Preliminary Feasibility Report (PFR) for setting up of

Preliminary Feasibility Report (PFR) for setting up of Petro-Resid Fludizied Catalytic Cracker at Mumbai Refinery.

1

Annexure B

Preliminary Feasibility Report (PFR)

for setting up of Petro-Resid Fludizied Catalytic Cracking

Unit (PRFCC)

at Mumbai Refinery.

APRIL 2018

Bharat Petroleum Corporation Limited.

Preliminary Project Feasibility Report (PFR) for setting up of Petro-Resid

Fludizied Catalytic Cracker at Mumbai Refinery.

Bharat Petroleum Corporation Limited, Mumbai Refinery Page 2 of 17

Table of Contents

1. Introduction

2. Objective

3. Scope of Facilities

4. Advantages of the project and technology high lights.

5. Potential Technology Licensors

6. Unit Design

7. Block Flow Diagram

8. Material balance

9. Location of Unit

10. Utility Systems

11. OSBL

12. Finincial Analysis

13. Project Implemenation Schedule

14. Health, Safety & Environment




1 INTRODUCTION

Mumbai Refinery (MR) of Bharat Petroleum Corporation Limited (BPCL), has an

installed capacity of 12.0 Million Metric Tonnes per Annum (MMTPA) located at

Mahul, Mumbai, Maharashtra, India. The refinery was commissioned in 1955 with a

crude oil processing capacity of 2.2 MMTPA in a plot area of 450 acres. The refining

capacity has been augmented to 12.0 MMTPA through progressive revamps,

addition of various process units and incorporating advanced refining technologies.

Refinery processes various types of crudes which include Bombay High, East

African, Petronas, Kuwait, Arab mix, Arab medium, Basrah, Arab extra light, Murban,

Umm Shaif etc. The main products are LPG, Naphtha, MS, Benzene, Toluene,

Hexane, SBP, MTO, Kerosene, Jet Fuel, Diesel, Light Diesel Oil, Lubes, Fuel Oil,

LSHS and Bitumen.

While BPCL has already addressed the quality upgrade for gasoline and diesel fuel

products to meet BS-VI standards, BPCL wants to remain competitive, improve

refinery profitability further by improving the efficiency of older units and reducing fuel

& loss.

Feasibility study has been carried out by M/s Flour evaluating various options for

profitability improvement. One of the option was to replace existing CCU & FCCU

with new state of art, highly energy efficient and petro chemical based Petro Resid

Fludized Catalytic Cracker (PR FCC). Existing CCU is of Shell design installed in

1955 and FCCU of UOP design installed in 1985.

Installation of PRFCC would also enable MR to increase its high Sulphur crude

processing capability and target a production of about 450 KTPA of Propylene. This

new unit will be installed at Mumbai Refinery (MR) of Bharat Petroleum Corporation

Ltd. (BPCL)

MR currently has space constraints to accommodate Petro Chemical facilities and

hence is in the process of acquiring additional ~400 acres of land at Rasayani, which

is located at a distance of about 50 kms from MR. Utilizing this land and leveraging




the Propylene from PRFCC, it is proposed to set up about 450 KTPA of

Polypropylene unit with associated facilities at Rasayani.

Based on the feasibility report from M/s Flour, M/s Bechtel Engineering And

Construction India Pvt Ltd (BECI) has been engaged by BPCL to develop a Detailed

Project Feasibility Report (PFR) with +/-20% cost estimate for the addition of PRFCC

and PP plants in the Mahul Refinery and Rasayani complex.

2 OBJECTIVE

The objective of the project is installation of PRFCC to replace the older units of

CCU & FCCU by latest state of the art technology, energy efficient, better yield unit.

This unit also provides opportunity for setting up a downstream petrochemical units

like Polypropylene based on propylene available from PRFCC).

3 SCOPE OF FACILITIES

The scope of the project is to install a Petro Resid Fluidized Catalytic Cracker Unit

(PRFCC) along with a Propylene Recovery Unit to provide raw material for

downstream petrochemical units and processing of vacuum residues. Major process

units proposed under configuration are:

Unit Code Name TPD

PRFCC Petro Resid Fluid Catalytic Cracker 9000

PRU (Note 1) Propylene Recovery Unit 1073

PRFCC SWS Sour Water Stripper 1300

ARU Amine Regeneration Unit 1440

SRU Sulphur Recovery Unit 165

Note 1. Capacity is amount of Polymer grade Propylene

produced.




4 ADVANTAGES OF THE PROJECT AND TECHNOLOGY HIGH LIGHTS.

Unit Replaces the old CCU and FCCU unit with a high efficient unit using

latest technology.

Tighter heat integration with production of high pressure steam from process

flue gas heat recovery.

A power recovery turbine of around 18 MW during normal operation from the

exhaust flue gas from the PRFCC.

DeNOX facility to reduce NOx emission using a combination of SCNR and

SCR technology along with Low NOx burners.

Produce feedstock for downstream petrochemical units to meet the increasing

demand for petrochemical products.

5 POTENTIAL TECHNOLOGY LICENSORS

The potential licensors for PRFCC and associated units are given below:

AXENS

CB&I

UOP

KBR

While all the above are potential licensors for PRFCC, some of them may not have

the technologies for associated units. However, they can liaison with licensors of

associated units with them being the lead licensor. It is recommended that a single

licensor design basis be developed for PRFCC and associated units with PRFCC

licensor being the single point of contact.

6 UNIT DESIGN

The following new process facilities are envisaged as part of the various units under

PRFCC complex:




PRFCC Reactor & Regeneration

PRFCC Main Fractionator & Unsaturated Gas Plant (USGP)

Flue Gas Treatment Facilities

Propylene Recovery Unit (PRU)

Unsaturated LPG Treating Unit (LTU)

RFCC Sour Water Stripping Unit (SWS)

Amine Regeneration Unit (ARU)

Sulphur Recovery Unit (SRU)

The following new / additional Utilities and Offsite facilities are envisaged post

PRFCC:

New Sea Water Cooling Water System

New Condensate Polishing Unit facilities with tankages

Additional Instrument & Plant Air generation facilities.

Additional BFW generation facilities

New Flare System.

6.1 FEED TO THE UNIT

The feed stock to the PRFCC complex is a blend of following intermediates from

Vacuum Distillation Units and VGO Hydrocracker:

Vacuum Residue (VR) 2455 TPD From CDU/VDU-3 & 4

Vacuum Gas Oil (VGO) 6426 TPD From CDU/VDU-3 & 4




Unconverted Cycle Oil (UCO) 119 TPD From Hydrocracker

Blend 9000 TPD To PRFCC Complex

The crude processing capacity of the refinery is 12 MMTPA. The refinery is

processing a blend of the following crudes:

Crude Type Percentage

Bombay High 21%

Azeri 11%

Saharan 11%

-Arab Extra Light 29%

Murban 14%

Arab Mix (65-35) 14%

Total 100%

6.2 PRFCC REACTOR AND REGENERATION

The purpose of PRFCC unit is to convert a mix feed of Vacuum Residue / Vacuum

Gas Oil (VGO) from Vacuum Distillation Unit (VDU) and Unconverted Cycle Oil

(UCO) from hydrocracker into Propylene rich light gases and high-octane gasoline.

The intent is to maximize Propylene production. Licensor shall configure the design

to maximize propylene yields.

The PRFCC Reactor & Regeneration shall typically include the following:

Reactor

Regenerator




Catalyst Cooler (Licensor to confirm requirement)

Main Air Blower

CO Boiler

Power Recovery Turbine

Catalyst Storage and Handling Facilities

6.3 MAIN FRACTIONATOR AND UNSATURATED GAS PLANT (USGP)

The Main Fractionator and Unsaturated Gas Plant (USGP) shall typically include the

following:

Main Fractionator and associated systems

Wet Gas Compressor

Stripper and Absorber System

Cracked Naphtha Debutanizer

LPG and Off Gas Amine Absorber

6.4 FLUE GAS TREATMENT FACILITIES

Flue Gas treatment facilities will be provided as part of PRFCC to scrub the

regenerator flue gas and reduce SOx, NOx and particulate emissions.

6.5 UNSATURATED LPG TREATING UNIT

The purpose of the Unsaturated LPG Treating Unit (ULTU) is to remove sulfur

compounds (mercaptans, H2S and COS) from amine treated LPG received from

PRFCC.

The Unsaturated LPG Treating Unit ( ULTU) shall typically include the following:




Caustic wash section

Water wash section

Caustic regeneration section

Spent Caustic Degassing

6.6 PROPYLENE RECOVERY UNIT

The Propylene Recovery unit separates mix LPG’s into polymer grade Propylene,

Propane and Mixed C4’s.

The Propylene Recovery Unit (PRU) will typically include the following:

C3/C4 Splitter

Dryer and Contaminant Removal facilities

Deethaniser

C3 Splitter with Heat Pump Compressor




7 BLOCK FLOW DIAGRAM




8 MATERIAL BALANCE (MT/D)

9 LOCATION OF UNIT

Location of PR FCC will be well within Refinery permsis. Old units CDU 1 & 2 which

have been decommissioned after commissioning of CDU 4 are in the process of

dismanteling. As per preliminary assessment, PRFCC can be accommodated within

this plot. Exact plot space required and equipment locations will be carried out in

detail during DFR. Location of PRFCC plot in MR is shown as below.

PR

FCC

(9000 MT/D)

OFF GAS 655 (7.28%)

PROPYLENE 1106 (12.28%)

PROPANE 137 (1.52%)

LPG 1371 (15.23 %)

GASOLINE 2718 (30.2%) TO GTU

LCO 1459 (16.21%) TO FO/HSD

SLURRY OIL 746 (8.29%) TO FO

COKE 808 (8.98 %)

HCU UCO 119

VGO 6426

VR 2455




10 UTILITY SYSTEMS

Existing utility facilities shall be utilized for PRFCC and capacities shall be

augmented wherever required. Since PRFCC is replacement for CCU & FCCU, it is

expected that most of the utiiltes can be met from exisiting systems. The additional

utilites envisaged for PRFCC are as follows:

a. Sea Cooling Water Circulation Unit: A dedicated Sea Cooling Water system for

PRFCC and associated units will be provided. The new sea cooling water system

will be a closed loop circulating system with sea water makeup from the existing sea

water intake facilities. The blowdown from the new sea water cooling system will be

sent to the existing sea water outfall.

The sea cooling water requirements for PRFCC and associated units is estimated to

be around 23,000 m3/h. The design circulation capacity is considered to be around

26,000 m3/h. During DFR, adequacy of existing sea cooling water will be checked in

lieu of dismanteling of CCU and FCCU.




b. Raw Water/ DM Water & BFW: Requirement of Raw Water, DM water and Boiler

Feed water (BFW) is expected to be met from existing facilities since PRFCC is

replacement of CCU & FCCU. Exact additional quantity will be worked out during

DFR. Raw water is know as DM water after treatement in DM plants. This DM water

after treatement in Dearators know as Boiler Feed Water (BFW) is used in three

number of boilers, three HRSGs of Gas Turbines GT 1,2 & 3 and in waste heat

steam generators in process plants. The DM water & BFW can be met from

existing facilities however detailed adequacy check will be done in DFR

c. Instrument Air / Plant Air (IA/PA) Unit: Since unit is replacement for CCU & FCCU,

it is expected that IA & PA can be met from existing system. The installed Instrument

air drying capacity in the refinery is 25,200 Nm3/h of which one dryer capacity of

4500 Nm3/h is considered under maintenance.The current normal and peak

Instrument Air consumption in the refinery are 15,409 Nm3/h and 22,575 Nm3/h

respectively. For the new PRFCC units, 1897 Nm3/h of Instrument Air (for

Instruments) is required.

During normal demands, there is adequate capacity in the existing Instrument air

dryers for catering to additional demands from PRFCC and associated units.

d. Nitrogen System: Nitrogen consumption is expected to be intermittent for PRFCC

and associated units usually during start-up and shutdown. Also nitrogen

consumption for CCU & FCCU will be saved as PRFCC is replacement for these

units. Estimated peak Nitrogen requirement is 7407 Nm3/h. The intermittent

requirements are met from existing Liquid Nitrogen storage facilities for existing

refinery units which will also apply for the new units. Existing facilities have a liquid

Nitrogen storage volume of 660 m3. Approximate liquid Nitrogen volume estimated

for PRFCC and associated units is 70 m3 which can be sourced from the existing

Liquid Nitrogen facilities.

No Nitrogen facility shall be required as nitrogen required for startup and shut down

shall be made available by trucks supplying liquid Nitrogen which can be vaporized

in the existing set up.




e. Fuel Gas System: PRFCC is net exporter of fuel gas. During normal operation, unit

can generate around 17 MT/D of FG and consumption will be around 10 MT/D.

Hence 7 MT/D can be exported to Refinery FG system. During start up of unit, RLNG

is available as make up to FG system.

f. Steam System: Steam generation from refinery process units post addition of

PRFCC and associated units is estimated to be 641 TPH. This includes a net steam

export of 127 TPH from PRFCC Unit.Steam Consumption in refinery process units

post addition of PRFCC and associated units is estimated to be 941 TPH.The net

Steam demand of 300 TPH will be met by the existing HEBs and HRSGs. No

additional boilers will be required.

g. Power: The present refinery power consumption is around 115 MW. The maximum

power generation from the Gas Turbines in the existing refinery is 76 MW. The

balance power is sourced from the grid. Power requirement in refinery post addition

of PRFCC and associated units is estimated to be around 176 MW. Hence an

additional power of 61 MW will need to be sourced from the grid.

A Power Recovery Turbine(PRT) is envisaged in PRFCC to extract power from Flue

gases. During normal operation, Flue Gas Power Recovery Turbine in PRFCC is

estimated to generate around 18 MW power, which will reduce the net power

demand to 43 MW.

11 OSBL FACILITIES:

Hydrocarbon Storage & Movement: The storage requirements can be mostly met

from existing tanks as per initial preliminary study. Existing fuel oil tanks 701 & 702

can be used as PRFCC feed tanks, existing propylene bullets V7 & V8 can be used

for propylene ex PRFCC also, existing Naphtha tanks 527 & 528 can be used for

naphtha storge ex PRFCC, existing tanks 705 & 715 can be used for LCO and 601 &

602 for clarified slurry oil. Required pipelines need to be installed to send the

products to existing storage and distribution facility. During DFR, tankage

requirement can be worked out in detail. New bullets may be required for Propylene

and LPG as the yield is getting increased.




a. Flare: The existing refinery flare has three independent demountable type flare

stacks and KOD’s located adjacent to each other. The stacks are designed to

normally operate in 2 operating and 1 standby mode of taking care of all possible

hydrocarbon loads from the refinery complex. Existing flare system is fully utilized

hence new flare is expected to be installed to cater PRFCC to safely dispose of the

relieving materials during any upset scenarios and to allow safe venting of the

equipment/process systems. However during DFR, adequacy check up of exising

flare system will be carried out with different mitigitation measures to avoid new flare

system. Also flare load due to CCU & FCCU will be nil post commissioning of

PRFCCU. .

b. Effluent Processing: The effluent generation ex PRFCC can be processed in

existing WWTP. The WWTP has surplus capacity of 50 M3/hr. WWTP needs to be

evaluated once exact quality and quantity of effluent ex PRFCC is known. No new

effluent storage tank is envisaged as per preliminary study.

c. Sour Water Processig: The sour water generated ex Fractionator overhead and

unsaturated gas plant has to be treated for H2S and NH3. The treated water can be

sent to desalter of CDUs. One new two stage SWS of approximate capacity 1300

TPD is envisaged. Sour water generation ex CCU & FCCU will be nil as these

plants will be decommissioned after PRFCC commissioning.

d. Fire Water Network: Fire water requirement needs to be worked out and fire water

network analysis needs to be carried out. It is expected that existing fire water

system will be adequate since fire water requirement for CCU & FCCU will be nil.

e. Civil Jobs: Requirements for buildings like substations, control rooms, process

operator cabins, warehouse, fire & safety building and mechanical workshop needs

to be studied for adequacy.

f. Analysis: Requirement of enhancement of existing laboratory needs to be further

explored.




12 FININCIAL ANALYSIS

As per the preliminary estimates, the total project cost including all associated

facilities is expected to be in the range of Rs 7500 to 8500 Crores. Estimate with +/-

20% will be known during DFR. Considering the current cost of crude & products and

approximate yield from PRFCC, the approximate return on investment (ROI) is

expected to be 15%.

13 PROJECT IMPLEMENTATION SCHEDULE

An EPCM mode of construction is envisaged for the project.. Total project

implementation schedule after getting Environmental clearance, other statutory

approvals and final investment approval is expected to be around 36 Months.

14 HEALTH SAFETY & ENVIRONMENT

The unit shall be designed in accordance with local regulations, international industry

standards and codes.During DFR, priority will be given to maximize heat recovery by

means of heat integration with process streams which will reduce cooling water and

fan power consumption in rundown coolers.

It will be ensured that the addition of PRFCC and associated facilities shall not

exceed the SOx Emission rates beyond the current stipulated value of 10.4 TPD.

A flue gas scrubber will be provided to reduce the SOx and particulate emissions

from flue gases to local emissions stipulations. Combination of SCNR and SCR

technologies along with low NOx burners will be explored for use in CO incinerators

to reduce NOx emissions.

Water used for scrubbing will be sourced from stripped water coming out of

existingnonphenolic sour water stripper units thereby avoiding additional raw water

consumption. The purge water after treatment to remove solids will be sent to ETP.

Stripped water from new Sour water stripper will be routed to existing CDU desalters

due to presence of phenols and cyanides. This will also not be used in flue gas

scrubbers due to the contaminants mentioned.




Sea water blowdown from sea water cooling towers will be sent to existing sea water

outfall. Steam Condensate blowdowns will be cooled and sent to existing ETP.

Solid wastes primarily comprise of catalysts collected in Third and Fourth Stage

Separators and Flue Gas scrubber. Additionally, spent catalysts are periodically

withdrawn. These solid wastes are usually used for landfilling or in cement

industries.

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Preliminary Feasibility Report (PFR) for setting up of