STUDIERICHTING

WERKTUIGBOUWKUNDE Wb
Review and optimization of the hydrogen
production unit capital spares at Staatsolie
Tout Lui Faut Refinery

Phagoe Shuwarna Kaajol

(201700572)
8/12/2022
 CONTENT
• Introduction
• Problem definition
• Objective
• Research questions
• Relevant theory
• Method
• Results
• Conclusion
• Recommendation

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 INTRODUCTION
• Staatsolie’s oil refining history began in August 1997, when the
production of refined products started.

• The refinery expansion project started in 2010 and was

completed

• The Refinery Expansion Project included a new HPU and

increased the crude oil capacity from 7200 BPSD to 15000 BPSD.

• Staatsolie had engaged Saipem for their Refinery Expansion

Project.

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 INTRODUCTION

• During the Refinery Expansion project a list of capital

spares was set up and submitted by Saipem.

• This capital spares are vital to have readily available in

case a critical equipment fails.

• Failure occurrence of a critical equipment within a unit

could lead to major production losses as result of
downtime or even accidents if not repaired or replaced
in time.

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 PROBLEM DEFINITION
There have been several instances where the listed capital
spares where not available when needed, and thus
jeopardizing the refinery operation. Information gathered
by the engineers indicated this to be the result of:
• Poor management of capital spares
• Lack of a proper preservation plan
• Also, an evaluation of the listed capital spares has never
been performed taking into account gathered historical
data of past equipment failures and eventual new
operational requirement and needs based on the past
seven years of operation.

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 OBJECTIVE
To optimize current capital spares inventory in order to
minimize prolonged refinery, unit or equipment shutdown
in case of a critical equipment failure.

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 Research questions
The main research question is:
• How can the current capital spares inventory be
optimized in order to minimize prolonged refinery, unit
or equipment shutdown in case of a critical equipment
failure?

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 Research questions
The sub research questions which arise to assist in
answering the main research questions are:
• According to the current – operational need, is the list of
capital spares set up and submitted by Saipem still
valid?

• Which of the identified capital spares according to the

current – operational need should be restocked?

• What can be done in order to keep the identified capital

spares according to the current operational need, in a
“ready to install” condition in the warehouse(s)?

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 RELEVANT THEORY

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 RELEVANT THEORY

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 RELEVANT THEORY

• As recommended spares for the critical rotating

equipment can be set up: the equipment’s component(s)
or the parts of the equipment’s components.

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 RELEVANT THEORY
• To set up the critical rotating equipment’s components
as recommended spare, at least one of the following
criteria’s must meet:

o The component is not repairable

o The component is not repairable on site
o Replacement of the component with a new one is cost
effective compared to repair the component.
o TTR the component is greater than the opportunity
window

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 RELEVANT THEORY

• Citeria’s to set up the part(s) of the critical rotating

equipment’s component(s) as recommended spare(s):

o The component is repairable.

o The component is repairable on site.
o Repair of the component is cost effective compared to
replacement of the component with a new one .
o TTR the component is not greater than the opportunity
window of the equipment.

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 RELEVANT THEORY
• Criteria’s to define the component(s) of the critical
rotating equipment as capital spare are:

o The lead time of the component is greater than the

opportunity window of the component.
o The component is not expected to be used within 2y or
during turn around.

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 RELEVANT THEORY
• Criteria’s to define component’s part(s) of critical
rotating equipment as capital spare:

o The lead time of the component part is greater than the

opportunity window of the component.
o The component part is not expected to be used within 2
years or during turn around.
o The purchase cost of the component part is greater than
35% of the component’s purchase cost.

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 RELEVANT THEORY
• Criteria’s to define component(s) of critical rotating
equipment as stock item:

o The lead time of the component is greater than the

opportunity window of the component.
o The component is expected to be used within 2 years or
during turn around.

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 RELEVANT THEORY
• Criteria’s to define component’s part(s) of critical
rotating equipment as stock item:

• The lead time of the component is greater than the

opportunity window of the component.
• The component part is expected to be used within 2 years or
during turn around.
• The purchase cost of the component part is not greater than
35% of the component’s purchase cost.

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 RELEVANT THEORY
• Lead time: the time that is needed from ordering a part
or component from the manufacturer till it’s delivered
on site.

• Opportunity window: is the short period of time within

the unit can operate without occurring of production
loss and safety hazard, in situations where a particular
equipment x of the unit failed to perform.

• TTR: is the time that is needed to repair a failed

component.

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 METHOD
To optimize the capital spares inventory :

1. The capital spares based on the current operational

need of the refinery has been identified.

2. Checked which of the identified capital spares are

already in stock.

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 METHOD

3. Developed a preservation plan for the identified capital

spares.

Checked status of A preservation

Identified capital spares identified capital plan is developed
spares in warehouse(s)

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 RESULTS
The identified capital spares:
Equipment Type of equipment Capital spare Current status Stored as capital
spare or stock item

K-4001 Blower Drive motor Yes Capital spare

Rotor assembly No  
K-4002 Blower Drive motor Yes Capital spare
Rotor assembly No  
C-4001-P1 Diaphragm pump drive motor + pump No  
(complete equipment)

K-4005 Screw compressor Compressor as component No  

K-4004 Screw compressor Compressor as component No  

K-4003-P1A Gear pump Pump as component Yes Stock item

K-4003-P1B Gear pump Pump as component No  
K-4006-P1 Gear pump Pump as component Yes Stock item
E-8502-K1/K2/K3 Fan Fan as component No  

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 RESULTS
• The preservation plan for the identified capital spares:
Equipment Capital spare Storage instruction
K-4001 Drive motor Motor should always be stored(above 20⁰C)
in dry, vibration free, dust free condition.

Coat shaft-ends and flanges with a thin layer

of grease, inspect every month and re-grease
the shaft and flanges if needed.

Shaft needs to be rotated 1.5 revolution at

least once per month by hand, to prevent
shaft deflection.

Space heater with a power supply of 220V

should be used for the motor.

Place the motor on a wooden pallet

Rotor assembly Rotor assembly should be stored indoors in a

dry, sheltered area to protect against dust and
corrosion.

Coat the shaft with grease, inspect every

month and re-grease the shaft if needed.

Shaft needs to be rotated 1.5 revolution at

least once per month, to prevent shaft
deflection.

Shaft needs to be placed on a bracket in order

to prevent unscheduled rotation.

Cover the rotor assembly with plastic or

tarpaulin.

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 RESULTS
K-4002 Drive motor Motor should always be stored(above
20⁰C) in dry, vibration free, dust free
condition.

Coat shaft-ends and flanges with a thin

layer of grease, inspect every month
and re-grease the shaft and flanges if
needed.

Shaft needs to be rotated 1.5 revolution

at least once per month by hand, to
prevent shaft deflection.

Space heater with a power supply of

220V should be used for the motor.

Place the motor on a wooden pallet.

Rotor assembly Rotor assembly should be stored

indoors in a dry, sheltered area to
protect against dust and corrosion.

Coat the shaft with grease, inspect

every month and re-grease the shaft if
needed.
Shaft needs to be rotated 1.5 revolution
at least once per month, to prevent
shaft deflection.

Shaft needs to be placed on a bracket in

order to prevent unscheduled rotation.

Cover the rotor assembly with plastic

or tarpaulin.

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 RESULTS
C-4001-P1 Drive motor + Equipment should be always be stored
pump as indoors(above -20⁰C) in dry, dust free
component condition.
(complete
equipment)
If not specifically highlighted on the package,
do not stack packaging.

Place the equipment (with or without

packaging) on a wooden pallet.

Cover the equipment (with or without

packaging) with plastic or tarpaulin.

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 RESULTS
K-4005 Compressor as Compressor should be stored indoors in dry,
component vibration free, dust free and ventilated place.
Compressor inlet and outlet line should first be
caped, then the compressor driven and non-
driven end covers should be drained and filled
with protective lubricant to the correct level (12
liters) and resealed.

Coat compressor drive shaft with a thin layer of

grease, inspect every month and re-grease the
shaft if needed.

Compressor drive shaft needs to be rotated once

every month to prevent bearing brinelling and to
circulate protective oil in the blower drive and
non-drive end covers over rotating parts.

Before commissioning the equipment, protective

lubricant should be completely drained, flushed
with suitable lubricant and then filled to the
correct level (12 liters) with suitable lubricant.

Place the compressor on a wooden pallet and

cover with plastic or tarpaulin.

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 RESULTS
K-4004 Compressor as Compressor should be stored in dry, vibration
component free, dust free and ventilated place.

Compressor inlet and outlet line should be

capped, then the compressor driven and non-
driven end covers should be drained and then
filled with protective lubricant to the correct level
(10 liter) and resealed.

Coat compressor drive shaft with a thin layer of

grease, inspect every month and re-grease the
shaft if needed.

Compressor drive shaft needs to be rotated once

every month to prevent bearing brinelling and to
circulate protective oil in the blower drive and
non-drive end covers over rotating parts.

Compressor drive shaft needs to be rotated 21.5

revolution at least once per month, to prevent
shaft deflection.

Before commissioning the equipment, protective

lubricant should be completely drained, flushed
with suitable lubricant and then filled to the
correct level (10 liters) with suitable lubricant.

Place the compressor on a wooden pallet and

cover with plastic or tarpaulin.

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 RESULTS
K-4003-P1A Pump as component Pump should be stored in dry, vibration free, dust
free and ventilated place.
Coat pump shaft with a thin layer of grease,
inspect every month and re-grease the shaft if
needed.

Close the suction end connection and full-up pump

casing with lubricating oil. During filling,
discharge flange must be on higher level than the
suction flange. Fill until the lubricating oil reaches
discharge flange, bubble free. Thereafter the
discharge side should be closed.

Rotate pump shaft at least once a week to prevent

bearing brinelling and to circulate the preservative
over the rotating parts.

Rotate pump shaft 1.5 revolution every week to

prevent shaft deflection.
Place the pump on a wooden pallet and cover with
plastic or tarpaulin.

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 RESULTS
K-4003-P1B Pump as component Pump should be stored in dry, vibration free, dust
free and ventilated place.

Coat pump shaft with a thin layer of grease, inspect

every month and re-grease the shaft if needed.

Close the suction end connection and full-up pump

casing with lubricating oil. During filling, discharge
flange must be on higher level than the suction
flange. Fill until the lubricating oil reaches
discharge flange, bubble free. Thereafter the
discharge side should be closed.

Rotate pump shaft at least once a week to prevent

bearing brinelling and to circulate the preservative
over the rotating parts.

Rotate pump shaft 1.5 revolution every week to

prevent shaft deflection.

Place the pump on a wooden pallet and cover with

plastic or tarpaulin.

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 RESULTS
K-4006-P1 Pump as component Equipment should always be stored indoors in dry,
vibration free, dust free condition.

Do not stack packaging.

Place the equipment (with packaging) on a wooden
plate.

Cover the equipment (with packaging) with plastic

or tarpaulin.

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 RESULTS
E-8502-K1/K2/K3 Fan as component Shaft and fan blades should be stored in dry,
vibration free, dust free and ventilated place.

Coat shaft with a thin layer of grease, inspect

every month and re-grease the shaft if needed.

Place the shaft in a crate, on a wooden pallet and

cover with plastic or tarpaulin.

Place the fan blades with the packaging on a

wooden pallet and cover with plastic and
tarpaulin.

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 CONCLUSION

• The identified capital spares based on the current operational

need are somewhat different compared to the capital spares
that had been set up by Saipem seven years ago.

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 RECOMMENDATIONS
• Better ownership of the capital spare management which is
partly from RME (set up/review/evaluate/update capital spare
list, providing technical guidelines and requirements on
preservation) as well as warehouse (manage availability and
preservation of the listed spares).

• An evaluation of the capital spares that are not well

preserved, if they are still in a good condition and can be
immediately used when needed or if corrective actions need
to be done before proceeding.

• Keeping track of in-outs of the capital spares used.

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