Anton Friedl, Jiří J. Klemeš, Stefan Radl, Petar S. Varbanov, Thomas Wallek (Eds.

)
Proceedings of the 28th European Symposium on Computer Aided Process Engineering
June 10th to 13th, 2018, Graz, Austria. © 2018 Elsevier B.V. All rights reserved.
https://doi.org/10.1016/B978-0-444-64235-6.50070-X

Ammonia/Urea Production Process

Simulation/Optimization with Techno-Economic
Analysis
Jiranart Jeenchaya, Kitipat Siemanond a*
a
The Petroleum and Petrochemical College, Petroleum Technology, 254 Soi
Chulalongkorn 12 Phyathai road, Bangkok 10300, Thailand
email: jiranart.jeenchay@hotmail.coma , Kitipat.S@chula.ac.tha*

Abstract
Currently, the global ammonia/urea productions are continuously increasing. Since the
demand of crops has been increased, production of fertilizer seems to be suitable for
Thailand, a country with primary agricultural development. The purposes of this work
are to design conceptual processes of ammonia/urea plants and to do economic analysis
and feasibility study. This paper consists of two main parts; simulation of ammonia/urea
plants and techno economic analysis. First, the simulation software PRO/II is used to
simulate the base-case process. From the base-case studies the principal route of urea
production is originally from carbon dioxide and ammonia, which are produced from
nitrogen and hydrogen. All conditions and input parameters are obtained from
petrochemical industry in Thailand. Finally, techno economic analysis is a key of
feasibility study to estimate investment cost and the profitability of project. This
technique represents the capital expenditure, the operating expenditure, net present
value, payback period, and return of investment. Economic evaluation of the process
represented core factors that affect the economic feasibility which are production rate,
the conversion of methane to hydrogen, feed temperature of individual reactors,
conversion ratio of each reactions, operating pressure, feed temperature to the
ammonia/urea synthesis reactors and energy management. The results are expected to
be conceptual manufacturing processes of ammonia with the capacity of 3,264 ton per
day and urea with the capacity of 2,000 ton per day by using methane as feedstock.
Keywords: Ammonia, Urea, Techno-economic, Simulation

1. Introduction

Ammonia is colourless, pungent gas and a weak alkaline which is very soluble in water.
It consisted of nitrogen and hydrogen with formula NH3. Ammonia is manufactured by
mainly nitrogen and hydrogen in an industrial process called the Haber process.
Ammonia is the initial chemical material for several industries. Approximately 88% of
apparent ammonia consumption was for fertilizer production, including the manufacture
of synthetic fibers and coolers etc. Urea (NH2CONH2) is an organic compound of
nitrogenous compound containing a carbonyl group attached to two amine groups. It is
solid odourless white crystals and non-combustible. Urea is mainly used to produce
fertilizer as well. During the production, a lot of money is invested on feedstock,
utilities, chemicals, equipment, operating cost and treatment unit in order to produce
marketable process industry products on time. Techno-economic analysis is significant
386 J. Jeenchay and K. Siemanond

financial decision that can help to estimate the total investment cost and the profitability
of this project.
1.1. Properties and Specification
The main feedstock of natural gas is 152 ton/h. The properties of feedstock are shown in
Table 1. The ammonia production is 3,264 ton/day of 99.95% purity ammonia. The
ammonia product specifications are shown in Table 2. The urea production is capable of
processing 2,000 ton/day of 99.99% purity urea. The product specifications are shown
in Table 3.
1.2. Ammonia synthesis reactions
Ammonia is produced from nitrogen and hydrogen. Hydrogen is obtained by natural gas
(methane) reacting with steam. Nitrogen is obtained by burning hydrogen in air. The
operating condition use high temperature about 450-500ºC and high pressure about 80-
90 bar. The reaction mixture is cooled so that the ammonia is liquefied and removed.
The remaining nitrogen and hydrogen are recycled. The overall reaction of ammonia
production is shown as following equations.
Primary reforming: Carbon dioxide removal:
CH4 + H2O  3H2 + CO (1) CO + 3H2  CH4 + H2O (7)
CH4 + H2O  H2 + CO2 (2) CO2 + 4H2  CH4 + 2H2O (8)
Secondary reforming: Ammonia converter:
CO + H2O  CO2 + H2 (3) N2 + 3H2  2NH3 (9)
2CH4 + O2  2CO + 4H2 (4)8NH3 + 4CO2  3 CH4N2O2+ 3H2O + NH2COONH4
2O2 + CH4  2H2O + CO2 (5)(10)
Shift conversion: 2NH3 + CO2  NH2COONH4 (11)
CO + H2O  CO2 + H2 (6)
NH2COONH4  NH2CONH2 + H2O (12)
1.3. Urea synthesis reactions
Urea synthesis is mainly the reaction between ammonia and carbon dioxide. The
operating condition use high pressure 20-25 bar with temperature 150-220oC. The
overall reaction of urea production is shown as equation 10 -12.
Table 1. Compositions of natural
gas feed at condition 15.556oC Table 5. Overall energy consumption of ammonia,
and 340 psig. urea and sweetening processes.
Natural Gas Feed Process Energy Consumption
Component % mole Ammonia Stage 1 1379.3058 x 106 kJ/h
Manufacturing Stage 2 1034330 x 106 kJ/h
Carbon dioxide 0.028496 process Stage 3 252.0069 x 106 kJ/h
Nitrogen 2.105208 Stage 4 5293.1366 x 106 kJ/h
Methane 97.471142 Total 1041260 x 106 kJ/h
Ethane 0.394549 Urea
Propane 0.000605 Manufacturing Total 1945.5431 x 106 kJ/h
process
Flowrate (kg-mol/h) 4,238 Sweetening
Total 3791.5721 x 106 kJ/h
Process
Table 2. Ammonia product specification
Ammonia Product Specification
Ammonia purity (% mole) 99.95 %
Flowrate (kg mol/h) 7,243
Temperature (oC) 57.08
Pressure (psig) 350
Ammonia/Urea Production Process Simulation/Optimization 387

Table 3. Urea product specification Table 4. Parameters for economic evaluation

Urea Product Specification Parameter Values
Urea purity (% mole) 99.99% Base year 2017
Flowrate (kg-mol/h) 1,301 Exchange Rate 32.68฿ =1$
Plant lifetime 11 years
Temperature (oC) 93.33
Operating days per year 365
Pressure (psig) 0.304 Interest rate (% per year) 10%, 15%
Urea processing capacity
2,000
(tons/day)
Urea price (฿/tons) 9,744
Annual urea capacity 730,000
(tons/year) Natural Gas Feed
Component
Ammonia processing capacity % Volume
3,264
(tons/day) Carbon dioxide 3
Nitrogen 9397.53
Ammonia price (฿/tons)
Methane 80.7
Annual ammonia capacity
Ethane 1,191,360
7.5
1.4. Techno Economic Analysis (tons/year)
Techno Economic Analysis is to estimate costs of investment and the profitability of
project. This cost assessment technique represents the capital expenditure, the operating
expenditure, net present value, pay-back period, and return of investment. These data
are used to design and to develop the final ammonia/urea process. For cost indexes the
most common one is from IHS CERA index. The equipment costs were estimated by
using a guide to chemical engineering process design and economics book shown as
equation 13.

Present cost = (capital cost index in 2017 / capital cost index in 2000) x previous cost (13)

1.5. Sensitivity Analysis

For ammonia and urea processes, these variables help to identify the main factors
affecting the plant feasibility; (a.) Production Rate: varied to keep the feed rate of
natural gas as low as possible. (b.) Stream/methane Ratio: varied to maximize the
conversion of methane to hydrogen. (c.) Feed Temperatures of the Shift Reactors:
varied to control the conversion of CO to CO2. CO is converted to methane because of
carbon dioxide removal reaction leading to high inert CH4 concentration in the synthesis
loop and decreasing profitability. (d.) Air/methane Ratio: varied to maximize methane
conversion to hydrogen where H2/N2 ratio is 3:1. (e.) Synthesis Loop Pressure: varied to
the appropriate pressure for ammonia/urea synthesis reaction. (f.) Feed Temperature to
the Ammonia Reactor: varied to lowest temperature. (g.) Conversion percentage: varied
to reach optimal condition in each reaction.

2. Methodology

Methodology consists of three parts: simulation of ammonia and urea processes and
techno-economic analysis.
 388 J. Jeenchay and K. Siemanond

Sweetening
Nitrogen (from air)
Unit
Stream

S10

S10 S24
Natural gas Stage 1

Stage 2

S28
Liquid
S24 S28 ammonia product

Stage 3 Stage 4

Figure1. The simulation of ammonia production

This simulation contains three sections: ammonia manufacturing, urea manufacturing,
and sweetening process sections.

2.1 Process flow diagram (PFD) – A conceptual design of ammonia production

This ammonia producing process has been simulated by commercial software PRO/II
program version 9.4 using SRK thermodynamic model to achieve the ammonia
specification. The ammonia plant has production capacity 3,264 ton per day shown in
Figure 1. The ammonia manufacturing process is divided into four stages: stage 1
catalytic reforming to produce hydrogen from natural gas containing methane and
steam, stage 2 shift conversion and methanation units to purify syngas by removal of
carbon dioxide and carbon monoxide, stage 3 compression unit to increase required
pressure of syngas, and stage 4 the ammonia conversion.
2.2 Process flow diagram (PFD) - A conceptual design of urea production
The urea plants are capable of producing 2,000 ton per day. The urea producing process
has been simulated using NRTL thermodynamic model. This process is to convert CO2
and synthetic ammonia with high pressure form into urea which is shown in Figure 2.
2.3 Process flow diagram (PFD) - A conceptual design of sweetening process
The objectives of this section are to eliminate carbon dioxide from the ammonia
production and to ensure the specification of carbon dioxide is about 0.005-0.2 mole%.
AMINE thermodynamic model was used to eliminate impurities. The sweetening unit is
displayed in Figure 3.

3. Result and discussion

3.1 Energy requirement of processes

For ammonia plant, total energy consumption in stage 1, stage 2, stage 3, and stage 4
are shown in Table 5. Stage 2 consumes largest amount of energy of 1.03433x1012 kJ/h.
Cooler (E-3) consumes energy about 50% and the rest 50% is heater (E-5). For urea
plant, Urea production consumes energy about 1945.5431 x 106 kJ/hr. Cooler consumes
Ammonia/Urea Production Process Simulation/Optimization 389

energy about 81% from overall, the second is reactor “RX2” with 8% including 11% of
other units (2% of flash drum, 2% of reactor RX3, 3% of crystalizer, 2% of dryer DR1
and 2% of freezer). Basically, sweetening plant consists of absorber and regenerator
columns, a valve, an exchanger and two expander vessels. This process consumes
energy about 3791.5721 x 106 kJ/h where reboiler, condenser and cooler (E1) consume
energy of 52%, 31%, and 17%, respectively.
3.2 Project economic assessment
Summation of parameters for economic assumptions used to evaluate the techno-
economic models are given in Table 4. The cash flow statement summarizes the overall
cash flows of both income and outcome of the project as a result of operating activities,
investments and financing activities. To maximize profits of this project, there are
significant factors are shown in Table 6 which impact on project cash flows. Economic
evaluation is set by 10% and 15% of interest rate. Net Present Value (NPV) is analysis
of the sum of the present values of future cash flows that invest on project. For urea
plant, calculation of equipment cost is based on material and energy balance, operating
condition, material handling. Due to the total capital investment (CAPEX) evaluation,
F.O.B equipment cost have the biggest impact on capital investment. It’s about 415.72
million Baht for urea manufacturing. Total production cost (OPEX) evaluation shows
that raw material cost is the largest value about 4.97 billion Baht per year. As a result of
the total capital investment (CAPEX) evaluation for ammonia manufacturing, F.O.B
equipment cost have a huge investment reached 47.160 billion Baht. In term of total
production cost(OPEX), raw material cost is the largest value about 54.926 billion Baht
per year.

Treated gases Carbon

dioxide

Carbon dioxide Liquid ammonia

Stage 2
Urea product

Figure 3. The simulation of

Figure 2. The simulation of urea production sweetening unit

4. Conclusion
Ammonia production is significant material to produce urea. The mainly route of
ammonia production was done by Haber process. In this paper, PROII was used to
simulate ammonia and urea processes. The capacity of ammonia process is 3,264 ton
per day by using natural gas as feedstock. Urea process has the capacity of 2,000 ton per
day. The financing decision data for urea manufacturing represented in Table 6.
Economic evaluation of urea manufacturing found that NPV is positive value and
payback period within 2.75 years. This project is acceptable. In consequence of the total
capital investment (CAPEX) evaluation for ammonia manufacturing have a huge
investment reached 47.160 billion Baht. Now that total expense is more than total
390 J. Jeenchay and K. Siemanond

revenue cost and NPV value is negative. Therefore, ammonia plant is not worth to
investment. For the final investment decision, there are 2 cases; Case I: Ammonia and
Urea project and Case II: Urea project. By solving an unprofitable project, in this case
the major source of ammonia is made from natural gas as the result of high cost of raw
materials price so it could end up with investing on only urea project and imported
ammonia instead of building the new ammonia plant. Since urea manufacturing is more
attractive to invest and high profit. Improvement steps for heat exchanger network will
be represented in the future work. Reduction of energy consumption of hot and cold
utilities will be considered including the modified heat exchanger investment cost.
Table 6. Technical information and key process parameters in each project.

No. Description Urea plant Ammonia plant

1 Plant capacity,MTPD 2,000 3,264
Ammonia and
2 Raw material
Carbon dioxide Hydrogen is from natural gas
Overall energy 6 1.041260 x 1012
3 1,945.5431 x 10
consumption, kJ/hr
Product quality and
4 Urea for 99.99% purity Ammonia for 99.95% purity
specification
5 CAPEX, ฿ 415,716,675 47,160,124,275
6 62,357,501 7,074,018,641
Working capital cost, ฿
7 OPEX, ฿/year 4,973,100 54,926,180
8 Total expenses, ฿ 5,016,418,457 61,839,574,139
9 Total revenue, ฿ 7,113,237,923 11,195,209,920
I = 10%, PBP= 2.75 yrs, I = 10%,
10 Financing decision NPV= ฿ 5,714,614,708 NPV= ฿ - 195,339,062,737
I = 15%PBP= 2.75 yrs, I = 15%,
NPV= ฿6,170,951,940 NPV= ฿ - 132,539,668,331

Acknowledgements
Authors would like to express our gratitude to The Petroleum and Petrochemical
College, Chulalongkorn University, National Centre of Excellence for Petroleum,
Petrochemicals and Advanced Materials (PETROMAT) and The PTT Public Company
Limited (PTT) for funding and industrial data support.

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