New Refinery Applications of Shell Gasification Technology

Joachim Wolff Piet Zuideveld

Gasification Technologies Conference San Francisco, October 9-12, 2005

Shell Gasification Process & Refineries - Content

1. Refinery Challenges 2. Refinery Crude Upgrading and Consequences 3. Refinery Gasification Projects with SGP 4. Fujian Refinery Ethylene Project 5. LOTOS, Gdansk (Update) 6. Discussion

GTC Oct 2005 San Francisco

Shell Gasification Process & Refineries: Challenge (1) Oil to be main feedstock for a long time to come Possible introduction of bio-crudes Product slate will have to change Refinery hydrogen balance Cutting deeper into the barrel Achieving zero-sulphur products while maintaining throughput New routes to gasoline Responding to falling demand for heavy fuel oil Upgrading residue more efficiently

Shell Pulau Bukom Refinery Singapore GTC Oct 2005 San Francisco 3

Shell Gasification Process & Refineries: Challenge (2) Advances in combustion engine technology Pace of introduction of new technologies, like fuel cells The stance to be taken by governments Tax and fiscal measures Energy, transport and environmental legislation Public opinion Regional variations

Shell Pernis Refinery Rotterdam GTC Oct 2005 San Francisco 4

Shell Gasification Process & Refineries Upgrading Ways for liquid Residue

Technology Blending

Plus Simple; cheap

Minus No upgrading; No contribution to quality and to environmental Removes 10 % (VB) to 40 % (DTC) of sulphur Not selective for CCR

Comment Depending on location of the refinery Difficult to store and to blend Difficult to store and to blend

Thermal conversion (DTC) Solvent Deasphalting

Cost effective; distillates good HT feed Maximum recovery of non-black products

GTC Oct 2005 San Francisco

Shell Gasification Process & Refineries Consequences of Upgrading

Distillates Crude CD LR

HV SR

TC/DTC Liquid coke Diluent SGP

Diluent Bunker

Bunker

! More viscous residue ! More heavy metals and sulphur in the residue ! Difficulties in blending ! Difficulties achieving fuel oil quality
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Shell Gasification Process & Refineries - Gasification

Plant Site Shell Pernis Feedstock HYCON+VFCR Capacity 3 * 550 t/d Product Hydrogen (Power) Syngas (Hydrogen) Hydrogen Fuel gas (Power) Hydrogen (Power) Hydrogen Power Driver Business Case Emissions Hydrogen Heavier crude oil Residue disposal Hydrogen Steam for SAGD Hydrogen Hydrogen Residue disposal

Agip Sannazzaro Opti Canada

VFCR Asphaltenes

2 * 600 t/d 4 * 1033 t/d

Fujian Refinery Asphaltenes Ethylene Project Lotos, Gdansk Asphaltenes

3 * 1200 t/d 3 * 550 t/d

Heavier crude oil Upgrading and residue disposal

GTC Oct 2005 San Francisco

Hydrogen balance Refinery energy utilisation and emissions

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Shell Gasification Process & Refineries Projects

Plant Site Shell Pernis Agip Sannazzaro
(GTC 2004: Guido Collodi)

Special aspects Gasifier fuel Gas turbine fuel Superheated steam ex Syngas Cooler Syngas substitutes natural gas Chemical site; Very high pressure steam (121 bara; 1755 psia) Import of cheap crude oil

Integration Full refinery integration Limited integration (low pressure BFW, cooling water etc.) Full integration to upgrader and SAGD Full integration between refinery, gasification and chemical complex Full refinery integration

Opti Canada
(GTC 2004: Phil Rettger)

Fujian Refinery Ethylene Project Lotos, Gdansk

(GTC 2004: Joachim Wolff)

Develop (tailor-made) solutions integrated with existing refinery complexes

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Shell Gasification Process & Refineries FREP, China

Fujian Refinery Ethylene Project (FREP) JV: 50% - Fujian Petrochemical Co., Ltd. 25% - Exxon-Mobil China Petrochemical Co., Ltd. 25% - Aramco Overseas Company B.V.

Refinery expansion (80,000 -> 240,000 bpd) Sour Arabian Crude 800,000 t/a ethylene steam cracker Polyethylene and polypropylene units 700,000 t/a paraxylene Shell Gasification Unit
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Shell Gasification Process & Refineries FREP, China (2)

3 x SGP Gasifier with Syngas Effluent Cooler 1 x Filtration unit with multiple filter presses 1 x Sour Water Stripper 2 x Multiple Hearth Furnace
Oxygen
Residue

Feed vessel Oxygen heater

HP steam

Syngas product Soot scrubber

Claus gas Waste Water stripper To Bio-treater

Soot quench Feed pump Syngas cooler

LP steam

Steam/CO2 Gasifier reactor

Flue gas
ECO

Soot separator

Filter cake Work-up Soot filter

Ni/V ash
10

GTC Oct 2005 San Francisco

BFW

Shell Gasification Process & Refineries FREP, China (3)

Distillates Crude Hydrocracker feed

CD

Component Carbon Hydrogen Oxygen Nitrogen Sulphur Ash Viscosity @ 270 C HHV Vanadium Nickel %wt, MAF %wt, MAF %wt, MAF %wt, MAF %wt, MAF %wt cSt MJ/kg ppmwt ppmwt

De-asphalt Rock 84.0 8.0 0.2 1.0 6.8 0.18 300-350 40.7 275 79

LR

HV SR

SDU Asphalt Diluent

Diluent Bunker

SGP Bunker

Reliable disposal of De-asphalt Rock

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Shell Gasification Process & Refineries FREP, China (4)

Component

Route to Power Acid Gas Removal (Rectisol) Route to Hydrogen Sour CO-Shift Acid Gas Removal (Rectisol) PSA

Design Case mol% 4.2 50.2 43.1 0.3 1.5 0.1

Component N2 Ar H 2O HCN, NH3

Design Case mol% 0.3 0.1 0.2 Traces

CO2 CO H2 CH4 H 2S COS Stream De-aspahlt Rock

Design t/h (st/h) 100.0 (110.2) 92.2 (101.6) 221.6 (244.2) 241.7 (266.4) 0.19 (0.21)
12

Oxygen (Purity 99.5 mol%) Syngas Saturated Steam Metal ash (V, Ni)
GTC Oct 2005 San Francisco

SGP & Refineries FREP, China (5)

Shells experience with Syngas Cooler @ high steam pressure: National Fertiliser Limited, Batinda, India 107 bara (1550 psia) National Fertiliser Limited, Panipat, India 107 bara (1550 psia) Total Spergau, Leuna, Germany 105 bara (1525 psia) Fujian requirement: 121 bara (1755 psia) at BL (into steam system integrated with Ethylene Cracker)

SGP requirement: Syngas pressure always higher than steam pressure Differential pressure design of inlet section & coils Specification of set pressure for Pressure Safety Relief Valves

Shells modular Flat Front design

(Courtesy Standard Fasel-Lentjes B.V.)
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Shell Gasification Process & Refineries FREP, China (7)

Fujian requirement: - 4 years operating cycle with no major capacity reduction - Maintenance while plant in operation - Chinese Codes and Standards (Hazardous area requirements) - Gasification & SARU @ different locations (based on Pernis experience)

Shells experience gained in Pernis with line-up, operation and maintenance

GTC Oct 2005 San Francisco 14

Shell Gasification Process & Refineries FREP, China (8)

Basic Time Schedule: 2004 Founding of JV 12/2004 Licensor Selection 01/2005 Start Process Design 07/2005 Groundbreaking Ceremony 09/2005 Deliver of SGP PDP Standard 3DModule

GTC Oct 2005 San Francisco

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Shell Gasification Process & Refineries LOTOS, Gdansk (update)

Component Carbon Hydrogen Oxygen Nitrogen Sulphur Ash Viscosity @ 280 C HHV %wt, MAF %wt, MAF %wt, MAF %wt, MAF %wt, MAF %wt cSt Asphaltenes 85.9 8.8 0.5 1.2 3.6 0.2 300-350 40.4 CO2 CO H2 CH4 H 2S COS Stream Asphaltenes Oxygen (Purity 99.5 mol%) Syngas Saturated Steam Metal ash (V, Ni) Component Design Case mol% 4.7 49.4 44.3 0.3 0.8 0.0 Design t/h (st/h) 68.0 (75.0) 67.0 (73.8) 152.4 (168.0) 148.2 (163.4) 0.14 (0.16) Component N2 Ar H 2O HCN, NH3 Design Case mol% 0.3 0.0 0.1 Traces

VVVVVVVVVVVVvV
MJ/kg (Courtesy LOTOS, Gdansk Refinery)

SGP process design finished; Basic Engineering completion in 01/2006

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Shell Gasification Process & Refineries Discussion Liquid routes to enhance refinery capacity: Deeper Conversion (DTC) Solvent De-asphalting Key strategic drivers for a strong business case: " Meet future product specifications " Increase crude flexibility (lower cost crudes) " Eliminate high-sulphur fuel oil export " Replace obsolete facilities, improve refinery environmental performance & enhance energy utilisation " Cost effective hydrogen production " Secure or expand employments and regional business opportunities

Flexibility of SGP for an optimal refinery integrated solution!

GTC Oct 2005 San Francisco 17

Joachim.wolff@shell.com