Evaluation of Hydrogen Production at Refineries in China The new UOP SeparALL TM Process Bart Beuckels, UOP NV IChemE Gasification Conference March 12, 2014 Rotterdam, the Netherlands 1914-2014 A Century of Innovation in the Oil and Gas Industry 2014 UOP LLC. All rights reserved.
UOP Company Profile Serving the Gas Processing, Refining & Petrochemical Industries Profile Significant Technology Position Sales: Breakdown Business Units: Gas Processing and Hydrogen (GP&H) Process Technology & Equipment (PT&E) Catalysts, Adsorbents & Specialties (CA&S) Renewable Energy and Chemicals (RE&C) Offering: Technology, catalyst & services to the refining, petrochemical and gas processing industries Supplier of molecular sieve adsorbents to process and manufacturing industries Equipment Products Services Licensing Equipment 45% Products 35% Licensing 7% Services 13% UOP Facilities Global Footprint Sales: Geographic Worldwide Headquarters Des Plaines, Illinois (suburban Chicago) 3,500+ Employees 20 Offices 17 Countries 12 Manufacturing Facilities 5 Engineering Centers UOP Offices UOP Manufacturing Sites Global Customers Asia Pacific 19% North America 32% China 12% India 5% Middle East 9% South America 9% E&A 9% CIS 5% 2 UOP 6196-2
Benefits of a UOP Integrated Solution in a Refinery Acid Gas Removal PSA Sulfur Recovery Our technologies and products are designed to deliver superior performance, safety and value when combined in an integrated system: High availability and reliability of processes and products Lower capital expenditure and operating costs resulting in lower cost of production of hydrogen 3 UOP 6196-3
Million Tons Growth Potential for Hydrogen 30 25 Hydrogen segment assessment in China (Million tons) Methanol Refineries Ammonia 26 4.5 5.4 29 CAGR 2012-2022 8% 20 15 10 1.1 2.9 13 15 2.0 15 1.1 1.6 3.6 4.0 4.3 16 2.6 4.9 18 2.8 7.6 21 10.0 11.2 8% 5 9.3 9.9 9.6 9.8 10.2 10.9 12.0 12.6 2% 0 2008 2009 2010 2011 2012 2015 2020 2022 Years Source: Chem1 Market Assessment Study for Hydrogen Growth for hydrogen will mainly come from the oil refining industry 4 UOP 6196-4
Five Year Plan Target Control Sulfur Emissions Fuel Standards State II Current State III 2013 State IV 2015 State V Comments GASOLINE Sulfur, ppm Olefin, v% Manganese, g/l Vapor pressure (Summer), kappa 500 35 0.018 74 150 30 0.016 72 50 28 0.008 40~68 10 25 0.002 40~65 China relies heavily on the ME for most of its oil supplies which is sour DIESEL DIESEL Sulfur, ppm Cetane number Density, 20 kg/cm 3 Fatty acid ester Heavy Aromatics 500 49 820-860 /,/ 350 49 810-850 0.5%v,11%m 50 51 820-845 /, 11%m 10 ME Crude Oil Specs: Current API = 34 S (wt%) = 1.75 API = 33.9 S (wt%) = 1.84 Improving energy efficiency combined with reducing greenhouse gas emissions are key in the five year plan Source: Chem1 Market Assessment Study for Hydrogen; Hart Energy Consulting Analysis (2010) Increasing sour crude processing and stricter sulfur controls requires added capacity for hydrogen production 5 UOP 6196-5
Million Tons Breakdown of Feedstock for Hydrogen Production 6 Hydrogen market assessment in China (Million tons) CAGR 2012-2022 others 5 4 coal NG ROG 0.6 4.4 0.8 5.0 18% 3 0.6 3.4 1.9 2.1 9% 2 1 2.4 0.1 2.2 0.1 2.0 0.1 0.1 1.8 0.9 0.1 0.8 0.8 0.7 0.6 1.1 1.2 1.3 1.4 1.5 2.5 1.1 1.7 1.9 2.1 4% 0 2008 2009 2010 2011 2012 2015 2020 2022 Year Source: Chem1 Market Assessment Study for Hydrogen Coal gaining prominence as an alternative cheaper feedstock 6 UOP 6196-6
Case Study Comparing SMR & Gasification 1. Basis Natural Gas Price: $13/MMBtu (HHV = 22,400 Btu/lb) - based on LNG imports Petcoke Price: $1/MMBtu (HHV = 15,000 Btu/lb) Coal Price: $3.50/MMBtu (HHV = 12,000 Btu/lb) Hydrogen required for refinery: 100,000 Nm3/h 2. Configurations ASU CO 2 O 2 Petcoke Coal Gasification Syngas CO Shift UOP SeparALL Process H 2 Polybed PSA Pure H 2 To Refinery H 2 S Natural Gas/ROG Desulfurization SMR CO Shift H 2 Polybed PSA Pure H 2 To Refinery 7 UOP 6196-7
Hydrogen Production Cost Hydrogen production cost in China, $/Nm 3 SENSITIVITY ANALYSIS FOR PETCOKE FEED 0.10 0.11 0.12 0.13 0.14 Capex $ MM Feedstock $/MMBTU 1.01 1.67 0.212 0.153 0.110 SENSITIVITY ANALYSIS FOR NATURAL GAS FEED Natural gas Coal Petcoke 0.18 0.19 0.20 0.21 0.22 0.23 0.24 Cheaper feedstock cost directly influences the cost of hydrogen production Feedstock, $/MMBTU Capex $MM 11.89 14.11 UOP processes drive value in hydrogen production 8 UOP 6196-8
Solvent Loading What is the new UOP SeparALL Process? Absorption / regeneration process for selective removal of H2S, COS, & CO2 Uses Next generation physical solvent (SELEXOL MAX Solvent) Chemically similar and completely compatible with SELEXOL Solvent Clear fluid that looks like tinted water Solvent regenerated by changing pressure, temperature or applying a stripping gas Physical vs Chemical Typical Gasification Application Partial Pressure Physical Solvent Chemical Solvent High Pressure is advantageous 9 UOP 6196-9
Two Basic Flow Schemes Sulfur removal only Typically for power and hydrogen applications Can reduce treated gas any desired sulfur level One solvent absorber with solvent regeneration Sulfur removal with separate CO 2 removal (CCS or chemicals production) Typically for chemicals, SNG or coal to liquids applications Typically involves more stringent product specifications Integrated solvent absorbers and solvent regeneration 10 UOP 6196-10
UOP SeparALL Process - Advantages Solvent: high vapor pressure (low losses) and non-toxic Mild Chilling Simple flow schemes with few pieces of equipment Absorbs NH 3, HCN and other trace contaminants, without the need for additional equipment Removes metal carbonyls Metal carbonyls in treated syngas decompose at gas turbine burners and potentially plate-out on the gas turbine blades Metal carbonyl can also act as catalyst poisons for chemical applications Through its improved efficiency and next generation technology, the SeparALL process can reduce capital expenditures by up to 10 percent and operating expenditures by more than 20 percent. 11 UOP 6196-11
Commercial Experience in Hydrogen Production ITALY Sarlux IGCC CLICK TO LEARN MORE U.S. Coffeyville Resources CLICK TO LEARN MORE 12 UOP 6196-12
Commercial Experience in Gasification Sarlux IGCC Complex Plantt Start-Up 2000 Application Power H 2 Production Production 550 MW net / 40000 Nm³/h AGRU Duty Sulfur Syngas Flow Feedstock 404 MMSCFD @420 psia Visbreaker Residue Sarlux IGCC Complex Plant Sarroch, Sardinia, Italy 13 UOP 6196-13
Block Flow Diagram Sarlux IGCC Electric Power H 2 High Purity to Hydrocracker Air Steam for Export Polybed TM PSA Raw H 2 O 2 Air Separation Unit Combined Cycle Power Plant Polysep TM Membrane Purified Syngas Feed Gasifier w/ Quench & Scrubbing Gas Cooling & COS Hydrolysis SELEXOL Claus Plant Tail Gas Elemental Sulfur 14 UOP 6196-14
Commercial Experience in Gasification Coffeyville Resources Plant Start-Up 2000 Application Ammonia Urea Production 21 T/h 62 T/h AGRU Duty Sulfur & CO 2 Syngas Flow 151 MMSCFD @535 psia Coffeyville Resources Plant Feedstock Petcoke Coffeyville, Kansas 15 UOP 6196-15
Block Flow Diagram Coffeyville Resources Air NH 3 Product N 2 Air Separation Unit Ammonia Synthesis UAN Plant UAN Product High Purity H 2 Purified CO 2 O 2 Polybed PSA Raw H 2 CO 2 Purification CO 2 Vent Tail Gas Raw CO 2 Quench Gasification Syngas Scrubbing CO Shift & Gas Cooling SELEXOL 2-Stage Acid Gas Petroleum Coke Claus Plant 16 UOP 6196-16
UOP Polybed PSA Systems PRODUCT H 2 + Impurities High Pressure H 2 @ High Purity High Pressure FEED GAS TAIL GAS H 2 Purity 99.9 99.9999% H 2 Recovery 60 90% H 2 Feed pressure 6-40 bar g H 2 Product pressure 5-39 bar g Impurities (+H 2 ) Low Pressure 17 UOP 6196-17
UOP s History in PSA Systems Optimized Adsorbents Methanator Replacement Optimized Cycles First 16-bed 223000 New Adsorbents 14-bed 253000 Increased H 2 demands High Purity H 2 12-bed 71000 Fast cycle 12-bed 113000 12-bed 150000 10-bed 47000 14-bed 100000 4-bed 18 18 UOP 6196-18
Applications of UOP s Polybed PSA Systems Ethylene Off-Gas 16% Steam Reformers 42% Specialty Applications 19% Ammonia Plants Coke Oven Gas Gasification Methanol Off-Gas Styrene Off-Gas Refinery Streams 23% >1,000 Polybed PSA Units 19 UOP is the World Leader in PSA technology UOP 6196-19
Components of UOP Polybed PSA Systems 1 2 3 4 Control System Valve Skid Vessels & Adsorbents UOP Service & Support 3 1 4 2 20 UOP 6196-20
PSA with Maximum On-Stream Reliability For a customer in China that needs a reliable source of high purity hydrogen, UOP Polybed PSA provides greater than 99.8% on-stream availability that results in $500,000/day of additional value due to downtime avoided versus local PSA suppliers. We do this by providing proven designs, proprietary adsorbents, and equipment. Assumptions: 100,000 Nm 3 /hour product PSA unit H 2 value = 15000 RMB/MT = $0.21/Nm 3 Calculation: 100,000 x 24 x 0.21 = $504,000/day The cost from the loss of production from the downstream hydroprocessing units, if known, would be added to the cost of the loss of H 2 21 UOP 6196-21
Q u e s t i o n a n d A n s w e r 1914-2014 A Century of Innovation in the Oil & Gas Industry 22 UOP 6196-22