Fertilizer Production Harnessing Technological Innovation

John Derbyshire

President, Technology and Consulting

KBR Inc., Houston, Texas, USA

Energy Efficiency

Reliability Safety

Environmental Compliance

Production Management

The Role of Technology in Fertilizer Manufacturing

ENERGY

Energy Saving Technology

Vintage Ammonia Plants (1960s, 70s,80s)

>10 Gcal/T ammonia (LHV)

Revamp technology targets

7+ Gcal/T ammonia (LHV)

KBR grass-root plants

6.2+ Gcal/T ammonia (LHV)

Theoretic minimum Ammonia Plant 4.97 Gcal/T ammonia (LHV)

Improved Converter Design

Higher conversion reduces refrigeration duty

Improved CO2 Removal System

Reduced CO2 Slippage and low energy requirements

Energy Saving Technology

Improved Reforming

Reduced heat loss and pressure drop

Highly Efficient Machinery trains

Compressors and turbines use less steam and also reduced fuel consumption

Example: Ammonia Revamp in Asia

Before Revamp

•Energy 8+ Gcal/MT

•Capacity 1600MTPD

After Revamp

• Energy 7.35Gcal/MT

• Capacity 2000 MTPD

Energy Reduces by

˜ 10%

Capacity Increased by 25% Project IRR = >20%

RELIABILITY

Ammonia Plant Reliability

Peace of mind

Target Continuous Days Operation

>1200 days

Target on-stream Factor

97%

What is 1% More Reliability Worth?

3000 MT/day Name Plate 354 Days

1% more = 30 MT/day 354 Days

Assume Ammonia Price = $400/MT Additional Annual Revenue = >$4.2 Million

Example: Assume Plant is producing at Name Plate Capacity

Reliability of Process and Equipment is the Key

Assume 97% Utilization rate = 354 days /year

Reliability in Fertilizer Plants

Production on-stream factor hurt by reliability factors of the following in ammonia plant

• Rotating Machinery

• Reformer

• Waste Heat Boiler

• Other Critical Equipment

Reduce Asset downtime with Preventive maintenance

• Proactive asset management

• Early detection of potential problems

Changing the World of Maintenance

1930 1940 1950 1960 1970 1980 1990 2000 2015

The Next Generation of

Maintenance Management

• More and Better Hand

Tools to Fix

Breakdowns

• Planned Maintenance

• Scheduled Overhauls

• CMMS for Improved

Efficiency and Control

• Reliability Assessment

• Business Risk

Prioritization

• Reliability-Centered

Maintenance (RCM)

• Condition Monitoring

• Asset Performance

Management System

New Technologies and Practices

Example: Asset Performance Management (APM) System

Reliability & Integrity Mgt.

Asset Performance Mgt. System

Data Analysis Expert Diagnostics Alarm Settings

EAM/CMMS Automated Work Requests Diagnostics Recommendations

CMMS

Data Sources

Inspection Reports

Operator Rounds

Vibration

Process / Performance

Lubricant Tests

Thermography

Collected By:

Operators

Maintenance Craft

Technical Personnel Knowledge From Experienced

Plant Personnel & RCM Analysis

Work Orders

Training

ENVIRONMENTAL

Environmental Related Challenges for Fertilizer Plants

Green House Gases (GHG) emissions reduction

• Carbon dioxide CO2 emissions

Pollutant reduction

• Nitrogen oxides (NOx) emissions

• Sulfur oxides (SOx)

Reduce Particulate emissions

Protect water quality

Technology Enabling Environmental Compliance for Fertilizer Plants

• Improved Reformer Design

• Reduced CO2 emissions

GHG Gases

• Reduced NOx emissions

• Implementing SCR

• Low NOx burner design

Pollutant Emission

• Prilling Tower design

• Granulator design

• Improved Scrubber

Particulate Matter Emission

• Reduced toxicity

• Water converted back to Process steam

Water Quality

• Reuse Condensates and Waste water

• High Pressure Condensate stripper reduce water usage

Water Usage

SAFETY

Safety

Culture Systems

• Corporate Policies • Best Practices • Regulatory Compliance • Safety Monitoring &

Recording • Culture Development

Operator Training Simulator • On job Training • Classroom Training • Upgrade and Retrofits

Process Automation Technologies • Performance Monitoring

systems • Safety Instrumented

Systems

Example: Operator Training Simulator Life Cycle Modeling

Whole plant dynamic model

for Operations Support

Dynamic modeling for

Plant Design & Engineering

‘Virtual’

Plant

Environment

(OTS)

Example – Safety Instrumented System

Sensors

Logic Box

Control Elements

Pressure Temperature Flow Other conditions

Process Control System

Valve actuators, Safety relays

Real time safety enabled for Process and Equipment

Decides safe state or not

Automated logic determines action

Implement the action determined by logic system

PRODUCTION MANAGEMENT

Production Management System

Production Operations

Management

Data Collection &

Historization

Mass & Energy Balance

Dashboard & KPI’s

Production Optimization

Operations Advisory & Logs

Basic Production Management

ERP

DCS

Distributed Control Systems

Enterprise Resource Planning

Data Collection &

Historization

Mass & Energy Balance

Dashboard & KPI’s

Production Optimization

Operations Advisory & Logs

Full Scope Production Management

Enterprise Resource Planning

Accounting Human Resources Supply Chain Management

DCS Remote Instruments/Equipment DCS/ PLCs Emergency Shutdown Systems

Process Historian Inventory

Management

Performance

Management

Operator Training

Inspection Warehousing Operator Logbook Asset

Management

Quality

Management

Engineering

Design

Analysis

Energy Monitoring

Planning &

Scheduling

Yield Accounting HS&E

Management Work Orders Maintenance

KBR Ammonia Technology – Superior Performance

• Low energy consumption of 6.5 Gcal/MT

• Reduced CO2 and NOx emissions Energy Advantage

• Greater than 97% availability

• Typical 3-4 years runs without maintenance turnarounds

• Flexibility and greater stability

Ease of Operation

• Synthesis equipment 10-15% smaller

• Up to 30% less reformer tubes in radiant section, fewer burners

• Plot plan is 25-30% smaller

CAPEX Advantage

Questions