLD

Operational Excellence

Laser-focused on safety and quality

for customers; project execution

and returns

Products & Services

Including upgrades to

optimize production

efficiency in Ethylene

plant

People and Expertise

Investing in our people, dedicated PM Academy and training

path driving execution

Project Execution Timeline

© 2014 General Electric Company - All rights reserved

© 2014 General Electric Company - All rights reserved

Abstracts & Articles Reflective learning Promoting Technical Reference

Contests & Awards Benchmarking Awarding External Recognition

Conventions & Exhibitions Promoting Touch-base with Market Sharing experience

Special Initiatives

Our Journey in IPMA Project Excellence

Application Report

5th May

4th Feb

23rd June

Assess. & Site visit 30th Sep

Award ceremony

Project Management

1. Project Objectives

2. Leadership

3. People

4. Resources

5. Processes

Project Results

6. Customer Results

7. People Results

8. Other parties involved

9. Performance & Results

Project Team &

Sponsor

GPO & Senior Mgt

Customer - Suppliers

Finance - Marketing

Sourcing & MFG

HR – EHS

Quality & MBB

Gala Evening

& Award

Workshops

World Congress in Rotterdam

Teamwork for

Winners’ club

Congress

attendance

© GE Proprietary & Confidential. Internal Use Only. Not for Distribution

Project

Presentation

Feedbacks & Carry-outs

Team di Progetto Occasione di crescita e confronto Occasione di visibilità

Coinvolgimento Diretto Diretto Coinvolgimento di fornitori strategici Diretto Coinvolgimento del cliente ed utente finale Diretto Coinvolgimento di funzioni esterne

Cultura d’Impresa Sugli impatti nella propria Azienda Sugli impatti sul Business e sul Mercato Sulla Comunità Esterna e sull’Ambiente (CSR)

Excellent performance in all aspects, management of the planning, execution and results (from the process).

Go beyond or even against known standards, methods, tools and techniques

Beyond the actual project goals, they enrich businesses, societies, environment

IPMA Excellence Definition

Versalis The voice of customer

Title or Job Number | XX Month 201X See tutorial regarding

confidentiality disclosures.

14

With an integrated industrial platform, versalis – the Italian leading chemical company – offers to the market an extensive portfolio of intermediates, polyethylene, styrenics, elastomers and a new range of bio-based chemicals

Versalis (Eni) at a glance

Headquarters Milan

Plants: 9 in Italy Brindisi Ferrara Mantova Porto Marghera Porto Torres Priolo Ragusa Ravenna Sarroch

4 rest of Europe Grangemouth (UK) Dunkerque (FR) Oberhausen (D) Százhalombatta (HU)

5 R&D centers in Italy

Sales network 18 branch offices and 2 trading companies in Asia (Shanghai and Mumbai)

Licensing and strategic partnerships

5,600 employees

80% Italy, 20% abroad

71 production units for a total

production of 5.8 mln ton 335 patents

5.9 bln € turnover

Versalis business overview

Olefins Aromatics Derivatives Polyethylene Styrenics Elastomers

Ethylene

Propylene

Butadiene

Raffinate 1

Carbon Black

Feedstock

Toluene

o-m-p-Xylene

Pseudocumene

DCPD

Benzene

Phenol

Acetone

Alphametil-

styrene

Cyclohexanone/

Ka-Oil

EB/Styrene

LDPE

LLDPE

VLDPE

HDPE

EVA

GPPS

HIPS

EPS

SAN

ABS

e-SBR

s-SBR

BR

TPR

EP(D)M

NBR

Latex

Monomers and Intermediates Polymers

turnover: € 5,9 bln – production: 5,8 m ton

production to sales: 3,8 m ton

among leading players 6nd in EU

2nd in EU for EVA 3rd in EU 2st in EU

capacities and

market position

end markets

Key factors boosting Priolo Cracking Unit modification

• Increase one production line capacity

• Improve energy index

• Improve plant availability & maintenance interval extension

Versalis has recently been refocusing its strategies on a more market-oriented and diversified

product portfolio, emphasizing R&D, Licensing and enhancing global presence.

As part of its new strategies, Versalis has made changes to its infrastructures and production

facilities. The following describes the changes made to overhaul its largest Cracking Unit at

the Priolo site.

Modifications included state-of-the-art upgrading of components, systems and controls in order

to:

Priolo: Project Description

Planning

• Development of over 600.000 direct m.h. for Plant and

Machinery modification works to be performed during

facilties 10-years m.o. planned to be performed

September – mid November 2013

• FID Q1/ 2012

• Main Contractor Order June 2012

• Machinery order December 2012

• Field works start mid August 2013

• Plant start up end November 2013

PRIOLO

Main modification according to feasibility/basic

studies performed by Main Contractor:

Machinery modification

Charge gas compression system upgrade

Ethylene compression system upgrade

Propylene Syeam turbine replacement

Process Modification

Ethylene Splitter and Demetanizer trays replacement

Replacement of Ethylene splitter condenser with

Core-in-Kettle technology

Constraints

Scope Plant Location

Priolo: general view of plant modification

Item Modified

NEW Item

Item Revamped PROPYLENE TRAIN

ETHYLENE TRAIN

Item Modified

NEW Item

Item Revamped

Priolo: project challenges

• Machines installed at the first mezzanine deck out of

reach of any mobile crane.

• Roof composed by air cooler and air condenser cannot

be removed

• Existing lifting crane both in hot and cold compression

area while perfectly fit for maintenance are not suitable

for handling assembled machines.

• Lube and Seal Oil console on ground floor found

completely embedded in concrete, and again out of

reach of any type of Crane

Machines

location

Conclusions

• Teamwork between GE and Versalis Engineering &

Operation Teams...key to success

• Concurrent Engineering instrumental to flawless design

and project execution

• Deployement of Engineering Teams at site for the entire

duration of the project

• Early Design for installation and availability fully

exploited and applied