ENERGY CONSERVATON OPPORTUNITIES PETROLEUM REFINERIES

M. Irshad Ramay February 10, 2011

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Contents

Contents
NCPC and ARL Energy Scenario Energy Saving Opportunities ARL Case Study CDM Potential in Petroleum Refineries

NCPC

Global Network of UNIDO/UNEP National Cleaner Production Centers

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Pakistan

NCPC

NCPC-F

NCPC-F Vision and Mission

VISION: Dynamic and prosperous NCPC-F committed to principles of CP; through continuous application of integrated, preventive and proactive environmental strategy applied to increase Eco-efficiency and to reduce risk to human and environment. MISSION: Develop: CP technologies and apply to industrial and commercial Operations for betterment of environment Promote: CP philosophy as an effective way of combating pollution Operate: As a CP education and training base Establish: Strategic alliances to facilitate the promotion of CP

NCPC

NCPC-F

NCPC Core Areas of Services

ENERGY AND ENVIRONMENT

WASTE MANAGEMENT

ANALYTICAL

NCPC SERVICES

CLEANER PRODUCTION

COMMUNITY DEVELOPMENT AND CAPACITY BUILDING

ARL

ARL PROFILE
ARL is a member company of Attock Group of Companies, a fully integrated group covering all segments of oil and gas industry from exploration to production, and refining to marketing of a wide range of petroleum products in Pakistan. ATTOCK REFINERY LIMITED
NATIONAL REFINERY LIMITED PAKISTAN OILFIELDS LIMITED ATTOCK PETROLEUM LIMITED ATTOCK CEMENT PAKISTAN LIMITED ATTOCK GEN LIMITED ATTOCK INFORMATION TECHNOLOGIES SERVICES (PVT.) LIMITED

ATTOCK ATTOCK GROUP PROFILE GROUP PROFILE

ARL

History
Since its commissioning in 1922, the Morgah Oil Refinery operated by The Attock Oil Co has passed through various stages of transformation and stood the test of time. From batch distillation stills of 2,500 barrels per day (BPD), today it has grown into a modern state-of-the-art refinery with a capacity of 42,000 BPD. Pursuant to an Agreement signed in November 1978 between AOC, POL, ARL and the Government, formation of ARL took place to take over the Morgah Refinery business and upon public listing of the Company in June 1979 , the Government became an equity partner (35%) . ARL is listed on the three Stock Exchanges of the country. Government disinvested its shareholding in 2003.
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ATTOCK ATTOCK REFINERY REFINERY LIMITED

ARL

History
BATCH DISTILLATION DUBBS PLANT LUMMUS PLANT HBU-I DISTILLATION UNIT HBU-II DISTILLATION UNIT HEAVY CRUDE UNIT REFORMER COMPLEX CAPTIVE POWER PLANT HBU-I UPGRADATION REFINERY UPGRADE STUDY PREFLASH STUDY UPDATE ISOMERIZATION / DHDS (Front End Engineering & Design) DCS INSTALLATION AT HBUs FEED OFFSITES/AUXILIARY UNITS NEW STORAGE TANKS 2,500 BPD 5,500 BPD 5,000 BPD 20,000 BPD 5,000 BPD 10,000 BPD 5,000 BPD 7.5 MW Capacity Enhanced F.W USA CB&I USA UOP USA Honeywell ENAR PAKISTAN 70% CAP ENHANCEMENT

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ATTOCK ATTOCK REFINERY REFINERY LIMITED

ARL

HONOURS

BEST CORPORATE REPORT AWARD NINE TIMES WINNER IN ENERGY SECTOR THIRD PAKISTAN INDUSTRIAL FAIR, 1st POSITION CORPORATE EXCELLENCE AWARD THREE TIMES WINNER EXPORT TROPHY FROM RAWALPINDI CHAMBER OF COMMERCE & INDUSTRY (RCCI), 1st POSITION EXPORT TROPHY FOUR TIMES WINNER CORPORATE SOCIAL RESPONSIBILITY AWARD NFEH ENVIRONMENTAL EXCELLENCE AWARD PLATTS GLOBAL ENERGY AWARD FOR COMMUNITY DEVELOPMENT PROGRAM AASHA AWARD FOR MOST GENDER FRIENDLY COMPANIES IN PAKISTAN PEOPLE AS KEY RESOURCE AWARD BEST SUSTAINABILITY REPORT AWARD IN LOCAL LISTED COMPANIES FROM ACCA & WWF THREE TIMES WINNER GLOBAL COMPACT RESPONSIBLE BUSINESS AWARD
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ATTOCK ATTOCK REFINERY REFINERY LIMITED

ARL

STRATEGICALLY LOCATED ONLY REFINERY IN THE NORTH

ARL Parco

ATTOCK ATTOCK REFINERY REFINERY LIMITED Bosicor

New Bosicor

NRL PRL Indus Planned Existing

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Coastal

Energy Scenario

Energy Scenario
The industrial sector in Pakistan alone accounts for about 39.8% of the commercial energy. It uses both, the thermal and electrical energy in various equipments like boilers, compressors, furnaces, diesel generating engines, motors, pumps, refrigeration etc.

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Energy Scenario

Energy Consumption by Sector

2008-09 (Total: 37.3 Million TOE)
Commercial, 3.90% Industrial, 39.80% Domestic, 21.70% Other Govt., 2.10% Transport, 30.50%

Agriculture, 2.10%

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Energy Conservation Opportunities

Energy Conservation Opportunities

TOTAL SYSTEMS APPROACH SELECTION OF EQUIPMENTS EMPLOYEE INVOLVEMENT INTER UNIT VISITS OPTIMAL CAPACITY UTILISATION UPGRADATION OF TECHNOLOGY ENERGY AUDIT REGULAR MONITORING OF IMPLEMENTED PROJECTS

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ARL Initiatives

ARL Initiatives Towards Energy Efficiency and Conservation

IMPLIMENTING MANAGEMENT SYSTEMS MINIMIZING THE LOSSES IMPROVING THE EQUIPMENT EFFICIENCY IMPROVING THE OPERATIONAL

PHILOSOPHY

Management Systems

Management Systems
ARL obtained certification of ISO-9001, ISO14001, ISO-17025 and OHSAS-18000. Development and implementation of such system ensure adherence to optimum operational parameters which in turn results in optimum energy consumption.

Management Systems

Simulation and Softwares

Sophisticated Process Control system was

installed at HCU, Reformer, HBU-I and HBU-II using the DCS technology. It provides mass and energy balance which ensures precise operation and better energy efficiency. PIMS (Process Industry Modeling System) was implemented which plans and advises the optimum blend of crude for optimum production and energy consumption using Linear Programming for complex systems. PINCH Technology at HCU preheat train

Employees Awareness

Awareness Among All Employees

Awareness about Energy Saving benefits were communicated to the staff as well as residents of area through the use of slogans, banners posters etc. This resulted in rise of awareness level in the public, and improved energy conservation.

Employees Awareness

Energy Losses
101,000 8 1,0 00 100,00 0

RS / Yr.

6 1,0 00 4 1,0 00 2 1,0 00 1,0 00

6 0,000 48,000 32,000 9,000 S t e a m T ra p se a t lo s s e s S t e a m P u m p s e a H e a t lo s s e A ir le a k a g e H l s (F a u lt y ) in p ip e (8 " ) le a k a g e le a k a g e in va lve (4 " )(1 / 8 " h o le ) (1 / 8 " h o le ) 27,000

A R E A 'S

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Minimizing Losses

Steam Traps Monitoring

There were certain points on steam lines, where steam

traps were not available. This resulted in a substantial loss of steam round the clock. Such drain points were identified and steam traps were installed. A steam survey is carried out per month to identify areas of improvement and to identify and timely attend the faulty steam traps. Steam saving from one steam trap = 0.5 Ton/day Total energy saving per trap = 39 MM Btu/month After rectification and proper sizing of one steam trap net saving is Rs 5,000 per month.

Minimizing Losses

Why Save Steam Condensate ?

Condensate Wasted = Money & Energy Wasted Fuel/Energy costs associated with the amount of steam used to preheat cold boiler make-up water. 2. Boiler water make up and sewage treatment cost. 3. Water chemical treatment cost.
1.
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Minimizing Losses

Condensate Recovery & Steam Cost

200 psig steam pressure: Sensible heat 362 Btu/lb Latent heat 838 Btu/lb Total heat 1200 Btu/lb Wasted water 362 Btu/lb Replacement water 38 Btu/lb Wasted heat 324 Btu/lb

Wasted heat / Total heat x 100 = % of Total heat wasted

324 / 1200 = 27% of Total heat is wasted Fuel energy cost is typically 80% of the cost of producing steam,

Therefore;
0.27 x .8 x 100 = 21.6% of the total steam production cost.
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Minimizing Losses

Water & Treatment Value of Condensate

1. Water alone may represent up to 16%

of steam production costs. 2. Water treatment costs can amount to 4% of steam production costs. 3. The addition of cooling water to the condensate may be required, greatly increasing water and sewage costs.

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Minimizing Losses

What is Total Cost Involved When Condensate is Wasted?

Using our earlier example, the total waste is a large percentage of the total steam production cost: Wasted heat Wasted water Treatment Total waste 21.6% 16.0% 4.0% 41.6%
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Minimizing Losses

Insulation of Bare Surfaces

Atmospheric and Vacuum towers Insulation at

Lummus plant Insulation at products storage tanks Insulation at bare surface lines Insulation at Heat Exchangers By installing thermal insulation at required points, heat losses reduced, utilities and money saved.

Minimizing Losses

Optimization of Steam Consumption

Fuel gas tracer steam optimization during summer was carried out. The steam consumption is 7.0 tons/day that is not required during summer season. The saving per day in the form of energy is 555.0 Million Btu/Month and Rs. 70,000 per Month.

Improving Equipment Efficiency

Parallel Preheat Train

New parallel preheat train installed at HBU-I, better heat

recovery is obtained at higher throughputs by keeping both the pre-heat trains in parallel service. With this modification, one pre-heat train can be bypassed and cleaned by operating the plant only on single pre-heat train. Hence cleaner exchanger at all times ensure maximum heat recovery thus reducing fuel consumption at heater. Plant downtime required for pre-heat train cleaning was therefore completely eliminated.

Improving Equipment Efficiency

Replacement of Exchangers
Lummus, atmospheric tower overhead

exchanger LE-01 was replaced with a higher duty exchanger. This resulted in a higher heater inlet temperature, thus reducing the fuel consumption substantially at the atmospheric heater. Reduction of heater duty by 1 MMBTU/hr due to increase in heater inlet by 40 o F (~ Rs. 4.04 Million per annum, only fuel saving)

Improving Equipment Efficiency

Variable Seed Motors

It was principally decided to purchase variable speed motor drivers for all fan condensers. This has been implemented and newly purchased motors at HBU-II are variable speed. The speed of fan is adjusted according to the temperature requirement, and thus energy is saved.

Improving Equipment Efficiency

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Improving Equipment Efficiency

Heaters Operation Optimization

Following has been implemented for energy efficiency:
1.

2.

3.

Soot Blowers have been installed at heaters to avoid soot deposition. This results in improving the furnace efficiencies: greater fuel energy savings. On-line oxygen analyzers on furnaces / boilers have been provided to control excess air. These instruments measure the oxygen content of flue gas continuously and adjust air to minimize heat losses. Mass flow meters have been installed in various furnaces / heaters for monitoring individual furnace fuel consumption.

Improving Equipment Efficiency

Domestic Fuel Gas Savings

The exhaust of installed gas water heaters (geysers) was modified by installing baffles to increase the residence time of flue gases, thus ensuring maximum heat exchange. This has been experimentally applied on some installations, and will be installed in all the water heaters later. Gas consumed by Ordinary Geyser = 0.20 Hm3 Gas consumed by Geyser (with baffle) = 0.17 Hm3 Difference = 0.03 Hm3 % age saving in Hm3 ~ 15 % Saving For 3 Days ~ Rs. 45 Saving For 1 Month ~ Rs. 450 (For one unit)

Improving Equipment Efficiency

Electrical Energy Savings

All the gate-lights (incandescent bulbs) of colony

were replaced by Energy Savers (compact fluorescent light bulbs). This reduced the electricity consumption at gates up to ~ 80%.
Electricity Cost (incandescent bulbs) = Rs. 42,120/month Electricity Cost with CFL = Rs. 7,581/month Saving = Rs. 34,540/month

Improving Equipment Efficiency

Anti Solar Roofs

Anti Solar roofs were installed on a few roofs for trial purpose. The results showed marked reduction in energy consumption. The details are given below: COST/BENEFIT ANALYSIS Daily heat gain without anti solar system = 81 kWh/day Daily heat gain with anti solar system = 36 kWh/day Difference = 45 kWh/day Electrical energy required to remove this heat = 22.5 kWh Total saving for summer season = Rs. 9, 450 (@ Rs. 3.5/kwh and assuming 4 months of cooling season)

Operational Philosophy

New Heater Installation

A new heater was installed at HBU-II (Crude Unit). The purpose was to operate at higher throughput. This ultimately resulted in better heat recovery through products elevated flow rates. Hence heater inlet temperature improved, and fuel requirement decreased, saving energy.

Operational Philosophy

Diversion of Vacuum Unit Cuts

Lummus, a modification was done to divert

Vacuum unit's Cut I, II, III & IV to the inlet of atmospheric section pre-heat trains exchanger LE-08 (Crude/HSD). This resulted in higher heater inlet temperature and hence lower fuel consumption Reduction of heater duty by 0.5 MMBTU/hr due to increase in heater inlet by 20o F (~ Rs. 2 million per annum, only fuel saving)

ARL Case Study

Energy Conservation At ARL

ARL has prominent energy conservation achievement i.e. 33.0% reduction of total energy consumption within five years
Overall Energy Consumption Reduction

(0.20 to 0.145 MMBTU/BBL) Reduction in Steam Consumption (25 to 10 KG/BBL)

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ARL Future Plans

Waste heat recovery from boilers flue gasses Condensate recovery at HCU Packinox Exchanger at Reformer Energy recovery from power plant flue gases Installation of Air pre heaters at heaters Flare gases recovery False Ceiling Anti Solar roofs

CDM Potential in Petroleum Refineries

Major areas for energy efficiency improvement are

utilities (30%), fired heaters (20%), process optimization (15%), heat exchangers (15%), motor and motor applications (10%), and other areas (10%)

Recycling of all wastes Waste Heat Recovery and using the recovered heat

for heating oil

Crude Preheat Train optimization through

modification of heat exchangers network

CDM Potential in Petroleum Refineries

Gas flaring reduction which is the main source of

GHG emissions from oil and gas industry

Reducing heat loss into atmosphere along with the

flue gases by utilizing it for preheating combustion air of heaters/boilers from processes, cogeneration, and boilers urea production

Steam generation through waste heat recovery

Installation of CO2 recovery plant and utilize for

Are There any Hidden Costs?

Absolutely! OUR ENVIRONMENT

Rs. 1.0 Billion per day

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Resources are limited, Let us conserve them.

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