COST ESTIMATION DATA

Time for 1 batch = 12 hours (including cleaning)

No. of batch reactors = 17

No. of working days = 350

No. of cycles per year = 350X24/12

= 700

No. of tones produced per

Batch = 5.94 Ton

No. of tones produced by

17 batch reactors per year = 5.94X17X700

= 70686 Tones

Cost of 1 Ton PVC = Rs.35000

Gross annual sales = Rs. 2,47,40,10,000

Assume turnover ratio =1

𝐺𝑟𝑜𝑠𝑠 𝑎𝑛𝑛𝑢𝑎𝑙 𝑠𝑎𝑙𝑒𝑠
Turnover ratio = 𝐹𝑖𝑥𝑒𝑑 𝑐𝑎𝑝𝑖𝑡𝑎𝑙 𝑖𝑛𝑣𝑒𝑠𝑡𝑚𝑒𝑛𝑡

So, Fixed capital investment = Rs .2,47,40,10,000

Working capital investment = 15% OF TCI

Total capital investment = FCI + WCI

FCI = 85% TCI

𝐹𝐶𝐼 2474010000
TCI = 85% = .85

= Rs.2910600000

= Direct cost + Indirect cost

= 70% OF FCI = 30%FCI

(A) DIRECT COST (70% OF FCI)

1. Purchased equipment(23% of FCI) = Rs. 56,90,22,330

2. Purchased equipment installation
(9% OF FCI ) = Rs. 22,26,60,900
3. Instrumentation (7% OF FCI) = Rs. 17,31,80,700
4. Piping (8% of FCI) = Rs. 19,79,20,800
5. Electrical (5% of FCI) = Rs. 12,37,00,500
6. Building (5% of FCI) = Rs. 12,37,00,500
7. Yard Improvement (2% OF FCI) = Rs. 4,94,80,200
8. Service and facilities (10% OF FCI) = Rs. 24,74,01,000
9. Land (1% OF FCI) = Rs. 2,47,40,100

TOTAL DIRECT COST = Rs. 1,73,18,07,300.

(B) INDIRECT COST :(30% OF FCI)

1. Engineering and supervision (10%) = Rs. 24,74,01,000

2. Construction Expense (10%) = Rs. 24,74,01,000
3. Contractors fee(2%) = Rs. 4,94,80,200
4. Contingency (8%) = Rs. 19,79,20,800

TOTAL INDIRECT COSTS = Rs. 1,73,18,07,300

ESTIMATION OF TOTAL PRODUCTION COST:
Total Production cost T = direct production cost + fixed costs + plant overhead cost + general
expenses.

(A) DIRECT PRODUCTION COSTS:

1. Raw materials(20% OF T) = 0.2T

2. Operating labour (OL) = 0.15T
3. Direct supervisory & Clerical
(15% OF OL) = 0.0225T
4. Utilities (12%) = 0.12T
5. Maintenance & Repairs(5% OF FCI) = 0.05FCI
6. Operating supplies (0.6% of FCI) = 0.06 FCI
7. Laboratory charges (15% OF OL) = 0.0225T

TOTAL PRODUCTION COST = 0.5T + 0.056FCI

(B) FIXED COST:

1. Depreciation (10% Of FCI) = 0.1FCI

2. Local taxes (2% OF FCI) = 0.02FCI
3. Insurance (0.5% OF FCI) = 0.125FCI

TOTAL FIXED COST = 0.125FCI

(C) PLANT OVERHEAD COSTS (10%OF T) = 0.1 T
(D) GENERAL EXPENSES
1. Administrative costs (4% OF T) = 0.04T

2. Distribution and selling cost (8% of T) = 0.08T

3. Research and development costs (5% of T) = 0.05T

4. Financing (Interest)(4% OF T) = 0.04T

TOTAL GENERAL EXPENSES = 0.21T

Total production cost = 0.775T + 0.181GFCI

0.181𝐹𝐶𝐼
= = 0.8044FCI
0.225

= Rs. 1,99,00,93,644

Gross profit = Gross annual sales – Total production cost

= 2,47,40,10,000 – 1,99,00,93,644

= Rs. 48,39,16,356.

Income tax = 30% OF Gross profit

= Rs. 14,51,74,906.8

Net profit = Gross profit – Income tax

= 48,39,16,356 – 14,51,74,906.8

= Rs. 33,87,41,449.2
𝐹𝐼𝑋𝐸𝐷 𝐶𝐴𝑃𝐼𝑇𝐴𝐿 𝐼𝑁𝑉𝐸𝑆𝑇𝑀𝐸𝑁𝑇
Payout Time = 𝑁𝐸𝑇 𝑃𝑅𝑂𝐹𝐼𝑇

2,47,40,10,000
= 33,87,41,449.2

= 7.3 Years.
 SPECIFIC EQUIPMENT DESIGN
Reactor design:
The reactor used for this process is made of stainless steel & is specially lined with
glass. Glass lined reactors are used form suspension polymerization, because of slower build up
of polymer on the polymer on the walls of the reactor and also easier removal of the buildup.

Reactors are jacketed for initial heat up and for cooling during the course of
polymerization. Baffles are placed in the reactor to improve agitation. This batch reactor is
purged with inert gas or evacuated, to remove oxygen initially.

Thickness of reactor:
Pressure in the reactor P = 100 psi

Internal radius of reactor ri = 84.488inches

𝑝∗𝑟𝑖
t= +C
𝑆𝐸𝐽−0.6𝑃

Ri = Internal radius, inches.

S = maximum allowable internal pressure

= 18700 psi

P = maximum allowable internal pressure.

= 1.05 * 100

= 105 psi.

Cc = corrosion allowance factor

= 0.125 inch.
105∗84.488
Thickness t = 18700∗.85−.6∗105 + 0.125

= 0.685 inch

= 1.7407cm
Volume of reactor:
Vinyl chloride entering the reactor = 6.48 tones

Water entering the reactor = 12.96 tones

Percent of conversion = .92

Density of water = 1000 Kg/m3

Density of solution = 𝜌 sol

𝜌 sol = 𝜌VC + 𝜌Water

𝐶1 𝑇
𝜌VC = 𝐶2
[1 + (1 − 𝐶3) 𝐶4]

C1 = 1.5115

C2 = 0.2707

C3 = 432

C4 = .2716

T = 323 K
1.15115 323
𝜌VC = [1 + (1 − 432) . 2716]
0.2707

= 13.7198 Kmol/m3

X1 = mole fraction of vinyl chloride

X2 = mole fraction of water

6.48⁄
63
X1 = 6.48⁄ 12.96⁄
63 + 18

X1 = 0.1241

X2 = 0.876

𝜌Sol = 13.719*0.1241 + 55.55*.876

= 50.36 Kmol/m3
Mass = 19.51 Kg

Moles = 19.51/23.642

= 0.82522

Avg.Mol.wt = 23.65

Volume of solution = Mass/Density

0.82522
= 23.65∗50.36 𝐾𝑖𝑙𝑜 𝑚𝑜𝑙/𝑚3

= 16.38 lt

Moles of vinyl chloride = CAO

CAO = 102.04/16.4

= 6.22 mole/lit

CR = 0.92*6.22

= 5.724

Total time = Residence time + shut down time

= 10+2

= 12 hrs

Rate of production = 5.724/12 mole/lit hr

= 0.477 mol/lit hr
10∗1000
Required capacity = Kg/hr
24

10∗1000
= 24∗5∗10000

= 0.00833Kmol/hr
 𝑅𝑒𝑞𝑢𝑖𝑟𝑒 𝑐𝑎𝑝𝑎𝑐𝑖𝑡𝑦
Volume of reactor = 𝑅𝑎𝑡𝑒 𝑜𝑓 𝑝𝑟𝑜𝑑𝑢𝑐𝑡𝑖𝑜𝑛

0.00833
= 0.477

= 17.45 Lit

L/D = 2.25

Volume of the reactor = (π*D2*L)/4

= (π*D3*L)/(4*D)

16.4 = (π*D3*L)/(4*D)

16.4 = (π*D3*)*2.25/4

D3 = 9.28

D = 2.1 m

L = 4.728 m

The diameter of the reactor is 2.1m

The length of the reactor is 4.73m.

 ENERGY BALANCE
Specific heats of vinyl chloride

Cp = A+BT+CT2+DT3

A = 5.949; B = 2.019𝑒 −1

C = -1.536𝑒 −4 D = 4.773𝑒 −8

At 323 K

CP of VC = 13.279 Kcal/KmoloK

CP of water = 1 cal/gmoK

CP of poly vinyl chloride = 0.326 Kcal/KgoK

Material temperature of reactants is room temperature (3030K).

So, reactants are to be heated to reaction temperature.

6480
Vinyl chloride ∆HVC = *13.273*(323-303)
62.5

= 27535.33Kcal

Water ∆HWater = 12960*(323-303)

= 259000kcal

Polyalcohol ∆HPVA = 35*0.326*20

= 228.2kcal
Reactor:
Basis temperature = 273 K

Heat of reaction = 23000kcal/kmol

Moles = 824.769

Heat removed = 18969687kcal

Enthalpy of reactants:
∆Hr, PVC =0

∆Hr, VC = 6480*13.279*(323-273)

∆Hr, pva = 35*.326*50

∆Hr, water = 12960(327-323)

= 648000kcal

Total enthalpy of reactants = ∆HTr = ∆Hr, VC + ∆Hr, pva + ∆Hr, water

= 717408.836kcal

Enthalpy of products:
∆𝐻P, PVC = 5.9616*1000*0.454*(323-273)

= 135328.32 kcal

∆HP, VC = 8.294*13.279*50

= 5507.06 Kcal

∆HP, Pva = 35*0.326*50

= 570.5 kcal

∆HP, water = 12960*1*50

= 648000kcal
Total enthalpy of products = 789405.08 kcal

Dryer:

Enthalpy of water at 50c = 209.3 KJ/Kg

Enthalpy of steam at 50c = 2592.2KJ/kg

H of drying = (2592.2-209.3)*309.6

= 175694.93 kcal