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117th American Fuel & FOLLOW US!

Petrochemical Manufacturers @AFPMonline

ANNUAL MEETING
Conference Daily Published by DAY THREE | #AFPMAM
HYDROCARBON PROCESSING ®
Wednesday  |  March 20, 2019

Pulitzer Prize-winning author touts


past presidential leadership
ADRIENNE BLUME, Executive Editor, Hydrocarbon Processing
Doris Kearns Goodwin, Pulitzer books, including her most recent, Lincoln, for example, was not Eleanor Roosevelt championed for
Prize-winning author and presidential Leadership in Turbulent Times. afraid to fail. He was the “dark horse” women working in US industry and
historian who worked in the White When she began her five-decade candidate in the 1861 presidential provided a strong role model for suc-
House under President Lyndon John- career, Goodwin “never imagined election, “and the rest, as they say, is ceeding first ladies.
son, spoke at the General Session on I’d be spending every day with dead history,” Goodwin said. “These presidents were approach-
Monday about the leadership qualities presidents.” She spoke about help- Franklin Roosevelt employed hu- able and accessible, able to reach out
of past presidents. She is the author ing former President Johnson write mility to soften what some saw as an to make connections with people,”
of seven New York Times-bestselling his memoirs and how his presiden- overly high sense of confidence. “He Goodwin said. Lincoln shook a thou-
tial legacy, which was tainted by the developed what he called a ‘genuine sand hands on the day he signed the
Vietnam War, is being reconsidered in fellow feeling’ that made him want to Emancipation Proclamation in 1862,
current times. improve the others’ lives,” Goodwin Goodwin explained, which left his
In her recently released book, said. He persevered throughout the own hand shaking. Lincoln waited
Goodwin addresses leadership by for- polio illness that left him paralyzed in until his hand had steadied again be-
mer US presidents, including Abraham his late 30s. fore signing the document, so that it
Lincoln, Franklin Roosevelt, Theo- Many first ladies also had posi- would not appear to future genera-
dore Roosevelt and Lyndon Johnson. tive effects on the leadership of US tions that he had hesitated.
Although the presidents had very dif- presidents, Goodwin added. Ladybird In closing, Goodwin noted that “an
ferent temperaments and opinions, Johnson provided “a welcome thorn unheralded leadership trait, and some-
“each of these leaders had a particular in [President Johnson’s] side” and thing that we need more today than
Author and presidential historian skill to be the right person in the right was “a trusted voice willing and able ever before, is the ability to find time
DORIS KEARNS GOODWIN place at the right time,” Goodwin said. to speak truth to power.” Likewise, and space to think and to relax.” •
Executives tout workforce diversity,
sustainability and corporate stewardship
P roc ess Notes ADRIENNE BLUME, Executive Editor, Hydrocarbon Processing
An executive panel discussion on
Monday afternoon, moderated by
AFPM President Chet Thompson,
Addressing knowledge gaps during
the Great Crew Change. Thompson
then noted that the US oil and gas
Coyle noted that the US educa-
tion system helps foster some of this
demonization. “We need to get more
bon capture and other environmental
initiatives. “But we’re not done yet,”
Vivier said. “We will continue to im-
addressed the issues of workforce, workforce is aging, and asked, “How facts out there to change the thought prove our performance.”
operational and environmental sus- much of a concern is it that we have process and the view of our industry,” Gorder noted that business pro-
tainability in the refining and petro- proper knowledge transfer to young- he asserted. cesses related to plant operations
chemical industries. er workers?” “It starts with our individual com- have changed to help avoid major
Panelists included Mike Coyle, Coyle explained how Chevron is panies,” Gorder said. “We must edu- emissions releases during plant up-
President of Manufacturing for Chev- doing more mentoring of new and cate our own employees. We’re bring- sets, while Coyle remarked that re-
ron USA; Joe Gorder, Chairman, young employees than ever before. ing millennials in, and a lot of them claimed water usage at refineries has
President and CEO of Valero Energy The company is also striving for lon- think differently than we do. We need become cleaner and more environ-
Corp.; Todd Fredin, Executive Vice ger transition periods between jobs so to help them develop the understand- mentally conscious.
President of Motiva Enterprises; that critical skills can be fully devel- ing about what we’re doing, and how Lashier then explained how 30
Mark Lashier, President and CEO of oped by younger workers. what we’re doing makes people’s petrochemical and product manufac-
Chevron Phillips Chemical Co.; Loic Gorder noted that subject mat- lives better … We have [sustainabil- turing companies have come together
Vivier, Senior Vice President of Fuels ter experts do a great job of sharing ity] data coming out of our ears. We in a recycling effort. The target is to
for ExxonMobil Fuels and Lubricants their knowledge with younger people know that what we do is good, and we raise $1.5 B to change infrastructure
Co.; and David Lamp, President and in organizations. At the plant level, know why it’s good, but we’re pretty processes, especially in third-world
CEO of CVR Energy Inc. management can forecast what retire- miserable at communicating it to oth- countries where waste management is
ment schedules will look like, so that ers. We need to change that.” a significant problem that leads to pol-
Process to minimize FCC slurry product Workforce diversity and inclusion are upcoming vacancies may be filled by lution in waterways and, eventually,
top priorities. Coyle talked about the well-trained individuals. Environmental stewardship is key. pollution in the oceans. He also told

Equipment Design Matters


definition of sustainability and how the Thompson also remarked that Vivier spoke about how ExxonMobil attendees about a startup company
In both the main and external fractionators, liquid industry can develop a workforce for younger workers tend to consider has been practicing environmental that is recycling polystyrene back into
the future. More diversity is needed, a company’s social commitments stewardship for decades. The compa- styrene monomer, which is then used
distributors must be designed for practical flow rates Coyle said. “Look at this panel, for ex- before deciding where they want ny has an operations integrity man- to make new polystyrene.
Many attractive projects fail to meet expectations at
and to handle solids. Unsophisticated distributor ample—we all look alike,” Coyle said. to work. In a recent survey, 87% of agement system in place to monitor “We are looking at innovation, infra-
startup. Disappointing performance often results from “Well, we have one French guy,” he younger workers said they consid- the total health of operations from structure and education,” Lashier said.
design creates uneven liquid distribution that reduces
bad simulation practices and/or poor equipment design quipped, eliciting a smile from Vivier. ered company social commitments to top to bottom. “Unless we step up to make the beach-
fractionation efficiency and LCO recovery against Taking a more serious tone, Coyle be a major factor in their decision on ExxonMobil has also invested $9 es cleaner and clean up the oceans, no
rather than faulty execution. Refineries are currently next discussed the challenges facing where to work—a trend that the in- B in energy efficiency and environ- one will take us seriously, and our in-
the endpoint specification. The main fractionator
considering FCC revamps to increase olefins for
slurry pumparound and quench distributors must
the industry going forward, including dustry must address. mental improvements, as well as car- dustry will face extinction.” •
more alky unit feed, maximize LCO product recovery, how to interest young people in work- Lashier asserted that sustainability
eliminate hot spots in the grid and bottoms liquid pool, ing in the energy sector and how to is, and should be, a significant part of
and minimize slurry product by producing HCO for craft the workforce with diversity and corporate culture. “How we can help
respectively, to prevent coke formation. The picture inclusion as guidelines. the world be a better place resonates
hydrocracker feed. These changes raise fractionator
below illustrates the result when equipment design is “How do we get our workforces to with our employees,” he said. Corpo-
operating temperature. Higher temperatures require look more like the communities where rate sustainability and responsibility
left to low-cost vendor solutions.
better process and equipment designs to avoid fouling we operate?” Coyle asked. “White must be articulated to employees so
men in leadership positions can affect that they can feel good about them-
and coke formation, which lead to poor reliability and Finally, the bottom product from the external the change. We need to change what selves and the work they do for their
potentially to an unscheduled shutdown. fractionator (reduced slurry) will be nasty. Stripping we do today to change the future of industries and their communities. Monday afternoon’s executive panel discussion addressed the issues of workforce,
our workforce.” Fredin explained how Motiva En- operational and environmental sustainability.
trays must be specially designed to work in this Gorder noted, “We are a largely terprises has donated $6 MM, since
While getting the simulation right is important, process male workforce. This is changing as Hurricane Harvey, toward infrastruc-
extremely fouling service, and bottoms pumps must
equipment design is equally critical to a project’s we go forward, but this is just the way ture improvement and repair proj- Published by Hydrocarbon Processing
be compatible with very low API material containing it is right now. Approximately 20% of ects, as well as toward workforce as three daily editions, March 17/18,
success. Consider a project to minimize FCC main
solids. engineering graduates are women, and development through hands-on, in- 19 and as an electronic edition on
fractionator bottoms product (Slurry, DCO, CSO, etc.). we work very hard to recruit them. To novative platforms for teaching pro- March 20. If you wish to advertise in this
As outlined in the top figure, an external fractionator have the best organizations, we need cess technology. newspaper or submit a press release,
Equipment design matters. Don’t miss performance to have really good people.” “We understand that we have a 117TH ANNUAL MEETING please contact the editor at Mike.Rhodes@
can recover substantial quantities of LCO and HCO goals by applying generic equipment design to “The easiest thing for us to do as role in community development,” he CONFERENCE NEWS HydrocarbonProcessing.com.
from the FCC slurry product, reducing slurry volume by specialized problems.
leaders in the industry is to contin- said. “We need to partner with com-
60% - 70%. ue to do what we have always done munities to have a sustainable future
in the past, just because it works,” for both the companies and the com-
Publisher Advertisers:
Catherine Watkins AFPM����������������������������������������������������������� 25
Gorder said. “We can’t do that any- munities in which they operate.” Athlon, a Halliburton Service������������������������� 13
Upgrading a significant quantity of low-value slurry to more.” He noted that views on diver- AFPM Contacts Axens North America Inc..................................5
sity from younger generations enter- Changing the narrative on US fossil Jaime Zarraby BASF Corporation����������������������������������������� 17
LCO and HCO provides a powerful economic incentive Diana Cronan DYNAMICS Scientific
ing the workforce are becoming more fuels. Lamp took a different tack on Production Center USA, Inc.������������������������� 1
to execute a recovery project, but poor reliability can evident to older generations in man- the subject of corporate responsibil- Editor Gulf Energy Information
agement positions. ity. He spoke about how the industry Mike Rhodes Construction Boxscore Database������������������ 4
destroy project value. Good process design is important. Energy Web Atlas��������������������������������������� 14
He gave an example of address- has transitioned to cleaner fuels and Contributing Editors HP Circulation��������������������������������������������� 8
For example, proper quench and pumparound system ing Valero Energy’s summer interns, transportation methods while reduc- Adrienne Blume Haldor Topsoe, Inc.��������������������������������������� 15
control is essential. However, ultimate results are not all of whom appreciated his view ing its environmental footprint over Lee Nichols Honeywell UOP, LLC�������������������������������� 10–11
Johnson Matthey Process Technologies Inc.���� 9
that gender and ethnicity are not as the past 20 years. “And we’ve only Production Manager
driven by equipment design rather than the theory of important as “everyone rowing in been demonized for it,” he said.
OSIsoft, LLC������������������������������������������������� 12
Angela Bathe Dietrich Process Consulting Services, Inc.�������������������� 2
a process model. the same direction and working their “We’ve made so many improve- Hydrocarbon Processing
Shell Catalysts and Technologies���������������� 6–7
W. R. Grace & Co������������������������������������������ 26
hardest to succeed.” The mixed feed- ments, but now they’re talking about 2 Greenway Plaza, Suite 1020
back from interns made Gorder re- doing away with our industry com- Houston, TX 77252-77046
713-529-4301

HYDROCARBON PROCESSING
MARCH 2019 | HydrocarbonProcessing.com

alize that younger generations may pletely [with the Green New Deal],”
3400 Bissonnet St. +1 (713) 665-7046

MARCH 2019
want to be appreciated for their dif- he said. Lamp noted that the industry,
PETROCHEMICAL
TECHNOLOGY

PETROCHEMICAL TECHNOLOGY
How did asset utilization modeling
save Sadara $1 B in capital costs?

Implement AI to predict the composition


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Suite 130 info@revamps.com ferences, rather than being lumped however responsible it may already
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BUSINESS TRENDS
Petrochemicals 2025: Three
regions to dominate the surge

into a single group, which has since be, must change its narrative and pub-
in petrochemical capacity growth

Houston, TX 77005, USA www.revamps.com made him change his views on diver- lic education to maintain its relevance www.HydrocarbonProcessing.com
sity in the workplace. going forward.

117th Annual Meeting | American Fuel & Petrochemical Manufacturers Wednesday, March 20, 2019  3
Asset performance management:
Into a new era of organizational memory
JIM STUART, Lloyd’s Register
It has often been said that knowl- reliability and optimization tools and the other of the upturn—both of similar assets elsewhere around the
edge is power, but in high-risk sec- mitigation strategies—will be vital to which put pressure on organizational world? A forward-thinking company
tors such as the marine and oil and owner-operators as they enter a new memory. With APM, these skills, ex- might look to send the subject matter
gas industries, knowledge is fun- era of organizational memory. perience and know-how can keep as- expert to other sites to provide train-
damental to something much more sets running optimally. If too much of ing and broaden the knowledge base.
important: safety and reliability. Retain and maintain. In the refining that knowledge is lost, an increased However, this is still a fundamentally
Hard-won through long experience, and petrochemical sectors, the loom- risk exists of major equipment failure limited method of knowledge transfer.
knowledge is the difference between ing “great crew change” is a consid- that can impact human, safety and By effectively capturing that expe-
profitable operations and unreliable erable source of anxiety. An aging environmental factors, as well as the rience digitally, workers around the
equipment at risk of failure from fac- workforce, coupled with a spate of reliability and profitability of high- world can gain access to pertinent
tors such as corrosion, human error early retirements during the down- value equipment. knowledge through the APM sys-
and fluctuating operating conditions. turn, leave the industry reliant on APM solutions can help mitigate tem, as well as augment the pre-pro-
With an aging workforce and fewer and fewer seasoned experts. this, as these solutions have tradition- grammed risk models with their own
increased merger and acquisition Even with an immediate, significant ally excelled with quantitative, easily knowledge and experience. In doing

POWERING
(M&A) activity, it is becoming more influx of young workers, comprehen- digitized data that can be used to aid so, organizational memory is not just
difficult than ever for companies to sive knowledge-transfer before it is asset owner-operators with their de- preserved, but enhanced and made
retain that critical knowledge and lost to retirement is challenging. cision-making processes. However, more useful.
experience within their organiza- At the same time, the gradual up- the new generation of APM solutions These benefits are not limited to

SMARTER
tional memory. Additionally, new turn in the oil and gas sector has led have been designed with the aging individual companies. At the asset
technologies promise to change the to an uptick in M&A activity. While workforce in mind and have been owner-operator’s discretion, the APM
working practices, skills and knowl- renewed activity levels and invest- developed to better capture the more provider can capture and anonymize
edge that tomorrow’s operators will ment in the sector are heartening, qualitative, more human element of the knowledge to provide benchmarks

WAYS
need. This leaves asset operators individual companies face a similar knowledge, experience and best prac- for similar assets to other owner-op-
with a delicate balancing act: retain- threat to the aging workforce: the loss tices that might otherwise be lost. erators in the industry. This democ-
ing/capturing invaluable knowledge of knowledge capital. M&A deals of- This knowledge can be rapidly de- ratized, collaborative approach can
of the past and making it usable/use- ten lead to workforce changes, and ployed to augment newly developed improve best practices across main-
ful so that future works can build on experienced workers may view the insights or expertise. tenance, inspection engineering and
this knowledge to more rapidly im- event as a good time to retire or seek Capturing this knowledge comple- operations. The results are reduced
prove productivity. opportunity elsewhere. ments the need to deliver assurance equipment failure, improved produc-
Technology—specifically asset As such, owner-operators are and confidence to plant managers and tivity and longevity, and better busi-
performance management (APM) so- faced with two seemingly opposite operators. Digitizing expert knowl- ness performance across industry.
lutions and those with a focus on risk, trends—one born of the downturn, edge and best practices is a key com-
ponent of what Lloyd’s Register (LR) Preparing for the future. While main-
terms “asset performance assurance,” taining critical, existing organization-
and it lies at the heart of the com- al knowledge, operators are also faced
pany’s AllAssets platform. It enables with the need for new knowledge and
engineers to map their understanding skills as technology advances.
of failure mechanisms and causes and Across all sectors, economic ac-
then sense-check their model against tivity is becoming increasingly auto-
a rich library of information. This can mated and digitized. Buzzwords such
then be codified and added to the solu- as the Industrial Internet of Things
tion, enabling a systematic approach (IIoT), Industry 4.0 and “smart” com-
to capturing human knowledge and ponents and systems all point to a
best practices, all in one place and ac- fundamental shift in how assets are
cessible across the organization. designed, built, installed, maintained
In most organizations, the execu- and operated. Though industry vet-
tive team relies on operations and erans’ knowledge will undoubtedly
maintenance staff to assure them with be needed to maintain legacy equip-
high confidence that the risk of an ment with decades left of useful life, Axens continues its development and takes on a new identity
unplanned shutdown is minimized: tomorrow’s assets will require a dif-
production forecasts are met, plant ferent set of skills to run and optimize. Building on the acquisition of Heurtey Petrochem and Prosernat, Axens expands its portfolio of solutions
performance is continually improved, Programming, cybersecurity, data sci-
and preventative maintenance work is ence and analytical skills will become
scheduled at the least disruptive/most far more prominent. “This acquisition constitutes an amazing opportunity enabling our Group to pursue its growth and provide our customers
with inventive, integrated and sustainable solutions for cleaner mobility, chemical intermediate production, natural gas
economically beneficial time. Modern As assets become increasingly
and effluent treatment, and support their environmental and energy transition challenges.” - Jean Sentenac, CEO of Axens
APM systems that embody this con- sensor-enabled, and fine-grained data
cept of asset performance assurance becomes the norm, machine learning
enable teams to deliver exceptional and artificial intelligence (AI) will al- Axens becomes the global brand for all its activities represented by the following commercial brand names:
knowledge-based asset performance low operators to fine-tune their APM
strategies with a high level of confi- systems in real time, better protecting
dence and assurance. and more profitably running assets.
GLOBAL DOWNSTREAM INTELLIGENCE FOR THE Tomorrow’s best-in-class APM
REFINING, PETROCHEMICAL AND GAS Building the knowledge base. By cap- systems will be those capable of com-
turing and codifying workers’ knowl- bining these promising new technolo-
PROCESSING/LNG INDUSTRIES fCatalysts
f & Adsorbents and Process fFurnace
f business including waste heat ffA uditing, consulting and digital
edge and experience, APM systems gies with the benefits wrought from
Licensing activities, including the modular recovery units. applications activities.
not only retain critical knowledge hard-earned human experience and
units business.
capital, they can also make it more skill (i.e., marrying mature and new
Log on for a Free Demo at ConstructionBoxscore.com useful to the company. knowledge to upgrade not just orga-
A seasoned engineer intimately ac- nizational memory, but how it is ap-
quainted with a particular asset and plied). Those operators that, aided by
the operating conditions and mainte- APM technology, succeed in doing so
nance/inspection activities to keep it can confidently step into a new era of For further information,
OIL PETROCHEMICALS GASES ALTERNATIVES WATER
For more information, contact Sales at DataSales@GulfEnergyInfo.com running optimally is well-placed to asset performance assurance. Those REFINING & RENEWABLES visit axens.net
or +1 (713) 520-4456. pass on that knowledge to a handful of that do not may find that the aging
colleagues. What if the operator runs workforce outlives their company. •
4  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting Axens_3-Visuals_9.75x15.5po_press-release.indd 3 01/03/2019 11:14:16
THREE
LEGACIES
ONE FUTURE
For years, the energy and petrochemical industries have counted on the catalysts, technology
licensing, and services provided by the companies that comprise Criterion, CRI, and Shell Global
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As Shell Catalysts & Technologies, we channel years of experience providing value-adding solutions,
technologies, and services that drive the industry — and the world — forward.

That's the promise of Shell Catalysts & Technologies.

6  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting
Antifoulant technology improves
refinery operating costs
XIOMARA PRICE and JEFFREY A. ZURLO, SUEZ—Water Technologies & Solutions
Significant fouling in the hot sec- SUEZ was invited to provide a Case 1. This crude unit processes fouling. Despite these actions, FIT
tion of the crude unit preheat train can cold-eyes review of the units and rec- a variable crude slate, with blends loss over the first year averaged 4% of
be problematic for refiners, causing ommend an effective course of action. throughout the run changing from the starting temperature. This second
increased energy consumption and The goal for both units was to reduce low- to high-sulfur content based on crude unit was also being monitored
requiring frequent heat exchanger loss of furnace inlet temperature (FIT) market conditions. The variations im- using a statistical model of the FIT to
cleanings to maintain throughput. by 50% or greater. In both cases, bench pact the level of asphaltene instability determine change in performance. As
Ultimately, fouling increases operat- testing determined SUEZ’s novel coke- and solids content with the ultimate of this writing, the performance of the
ing costs and reduces profitability. precursor suppressant antifoulant as result of high fouling rates. Despite SUEZ Thermoflo program has shown
SUEZ—Water Technologies & Solu- the most effective treatment program. cleaning heat exchangers starting to be approximately 50% better than
tions develops fouling reduction pro- Additionally, heat transfer monitoring three months into a production run the previously treated base case
grams through analyzing the operating practices were improved to provide a and repeated at three- to six-month (FIG. 2), with loss in FIT limited to
performance and mechanical configu- solid baseline and enable adjustments intervals, loss of FIT within the first about 2%. This achievement includes
ration of the system, root cause analy- to the program to ensure performance year repeatedly exceeded 8% of the a period of significant desalter up-
sis, and antifoulant product testing on gains are realized. This technology is starting temperature, requiring a sig- sets that temporarily reduced perfor-
blended crude oil samples provided the latest development as part of SU- nificant increase in fuel gas demand in mance shortly after starting the pro-
by the refiner. EZ’s ThermofloTM antifoulant product the crude atmospheric furnace. gram. During this period, treatment
Two crude unit programs are high- family and was developed specifically Antifoulant injection was initi- program performance dropped to the
lighted where severe fouling increased to combat fouling from tight oils and ated upon startup from a maintenance trended with the base case. Since the
furnace firing demands and frequent other unstable crude oil blends. shutdown. On this unit, SUEZ’s pat- increased monitoring quickly showed
heat exchanger cleanings to maintain In both cases, the refiner per- ent pending chemistry has been de- the performance drop, the chemical
distillation tower yields within target. formed their own bench testing of livering significant results in the field. dosage was increased for a few days
Despite different operating condi- SUEZ’s proposed program alongside At the time of this article, the fouling to restore system performance and
tions, both systems ultimately ben- competitive programs to confirm that rate has been reduced by more than was then returned to target once the
efited from applying SUEZ’s novel the best program available in the in- 70% as compared to the untreated desalter performance was restored.
antifoulant program. dustry would be applied. baseline—or only a 2.4% loss in FIT
(FIG. 1)—while processing multiple Takeaway. In both cases, significant
Reduction in FIT (lower is better) 6
Reduction in FIT (lower is better) blends of crudes, including some tight improvements were made to the op-
10
8 oil. Since the rate of FIT drop of the erational performance and flexibility
4
6 70% treated condition is significantly im- through application and monitoring of
Percent

50%
Percent

4 reduction 2 reduction proved over the base case, the reduc- the SUEZ Thermoflo programs. Com-
2 tion in fuel gas required to maintain bined, the net profit improvement for
0 0
Untreated w/SUEZ Thermoflo Competitor treated w/SUEZ Thermoflo
furnace outlet target temperature is these systems is estimated at more than
also much lower. $1 MM/year in energy savings, after
FIG. 1. Case 1 Thermoflo results. FIG. 2. Case 2 Thermoflo results. offsetting the cost of the treatment
Case 2. Similarly, this crude unit pro- programs. Furthermore, no exchanger
cesses a variable crude slate and ex- cleanings have been needed, simplify-
periences significant fouling in the hot ing operations and eliminating clean-
preheat exchangers. In this system, ing costs. The fouling reduction will
exchanger cleaning was performed also enable the customer to maintain
every six months, and an existing its operational flexibility with reliabil-
competitive antifoulant treatment pro- ity, while minimizing cleanings and
gram was being injected to help reduce potential personnel exposure. •
Achieve Optimal
HYDROCARBON PROCESSING

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streams viable pathways to production of highly valuable propylene. •

8  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting
BE FLEXIBLE, INTEGRATED AND CONNECTED
Rethink your business model for profitable growth
New, integrated refining and petrochemical projects are targeting as high as 70
percent petrochemicals products. This is also achievable for existing refineries
through strategic, step-wise investments in new process technology with
advanced molecular management.
RESPOND TO MARKET CONDITIONS Honeywell UOP can help refiners develop an integration strategy that unlocks
additional value by utilizing the latest bottom-of-the-barrel technology,
As market conditions, regulations and technologies change, UOP continues to high-conversion hydrocracking and today’s energy-efficient aromatics complexes.
redefine the future of refining. We’re helping refiners like you achieve profitable growth Integrating these technologies enables traditional refiners to diversify into
by integrating refining and petrochemicals to meet changing market demands. petrochemicals and create their own Refinery of the Future.
Honeywell UOP develops unique and comprehensive configuration studies for refiners
Meet the future of refining head on
who want to diversify into petrochemicals and capture more value out of every barrel
of oil. With a step-wise investment approach beginning with conversion of the lowest New insights from cloud-based data analytics are already giving future-forward
value stream first, refiners can create real, bottom-line value. refiners a competitive edge. With our cloud-based Connected Plant services,
leading refiners are analyzing plant and process data against our proven UOP
A configuration study for a 500kBPD refinery with existing VGO Hydrocracking to models and achieving even higher asset utilization.
diesel and Delayed Coking unit demonstrated a potential pathway that would
allow a refiner to profitably maximize bottom-of-the-barrel conversion through
Uniflex™ MC Technology and integrate into petrochemicals with VGO and diesel
Hydrocracking to naphtha. (Figure 1) Figure 1: In a recent conversion study, Honeywell UOP outlined a step-wise,
comprehensive configuration for diversification into petrochemicals generating
You can read the conversion example in our downloadable whitepaper. an incremental IRR of up to 16%.

Uniflex™ MC VGO HC to Distillate HC Toluene


Unit Naphtha to Naphtha Methylation

Incremental Net Cash Margin, $/BBL Crude


125 30

120

Incremental Internal Rate of Return %


ADVANCES IN CRUDE 25
4
TO CHEMICALS 115
www.HoneywellUOP.com/whitepaper
THE REFINERY OF THE 110 3

Petrochemical Integration
20
FUTURE DELIVERS
OPPORTUNITIES THROUGH 105

Maximum
BOTTOM-OF-THE-BARREL 15
100
CONVERSION
2
95 10

90
1
5
Base
Case

85

80 0

OPPORTUNITY TO ADD UP TO $30/BBL

10  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting 117th Annual Meeting | American Fuel & Petrochemical Manufacturers © Honeywell UOP AllWednesday,
rights reserved
March 20, 2019  11
SESSIONS ROUNDUP Refining and shipping industries brace
THE TIME FOR DIGITALIZATION
OPPORTUNITIES IS NOW
What data do you acquire and where?
How do you connect the data points,
and who do you share it with?” Digital
implementation of a digital plant in an
existing asset structure.
“Leadership as a whole needs to be
to optimize aromatics yields. The so-
lution was to leverage the underlying
process model configuration and sim-
for new fuel regulations
ADRIENNE BLUME, Executive Editor, transformation is expanding in waves supportive [of implementing digital ulate “as-operating” conditions. Opti- MELISSA MANNING, IHS Markit
Hydrocarbon Processing across industries and value chains and technologies] and be willing to back the mum reaction conditions to maximize
A Tuesday morning panel discus- is a major focus for the process indus- projects that add value,” Schmalfeld aromatics yields were also identified. The refining and shipping indus- ers and shippers must comply with higher freight costs for most cargoes, er greater volumes of very low-sulfur
sion examined how to add value and try, explained Schmalfeld. said. “We’ll also need to see industry In another example, the H2S con- tries are ill-prepared for the massive these new environmental regulations including petrochemicals, electronics fuel oil (VLSFO) and find a market
efficiencies to operations through Value can be added in digitalization cross-collaboration to make it work.” straint in a unit overhead was limit- change in fuel regulation first an- by 2020, five years earlier than many and autos. Ultimately, those costs will for their less-valuable fuels.”
digitalization. Panelists included through several technologies and pro- Santollani discussed how digital ing throughput. The solution included nounced by the International Maritime anticipated. This sent tidal waves be passed to consumers. “The IMO is taking positive ac-
Mark Schmalfeld, Global Marketing grams, some of which are in the roll- technologies can help make a step leveraging constraint analysis through Organization (IMO) in 2008. The re- through industries that typically take “Shippers will face significant com- tion to address shipping pollution, but
Manager for BASF; Oscar Santollani, out phase and some in the pilot phase. change in operating profits. Digita- the underlying process model. Iden- sulting market impacts will be major, many years to adapt to such a signifi- pliance costs to either upgrade equip- the rapid pace of the implementation
Supply Chain Manager for KBC Ad- Predictive maintenance and augment- lization has several advantages for tification of operating and capital im- costly and far-reaching, says a new cant change that will require tens of ment or switch to more expensive, of this new regulation is making it
vanced Technologies; and Katherine ed reality are being rolled out at plants, businesses, including helping manage provements through a debottlenecking report from IHS Markit, “Navigating billions of dollars in investment. cleaner fuels,” said Spencer Welch, very challenging for the refining and
Jones, Product Line Manager for Hon- while process optimization, vertical day-to-day performance and reliabil- review led to a unit throughput increase choppy waters: Marine bunker fuel in The new report says that compli- Executive Director of oil, midstream shipping industries to respond,” said
eywell UOP. integration and digital plant technolo- ity, enabling rapid responses to mar- of 10% for four consecutive months. a low-sulfur, low-carbon world.” ance remains the greatest uncertainty and downstream for Europe, CIS and Sandeep Sayal, VP of downstream
gies are in the pilot phase. Process op- ket swings, enabling operation at true The impending regulation by the with the new regulation, concern re- Africa at IHS Markit, and Manager of research at IHS Markit. “The global
Digital technology rollout. Schmalfeld timization combines process knowl- optimum, squeezing the gap between API PROCESS SAFETY SITE IMO, which goes into effect January mains whether enough supplies of the study. “Refiners and fuel buyers scope, the significant uncertainty in
talked about big data as a major digi- edge with big data statistics, while potential and realized margins, creat- 1, 2020, aims to significantly reduce compliant fuels will be available in the will experience significant price im-
tal trend. “First you need to look at: digital plant transformation targets the ing more utility for the end customer,
ASSESSMENT PROGRAM the amount of sulfur in bunker fuels world’s many ports. The result will be pacts as they shift production to deliv-    See REGULATIONS, page 16
extending the problem-solving eco- ADRIENNE BLUME, Executive Editor, that are relied on for commercial ship-
sphere beyond the plant, and outma- Hydrocarbon Processing ping. Collectively, these ships burn 25
neuvering the competition. In a Tuesday morning breakout more than 3 MMbpd of residual fuel
IMO scenario range above base case
“We believe that digitalization is session, Andrew Broadbent of the oil, which has a sulfur content that IMO scenario range below base case
a journey, and there is a roadmap for American Petroleum Institute (API) exceeds levels found in automotive 20 Base case
that journey,” Santollani said. talked about the API’s process safety gasoline by more than 1,000 times.

Constant 2017, US$/bbl


site assessment program, which was Burning fuels with a higher sulfur 15
Optimizing asset utilization. Lastly, implemented in 2012, as well as pro- content leads to a greater level of toxic
Jones discussed how to increase asset moting a culture of process safety. air emissions, including sulfur oxides,
utilization with the use of the Industri- The keys to the safety program, which are considered a threat to the 10
al Internet of Things (IIoT). In a recent Broadbent explained, include the environment and human health. IHS
case example, a process reliability ad- expertise of safety assessors (more Markit expects most of the demand 5
visor was used for a CCR Platforming than 40 years of experience per as- for high-sulfur residual fuel oil will
unit. The customer wanted to improve sessor), protocol feedback (such as switch to demand for the new lower-
0
its aromatics yields by optimizing the interviews, lunchtime information sulfur fuel in 2020.
2010 2012 2016 2010 2018 2020 2022 2024 2019:Q2 2019:Q4 2020:Q2 2020:Q4 2021:Q2 2021:Q4
feed into the aromatics unit. Honey- exchanges, daily debriefs and closing
The panel for Tuesday morning’s “Adding value and efficiencies to operations through well UOP examined what operation in The cost of compliance. The IMO FIG. 1. The IMO 2020 low-sulfur bunker fuel requirement will likely drive significant margin increases for sophisticated refineries
digitalization” session. the process could be done differently    See SESSIONS, page 23 confirmed in 2016 that global refin- on the US Gulf Coast that have the flexibility to produce VLSFO compliant fuels. Source: IHS Markit.

Water Treatment
AN INVESTMENT IN VALUE DELIVERY
We have a proven history of working with refiners
to identify, deliver, and document process
improvements and cost avoidance, resulting in lower
total operating costs, improved profitability, higher
reliability, and maximum throughput.

Let us help you uncover additional ROI to maximize


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athlonsolutions.com

12  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting 117th Annual Meeting | American Fuel & Petrochemical Manufacturers Wednesday, March 20, 2019  13
Cybersecurity lessons from the What is Rate-Predictive Control (RPC)?
Columbia gas disaster ALLAN KERN, APC Performance LLC
Most people in the process control begins increasing the output at a pre- ultimately settles exactly on target, proach to setpoint with little or no
MILLE GANDELSMAN, Indegy sector accept that it is unlikely that the set rate (1%/sec, in this example). Dur- based on first-order process dynamics. overshoot or oscillation.
proportional-integral-derivative (PID) ing each controller execution, RPC RPC prediction time is a tuning pa- The pre-set move rate is selected
In September 2018, a series of natural gas ex- and distribution of petroleum are increasingly con- 3. Account compromise—Similar to algorithm will ever be replaced as the in- calculates the ongoing process vari- rameter that is set in a manner simi- based on experience and safe oper-
plosions in Andover and Lawrence, two Boston nected to the “outside world” via Industrial Internet the previous scenario, an employee dustry standard for single-loop control. able (PV) rate-of-change and predict- lar to PID integral time—i.e. usually ating practice. It can also be thought
suburbs, resulted in more than 70 fires, one fatal- of Things (IIoT) technology. unintentionally creates a security incident. However, a recent patented invention ed future value. As the the predicted equal to or somewhat longer than the of as a process speed limit. However,
ity, dozens of injuries, and destruction or damage While this digital transformation has yielded Typically, an outsider tricks an employee called Rate-Predictive Control (RPC) value reaches the setpoint, the moves actual 63% process time constant—
to more than 100 structures. In the aftermath, ap- many benefits and cost savings, these systems are through social engineering into divulging compels both academic and practical are tapered and halted, so that the PV to provide a smooth and reliable ap-    See RPC, page 16
proximately 9,000 customers were without power. more vulnerable to security threats than ever before. confidential information used to carry out interest from several standpoints:
On October 12, the New York Times reported that Attacks like Wannacry, VPNFilter, Blackenergy an attack. Social engineering techniques • RPC is a new and novel control 65
an upgrade in the system caused gauges that moni- and Industroyer are just a few of the recent mal- include phishing emails, a “call from IT” algorithm (not a variation of PID) SP change Moves halt when prediction equals setpoint
tored pressure levels to be taken offline, and that ware campaigns that have directly impacted critical requesting the user’s ID and password, etc. with several notable advantages
unchecked over-pressurization caused the blasts. infrastructure. The actors in these instances were and breakthroughs 60
Initially, numerous sources speculated that the rogue factions, including nation-states that hacked Protecting OT against the insider threat. Taking a cue • RPC is inherently adaptive to
incident was an act of terrorism. While this was not into industrial networks and caused havoc. from the lessons learned in the Massachusetts natu- changes in process gain, which
the case, it illustrates how we look at critical infra- While the over-pressurization of gas mains in ral gas incident, protecting refining, petrochemical is a landmark development given 55
structure security. As oil and gas industry profes- Massachusetts was due to human error rather than and distribution networks from insider and outsider industry’s long and difficult SP (or target)
sionals, we are now acutely aware that once-isolat- a nefarious external actor, the outcome was the threats involves several key best practices: history of loop tuning, auto PV (or ICV)
ed OT networks charged with the refining, mixing same. In fact, studies show that insider threats ac- • Perform a risk assessment (FIG. 1) to identify tuning, model maintenance, etc. 50
OP (or DCV)
Prediction vectors
count for more than half of all industrial cyberse- and address vulnerabilities, such as over- • RPC is particularly well-suited

Percent
curity incidents. privileged accounts, insiders with access as a model-less feedback
to resources that are not required by their multivariable control algorithm 45
Defining the insider. Three major types of insider jobs, orphaned accounts from terminated (XMC), something that remains
threats must be addressed in OT (and IT) environ- employees, contractors, etc. (otherwise) sorely lacking Taper band effects
ments: • Two primary vectors enable insider attacks: in industry. 40 SPEED
1. Malicious intent—This is typically a using the network and targeting devices LIMIT
Preset move rate (a.k.a. process speed limit)
disgruntled employee or insider who is
paid to exfiltrate information and/or cause
damage to the organization.
directly via serial ports. The latter occurs
when a user plugs a device into an industrial
controller to distribute malware, upload
How does RPC work? RPC is simpler
and more intuitive than PID. The key
to understanding RPC is to perceive its
35 25
2. Human error—As the most plausible new code, etc. Serial attacks can quickly simple mechanism and not necessarily
explanation of why the gas mains were propagate and evade network-based passive to plumb its math (although its math 30
FIG. 1. Performing a risk assessment to identify and over-pressurized, human error occurs when detection mechanisms. Monitoring both is much simpler than PID or model- -10 0 10 20
Seconds
30 40 50 60
address vulnerabilities is key to protecting refining, an employee unintentionally causes damage network activity and device integrity are based control).
petrochemical and distribution networks from insider and/or downtime by making incorrect FIG. 1 illustrates how RPC works. FIG. 1. Rate-Predictive Control (RPC) uses a pre-set move rate, and tapers the move based on the PV’s predicted
and outsider threats. changes to industrial processes/equipment.    See CYBERSECURITY, page 18 When the setpoint is increased, RPC (apparent or already manifest) value.

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14  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting 117th Annual Meeting | American Fuel & Petrochemical Manufacturers Wednesday, March 20, 2019  15
Growing earnings in times of change What’s hiding in your critical controls?
with Celestia hydrotreating catalyst SAM GALPIN, Bedrock Automation
According to a recent Scientific American ar- ing database. Each board has a unique serial num- system and automatically loaded directly into the
ticle, the US military estimates that up to 15% of ber. All boards are tested using custom test fixtures modules. Each module now has its full cryptograph-
KEITH WILSON, LOUIS BURNS, DEAN PARKER and PADMINI LINGARAJU, ExxonMobil; all spare and replacement parts for its weapons, and software. ic identity and cannot be cloned or counterfeited.
and RINUS CERFONTAIN, BOB LELIVELD and BARBARA SLETTENHAAR, Albemarle vehicles and other equipment are counterfeit, mak- Final assembly of modules is done at a secure The module next goes through a first heat soak test.
ing them vulnerable to dangerous malfunctions and facility. This is where each module is loaded with If all goes well, it is sealed into its tamper-resistant
Refiners face numerous internal and external average bed temperature (WABT) and allows malware. This is an example of the myriad ways real production software and its unique package of case and put through a final heat soak test.
challenges to maintain profitable operation. Key the unit to run to longer cycle length. that system components can be cyber-compro- cryptographic certificates and keys is bound to im- As you modernize your automation systems, be
Widen crude focus areas for refiners to remain competitive in- • Product quality improvement, assuming mised even before they are deployed. mutable features of its silicon. These key packages sure that secure component supply chain is on the
diet envelope clude reducing feed costs, maximizing high-value constant feed rate and quality, fixed Protecting the component supply chain against are generated by a special high-security computing list of must-have requirements. •
products, optimizing capacity and meeting more cycle length, but the refiner benefits from such infiltration requires authentication and trace-
Energy
Alignment of stringent regulations. Optimizing supply and opera- processing to an improved product quality. ability of every element of system hardware, and
turnaround tion around these key factors is critical to achiev- ExxonMobil and Albemarle launched the first software through assembly and test. Bedrock Auto-
efficiency schedules
ing maximum profitability. Catalyst technology im- commercial bulk metal catalyst in 2001. The com- mation took on this challenge and built a US-based
Value provements help refineries deal with the challenges. mercialization of Nebula® catalyst represented a cyber secure supply chain from the ground up, in
captured in If a typical activity improvement of 10% vs. a pre- whole new class of hydroprocessing catalysis in- parallel with the design of its Bedrock® Open Se-
the refinery
vious generation of catalyst from the same vendor novation, and one that reset industry expectations cure Automation platform (FIG. 1).
is considered, the value is limited to only one of the for activity advantage. For more than 15 years, the Intrinsic cybersecurity begins at the silicon level.
Improve Product following benefits: higher activity advantage has led to Nebula catalyst Secure computing requires a tamperproof startup
refinery blending
net utilization opportunities • Feed rate increase or upgrading challenging being a proven commercial success, adding value process. The first code the processor executes can-
feeds, assuming the refiner operates to a fixed across the refining industry. not be encrypted. Protecting this code with signa-
run length, and processes higher feed rate or tures or checksums does not help because if it can
Moving to ULSD
operation more difficult feed quality to produce constant Increased margin potential. ExxonMobil and Albe- be tampered with, the checks come too late. This
product quality. marle have partnered to develop and commercialize initial code must be built into the microprocessor
• Cycle length improvement, assuming the the Celestia™ catalyst, a second-generation bulk chip. Later phases can use code that is signed and
refiner operates fixed feed rate and quality, encrypted, but this again requires special silicon
FIG. 1. Value captured in the refinery. initiates the cycle with lower weighted    See CATALYST, page 22 features to protect the secret keys. Intrinsic security
rests on a foundation laid at the silicon level.
REGULATIONS, continued from page 13 At the silicon level, Bedrock has unique visibil-
ity and control over its silicon supply chain that
fuel-formulations and the volume of higher-sulfur fuels. However, un- will see fuel costs escalate signifi- for other growing diesel markets. As comes from designing and sourcing custom manu-
new lower-sulfur fuel demand are til those scrubbers can be installed cantly due to the higher-quality fuel a result, refiners will likely have to factured chips. Their circuit boards are made and
causing a scramble.” (which for numerous ships will not required and may face fuel compat- make significant operational changes assembled in the US, and all components are care-
The IMO has signaled that it plans happen before the IMO January 2020 ibility issues. Each refinery complex and ultimately invest billions to shift fully sourced. The origin and lot number of every
to enforce the new regulation seri- deadline), many ships will have to could produce different (but compli- their existing product slates, increas- part from microprocessors to resistors on every FIG. 1. Each module of this Bedrock Open Secure Automation system has its full cryptographic identity,
ously. Non-compliant vessels could burn the more-expensive, IMO-com- ant) regional formulations to meet the ing costs and distillate prices (relative circuit board is tracked in Bedrock’s manufactur- which prevents it from being cloned or counterfeited.
suffer loss of charter to sail, and ma- pliant VLSFO fuels. new fuel standard based on available to crude oil prices).
jor insurance companies have also in- “We estimate between 5,000 and crude oils, product slates, costs and “Highly complex refineries (FIG. 1)
dicated compliance assurance will be 10,000 ships will undergo scrubber supply chain logistics, presenting op- that have the flexibility to convert vari-
essential to vessel insurability. installation at a cost of $2 MM–$7 erational and continuity challenges ous grades of crude oil into a wide
MM each, plus increased operations for shippers. range of refined products to meet mar-
Options. Shippers have several op- costs,” said Krispen Atkinson, Senior Refiners will produce more distil- ket demand will benefit most from the
tions for compliance, including low- Consultant, IHS Markit maritime and lates (higher-value components de- IMO-specification change,” Welch
sulfur bunker fuels and liquefied natu- trade research. “To date, the industry rived from crude) as new demand said. “Highly complex refiners pro-
ral gas (LNG). However, IHS Markit has spent or committed more than arises, with about half of the new com- duce the least amount of residual fuel
researchers expect onboard ship $6.6 B to fit more than 2,000 ships pliant fuel coming from non-distillate oil and the highest amount of distillate
scrubbers, devices that clear harmful with scrubbers.” sources within the refinery, but the re- and gasoline compared to less complex
pollutants from exhaust gas, to be the Other ships will convert to com- maining 50% will need to be sourced refiners. Less integrated and less com-
primary compliance path for larger pliant fuels with sulfur levels below from refinery distillates. However, plex refiners will likely experience the
ships to continue to burn cheaper, 0.5%. However, those shipowners these same distillates are also needed greatest market risk,” Welch said. •
RPC, continued from page 15
RPC is not limited to a single speed. reasoning, RPC is inherently adaptive conventional PID controller might multivariable control), a large move
The move rate can be dynamically
adjusted to meet various control per-
to changes in the pre-set move rate, so
that it can be manually tuned at will or
see only a small incipient error, RPC
might see an effectively much larger
rate can be combined with a wide taper
band to provide a large response when Fuel, meet Fourte™.
formance criteria. For example, the dynamically adjusted to meet various error, and make a much larger move far from setpoint, tapering to a safe
move rate can be increased if con- high-performance criteria. sooner by taking the predicted value speed as the setpoint is approached. Meet our newest FCC catalyst, Fourte™, to increase
straint limits are exceeded. into account. For the same reason, RPC is “model-less,” which is an- butylene yields so you can smoothly transition to tighter
The rounding in the output trend Advantages. Within RPC’s humble RPC is more stable as the PV returns other way of saying it is inherently fuel octane standards in your unit to meet consumers’
as the prediction approaches setpoint mechanism are several notable process to setpoint, with little or no unwanted adaptive. It does not use a process fuel demand for high-performance engines. As the global
is a function of the RPC taper band, control advantages and breakthroughs. overshoot or oscillation. model (nor does it attempt to “roll its leader in catalysis, BASF offers innovative FCC and additive
products, technical services, and solutions to deliver
which serves to reduce the move rate RPC is inherently adaptive to RPC looks like an old friend (it has own” as with auto tuning or adaptive
improved performance to our refining customers worldwide.
as the predicted value approaches the changes in process gain. This is a PV, setpoint, output and mode), so it modeling). RPC relies on gain direc-
When catalyst innovations empower our customers’
setpoint, so that the move rate goes to landmark claim in an industry where can be adopted seamlessly in an opera- tion only, which is equivalent to PID
success, it’s because at BASF, we create chemistry.
zero as the error goes to zero. The taper the terms tuning, retuning and detun- tions and control system environment. control action (direct or reverse). Gain
band results in reliable control behav- ing have found roughly equal usage, To control engineers, RPC is easier direction is the most fundamental and
www.catalysts.basf.com/refining
ior in the face of real-life nonidealities, and where auto tuning has come up far and more intuitive to learn and tune. immutable apsect of any model.
such as variance in process response, short of industry’s hopes and expec- Despite its simplicity and trade- Gain direction and approximate
deadtime, inverse response, noise, etc. tations. These experiences stem from mark first-order performance, RPC speed of response are the minimum
It can be seen intuitively that RPC the same root cause: frequently and is versatile and can easily be tuned information necessary for effective
is inherently adaptive to changes in dynamically changing process gains. for other types of performance. Clas- control of any loop. More detailed
process gain. For example, if pro- An inherently adaptive method is what sic quarter-amplitude-damping can be model information can theoretically
cess gain becomes larger, the process these have been striving for all along. provided by a high move rate and short be put to further advantage, but can
response will be larger, the predic- RPC is more responsive to incipi- prediction time. RPC (like PID) works also introduce more cost, risk and
tion vectors will extend farther, and ent error and more stable as the PV “as is” for both integrating and non- maintenance. From this standpoint,
moves will be tapered and halted cor- returns to setpoint, because it utilizes integrating variables. For loops with RPC provides a prudent and robust
respondingly sooner, so that again the the predicted future value of the PV, a very high “speed limit” (not uncom- compromise between simplicity, per-
PV settles right on target. By the same not just the current value. Where a mon in single-loop control, but rare in formance and reliability. •
16  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting 117th Annual Meeting | American Fuel & Petrochemical Manufacturers Wednesday, March 20, 2019  17
Enabling edge-to-enterprise visualization SWAATS: Unloading the SRU, reducing
using hybrid cloud operating costs, avoiding plugging issues
RASHESH MODY, AVEVA MICHAEL F. RAY, ThioSolv LLC; and RAHUL KHANDELWAL, GTC Technology
Amid continuous market change, requirements can be quickly bridged. This new OMI-based visualization includes oil and gas development and Refineries are increasingly requir-
refining companies are looking for Customers can create reusable indus- enables proactive, integrated opera- production, through to processing, ing additional sulfur capacity. This Blower Boiler
ways to drive performance and re- trial applications with rapid time-to- tions in real-time through richer ap- petroleum and chemical products to trend is primarily driven by:
Burner Vent to atmosphere
main competitive. That means achiev- value and drive operational efficiency plication integration across IT and OT transportation and distribution. • Increased use of higher sulfur SO2 < 50 ppmv
ing superior performance by driv- with increased visibility across mul- domains, enabling companies to real- H.E. Dr Sultan Al Jaber, ADNOC and lower-priced crudes
ing value, agility and sustainability tiple levels of an organization, in the ize increased productivity and opera- Group CEO, said, “The Panorama • Hydrotreating of heavier and
throughout the asset lifecycle. Digital discrete, process, hybrid and infra- tional agility while reducing engineer- Digital Command Centre demon- more refractory streams
transformation is at the heart of many structure industries. ing effort and time. strates how ADNOC is utilizing • Increasing hydrotreating
H2S
of these efforts. Leveraging advanced This enhanced cloud offering pro- “AVEVA is committed to partner- cutting-edge technology to find new severity to meet tighter sulfur
technologies, operators can extract vides a seamless, integrated experi- ing with our customers to achieve ways to optimize our assets, unlock specifications for some products. H2O
valuable insights from the data cre- ence that enables customers to ac- maximum value from industrial digi- value and drive efficiencies across The increased hydrotreating sever-
ated across asset and operations value cess information and functionality tal transformation. We enable smarter the company. It provides a single ac- ity has resulted in greater production
chains. This data can translate into in- from across AVEVA’s broad range of decisions by creating innovative tech- cess point to critical operational and of sour water stripper gas (SWSG) as NH2/N2S absorber SO2 absorber
creased business agility and reliabili- proven value chain applications: from nology,” said AVEVA CEO, Craig performance information, facilitating compared to amine acid gas (AAG),
ty, or enhanced enterprise intelligence engineering design data, to manu- Hayman. “The latest enhancements in smarter and faster decision-making due to the ratio of hydrodenitrogena-
that can drive business decisions. facturing execution management, to our Monitoring, Control and Informa- and better enabling us to uncover new tion (HDN) to hydrodesulfurization
To help its refining customers ac- predictive maintenance, and much tion Management portfolio, exempli- solutions.” (HDS) increasing as hydrotreating se- NH2
celerate their digital transformation more. Companies can benefit from fied by the benefits delivered through verity is increased.
journeys, AVEVA recently announced the insights and work process digi- the ADNOC Panorama initiative, per- Subscription to digital transformation The sulfur recovery unit (SRU)
several updates to its Monitoring, talization, e.g., using real-time and fectly illustrate how we are empower- success. Greater flexibility in licens- plant load from 1 t (ton) of hydro- SWSG
Control and Information Management historical data with machine-learning ing our customers with edge-to-enter- ing, configuration and deployment gen sulfide (H2S) in SWSG is much
portfolio, delivering edge-to-cloud in- capabilities to predict possible faults prise visibility.” models through AVEVA’s new sub- greater than 1 t of H2S in AAG. On a
tegration and advanced visualization or failures and take pre-emptive ac- scription offer significantly reduces molar H2S equivalent basis, 1 mole of
tools, along with seamless access to tion through automated workflows Enterprise visualization in hydrocar- total cost of ownership and minimizes ammonia (NH3 ) has an H2S equiva- ATS
advanced applications and powerful supported by augmented reality tools. bon industries. A leading example of complexity for AVEVA’s customers. lent factor of 1.7 when compared with
analytics. These advanced capabilities where AVEVA’s enterprise visualiza- From the initial release of individual H2S. In an SRU, only the sulfur pumps Pump Pump
are delivered in AVEVA’s portfolio in- OMI visualization improves operations. tion and integration solutions have subscription offers in our Monitoring, and piping are sized for the sulfur
cluding InTouch HMI, InTouch Edge This latest release offers efficiencies been deployed—and are a key enabler Control and Information Management rate; the rest of the equipment (heat FIG. 1. Flow diagram of the SWAATS process, which converts NH3 and H2S from sour water to ammonium thiosulfate.
HMI, System Platform, Historian and and flexibility from edge-to-enterprise to wholescale digital transformation— portfolio in 2018, AVEVA has seen a exchangers, reactors, etc.) and piping
AVEVA Insight products, which pro- through a powerful data-driven op- is the diverse and complex operations doubling of subscription volume across are all sized for gas traveling through (as well as any contained uid rates in the various contactors re- bypassed to downstream of the
vide enterprise-wide visualization erations management interface (OMI) of the Abu Dhabi National Oil Com- this portfolio. The current release rep- the unit. The increased SWSG traffic hydrocarbons in the feed gas) main constant, regardless of feed rate. partition section face a reducing
and insight into operations and a high visualization engine, native cloud in- pany (ADNOC). The Panorama Digi- resents the next step in making a wider results in additional load on the SRU is burned in a conventional The ATS product is a benign material environment, inviting incomplete
degree of commercial flexibility with tegration for analytics and insights, tal Command Centre (FIG. 1) enables portfolio bundle available through sub- and new/revamped tail gas treat- acid gas burner with excess air. used in fertilizer blends, safe for ship- oxidation, particularly of the
subscription, a foundational element while extending customer value with ADNOC to monitor and optimize the scription and is in support of AVEVA’s ing unit (TGTU) capacity, which are Heat removal is controlled to ping, usually as a 60% aqueous solu- aromatics. Since SWSG is
of digital transformation. new subscription add-on capabilities performance of its assets and opera- move to subscription- and cloud-based quite expensive, and even up to 85% maintain the gas temperature tion. It is nearly odorless, with low routed to the SWAATS unit
With these capabilities available across engineering, operations and as- tions across 16 operating companies capabilities across its portfolio to de- of the cost of the upstream Claus unit. above 550°F (288°C) to avoid toxicity and no H2S emissions. and only AAG enters the
in a hybrid cloud model, OT and IT set performance lifecycles. from its Abu Dhabi headquarters. This liver greater customer value. • SWAATS technology (FIG. 1) condensing ammonium salts. Presently, two commercial Claus section, these potential
offloads the SRU, but is also a much The combustion gas then enters SWAATS units are in operation. All problems pertaining to catalyst
cheaper alternative as compared to a the SO2 absorber. equipment employed in the SWAATS deactivation are avoided.
TGTU. Further, it converts the sulfur 3. The third section is the SO2 process are found in typical refinery • Energy consumption reduction:
and nitrogen molecules into a higher absorber, where SO2 made from service. Aside from freeing up capacity The energy required to reheat
priced benign fertilizer (ATS), which the combustion step is absorbed in the SRU by directing the SWSG en- the process gas to the SRU
can be readily utilized by the fertil- in a multiple-stage contact with tirely to the SWAATS unit, SWAATS and tail gas treater reactors,
izer market. the NH3 -rich solution from the also benefits the SRU operation with: regenerate the amine in the
The process consists of three sec- NH3 /H2S absorber, followed by • Improved sulfur recovery: TGTU, and incinerate the treated
tions: multiple countercurrent stages Removing the SWSG from the gas to vent is proportional to
1. The first section is the NH3 / washing with water (introduced feed to the Claus unit results in the gas flowrate. Since SWSG
H2S absorber/reactor, which as make-up water) to the better control of the H2S/SO2 contributes significantly to the
essentially absorbs all the NH3 top of the vent gas scrubber. ratio. It also eliminates much SRU load, diverting the SWSG
from the feed gas (typically The make-up water rate is inert diluent gas and H2O vapor to the SWAATS unit reduces
SWSG) and converts part of modulated to control the density that opposes the Claus reaction. the energy demand of the
the feed H2S to ATS by reaction of the product. The vent gas • Improved catalyst life: Despite SRU remarkably.
with sulfite in the solution contains <50 ppmv SO2 and the operational provisions • The process recovers waste NH3
circulated from the sulfur no reduced sulfur or carbon in the thermal Claus reactor, and turns it into an advantaged
dioxide (SO2 ) absorber. The monoxide (CO), so there is no some NH3 still remains in the fertilizer, which is a premium
ATS product is also drawn off need for additional incineration. Claus furnace outlet gas. This product in the fertilizer market.
from this section. NH3 -rich The conversion process can be op- NH3 condenses as ammonium This results in value upgrading
salt solution is circulated to erated under control and with emis- sulfate over the Claus catalysts of the N and S molecules
the SO2 absorber. sions-meeting design limits, even leading to deactivation. contained in SWSG, which
2. In the second section, H2S not while the feed rates to the conversion Additionally, hydrocarbons are a nuisance when processed
absorbed in the first section process are lowered to zero. The liq- present in the AAG split that is through an SRU. •
US EXPECTED TO LEAD GLOBAL OIL SUPPLY GROWTH TO 2024 restrain supplies. The so-called OPEC+ group began a new round of oil sup-
FIG. 1. The ADNOC Panorama Digital Command Centre. The US is expected to drive global oil supply growth over the next five ply cuts in 2019 to support prices.
years, adding another 4 MMbpd to the country’s already booming output, ac- By the end of the forecast (2024), oil exports from the US will overtake Rus-
CYBERSECURITY, continued from page 14 cording to the International Energy Agency (IEA). sia and close in on Saudi Arabia, bringing greater diversity of supply, the IEA
US oil output will climb to 19.6 MMbpd by 2024 from 15.5 MMbpd last said. Global oil demand growth is set to ease as China slows but will still rise
required to detect these threats. the data they generate can help detect lateral MILLE GANDELSMAN is the Chief Technology Officer of year. Gross crude exports will double, leading to greater competition, espe- by an annual average of 1.2 MMbpd to 2024, when it will reach 106.4 MMbpd.
• Unify IT and OT security. Since both attack activity. Indegy, where he leads the company’s technology research cially in the Asian market. Even so, the IEA does not expect moves such as greater adoption of electric
environments are often interconnected, Implementing security best practices in OT en- and product development. Prior to Indegy, he led engineering The outlook points to pressure on demand for crude from OPEC as the US cars to put a cap on demand growth yet. The IEA continues to see no peak in
an attack that originates on the IT network vironments, and unifying controls and visibility efforts for Stratoscale and spent several years managing and other rivals expand supplies. However, in a boost for the producers, the oil demand, as petrochemicals and jet fuel remain the key drivers of growth,
can move laterally to the OT environment. across both OT and IT infrastructures, represents cybersecurity research for the elite 8200 intelligence unit of IEA does not see a peak in global demand yet. A boom in US oil supply due particularly in the US and Asia, more than offsetting a slowdown in gasoline
Establishing visibility across IT and OT the best recipe for defense against insider and out- the Israel Defense Forces. Mr. Gandelsman has more than to shale oil has countered efforts by OPEC and its partners led by Russia to due to efficiency gains and electric cars. •
networks by integrating security tools and sider threats. • 15 years of experience in ICS and cybersecurity.

18  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting 117th Annual Meeting | American Fuel & Petrochemical Manufacturers Wednesday, March 20, 2019  19
Solve refining, petrochemical industry Is fixed-bed hydrotreating a viable
challenges using multidisciplinary simulation IMO compliance solution?
RAVINDRA AGLAVE, Siemens PLM Software; AMY KNUTSON, Mentor Graphics, a Siemens business; ED PALMER, Wood Group
and MATT STRAW, Norton Straw Consultants The 2020 implementation date for
the impending IMO ships bunker fuel
3D simulation for engineering is the engineering design and lifecycle tion and design space exploration. De- Time, costs savings for crude heating regulations is coming soon and, un-
the mathematical, physics-based or management workflow of equip- signs can be explored virtually with a and naphtha cracking. Efficient trans- like previous fuel regulations (e.g.,
other logical representation of a sys- ment, system or process, from ini- high degree of fidelity, improving con- port and processing of natural resourc- US gasoline and diesel fuel sulfur), no
tem, component or process that re- tial concept through detailed design fidence and performance while reduc- es is critical to a viable midstream or consensus exists for the best techno-
produces real-world behavior. This to operation and maintenance. This ing uncertainty, risk, cost and time. downstream business. Effective burner logical/logistical solution to produce
includes phenomenon such as fluid begins with the overall technology STAR-CCM+ has the capability design in a fired heater requires effi- compliant fuel (FIG. 1). Approaches
flow, structural analysis, heat transfer strategy for any company designing, of simulating all complex processes cient combustion and thermal manage- being considered include:
and chemical reactions all the way constructing or operating process fa- from flow distribution and mixing to ment, while emissions must be mini- • Blending a variety of existing,
from electrical signals to hydraulic cilities and equipment. combustion and scrubbing of exhaust mized to reduce environmental impact. low-sulfur refinery products
controls. Different physical length Early simulation is just as impor- gases and waste products. The explo- Empirical calculations cannot repro- to make compliant fuel
scales, or resolutions—whether sys- tant in initial designs as when con- ration and optimization capability of duce the complexities of such systems • Incremental coking capacity
tem-wide (usually at lower resolution sidering and planning equipment Siemens HEEDS design-management and testing can be time-consuming and for processing high-sulfur
or detail) or at the detailed equipment and system upgrades and revamps. software further enables engineers to expensive, and limit innovation. feedstocks with subsequent
level—can be done with 3D simula- The insight gained from simulations increase their understanding and im- hydrotreating of the coker
tion. By combining multiple physics can make a major difference in the prove their system performance in Reducing structural risk in multiphase gasoils to produce bunker fuel
and multiple scales, simulation al- time, cost and success of any system less time at lower cost. pipe flows. Making changes to support • Installing scrubbers on ships
lows engineers to look holistically at changes; problems and solutions can STAR-CCM+ offers a wide range equipment or control vibration is often for sulfur oxide (SOx ) removal
multidisciplinary challenges. be analyzed in the virtual world be- of models to simulate reaction and unviable for existing operations infra- • Slurry bed hydrotreating
Engineers can investigate many fore physical changes are made. combustion processes and enables structure both economically and from • Fixed-bed hydrotreating of
different design options and oper- Siemens Simcenter STAR-CCM+ technology and equipment develop- a design aspect. Whether the identi- high-sulfur bunker fuel
ating conditions to enable better computational fluid dynamics (CFD) ers to accurately simulate the full fied vibration risk really exists can be • Residua from light (shale)
decision-making. This leads to op- software enables engineers to explore range of multiphase flows to identify assessed by simulating the required crude.
timized efficiency and reduced risk. their designs for processing plants, optimum designs and demonstrate operating conditions and the system Fixed-bed hydrotreating technol-
The most value from simulation can systems and machinery digitally full-scale performance at real operat- response to changes. By combining ogy was commercialized more than 40
be realized when it is a core part of through detailed, accurate 3D simula- ing conditions. structural simulations with fluid dy- years ago with the primary objective of
namics analysis, the fluctuating pres- producing low-sulfur fuels for power
Selecting best-fit material for con- sure field induced by the flow can be plants. Many units were built in Japan
struction. In a recent revamp proj- predicted and the system’s dynamic and other countries in Asia using tech- FIG. 1. No consensus exists for the best technological/logistical solution to produce compliant fuel for the impending IMO ships
ect, process flowrates were to be response assessed before making any nology supplied by several licensors. bunker fuel regulations.
increased, leading to extreme low changes in the physical world. This approach however is very capi-
temperatures in piping downstream FIG. 1 shows the multiphase flow tal intensive. Further, due to the low TABLE 1. Estimate of the gross margins needed based on 15% IRR and 20% IRR
of a new valve during the process re- through a process system where sim- space velocity, short cycle lengths and The expectation is,
pressurization. Using simulation ear- ulation was used to demonstrate that high hydrogen (H2 ) consumption, op- US$/bbl of feed
ly, it was demonstrated what material process fluids passing dead-legs and erating costs are also relatively high. at least initially, that
15% IRR 20% IRR
would be suitable in different areas intrusive elements, such as thermow- the gross margin for
of the pipework downstream of the ells, would not generate vibrations Fixed-bed hydrotreating. The reac- Net earnings1 7.73 11.73
valve. Not only did this simple simu- (from either slugging flows or general tor concept is one of the main design compliant IMO bunker
Fixed operating costs2 3 3
lation inform the engineering team turbulence and pulsation) that were considerations for a fixed-bed hy- fuel starting in 2020
of the extents of low temperatures, identified as a risk using an initial drotreater designed to produce com- Variable operating costs3 2.95 2.95
but also enabled them to save costs screening method. In this case, simula- pliant bunker fuel. will significantly exceed
Wild distillate yield credit4 –1.35 –1.35
by avoiding the replacement of stain- tion enabled a successful upgrade and • Reactor space velocities are
the estimated values.
less pipes with higher-cost materials replacement of a larger control valve approximately 0.25, so multiple Required bunker fuel margin 12.33 16.33
FIG. 1. The multiphase flow through a process system where simulation was used that would have been required if con- to be installed to facilitate increased reactors in series are required. 1
  20-year project life, straight line depreciation, 330 d/yr onstream
to demonstrate that process fluids passing dead-legs and intrusive elements would servative estimates were used rather process flow without an increase in the • A guard reactor is employed by a higher-activity treating 2
  Maintenance, insurance, and operating labor and supervision
not generate vibrations. than using a simulation approach. risk of pipe vibration.• to remove foulants/scale catalyst to ensure meeting the 3
  Utilities, catalyst and chemicals
and metals, such as nickel, ultimate HDS objective. 4
  2 vol% yield on feed; $50/bbl fuel gas credit included in variable operating costs
vanadium, silica, iron and • For shop fabricated reactors
EIA: USGC REFINERY DEMAND FOR HYDROGEN HAZARDOUS INDUSTRY LEADERS BELIEVE DIGITAL arsenic. Other contaminants [14 ft–16 ft-internal diameter
INCREASINGLY MET BY MERCHANT SUPPLIERS TRANSFORMATION IS KEY TO OE in the feed, such as diolefins, (ID)], the maximum single • 50-MMft3d hydrogen supply via at least initially the gross margin for
US Gulf Coast (USGC) petroleum refiners increasingly rely on merchant Sphera has released the annual Operational Excellence Index (OEI) sur- are also removed from the train throughput is 30,000 bpd– steam methane reforming compliant IMO bunker fuel starting
suppliers, rather than their own production, to provide the hydrogen (H2 ) vey report, which highlights trends in digital transformation and OE strate- feed prior to processing in the 40,000 bpd. • 300-gal/min sour water stripper in 2020 will significantly exceed the
used to reduce the sulfur content of fuel. gies across the hazardous industries. desulfurization reactors. The • 1,000-gal/min amine values estimated in this analysis. •
Between 2012 and 2017, consumption of H2 sourced from merchant Previously conducted by Petrotechnics, now a Sphera company, the index guard bed catalyst has moderate Effective feed filtration is another regeneration unit
suppliers increased from approximately 1,750 MMft3d to 2,200 MMft3d, a surveys oil and gas, chemical, energy and industry manufacturing profession- desulfurization (HDS)/ key design consideration. A financial • 175-tpd Claus SRU with tail gas
ED PALMER is Manager of downstream
25% increase. Over the same period, onsite production of H2 from natural als to gauge attitudes around OE and the measures taken towards its adoption. denitrogenation (HDN) activity. analysis for a fixed-bed hydrotreater treating
process engineering, downstream and
gas fell from 475 MMft3d to 415 MMft3d, a 13% decrease. Merchant sup- Respondents (90%) agree that digital transformation will accelerate their The cycle length is typically set complex designed to process 40,000 • Allowance for incremental
pliers accounted for more than 85% of H2 consumed by refineries in 2017. ability to achieve OE, not just as a one-off target but as an ongoing business at 6 months–12 months. Due to bpd of high-sulfur bunker fuel and utilities, feed/products storage/ chemicals for Wood. He has been with
Limitations exist on the amount of H2 that can be produced onsite com- objective. This is a significant increase from last year’s report, where 73% the potential difference in the yield compliant IMO 2020 product waste treatment, fire water, flare, Mustang for 23 years and has more
pared with that provided by merchant suppliers. A large share of H2 used by of leaders agreed that going digital was key to achieving OE. Implementing reactor cycle lengths, the guard is summarized below. The design uti- offsite piping. than 40 years of industry experience.
USGC refineries is supplied by a 600-mi, 1-Bft3d network of H2 pipelines digital technologies is now aligned with overall business goals, with 55% reactor system can be designed lizes hot/cold high-pressure and low- TABLE 1 shows an estimate of the He is responsible for directing all
stretching from Lake Charles, Louisiana to Houston, Texas. leveraging technology to reduce operational risk and 55% to improve asset for isolation and catalyst pressure separators to optimize heat gross margins needed based on 15% process design activities for downstream
Between 2012 and 2017, USGC petroleum refineries (PADD 3) in- availability and uptime. replacement independent of the recovery. A simple stripper is pro- internal rate of return (IRR) and 20% and chemicals projects and studies.
creased hydrocracking capacity by 50%, with a similar increase in dis- While industry leaders agree digital is essential to OE, more than half are desulfurization reactors. Key vided for product fractionation. The IRR for the project. Mr. Palmer was previously employed
tillate production. Over the same time, steam methane reforming (SMR) still trying to figure out what “digital transformation” means for them, and considerations are appropriate total installed cost for this facility is The estimated breakeven gross at Conoco and Litwin Engineers and
capacity decreased by 19%, leading refiners to purchase more H2 from 69% are just beginning their digital journey. The approach to digital mat- valving, reasonably rapid estimated to be $845 MM, based on margins indicate that an investment Constructors. He is a Registered
merchant suppliers. ters, according to 83% of survey respondents, who admit they have relied cool down time to allow a US Gulf Coast location at an ex- for a grassroots bunker fuel hy-
Professional Engineer in Texas and
Unlike USGC refiners, Midwest refiners historically have not been as on legacy systems to improve their business agility but had not embedded catalyst replacement, and isting refinery and mid-2022 startup. drotreating complex will likely have
Louisiana and a member of American
reliant on merchant suppliers due to a lack of dedicated H2 pipelines. Some operational best practices cross-functionally. startup/catalyst conditioning The following facilities are included attractive economics. Obviously,
Midwestern refiners use more Canadian sour crude oil, which requires The good news is the industry is on the brink of a major step forward considerations following in the hydrotreating complex: other issues must be addressed, in- Institute of Chemical Engineers.
more H2 to process. Overall, the utilization of USGC refinery SMR units when it comes to achieving OE through digitalization. Leaders (75%) rec- catalyst replacement. • 40,000-bpd fixed-bed cluding environmental permitting, fi- Mr. Palmer has authored/co-authored
has been between 41% and 48%, while in the Midwest it has risen from ognize the need to create new, insight-driven business processes across en- • The desulfurization reactors hydrotreater with 2,000 psig nancing for private developers, feed/ numerous technical articles and
60% in 2012 to 66% in 2017. terprise functions.• have a transition catalyst with reactor pressure and product contracts, project warrantees, presentations for industry publications
balanced activity followed 0.25 space velocity etc. However, the expectation is that and meetings.

20  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting 117th Annual Meeting | American Fuel & Petrochemical Manufacturers Wednesday, March 20, 2019  21
Silo busting with the digital twin Digital transformation through seven
Information silos within oil and
gas companies harbor significant in-
efficiencies and hinder the achieve-
performance and an accurate under-
standing of its future potential.
Is a process simulator the same as
right areas, if at all. Often, operators
lack confidence in the results of the
ad-hoc model, so unit engineers want
acterization of feeds and products,
catalyst activity and run length pro-
jections, catalyst circulation rates and
integrated power and process strategies
ment of operational excellence. The a digital twin (FIG. 1)? Not really. A to review the model again when mak- heat exchanger/fired heater fouling. In CONSTANTINE LAU, Schneider Electric
desire for a single source of truth for process simulator should be able to ing changes or an unexpected out- turn, a higher fidelity record of opera-
all data types that can be consumed transition from a rigorous design tool come occurs. The rate of change slows tions in the PI system will help drive Digital transformation should be ensuring that the power system CAPEX OPEX
in decision-making and execution into a digital twin driving operations, or results in no improvement, and unit smarter decisions across the enterprise an enabler to achieve business ob- is not overdesigned. This can FEED Detailed design Engineering Training Operate
has been driving the pursuit of IT/ including production management engineers often stop using the model by bringing Petro-SIM insights to PI jectives. While industrial companies be accomplished through Procurement Construction Commiss-S/U
OT convergence, which has largely and supply chain optimization. or build and test the model excessive- Vision dashboards and other systems are embracing digital transformation, early engagement with energy
remained elusive. The key to change Most well-run plants will have a ly, thereby losing focus on other more integrated with the PI system. This many lack roadmaps for how to pro- management experts and 1 Integrated asset 4 Single project execution 6 Integrated asset
Data intelligence/ One commercial approach management
is a digital twin that works. process simulation model of the plant, valuable improvements. This leads to also enables drill-down into Petro- ceed. For oil and gas and petrochemi- through the aid of process digital twin One project management
7 Process energy
possibly created during plant design increased time and cost, delayed op- SIM models from PI Vision (FIG. 2). cal enterprises, this should extend and electrical simulation optimization
The ideal. The digital twin should be or since that stage. The use of pro- timizations, missed improvements for The necessary first step is provided throughout the lifecycle of the plant modeling tools. 2 Power system
optimization 5 Power and process system integration
an accurate virtual representation of cess simulators for operations support the business and lost profits. toward making Petro-SIM not just a by integrating power and process 3. Unified simulation of the
an asset’s full lifecycle and range of is, however, limited to ad-hoc use by For more than a decade, Petro-SIM rigorous design tool, but also the as- management systems to derive real plant is used for engineering
operation. It is ideally created during unit engineers for troubleshooting and has been a rigorous design tool that set’s digital twin that can perform value for the business. Enabled by the and commissioning, operator 3 Unified simulation through the asset lifecycle
the initial study to evaluate asset fea- investigating improvements. Process applies in-depth physics and chem- monitoring, surveillance, supply chain Industrial Internet of Things (IIoT) training and real-time
sibility and is used and further devel- simulation requires the engineer to istry to real-time production data to optimization and other advanced ap- and big data, oil and gas enterprises optimization. The model FIG. 1. Digital transformation across the lifecycle through integrated power and
oped during asset design, construction determine what is likely to happen drive business decisions for produc- plications and services. can reap rewards in seven key areas becomes a vital digital asset. process strategies.
and commissioning. It facilitates the and then configure and use it for what- tion management and supply chain The significant value offered by Pet- to provide value across the enterprise, The “living” digital twin
optimum design of the asset and the if scenarios to attempt a calculation of optimization activities. ro-SIM-based digital twin addresses: from front-end engineering design possesses reliable predictive management collects data One of the strategies with the high-
training of asset operators. It works where the best value lies. • Making the right decisions (FEED) to operations and into the capabilities over a wide about how equipment is est priority for digital transformation
in the present, mirroring the actual This approach presents challeng- Collaboration. In February 2019, KBC on bad data supply chain. range of design and operating performing and provides the is prescriptive analytics for asset man-
plant in simulated mode, but with full es: improvements are only identified announced a collaboration with OSI- • False positives arising out of The confluence of digital transfor- parameters. Once developed, tools and applications that agement, which is model-based and of-
knowledge of the plant’s historical when engineers are focused on the soft to accelerate digitalization across analytics initiatives mation and the constant pressure to unified simulation is applied and predict the best use of assets ten uses machine-learning algorithms
the energy and chemical industries • Needing measurement in parts reduce CAPEX and OPEX are driv- upgraded as necessary, without to achieve operational goals that recognize patterns and can enable
Traditional simulator VS. Digital twin and eliminate the disappointment of of the system where it is risky ing the industry to rethink the separa- having to recreate the models. at minimum cost. detection of anomalous conditions in
big data analytics. and difficult tion between process automation and 4. Single project execution 7. Process energy optimization equipment or processes and recom-
An accurate representation An accurate representation of the asset Through this collaboration, Petro- • Decision-making on a plant-wide power management. The integration enables the power system and is about managing the tradeoffs mend next steps. Machine-learning or
of a particular operating case over its full range of operation, all the time SIM has been configured to enable and individual unit level between of power management and process au- automation supplier to work between energy types— the artificial intelligence monitors plant
everyone to see inside and perceive siloed groups tomation commences in plant design, closely with the engineering, fundamental physics and behavior from both the process and
Static provision of a snapshot in time Captures the full history and future of the asset things that are not being directly mea- • Reliability and maintenance extends through engineering and com- procurement and construction chemistry of the process mean electrical systems, supporting continu-
Automated, regular model runs; sured. High-quality and accurate pre- being optimized in isolation missioning, and is applied throughout (EPC) firm during the design that relationships exist between ous operation, locally and remotely.
Built on an ad-hoc basis to answer a question built-in to business work flows dictions are instantly available and run of process/yield/energy the operating life of an asset. phase around a broader scope electrical, gas, steam and The value of integration is not lim-
Centralized single version of the truth, in a consistent way that can be under- considerations The seven integrated power and for a project. This new role chilled water—throughout the ited to commissioning or plant opera-
Owned and used by isolated groups used by everyone; outputs delivered directly to stood and agreed on. It enables auto- • Planning errors or inaccuracies process strategies are depicted in consolidates scope under processes to minimize cost and tions. Value is generated in the initial
on an ad-hoc basis the business; strong governance systems mated creation of PI Asset Framework having to be “mopped up” FIG. 1. a single power system and the plant’s carbon footprint. FEED studies, where an integrated
(PI AF) templates from Petro-SIM by storage/system flexibility, 1. Integrated asset data automation supplier, enabling A value-focused digital transfor- approach can have its most profound,
FIG. 1. Comparison of process simulator and digital twin, which is always aligned with and automated updating of PI AF tem- and proliferating errors from intelligence is a single data better coordination and mation, which leverages connected long-term financial effect on the asset.
and drives business data model. plates if the Petro-SIM model chang- one plan to the next intelligence infrastructure for integration of systems and devices and IIoT, can bring all seven Value is therefore realized through-
es. It enables automated population of • Operator training on actual both manufacturing processes reducing project risk, especially strategies together to extend the life of out the lifecycle of the asset when all
Supply chain the Petro-SIM model with current PI situations experienced in the plant and electrical distribution and during plant commissioning. the operation and reduce both CAPEX seven strategies are applied and used
planning Backcasting data and automated population of the • Distrust of and lack of equipment. This value driver 5. Power and process systems and OPEX significantly. A single view together, increasing savings in both
PI database with Petro-SIM outputs. understanding of plant-wide provides customizable, multi- integration of process control of asset management, energy manage- CAPEX and OPEX throughout the
Production
planning Production Any PI tag changes trigger automatic and individual unit operations/ discipline 3D design tools to aid systems and electrical power ment, automation (both power and pro- plant lifecycle.
accounting notification to Petro-SIM. economics in real-time in the construction of process management systems includes cess) and safety monitoring systems All seven strategies are achieved
Production Automated calculation of unit per- • Sub-optimal decisions made plants, creating a digital twin a unification and rationalization is enabled through IIoT. Knowledge through a combination of different tech-
scheduling Yield and energy
formance analytics allow “What if?” because of non-utilization of the plant: a 3D model of the of distributed control systems from various plant teams is no longer nologies and engineering disciplines.
Supply chain optimization

improvement
Production management

Simulator
and “What’s best?” scenarios to be run of available non-measured/ physical plant equipment and (DCS), energy management siloed or inaccessible, and the moni- The technologies comprising
Plant-wide
optimization Unit automatically to determine available inferred indicators associated process that can be control system (EMCS), toring and analysis of process informa- the seven strategies are expected to
monitoring strategies that maximize profitability. • Engineering time wasted by utilized throughout the business networks, controllers, alarms, tion can be done remotely or through a catalyze organizational and process
Real-time All Petro-SIM model outputs are doing repetitive tasks lifecycle of a plant asset for historians and intelligent centralized process, enhancing insights changes that bring together histori-
Equipment automatically written back into the • Non-compliances with corporate design, training, maintenance, electronic devices (IEDs).
optimization
PI monitoring and the decision-making process. cally separate disciplines of process
and APC
PI system, in real-time, significantly engineering/design standards expansion, etc. The digital 6. Integrated asset management Digital transformation links con- automation, power management and
Operator decision Asset performance enhancing the quality and richness of • Inability to “plug in” proprietary twin matures through stages of is about diagnostic monitoring nected products, such as field devices, others in ways that will realize this
support Petro-SIM 7 management, APM data in the PI system. This includes IP, knowledge and know-how FEED studies, detailed design, and maintenance of plant and edge control systems to apps and vision. Business leadership will di-
comparison of measured vs. simula- into routine activities. construction and optimization. assets, including electrical analytics, which must be robust and rect the journey toward digital trans-
Strategic capital Operator
project master training tion model vs. LP model outputs to Used in these ways, Petro-SIM 2. Power system optimization supply/distribution, process secure. Interoperability and data ana- formation and the requisite organi-
planning help track when models and actual boosts the value derived from pro- enables the design of power equipment, turbomachinery and lytics can deliver value across the en- zational and cultural changes needed
plant performance diverge. Other pa- duction management and supply supply and distribution the automation infrastructure tire enterprise supply chain, but secu- to achieve this vision, based on mea-
FIG. 2. All Petro-SIM model outputs are automatically written back into the rameters include (but are not limited chain optimization activities, as well equipment that matches that monitors and controls rity and reliability are foundational to sured, sustainable value for sharehold-
PI system, in real-time, including the comparison of measured vs. simulation model to) temperatures, pressures, flows, as reduces total cost of asset lifecycle expected plant power demands, these assets. Asset performance connected products and edge controls. ers, employees and communities. •
vs. LP model outputs. densities, viscosities, stream char- simulation. •
SESSIONS, continued from page 12
CATALYST, continued from page 16 conferences), ongoing benchmarking can go into a smaller petrochemical since 2016 scored higher, indicating
metal catalyst offering greater hydroprocessing mar- benefit was substantial rather than incremental. feed rate of a challenging coker VGO; significantly methods (e.g., the site can compare its site for an assessment and not be over- that improvements are taking place.
gin potential. The new ultra-high activity catalyst is ExxonMobil has loaded the Celestia catalyst in reduced nitrogen slip; increased aromatic satura- performance vs. the rest of the indus- whelming,” Broadbent explained. “It will be interesting to see what hap-
commercialized by ExxonMobil in distillate and stack loads with Nebula catalyst and conventional tion and unit conversion with higher diesel and jet try, and the industry can then measure “When you go into a small refinery, pens when we go back to those sites
hydrocracking pretreat units and has demonstrated NiMo catalysts, benefitting from careful planning yields; improved product quality, including diesel performance over time and identify your team sometimes can be larger for a second time,” Broadbent said.
step-out activity and performance over Nebula cata- and intelligent loading schemes designed to maxi- cetane and jet smoke point; improved hydrocrack- areas for improvement), and sharing than the site’s management staff.” Another key element of process
lyst. The Celestia catalyst has taken hydroprocessing mize value potential. An illustration of the Celestia ate export quality, leading to higher profitability in best practices. “Based on the premise that the safety is safe work, including own-
activity and margin potential to new levels, show- catalyst’s impact can be seen from a heavy feed VGO an affiliate steam cracker; and increased heat re- As of March 15, 2019, the API has advanced process safety program ership of the “stop work” program.
ing more than three time’s higher activity vs. lead- hydrocracking unit. By incorporating a partial fill of covery, leading to a reduction in furnace firing and performed 66 general site assessments has been around for seven years, we “Most sites tell you they have a stop
ing NiMo conventional catalysts. With the Celestia Celestia and Nebula catalysts pretreat reactor, co- significant energy savings. covering 28 of 39 US refining compa- wanted to look at how are we do- work program in place, and then you
catalyst, ExxonMobil set about benefiting from all loaded with a leading NiMo catalyst, the unit gained The hydroprocessing Celestia bulk metal cata- nies. Additional opportunities for pro- ing,” he said. “We expected to see get to a site and you can tell that they’re
three margin opportunities, simultaneously achiev- a transformative activity boost, providing a platform lyst offers refiners substantial opportunities for cess safety improvements are myriad site improvement seven years down not so comfortable with it,” Broadbent API’s ANDREW BROADBENT during
ing increased feed rate, cycle length and improved for ambitious high-margin process planning. increased activity and value, enabling a fast and and varied. One is the identification the road.” The API examined data explained. “But when we get there, we Tuesday morning’s “Process safety site
product quality. In addition, the company achieved The Celestia catalyst produced significant value effective payback within a few months as well as of new API standards, recommended between 2012 and 2015 and between help them see that they should shut assessment program—promoting a
significant energy savings and improved yields. The to the VGO hydrocracker operation: maximized the continued and enhanced profit contribution. • practices or modifications. “Then we 2016 and 2018. The sites assessed down a job if hazards are present.” • culture of process safety” session

22  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting 117th Annual Meeting | American Fuel & Petrochemical Manufacturers Wednesday, March 20, 2019  23
SCENES FROM THE 2019 AFPM ANNUAL MEETING
We make the
marine fuel,
2 3 that powers
1
the cargo ships,
that propel
4
5

global trade
6 7 and a cleaner
globe.
1 Sascha Vukojevic from hte GmbH (left) and Raul Adarme from
Motiva Enterprises spoke about the importance of best catalyst
technologies identification and evaluation regarding the performance
of high-value conversion units like hydrocracking, cat-feed hydrotreating,
reforming and lubes.
2 Barclays’ Michael Cohen provided an overview of global oil market
fundamentals, including crude oil and refined product supply and demand,
at Tuesday morning’s session, “Global oil outlook: Balanced in the eye of
the beholder.”
8 9 3 In the session, “To change or not to change: Human operational performance
theory,” Dr. Todd Conklin of Conklin & Associates presented different
ways of dealing with workplace safety that are applicable to administration,
management and workers.
4 Audience Q&A following technical sessions is a great way to share techniques
and best practices with the expert panels, presenters and fellow attendees.
5 Axens N.A.’s Christian Vaute joined his fellow super heroes at the
company’s hospitality suite on Monday night.
6 Collaboration and shared ideas are two of the key tenets of the AFPM
Annual Meeting.
7 Monday evening’s sports-themed KBR hospitality suite included trivia,
generous prizes and some breakdancing refs.
8 Blasting virtual aliens was one of the activities at the Albemarle
hospitality suite.
9 The opportunity to eat, drink and beat the house with some blackjack is
always a welcome respite after a busy day at the Annual Meeting.
We Make Progress
10 Athlon hosted an evening with the true sounds and flavors of Texas.
10
24  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting 117th Annual Meeting | American Fuel & Petrochemical Manufacturers Wednesday, March 20, 2019  25
A Better Perspective
on Hydroprocessing Challenges

The challenges of today’s refining industry—from rising environmental standards to getting


more out of low value feeds—aren’t easy.

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as feeds and conditions change. And that translates into more profitable operations.

If you’re looking for top technical support and a better perspective, let’s talk. Soon.

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26  Wednesday, March 20, 2019 American Fuel & Petrochemical Manufacturers | 117th Annual Meeting

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