MTBE Chemical Production Optimization

Transcription

1 MTBE Chemical Production Optimization Megan Bryant Department of Mathematical Sciences Clemson University Clemson, South Carolina December 9th, 2013

2 The Client The Saudi European Petrochemical Company (Ibn Zahr) is a private company in the oil and gas industry. Megan Bryant (Clemson) MTBE December 9th, / 1

3 The Client The Saudi European Petrochemical Company (Ibn Zahr) is a private company in the oil and gas industry. Ibn Zahr operates out of Jubail Industrial City, Saudi Arabia. Megan Bryant (Clemson) MTBE December 9th, / 1

4 The Client The Saudi European Petrochemical Company (Ibn Zahr) is a private company in the oil and gas industry. Ibn Zahr operates out of Jubail Industrial City, Saudi Arabia. They produce over 4.7 million tons of petrochemicals a year. Megan Bryant (Clemson) MTBE December 9th, / 1

5 The Client The Saudi European Petrochemical Company (Ibn Zahr) is a private company in the oil and gas industry. Ibn Zahr operates out of Jubail Industrial City, Saudi Arabia. They produce over 4.7 million tons of petrochemicals a year. MTBE is one of these petrochemicals. Megan Bryant (Clemson) MTBE December 9th, / 1

6 MTBE Methyl tert-butyl ether (MTBE) is an organic compound. Figure: C 5 H 12 0 Megan Bryant (Clemson) MTBE December 9th, / 1

7 MTBE Methyl tert-butyl ether (MTBE) is an organic compound. Figure: C 5 H 12 0 MTBE additives act to raise the octane raise the octane number of fuel. Megan Bryant (Clemson) MTBE December 9th, / 1

8 MTBE Methyl tert-butyl ether (MTBE) is an organic compound. Figure: C 5 H 12 0 MTBE additives act to raise the octane raise the octane number of fuel. Ibn Zahr currently produces 500, 000 tons of MTBE per year. Megan Bryant (Clemson) MTBE December 9th, / 1

9 Production Process Figure: MTBE Production Process Megan Bryant (Clemson) MTBE December 9th, / 1

10 Objective Ibn Zahr wishes to optimize MTBE production at their facility. Megan Bryant (Clemson) MTBE December 9th, / 1

11 Objective Ibn Zahr wishes to optimize MTBE production at their facility. The facility has 3 reactors & each reactor has 6 possible setups. Megan Bryant (Clemson) MTBE December 9th, / 1

12 Objective Ibn Zahr wishes to optimize MTBE production at their facility. The facility has 3 reactors & each reactor has 6 possible setups. It was our job to select the optimal setup for each reactor. Megan Bryant (Clemson) MTBE December 9th, / 1

13 Model Formulation Let: R S O ij I ij G ij E C ij P x ij The set of reactors The set of setups for each reactor Output of reactor i at setting j, for i R, j S Required materials input for reactor i at setting j, for i R, j Gas by-product released from reactor i at setting j, for i R Limit of gas byproduct released as pollution, per reactor Cost of setting reactor i at setting j, for i R, j S Selling price of MTBE per ton 1, if reactor i operated at setting j, for i R, j S 0, otherwise Megan Bryant (Clemson) MTBE December 9th, / 1

14 Model Formulation The objective of the model is to maximize profit: Maximize P O R,j x R,j C ij x ij i R Megan Bryant (Clemson) MTBE December 9th, / 1

15 Model Formulation The objective of the model is to maximize profit: Maximize P O R,j x R,j C ij x ij i R A single setup must be selected for each reactor: x ij = 1, for i R Megan Bryant (Clemson) MTBE December 9th, / 1

16 Model Formulation The objective of the model is to maximize profit: Maximize P O R,j x R,j C ij x ij i R A single setup must be selected for each reactor: x ij = 1, for i R The output of reactor i must match the input of reactor i + 1: O i 1,j x i 1,j I i,j x i,j 0, for i R Megan Bryant (Clemson) MTBE December 9th, / 1

17 Model Formulation The objective of the model is to maximize profit: Maximize P O R,j x R,j C ij x ij i R A single setup must be selected for each reactor: x ij = 1, for i R The output of reactor i must match the input of reactor i + 1: O i 1,j x i 1,j I i,j x i,j 0, for i R The selected set-up for each reactor must satisfy the required pollution limit: G ij x ij E, for i R Megan Bryant (Clemson) MTBE December 9th, / 1

18 Complete Model Statement The complete statement of the model is given as follows: Maximize P O R,j x R,j C ij x ij i R subject to x ij = 1, for i R O i 1,j x i 1,j I i,j x i,j 0, for i R G ij x ij E, for i R x ij {0, 1}, i R, j S Megan Bryant (Clemson) MTBE December 9th, / 1

19 Results and Analysis The solved model provides the following optimal solution: Megan Bryant (Clemson) MTBE December 9th, / 1

20 Results and Analysis The solved model provides the following optimal solution: Reactor 1 employs setup 1 Reactor 2 employs setup 1 Reactor 3 employs setup 6 Megan Bryant (Clemson) MTBE December 9th, / 1

21 Results and Analysis The solved model provides the following optimal solution: Reactor 1 employs setup 1 Reactor 2 employs setup 1 Reactor 3 employs setup 6 Under this operational policy, Ibn Zahr will produce MTBE at a rate of 62 tons per hour. Megan Bryant (Clemson) MTBE December 9th, / 1

22 Results and Analysis The solved model provides the following optimal solution: Reactor 1 employs setup 1 Reactor 2 employs setup 1 Reactor 3 employs setup 6 Under this operational policy, Ibn Zahr will produce MTBE at a rate of 62 tons per hour. This rate will result in 1, 488 tons of MTBE daily. Megan Bryant (Clemson) MTBE December 9th, / 1

23 Results and Analysis The solved model provides the following optimal solution: Reactor 1 employs setup 1 Reactor 2 employs setup 1 Reactor 3 employs setup 6 Under this operational policy, Ibn Zahr will produce MTBE at a rate of 62 tons per hour. This rate will result in 1, 488 tons of MTBE daily. Gross profits are estimated to be $1, 982, 016. Megan Bryant (Clemson) MTBE December 9th, / 1

24 Results and Anaylsis Even at the optimum production the daily net profit will be negative. Megan Bryant (Clemson) MTBE December 9th, / 1

25 Results and Anaylsis Even at the optimum production the daily net profit will be negative. It is estimated that Ibn Zahr run a daily deficit of $1, 932. Megan Bryant (Clemson) MTBE December 9th, / 1

26 Results and Anaylsis Even at the optimum production the daily net profit will be negative. It is estimated that Ibn Zahr run a daily deficit of $1, 932. Ibn Zahr should seek to lower operating costs or expand the MTBE market. Megan Bryant (Clemson) MTBE December 9th, / 1

27 Sensitivity Analysis A full sensitivity analysis was performed and the model was found to be stable. Megan Bryant (Clemson) MTBE December 9th, / 1

28 Sensitivity Analysis A full sensitivity analysis was performed and the model was found to be stable. The constraint relating to the number of setups per reactor is tight. Megan Bryant (Clemson) MTBE December 9th, / 1

29 Sensitivity Analysis A full sensitivity analysis was performed and the model was found to be stable. The constraint relating to the number of setups per reactor is tight. The optimum setup will not be affected by allowing easy setup changes. Megan Bryant (Clemson) MTBE December 9th, / 1

30 Sensitivity Analysis A full sensitivity analysis was performed and the model was found to be stable. The constraint relating to the number of setups per reactor is tight. The optimum setup will not be affected by allowing easy setup changes. Once the reactors are in the optimum setups, changing the setup will not be beneficial. Megan Bryant (Clemson) MTBE December 9th, / 1