Presentation on theme: "Lube Oil Base Stocks (LOBS) Future Plans For Group II / III"— Presentation transcript:
1Lube Oil Base Stocks (LOBS) Future Plans For Group II / III
2OUT LINE Base Oil production Details of LOBS Processing schemes LOBS qualityBasics of LOBS Manufacturing TechnologiesDetails of LOBS Processing schemesObservations & Conclusions
3LOBS Quality Present LOBS quality fall under API Group I. Spindle AppearanceB&CVI98-10095-97Pour point C-6-1Color, ASTM0.5<1.0<2.5<3.5Sulphur, wt%0.8– 0.9Saturates, wt%NA@ 67@ 65Present LOBS quality fall under API Group I.
4LOBS Quality American Petroleum Institute (API) LOBS Categories API Sats Sulfur VI Typical Manufacturing ProcessI <90% >0.03% Solvent ProcessingII >90% <0.03% HydroprocessingIII >90% <0.03% Wax IsomerisationIV n.a n.a Polyalphaolefins (PAO)V All other BasestocksAmerican Petroleum Institute (API) LOBS Categories
5LOBS QualityAPI specs are not regulatory as in case of automotive fuels, but are set by market & customer requirements.API specs are very broad.What level of API specs the LOBS need to comply with?A refiner may meet the bare minimum saturates as per Group II (90%) and yet may not meet market demand for 99% saturates.
6LOBS QualityThe refiner with this situation must address many questions.What are the target specs of each product?What are the various technology options available?Product slate (Grades of LOBS & whether wax is a product or not?)Integration of Lube block & Fuel blockHow doest it affect the over all profitability?
8Base oil Manufacturing Technology Crude SourceBase OilHydrocracking/HydrotreatingDewaxingNoble Metal HFHydrocracking/HydrotreatingHigh YieldFeed FlexibilitySatisfy Fuel & Lubes DemandHCR/HDT boosts V.I. By converting low V.I. components to high V.I. base oils and also by cracking low V.I. components to lower boiling ranges----- Solvent refining simply removes low V.I. Aromatic components
9Base oil Manufacturing Technology Crude SourceBase OilHydrocracking/HydrotreatingDewaxingNoble Metal HFIsodewaxing(IDW, CLG)/Mobil Selective Dewaxing (MSDW, EMRE)High V.I. Retention resulting in higher overall Yield for Lube trainAbility to handle high wax feeds such as Slack wax.IDW/MSDW reduces pour point primarily by Catalytic Wax Isomerization, giving higher overall product Yield and V.I. Than Solvent Dewaxing or conventional Catalytic Dewaxing.
10ISODEWAXING Isomerization With Minimum Branching Maintains V. I ISODEWAXING Isomerization With Minimum Branching Maintains V.I. and Lowers Pour PointV.IMelting Point, oCN-ParaffinI-ParaffinrC2017416436.6-2.539.1C30156.5143668.657.4Example of how isomerization can lower pour point, yet maintain high VI
11Comparison of Dewaxing Processes Solvent DewaxingCatalytic DewaxingIDW/MSDWWax removalProduct Pour PointYieldsDewaxed Product V.I.By – ProductsOperating costsPhysical – Wax Crystallization and filtration-10 to –15 o CBase CaseSlack waxBase (100%)Chemical – wax Cracking with shape selective catalyst-10 to –50 o CSame or LowerGenerally 5 –10 Numbers LowerGas, Naphtha50 –60 %Chemical – wax Isomerization with shape selective catalystSame or HigherGenerally 5 –10 Numbers HigherGas, Naphtha, Jet, Diesel55 – 65%Comparison of Dewaxing Processes
12Isodewaxing preserves V.I. and viscosity of waxy oil. Product Comparison of Different Dewaxing Processes – Constant Refining SeverityIDW/MSDWSDWV.IWaxy V.I.CDWDewaxed V.I.Dewaxed ViscosityCDWViscosityWaxy ViscositySDWIDW/MSDW
13ISODEWAXING During the Dewaxing Step, Wax Molecules Are Either Removed, Cracked, or Converted Example: nC20, 174 V.I., Melting Point 37 oC^^^^^^^^^^^^^^^^^^^^^^^^^Isodewaxing/MSDWSolvent DewaxingConventional CatalyticDewaxing^^^^^^^^^^^ + ^^C C4, C5, C6^^^^^^^^^^^iC20: 164 V.I., Melting Point –2.5oCWaxWax Cracked to Light gases & NaphthaWax Isomerized to Lube OilWax separated from Oil
14Existing Refinery – Over view Integrated Lube and Fuel complex which operate in tandemSegregated crude/vacuum units which process low sulfur/non lube bearing and lube bearing crudes.Fuel BlockFluid Catalytic Cracking (FCC)Diesel HydrodesulphuriserLube BlockExtraction unitsHydrofinishing unitsSolvent dewaxing unit
16LUBE REFINERY PROCESS UNITS TOBSSEUVDU150NPGLOBS500NP DURCO( 3 Nos )1300NBSIOHIO-100PDAVTBASPHALT
17Base Oil Processing Scheme- Existing Group I Base OilExtractsSpindle RaffinateVPSSpindleEXTRACTIONNMPSDUSpindleSS-I150 N Raffinate150 NSS-II500 N500 N RaffinateBS RaffinateBSIO-100IO-100SDAIO- 1600IO -1600DAONotesArab Mix Crude processed in Lube block
18VACUUM DISTILLATION UNIT DISTILLATION IS SEPARATION OF PRODUCTS BY DIFFERENCE IN BOILING POINTDISTILLATION OF REDUCED CRUDE OIL UNDER VACUUMSEPARATION UNDER VACCUM TO AVOID DECOMPOSITION OF CRUDEMAIN PRODUCTS ARE VACUUM GAS OIL, DISTILLATES FOR LUBES & VTB.COLOR, VISCOSITY, FLASH POINT OF SIDESTREAMS AND VTB PEN ARE MONITORED.
19SOLVENT EXTRACTION UNIT REMOVAL OF AROMATICS FROM DISTILLATE USING NMP AS SOLVENT BY LIQUID - LIQUID EXTRACTION PROCESS . ORIGINALY PHENOL WAS USED AS SOLVENT.IMPROVES VISCOSITY INDEX.IMPROVES COLOR, THERMAL & OXIDATION STABILITY.REDUCES AROMATIC CONTENT
20HYDROFINER UNIT FIXED BED CATALYTIC HYDROGENATION PROCESS HYDROGEN IS USED AS TREAT GASIMPROVES COLOR,COLOUR STABILITY, OXIDATION STABILITY.REDUCES SULPHUR & NITROGEN CONTENT
21PROPANE DEWAXING UNIT PHYSICAL SEPARATION PROCESS WAX IS CRYSTALLISED AT LOW TEMPERATURES AND REMOVED BY FILTERING IN ROTARY DRUM FILTERSPROPANE IS USED AS SOLVENT AND AUTOREFRIGERANT.IMPROVES THE POUR POINT OF LUBE OIL BY REMOVING WAX
22PROPANE DEASPHALTING UNIT PRODUCES DE ASPHALTED OIL BY REMOVING ASHPHALT FROM VACUUM TOWER BOTTOMS (VTB)ASPHALT REMOVAL CARRIED OUT BY COUNTERCURRENT LIQUID - LIQUID EXTRACTIONPROPANE USED AS SOLVENTPRODUCES HIGH QUALITY BRIGHT STOCK OR FEEDSTOCK FOR FCC UNIT AND ASPHALT FROM VTB.DECREASES ASPHALTENE, RESIN, CARBON RESIDUE, SULPHUR AND NITROGEN CONTENT.IMPROVES COLOUR
23Existing LOBS Processing scheme Solvent Extraction Units (SEU) + Hydrofinishers + Solvent Dewaxing unitMultiple units (SEU & HF) are provided to allow simultaneous processing of different grades.No wax production is considered. Slack wax is processed in FCC.DAO from SDA is processed in SEU & SDU to produce BS.
24Existing LOBS Processing scheme Present quality of LOBS (especially Sulfur & saturates ) are far away from Group II specifications.Existing Hydrofinishers are low pressure (58 bar) and hence are not suitable for meeting Group II specs.Even with deeper extraction level of aromatics & sulfur can not be of Group II qualityProduction of Group II base oils require some form of hydroprocessing route.
25Demand Pattern Demand Pattern Setting Demand Pattern Total make200,000 TPA300,000 TPAAPI categoryRemarksBase Oil(‘000 TPA)Spindle15Group IISaturates >99%150 N2580500 N115160IO-1005Group I/PresentIO-1600BS35Total Group II base oils155255
26Base oil Upgrading scheme -1 Group –II oils 255, 000 TPA Add a New 150 bar Hydrotreater (HDT) to existing scheme.Raffinates from existing SEU are processed in a high pressure hydrotreater.Hydrotreated raffinates are further processed in existing Solvent Dewaxing unit.
27Base Oil Upgrading Scheme- 1 Group II Base Oil : 255,000 TPADistillate to fuel ComplexExtractsSpindle RaffinateVPSSpindleEXTRACTIONNMPHDT (150 bar)350,000SDUSpindle 15,000SS-I150 N ,000150 N RaffinateSS-II500 N ,000500 N RaffinateBS ,000IO ,000SDAIO-100IO ,000IO- 1600DAONotesArab Mix Crude processed in Lube block2) VI of 500N 104
28Base oil Upgrading scheme -1 Group –II oils 255, 000 TPA Findings of the scheme.Advantages:Base oils meet all the bare minimum Group II specs.Aromatic levels in base oils, especially 500 N will be around 10%. (disadvantage?)Aromatics in 150 N will be around 5% (disadvantage?)
29Base oil Upgrading scheme -1 Group –II oils 255, 000 TPA Findings of the scheme.Disadvantages:Yield loss (for 500 N) from HDT is significant, for the same LOBS production, raffinate feed reqmt is more and hence higher HDT unit capacity.Higher capital cost because of higher HDT capacity
30Base oil Upgrading scheme -2 Group –II oils 255, 000 TPA Add a New 150 bar Hydrotreater (HDT) + New Hydroisomerisation (HDW) unit to existing scheme.Raffinates from existing SEU are processed in a high pressure hydrotreater.Hydrotreated raffinates are further processed a new Hydroisomerisation unit.Other Base oils are processed in conventional route.
31Base Oil Upgrading Scheme- 2 Group-II Base Oils : 255,000 TPA Distillate to fuel ComplexExtractsSpindle RaffinateVPSEXTRACTIONNMPHDT (150 bar)289000HYDRO ISOM/HYFSpindleSpindle 15,000SS-I150 N Raffinate150 N ,000SS-II500 N Raffinate500 N ,000SDABS BS ,000SDUIO-100IO ,000DAOIO- 1600IONotesArab Mix Crude processed in Lube block2) VI of 500N 104
32Base oil Upgrading scheme -2 Group –II oils 255, 000 TPA Add a New 150 bar Hydrotreater (HDT) + New Hydroisomerisation unit to existing scheme.Hydroisomerisation catalyst is noble metal catalyst and can tolerate low levels of Nitrogen & other contaminantsHydrotreater prepares the feed for this unit.Hydroisomerisation unit upgrades this feed by converting wax to high value VI base oils.Hydrofinishing step is included in this scheme.
33Base oil Upgrading scheme -2 Group –II oils 255, 000 TPA Findings of the scheme.Advantages:Base oils meet or exceed all Group II specs.Aromatic levels in base oils < 1 %Yield loss in HDT compensated in HDW unit.Lower raffinate feed reqmt less than scheme-1.Lower raffinate feed reqmt increases the feed to FCC unit.
34Base oil Upgrading scheme -2 Group –II oils 255, 000 TPA Findings of the scheme.Advantages:The pressure levels of HDT & HDW can be kept same to facilitate integrated operation and both units will have a single recycle loop.Lower capital cost than scheme-1.Provides flexibility for staged investment. Implement scheme-1 and at a later stage integrate HDT with HDW.
35Base oil Upgrading scheme -2 Group –II oils 255, 000 TPA Findings of the scheme.Disadvantages:Destroys wax. In this particular case, wax is not a product.
36Base oil Upgrading scheme -3 Group –II oils 255, 000 TPA Add a New 150 bar Hydrotreater (HDT) + New Hydroisomerisation (HDW) unit for slack waxRaffinates from existing SEU are processed in a high pressure hydrotreater.Slack wax from SDU is processed in a new Hydroisomerisation unit.Other Base oils are produced in conventional route.
37Base Oil Upgrading Scheme- 3 Group II Base Oil : 255,000 TPADistillate to fuel ComplexExtractsSpindle RaffinateVPSSpindleEXTRACTIONNMPHDT (150 bar)350,000SDUSpindle 15,000SS-I150 N ,000150 N RaffinateSS-II500 N ,000500 N RaffinateBS ,000IO ,000IO-100SDAIO ,000IO- 1600DAOSlack wax 100,000HDW/HFNotes150 N 70,000Arab Mix Crude processed in Lube blockGroup III2) VI of 500N 104
38Base oil Upgrading scheme -3 Group –II oils 255, 000 TPA Findings of the scheme.Advantages:Base oils from SDU meet bare minimum Group II specs.Slack wax processed in HDW produces 150 N of Group III.Maximum utilization of SDU capacityOption for staged investment.
39Base oil Upgrading scheme - 3 Group –II oils 255, 000 TPA Findings of the scheme.Disadvantages:Aromatic levels in 500 N will be around 10%.Higher capital cost because of high RHT unit capacities & wax Isomerisation unit.
40Base oil Upgrading scheme -4 Group –II oils 255, 000 TPA New Hydrocracker + New HydroisomerisationAll side streams from VDU are routed to Lube hydrocracker (LHCU).The waxy streams from LHCU processed in HDW.LHCU also produces hydrocracked VGO (non-lube material) which is routed to FCC.
41Base Oil Upgrading Scheme- 4 Group II Base Oil : 255,000 TPA 360ºC & lighterLight FeedHeavy<360ºCLube HydrocrackerBlocked Operation 1340,000 TPA290,000 TPAHDWDieselSpindle OilSpindleStreams150 NWaxy 150N500NVDUSideStreamsWaxy 500NHeavy FeedHydrocracker DS VGO0.005% SulfurFCCU870,000NotesArab Mix Crude processed2) VI of 500N > 120
42Base oil Upgrading scheme -4 Group –II oils 255, 000 TPA Findings of the scheme.Advantages:Flexibility to process higher volumes of high sulfur crudes. Greatest crude flexibility.Base oils exceed Group II quality.FCC feed quality has significantly improved which results in high yields of value distillates such as LPG, gasoline.Quality of FCC products w.r.t sulfur significantly improves.
43Base oil Upgrading scheme - 4 Group –II oils 255, 000 TPA Findings of the scheme.Disadvantages:High Hydrogen consumptions and hence additional hydrogen plant required.Existing Lube processing facilities become redundant.Highest capital costs.
44Utilization of Existing Lube processing facilities Existing 60 bar Hydrofinishers.The pressure levels of HDT & HDW are around 150 bar.Existing HF can not be used because the product quality as measured by aromatics and color would actually degrade by using these HFExisting Solvent Dewaxing Unit:In scheme-2 only BS & IO’S are processed in SDU. This results in underutilization of SDU.Reduce the 500 N Group II requirements. Utilize the existing scheme to produce 500 N, BS & IOs of Group I quality.This will allow the refiner the greatest flexibility to produce Group I as well as Group II depending on market demand.
45Integration of Hydroprocessing and Solvent Extraction Hydroprocessing can be Integrated with Solvent Extraction plants to improve product Quality/Yield & flexibility to make Group II/III OilsSEUSDWHFGroup ISlack Wax/Soft WaxRaffinateGroup IIIHDTHydro ISOMHDFGroup II
46Base Oil Upgrading Scheme- 5 Group-II Base Oils : 155,000 TPA Distillate to fuel ComplexExtractsAddl feed to FCCSpindle RaffinateVPSEXTRACTIONNMPHDT (150 bar)176000HYDRO ISOM/HYFSpindle150 N ,000SS-I150 N RaffinateSpindle 15,000SS-II500 N Raffinate500 N ,000SDABS Raffinate BS ,000SDUIO-100DAOIO ,000IO- 1600IONotesArab Mix Crude processed in Lube block2) VI of 500N 104
47Observations & Conclusions If an Extraction unit is present, it is more economical to produce Group II LOBS via raffinate HDT route.Staged investment is an option for the refiner. In the first phase HDT can be considered and at a later stage Hydro Isom can be added.
48Observations & Conclusions Quantity of 500 N affects the over all economics. Since the trend is to move towards lighter viscosity grades, refiner has to judiciously decide the break up of Group I & Group II.Consider VI of LOBS (especially 500 N with in Group II). Increasing the VI beyond Group II requirements will reduce the yields, increase the capital investments and hence not economical.While revamping the FCC unit, consider additional feed in FCC unit, keeping in view the fluctuating demand of LOBS.
49Observations & Conclusions Can LOBS quality improvement alone justify investment?This is a difficult question to answer.With 255,000 TPA of Group II LOBS, revenues are better but these do not give better IRR because of higher capital costs & impact on Fuel block products.With 155,000 of Group II LOBS, IRR could be better. Thus each refiner should evaluate the economics based on target LOBS production.While maximizing LOBS production, consider maximizing value added products such as LPG from FCC etc. to improve over all refinery profitability.