Antwerp Refinery Making Cogeneration Work Richard Henderson Technical Manager, Antwerp Refinery April 21, 2009 This presentation includes forward-looking statements. Actual future conditions (including economic conditions, energy demand, and energy supply) could differ materially due to changes in technology, the development of new supply sources, political events, demographic changes, and other factors discussed herein (and in Item 1 of ExxonMobil s latest report on Form 10-K). This material is not to be reproduced without the permission of Exxon Mobil Corporation.
ExxonMobil an overview Source: EM Financial Reports, IEA, Oil & Gas Journal 2
Growing global energy demand 2030 2005 by fuel MBDOE 180 120 0.9% 2030 2005 1.8% 60 0.6% 0.3% 2.3% 0 Oil Coal Gas Biomass/ Other Nuclear 2.2% 9.3% Hydro/ Geo Wind, Solar & Biofuels Efficiency Gain 3
Antwerp refinery 4
Antwerp Refinery - priorities A refinery which reflects the core values and characteristics of ExxonMobil Citizenship: Focus on safety integral to everything Care for the environment, neighbours and the local community Business: 1. Sustained capacity growth 2. Operating efficiency Global pacesetter in total unit costs and energy efficiency 3. Maximise flexibility of raw materials 4. Molecule Management maximisation of product value 5. Close integration of complimentary petroleum and chemicals manufacturing businesses 6. Selective, disciplined capital investment Global sharing of best practice 5
2. Operating efficiency World class operating efficiency is critical to long term manufacturing success Energy efficiency - a key contributor Global Energy Management System (GEMS) Antwerp exemplifies this strategy Leading edge performance by 3 rd party benchmarking for both total unit costs and energy efficiency source: unit cash operating expense and energy intensity based on data from Solomon Associates and ExxonMobil estimates * Only even-year Solomon data available through 06, 08 estimated by ExxonMobil, 6data at constant foreign exchange rates and energy price; unit cash operating expense data indexed to ExxonMobil ( 02) ** Only even-year Solomon data available through 06, 08 estimated by ExxonMobil, data indexed to ExxonMobil ( 02)
Cogeneration and Refining Typical Cogeneration Unit sited at Refinery Power Output Inlet Air Exhaust Process Steam Generator Gas Turbine Heat Recovery Unit Refinery opportunity to utilise gas turbine exhaust energy to raise process steam (backs out refinery fuel firing) Boiler / Steam Turbine / Generator / Condenser replaced by Heat Recovery Unit (usually with auxiliary firing capability) Extremely high efficiency, backing out fuel fired and creating no incremental heat loss Sizing of gas turbine (and therefore power generation) based on refinery heat sink (Process Steam Consumption) versus energy from gas turbine exhaust 7
Cogeneration and Antwerp Typical Cogeneration Unit sited at Refinery Power Output Inlet Air Exhaust Process Steam Generator Gas Turbine Heat Recovery Unit Antwerp Refinery Problem Esso Antwerp Refinery is a world wide pacesetter in terms of energy efficiency As such, Process Steam demand relative to size of refinery is rather small The limited resulting heat sink significantly limits the size of Cogen that is economically viable Another approach is required 8
The Antwerp Cogen Modified Cogeneration Unit sited at Esso Antwerp Refinery Power Output Inlet Air Exhaust Crude (to Pipestill) Process Steam Generator Gas Turbine Heat Recovery Unit Inclusion of a crude heating coil introduces a further heat sink just as efficient as traditional process steam approach Enables significantly larger gas turbine operation without diminishing efficiency Integrates Cogen Plant within refinery operations Resultant Cogen operation carries significant efficiency advantage over separate power generation and steam and heat production Financial return to the refinery Reduction in overall emissions in Belgium Higher resultant refinery integration must be risk managed 9
Construction Challenge Further practical challenge in making the concept a reality Crude integration means plot adjacent to Pipestill is necessary Plotspace very limited sufficient for Gas Turbine / Generator / Transformer Again, an alternate solution is required to realise the business opportunity Design suspends the HRU nearly 20 meters above grade, over the Gas Turbine Significantly complicates field execution Technically challenging lifts Large population working at height Workfront conflicts with people working above / below one another Safety remains the overriding priority 10
Closing Remarks ExxonMobil continues to be a global leader in cogeneration Antwerp cogeneration demonstrates innovation in cogeneration application ExxonMobil is developing an additional 2,000 MW of cogeneration projects Cogeneration continues to present some excellent opportunities Baytown Cogen 11