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    Shell Global Solutions

    Shell Gasification Technology:

    Generating Profit from the Bottom of the

    Barrel

    Joachim Wolff

    Jack Jones

    Shell Global Solutions International BV

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    2Shell Global Solutions

    Presentation overview

    Challenges facing refiners

    How gasification can help Suitable feedstocks

    Technical insights

    Typical process schemes

    Project lists and case studies

    Conclusions

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    3Shell Global Solutions

    Shell Global Solutions

    Combining the operating experience of over 4500 staffwith

    proven implementation skills and advanced technologies

    Diverse cultures andnationalities

    Over 50 years ofimplementing businessand engineering solutions

    Continued investment in

    innovation

    Houston

    Chester

    Hamburg

    Amsterdam/

    The Hague

    Rouen

    Kuala Lumpur

    Beijing

    Tokyo

    Buenos Aires

    Moscow

    Dubai

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    4Shell Global Solutions

    Challenges for the oil-refining industryRefiners are looking for solutions that will help them to

    Reduce plant emissions

    Meet environmental legislation Cut deeper into the barrel

    Increase their hydrogen supplies.

    It is vital that they develop cost-effective strategies for

    Disposing of their crude oil residues

    Use own feedstocks like petcoke

    Increasing the yield of lighter, high-value products(low sulphur, low aromatics).

    Gasification may be able to help refiners rise to these challenges

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    5Shell Global Solutions

    What is gasification?

    Gasification converts hydrocarbon feedstocks

    into syngas

    It involves partial combustion

    - 2(CH2) + O22CO + 2H2

    Syngas is a mixture of carbon monoxide and

    hydrogen Syngas can be

    - Converted into products such as ammonia,

    methanol, oxo-chemicals, synthetic hydrocarbons

    or hydrogen

    - Used as a fuel

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    6Shell Global Solutions

    Shell gasification feedstocks

    The feed to the gasifier can be

    Solid Shell Coal GasificationProcess (SCGP) including coal,

    lignite and petroleum coke

    Liquid Shell Gasification Process(SGP) including oil distillates,

    residues and natural gas

    Converting a wide range of feedstocks into hydrogen and power

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    7Shell Global Solutions

    SGP compared with SCGP key features

    Technologies can be tuned to a variety of refinery

    configurations

    SGP SCGP

    Typical feedstock

    Operating temperature

    Operating pressure

    Slagging condition

    Gasifier

    Boiler

    Vacuum residue

    1320C

    3565 bar

    Non-slagging

    Refractory-lined

    Fired-tube

    Petroleum coke

    >1500C

    2545 bar

    Slagging

    Membrane wall

    Water tube

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    8Shell Global Solutions

    Refinery residue options

    Helping refiners to convert the bottom of the barrel

    Distillation andvacuum

    distillation

    Residue

    hydroprocessin

    g

    (Deep) thermalcracking

    Delayed coking

    Solvent

    deasphalting

    Vacuum distillation

    (and deasphalting)

    Vacuum distillation(and deasphalting)

    Crude oil

    Petroleum

    coke

    Heavy

    viscous

    residue

    SG

    P

    SCG

    P

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    9Shell Global Solutions

    Why gasification for refineries?

    Gasification offers attractive options for refiners

    Feed

    *

    Gasification*

    and

    Gas treating*

    Oxygen

    Steam

    Clean

    syngas

    (CO + H2)

    Hydrogen Chemicals, ammonia,

    methanol

    Clean syngas for

    refinery use

    Boilers

    Furnaces

    Synthesis ofHydrocarbons*

    Liquid

    transportation fuels

    Power generation

    IGCC

    Electricity

    Steam

    Sulphur*

    * Shell Technology Application

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    10Shell Global Solutions

    SGP

    Typical process scheme

    Key details Recent projects

    Pernis case study

    Converting the bottom of the barrel into

    valuable products

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    11Shell Global Solutions

    SGP residue gasification

    Lower availability compared to Partial Oxidation using

    NG

    SGP co-annular burner for viscous feed with high ash

    Stable operating condition key for reliability ( minimal

    external disruptions like blackout, off take, O2, steam)

    SGP: fully automated start up, normal ops, shut down

    SGP: unique SARU design, does not affect availability

    Refractory (& other equipment) maintenance cycle

    matches well with refinery shutdown

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    12Shell Global Solutions

    Elementary analysis

    C

    H

    S

    N

    O

    Ash

    Total

    Vanadium

    Nickel

    Sodium

    Viscosity (100oC)

    Feedstock type UnitsVisbreaker

    residue

    Butane

    asphalt

    %wt 85.27 84.37

    %wt

    %wt

    %wt

    %wt

    %wt

    %wt

    ppm wt

    ppm wt

    ppm wt

    cSt

    10.08

    4.00

    0.30

    0.20

    0.15

    100

    270700

    120

    30

    10,000

    9.67

    5.01

    0.52

    0.23

    0.20

    100

    800

    200

    30

    9.17 107

    SGP feedstock flexibility

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    13Shell Global Solutions

    SGP can process a wide range of feedstocks

    H2

    CO

    CO2

    CH4

    N2

    Ar

    H2S

    COS

    Total

    HHV

    LHV

    Feedstock type UnitsRaw gas from

    SGP unit

    Clean gas after

    desulphurisation

    %vol 49.62 50.04

    %vol

    %vol

    %vol

    %vol

    %vol

    %vol

    %vol

    MJ/Nm3

    MJ/Nm3

    2.84

    0.30

    0.60

    0.80

    0.76

    0.03

    100

    12.33

    11.42

    2.82

    0.30

    0.60

    0.81

    5 to 20 ppm

    5 to 20 ppm

    100

    12.23

    11.33

    %vol 45.05 45.43

    SGP feedstock flexibility

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    14Shell Global Solutions

    Typical SGP process scheme

    Gasification

    The feedstock

    is converted

    to syngas

    High-pressuresteam is generated

    from the hot syngas

    Syngas effluent

    coolerResidual carbon and

    ash are removedfrom the syngas

    Carbon

    removal

    Residue

    Oxygen

    Steam

    Raw syngas Raw syngas

    High-pressure steam

    Clean syngas

    Ash and residual carbon

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    15Shell Global Solutions

    SGP key details

    Requires an integrated approach

    Can process virtually all refinery oilresidues

    Enables refiners to use heavier

    crudes Can help refiners enhance their

    yield of high-value products

    Tailor-made solutions are integrated into existing complexes

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    16Shell Global Solutions

    Case study: Pernis refinery

    Pernis business situation

    - Required a performance step change Solution integrating the SGP

    Resultant syngas is used to

    - Produce hydrogen for the hydrocracker- Fuel the IGCC plant

    Business benefits

    Benefiting from integrating a polygeneration plant into the

    refinery

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    17Shell Global Solutions

    Shell Gasification Process & Refineries - Gasification

    Hydrogen

    Residue disposal

    Hydrogen

    Power

    3 * 550 t/dAsphaltLotos, Gdansk

    Hydrogen

    Residue disposal

    Hydrogen

    (Power)

    3 * 1150 t/dAsphaltConocoPhillips

    ,

    Wilhelmshave

    n

    HydrogenHydrogen

    (Power)

    3 * 1200 t/dAsphaltFujian

    Refinery

    Ethylene

    Project

    Hydrogen

    Steam for SAGD

    Hydrogen

    Fuel gas

    (Power)

    4 * 1033 t/dAsphaltOpti Canada

    Residue disposalSyngas

    (Hydrogen)

    2 * 600 t/dVFCRAgipSannazzaro

    Emissions

    Hydrogen

    Heavier crude oil

    Hydrogen

    (Power)

    3 * 550 t/dHYCON+VFC

    R

    Shell Pernis

    Driver

    Business Case

    ProductCapacityFeedstockPlant Site

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    18Shell Global Solutions

    Shell Gasification Process & Refineries Projects

    Full refinery integrationImport of cheap crude

    oil

    Lotos, Gdansk

    Full refinery integrationCapacity increase of the

    refinery

    Conoco Phillips,

    Wilhelmshaven

    Full integration betweenrefinery, gasification

    and chemical complex

    Chemical site;Very high pressure

    steam (121 bara; 1755

    psia)

    Fujian RefineryEthylene Project

    Full integration to

    upgrader and SAGD

    Syngas substitutes

    natural gas

    Opti Canada

    Limited integration

    (low pressure BFW,cooling water etc.)

    Superheated steam ex

    Syngas Cooler

    Agip Sannazzaro

    Full refinery integrationGasifier fuel

    Gas turbine fuel

    Shell Pernis

    IntegrationSpecial aspectsPlant Site

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    19Shell Global Solutions

    Owner Location Feedstock Input, t/dSyngas,

    106Nm3/dEnd product

    Startup

    date

    Shell Nederland

    Raffinaderij

    Lanzhou

    Chemical

    Chemopetrol

    revamp

    Lucky Goldstar

    Eni SpA

    Opti/Nexen

    Fujian ethylene

    project

    Rotterdam,

    Netherlands

    Lanzhou, China

    Litvinov,

    Czech Republic

    Naju, Korea

    Sannazzaro,

    Italy

    Alberta, Canada

    Fujian, China

    Cracked

    residue

    Vacuum

    reside

    Cracked

    residue

    Vacuum

    residue

    Cracked

    residue

    Asphalt

    Asphalt

    1650

    700

    1250

    225

    1200

    3100

    2180

    4.7

    2.1

    3.6

    0.7

    3.4

    7.5

    5.7

    Hydrogen/

    power/steam

    Chemicals

    Chemicals/

    hydrogen

    Chemicals

    Hydrogen/

    power

    Steam/

    hydrogen

    Hydrogen/

    power

    1997

    1998

    2001

    2001

    2006

    2007

    2008

    Recent SGP projects

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    20Shell Global Solutions

    SCGP

    Typical process scheme

    Key details Recent projects

    Buggenum case study

    For sustainable utilisation of petroleum

    coke and other solid feedstocks

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    21Shell Global Solutions

    Typical SCGP process scheme

    Coal

    Milling/drying

    Coal feeding

    Oxygen

    Quench gas

    900C

    >1500C

    Dry solids

    removalWet scrubbing Gas treating

    Clean syngas

    Sulphur

    Water

    treatmentFly-ash system

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    22Shell Global Solutions

    SCGP petcoke gasification

    Excellent carbon conversion

    Fuel

    Water in feed wt%, a.r. 1.5

    C

    HO

    N

    S

    Ash

    LHV

    Oxygen, 95.5% O2

    Steam

    Crude gas, dry

    H2

    CO

    CO2

    CO+H2Gasifier outlet temperature

    Cold gas efficiency

    wt%, dry

    wt%, drywt%, dry

    wt%, dry

    wt%, dry

    wt%, dry

    MJ/kg, dry

    kg/kg, dry

    vol%, dry

    m3/kg feed, dryC

    %, HHV based

    kg/kg, dry

    vol%, dry

    vol%, dry

    88.3

    4.8

    0

    2.9

    3.7

    0.4

    35.7

    1.04

    0.23

    30 %

    63 %

    2 %

    2.341600

    82.7

    Petroleum coke,

    dried

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    23Shell Global Solutions

    SCGP key details

    Versatile process converts coal and coke

    into syngas

    Syngas can be used for

    - Chemical manufacturing

    - Hydrogen production

    - Production of synthetic hydrocarbons- Power generation

    Features

    - Low oxygen consumption

    - High efficiency, reliability and availability

    - Meets environmental legislation

    Strong environmental credentials

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    24Shell Global Solutions

    Case study: Buggenum power plant

    SCGP produces fuel for commercial

    power plant

    Features

    - High efficiency

    -High availability

    - Robust technology

    - Feedback loop improves SCGP design

    - 20% biomass co-feed

    Successful operations prove the SCGPIGCC combination

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    25Shell Global Solutions

    SCGP Water Quench A change for the

    betterAllow gasification of coals, which cannot be

    processed with a syngas cooler due to fouling

    - high sodium/chlorine content

    Reduce CAPEX

    - no Syngas cooler

    - no candle filter

    - simpler shift line-up

    Improve integration with a downstream shift for

    chemical applications

    - water is added directly to the syngas, not via a saturatorcycle in the shift section

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    26Shell Global Solutions

    but stick to key advantages of SCGP

    Membrane wall, heat protection of the gasifier via

    water cooling and steam production

    Separate gas outlet & slag outlet for processing

    high ash coals

    Multiple burners allowing large capacities and anefficient slag removal with only a small amount of

    fines

    Proven scale-up rules for gasifier

    Dry flyash removal (as much as possible), limiting

    the amount of black/grey wastewater/slurry

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    27Shell Global Solutions

    Water spray quench in wide,

    empty vessel below the Gas

    Reversal Chamber (GRC)

    Full scale nozzle test

    performed under pressure

    CFD modeling based on

    actual quench nozzle design

    Water Quench

    Burners

    Quench

    SGCGasifier

    Duct

    Slagbath

    Quench

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    28Shell Global Solutions

    General IGCC SGC vs WQ

    Disadvantages Water Quench (WQ) for IGCC

    applicationsIGCC efficiency 2-4%-points less with WQ SCGP

    and no Carbon Capture System

    More Low Temperature syngas cooling (multiple

    KT-reboilers)

    More water handling (with absence Dry Flyash

    Removal)

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    29Shell Global Solutions

    Conclusions

    SGP and SCGP can help refiners to

    - Produce steam, hydrogen and power

    - Meet stringent product specifications

    - Increase feedstock flexibility

    Flexibility of integration into refineries

    has been demonstrated

    Potentially highly profitable

    investments

    Strong track record and proven technology

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    30Shell Global Solutions

    Questions / Contact

    Liquid Refinery Residue Gasif ication - SGP

    Jack M. Jones, Market DevelopmentShell Global Solutions (US) Inc.

    Work: +1-281-544 6342Mobi le: +1-281-468 8677

    Email: [email protected]

    Solid Gasif ication - SCGPKevin J. Lanier, Business Development ManagerClean Coal Energy, Shell US Gas & Power

    Work: +1 713 241 4381

    Mobi le: +1 832 661 9579

    Email: [email protected]

    www.shell.com/globalsolutions

    World wide presence of Shell Global Solutions