How Refineries meet the new EPA Benzene Regulations Presented by: Dave Nispel and Dominic Varraveto 1
Introductions Presenter #1 Dave Nispel, PE, is the refining business development manager for Burns & McDonnell. His experience includes benzene reduction, ultra-low-sulfur diesel and engineer-procure-construct projects. He has a bachelor s degree in chemical engineering from the University of Nebraska and has been at Burns & McDonnell for more than 15 years with a majority of that time spent in the refining industry. 2
Introductions Presenter #2 Dominic Varraveto, PE, is the refinery process manager for Burns & McDonnell. He has 25 years of experience in the refinery and petrochemical industry, including process development, design, operation and optimization of major process units. He has a master s degree in engineering management from the University of Kansas and a bachelor s in chemical engineering from the University of Notre Dame. 3
Agenda Burns & McDonnell overview Why MSAT2 Recent Experience Technologies Questions/ Answers 4
Burns & McDonnell Safety First 100% Employee Owned 2900+ Employees CII Member Our Mission: Make Our Clients Successful 5
Nationwide Locations 6
Burns & McDonnell Aviation & Architecture Terminals & Support Buildings Hangers Offices & Commercial Buildings Industrial Plants and Buildings Laboratories Central Utilities Plants Process & Industrial Petroleum & Refining Ingredients & Food Chemical & Petrochemical Grain & Bio-Processing Plant Utilities Energy New Generation Design Rate Studies and Mgmt. Services Air Pollution Control Waste-to-Energy Plants Combustion Improvement Programs High Voltage Design Substations and Transmission Lines Controls Systems Upgrades Construction Design-Build Engineer/Procure/Construct Construction Management Program Management Cost Estimating Single-Source Coordination Environmental Noise Modeling & Monitoring UST programs Permitting Environmental Assessments Land Use Plans Remediation Site/Route Selection Infrastructure Water Treatment Wastewater Treatment Highways and Bridges 7
Definition Mobile Source Air Toxics (MSAT) - Mobile source air toxics are compounds emitted from highway vehicles and non-road equipment which are known or suspected to cause cancer or other serious health and environmental effects. 8
Recent Environmental Regulations Environmental Protection Agency, EPA Meet 2 nd Phase of Clean Air Act Mobile Source Air Toxics - Phase 2 (MSAT2) i.e. Benzene and other hydrocarbons Health risk from exposure to toxics Three parts to new rule Fuel, Emissions and Containers 9
MSAT 2 To meet fuel part of new Rule Refiners must reduce Benzene in Gasoline 0.62 vol % annual average 1.3 vol % maximum annual average Rule takes effect beginning 2011 and 2015 for small refiners Includes ABT: Averaging, Banking, Trading 10
MSAT2 Credits Early Credits Jun, 2007 thru Dec, 2010 Four Periods Jun, 2007 thru Dec, 2007 Calendar Years 2008, 2009, 2010 Baselined on years 2004 and 2005 Show 10% Reduction from Baseline Usable for first three years 2011, 2012, 2013 Small Refiners - usable years are 2015, 2016, 2017 11
MSAT2 Credits Standard Credits May be used for up to five years following generation 2011 is first year of generation Small refiners qualify for two year extension or seven year usage period No geographical restriction on use of credits 12
MSAT 2 Gasoline is a blend of several refinery products Alkylate, Cat Gasoline, Naphtha, Reformate etc Reformate contains the most Benzene Removing Benzene from Reformate meets MSAT-2 13
Strategies for Compliance Focus on Reformer Reformate large contributor of Benzene to Gasoline Pool Other Benzene contributing streams FCC Gasoline and Light Straight Run Streams that don t contain Benzene Butane, Alkylate, Ethanol 14
Technologies Pre-fractionation Post-fractionation Benzene Saturation Benzene Extraction 15
Burns & McDonnell Experience Pre-fractionation Post fractionation with Isom Post fractionation with Extraction Corporate Wide Refinery System Optimization 16
Burns & McDonnell MSAT 2 Clients 17
EPA Benzene in Gasoline Data Stream lv% Bz lv% in Pool lv% Bz Con Reformate 3 to 11 30 0.9 to 3.3 FCC Gasoline 0.5 to 2 36 0.2 to 0.7 LSR Naphtha 0.3 to 3 4 0.04 to 0.1 Lt Hydrocrackate 1 to 5 3 0.03 to 0.15 Other 0 to 3 27 0 to 0.8 18
Refinery Benzene in Gasoline Stream Vol % Bz vol% in Pool lv% Bz Con Reformate 3 25 0.75 FCC Gasoline 0.9 30 0.27 LSR Naphtha 2.5 15 0.38 Lt Hydrocrackate - - - Other 0 30 0 19
Typical Gasoline Refinery Crude Oil ATM HDT / ISOM NHT / Reformer Alky / Poly Gasoline HDT Distillate HDT LPG Gasoline Distillate FCC VAC DCU Coke 20
Benzene Source Crude Oil ATM HDT / ISOM NHT / Reformer Alky / Poly Gasoline HDT Distillate HDT LPG Gasoline Distillate FCC VAC DCU Coke 21
Benzene Source & Producer Crude Oil ATM HDT / ISOM NHT / Reformer Alky / Poly Gasoline HDT Distillate HDT LPG Gasoline FCC Distillate VAC DCU Coke 22
Benzene Source & Producer Crude Oil ATM HDT / ISOM NHT / Reformer Alky / Poly Gasoline HDT Distillate HDT LPG Gasoline Distillate FCC VAC DCU Coke 23
Reformer Benzene Yield Benzene yield, wt% 4 3 2 1 0 96 100 102 RON w/ precursors w/o precursors 24
Source, Production & Reduction Crude Oil ATM HDT / ISOM NHT / Reformer Alky / Poly Gasoline HDT Distillate HDT LPG Gasoline Distillate FCC VAC DCU Coke 25
Typical Configuration Stabilized Straight Run Naphtha Hydrotreater Reformer Reformate to Gasoline Pool 26
Benzene Reduction Scorecard Gasoline Pool Benzene Vol% 2 1.5 1 0.5 0 Base Case Technologies EPA Regulations 1.3 0.62 LSR Naphtha FCC Gasoline Reformate 27
Pre-fractionation No Benzene or Benzene Precursors Hydrotreater Isomerization Isomerate to Gasoline Pool No Benzene Stabilized Straight Run Naphtha (0.5-1.0 vol% benzene) Naphtha Splitter C6 plus, Benzene and Benzene Precursors Hydrotreater Reformer Reformate to Gasoline Pool Benzene (3-4 vol%) 28
Benzene Reduction Scorecard Gasoline Pool Benzene Vol% 2 1.5 1 0.5 0 Base Case Prefrac + Isom Technologies EPA Regulations 1.3 0.62 LSR Naphtha FCC Gasoline Reformate 29
Pre-fractionation & Saturation Benzene & Benzene Precursors Hydrotreater Benzene Saturation Isomerization Isomerate to Gasoline pool (no Benzene) Straight Run Naphtha (0.5% - 1% benzene) Naphtha Splitter No Benzene or Benzene Precursors (C7 and heavier) Hydrotreater Reformer Reformate to Gasoline pool Limited Benzene (0.5-1.0 vol%) 30
Benzene Reduction Scorecard Gasoline Pool Benzene Vol% 2 1.5 1 0.5 0 Base Case Prefrac + Isom Technologies Prefrac + Sat/ Isom EPA Regulations 1.3 0.62 LSR Naphtha FCC Gasoline Reformate 31
Benzene Saturation Convert Benzene to Cyclohexane Make-up Hydrogen Pre-heater start-up only Steam Light ends to fuel gas Feed / Effluent Exchanger Reactor Stabilizer Feed Product 32
Saturation Variations Reactive distillation Catalyst bed inside distillation column Integrated with distillation Reactor directly coupled with distillation Integrated with Isomerization Reactor inserted upstream of isomerization reactor using common product separation 33
Post Fractionation & Saturation Light Reformate 4-5% Benzene Stabilized Straight Run Naphtha Hydrotreater Reformer Reformate Splitter Heart Cut 20-30 vol% Benzene Benzene Saturation To Gasoline blending (0.1 vol%) Heavy Reformate 0.1-0.3% Benzene 34
Benzene Reduction Scorecard Gasoline Pool Benzene Vol% 2 1.5 1 0.5 0 Base Case Prefrac + Isom Prefrac + Sat/ Isom Postfrac + Sat EPA Regulations 1.3 0.62 LSR Naphtha FCC Gasoline Reformate Technologies 35
Post Fractionation & Extraction Light Reformate 5-30% Benzene Raffinate to gasoline blending Stabilized Straight Run Naphtha Hydrotreater Reformer Reformate Splitter Heart Cut 20-30 vol% Benzene Benzene Extraction High Purity Benzene Product Toluene to gasoline blending Heavy Reformate 0.3-1% Benzene 36
Options for Extraction Extractive Distillation - Fewer equipment items - Uses a non-aqueous solvent - Better for high aromatics feed Liquid Liquid Extraction - More equipment - Uses aqueous solvent - More efficient with lower feed aromatics 37
Extractive Distillation Non-Aromatics To Gasoline Pool Benzene C 6- Fraction Extractive Distillation Column Steam Stripper Column Solvent + Aromatics Steam Solvent 38
Liquid Liquid Extraction Water Wash Column Raffinate (Non-aromatics) Wash Water Liquid- Liquid Extractor Recycle CW Recovery Column Benzene-Rich Aromatics C 6- Fraction Rich Solvent Stripper Column ST Steam Aromatics Rich Solvent Lean Solvent 39
Benzene Reduction Scorecard Gasoline Pool Benzene Vol% 2 1.5 1 0.5 0 Base Case Prefrac + Isom Prefrac + Sat/ Isom LSR Naphtha FCC Gasoline Reformate Postfrac + Sat Postfrac + Extrac EPA Regulations 1.3 0.62 Technologies 40
Things to Consider OSBL Hydrogen Utilities ETC. 41
Initial Observation MSAT-2 represents the next wave of environmentally driven refinery projects Different technology combinations are available to meet MSAT-2 Fractionation, Saturation, Isomerization, Extraction One solution would prevail Rule flexibility provides opportunity for B&McD to help refinery organization with optimized solutions 42
Current Outlook It is difficult or impossible to reduce gasoline benzene to 0.62 vol% with pre-fractionation. Gasoline benzene reduction by saturation requires hydrogen, reduces gasoline octane and does not have an investment payback. Post fractionation is an energy intensive and, for most refineries, a necessary process step to reduce gasoline benzene to required level. Extraction is expensive but produces high purity benzene that generates incremental revenue and cash flow to payback investment. 43
Questions and Answers? 44
Thank you for joining us! This presentation and other educational videos and audio podcasts are available at: www.burnsmcd.com/knowledgeondemand 45