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AM-14-24 Shale Gas-Driven Wave of New Petrochemical Plants in North America is Opportunity for Refiners

Dillip Dharia Technip Stone & Webster Houston, TX Alexander Maller Technip Stone & Webster Houston, TX Eusebius Gbordzoe Technip Stone & Webster Houston, TX

Format:
Electronic (digital download/no shipping)

Associate Member, International Member, Petrochemical Member, Refining Member - $0.00
Government, NonMember - $35.00

Description:

The refining and petrochemical industries are facing a variety of opportunities and challenges following the rise of shale gas. The availability of low cost, light feedstock has provided a strong incentive for petrochemical companies to process ethane in steam crackers to produce ethylene. This trend in utilization of ethane feed to steam crackers is expected to increase in the next decade, especially in the US. However, this shift towards lighter feeds for the steam cracker will reduce the availability of other petrochemical feedstocks, in particular propylene. Historically, propylene supply has been met primarily by steam cracking, which produces propylene as a byproduct of cracking naphtha or LPG. When cracking ethane feedstock, the steam cracker produces limited quantities of propylene. The propylene production deficiency associated with steam crackers utilizing ethane feed, coupled with anticipated increased global demand for propylene, will result in a production gap that may create attractive margins for on-purpose propylene production. Refiners are capable of filling the supply gap via use of Fluidized Catalytic Cracking (FCC) technology. The FCC unit, both grassroots and revamped, is capable of playing a key role in an integrated refinery/petrochemical complex geared towards light olefins production. Fluidized Catalytic Cracking (FCC) units have long been the heart of the modern oil refinery for their ability to upgrade low value feedstock to high value light hydrocarbon products. The technology can be tailored for a variety of feedstocks, such as Vacuum Gas Oils (VGO) and heavy Atmospheric/Vacuum Resids. Since the FCC process was developed in the USA in the 1940s, its primary objective has been to produce high octane gasoline. Subsequent improvements to hardware and catalysts have increased safety, efficiency and boosted production of gasoline. It was not until the development of zeolite catalysts in the 1960s and 70s, originally intended as a gasoline octane booster, that the idea of an FCC unit being used to selectively produce LPG/propylene became a possibility. Further advances in FCC catalyst technology, as well as FCC hardware, have made this possibility a reality. The modern FCC unit can be designed for on-purpose production of LPG and propylene at more than 40 wt% and 20 wt% on fresh feed basis, respectively.

Product Details:

Product ID: AM-14-24
Publication Year: 2014