DECARBONIZATION OF CO2 INTENSIVE INDUSTRIAL CLUSTERS · LPG and Gas LPG Propene PE/PP rubber Straight run gasoline Butene Middle distillates Isobutne Polypropene Gasoline Butadiene

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Sustainable Electrification of the Chemical Industry

R. Bhardwaj | W.J. Frens

Annual Voltachem Event 13-12-2018

DECARBONIZATION OF CO2 INTENSIVE

INDUSTRIAL CLUSTERS

1

EUROPEAN PETROCHEMICAL (PROCESS) INDUSTRY AT HIGH RISK2|

1. Long-term prospects for northwest european refining, CIEP energy paper.

Only 12 out of 34 refineries in North West Europe must run post 2025.

INDUSTRIAL CLUSTERS UNDER HIGH PRESSURE

• 40% of total CO2 emissions related

to industrial clusters.

• In Rotterdam:

• 250+ Billion Euro capital assets.

• 450 Mtonnes material flow in 2015.

• 6,000 ha of industrial sites.

• >90,000 employed overall in harbor

(20,000 @ industrial cluster)

3

PETROCHEMICAL (PROCESS) INDUSTRY IS COMPLEX

NaCl Electrolysis Chlorine

Coal Electricity Air Air separation

SO3 Acid processing Sulphuric acid

Syngas Methanol Formaldehyde Polyethylene

Methyl Formate Ethanol Ethylmercaptanes

Methyl Chloride Alcohols, alpha Ethyl glycol ethers

Ethanol Acetaldehyde Acetic acid Lysine-L

Acetic anhydride Vinyl acetate

Methyl Amines Ethene oxide Ethene Glycol Oxalic acid

Ammonia Amines Ethanol amines Ethyldiamines

CHP Electricity Urea & Nitrates Alcohols, sec Ethoxylates

Nitric Acid Vinyl Chloride Poly(vinylchloride)

Ethene Chloroethene

LPG and Gas LPG Propene PE/PP rubber

Straight run gasoline Butene

Middle distil lates Isobutne Polypropene

Gasoline Butadiene Isopropanol Acetone Methyl Isobytyl/ Ketone

Kerosene Isoperene Allyl Alcohol Glycerine

Diesel Hexenes Acrylic acid Ethyl acrylate

Naptha Solvents Octenes Acrylic esters

Aromatics Benzene Cyclohexane Caprolactum Nylon-6 Propene oxide

Laurolactum Nylon-12 Butyraldehyde Ethylhexanol

Heavy atm. gas oil Adipic acid Nylon-6,6 Acrylonitrile Adiponitrile Hexamethylenediamine

Ethylbenzene Styrene Polystyrene Adipic acid Adiponitrile

Vacuum gas oil Acrylonitrile SAN Butanol sec

Lube oil Cumene Phenol Aniline Methacrylic acid Methyl methacrylate

Greases Toluene Alkylbenzene Sulfhonation Butanol tert

Lube base stocks Asphalt o-Xylene Pthalic anhydride Dioctyl Phthalate MTBE

Fuels p-Xylene Dimethyl Terephthalate/ Terephthal ic acidPolyesters Polyisobutene

Coke Neo acids

Butane Maelic anhydride Fumaric acid Polybutadiene ABS resins

Steel, Aluminium Cement Waste Energy

TiO2 etc.

Not included: Food processing, paper/pulp manufacture, electronics industry,

waste treatment (except incenerators), biogas and agricultural industry.Mineral

oresMetal processing

LimestoneKiln Incenerators

FEED

STO

CK

S

PR

OD

UC

TS

Power plantsNitrogen/ Oxygen

Separation/

Reforming

Natural

Gas

Atm

osp

her

ic a

nd

Vac

uu

m D

isti

llati

on

Refinery

operations:

Alkylation

Hydrotreating

Catalytic

reforming

Solvent extraction

Hydrocracking

Steam Cracking

Propane

Deasphalter

Visbreaker

Solvent dewaxing

Delayed Coker/

Flexi coker

Refinery

fuel gas

Crude

oil

Heating

oil

4

SEVERAL ROUTES FOR ACHIEVING LOW CARBON FUTURE

Electrification

and Energy

carriers (H2, NH3)

• Electrification of chemical processes and utilities.

• In(direct) production of chemicals/ fuels.

• Heat pumps and electrification of utilities.

CO2 capture and

utilization

• Chemical/fuel production.

• Food grade CO2 production and greenhouses.

• EOR, EGR, underground storage.

Bio-Based

Conversion

• Bulk and speciality chemicals (high O2).

• Production of fuel/syngas.

• Sea weed/ micro algae factories.

Circularity• Polymer recovery

• Integration with local opportunities.

• Biomass and waste utilization.

Heat use &

Process efficiency

• Pinch analysis energy (resource) available.

• Heat pumps and CHP integration on overall site.

Increased technical routes increases complexity.5

Sustainable solution

#134 died here

BARRIERS TO SUSTAINABLE TECHNOLOGY REALIZATION

Technology Scale up/ Demonstration Commercialization/ Market

Scientist Society

Personal motivation: Sustainable technology realization require demonstration and engagement.

Technical risk decreases.

Commercial risk/ costs increases.

Engagement with stakeholders increases.

.

6

PROPOSED SOLUTION

1. Identification of sweet spots for CO2 emissions.

2. Mapping of Technologies with

development of scenarios and sensitivity.

3. Techno-Economic evaluation of complete chain.

PENDANT :Petrcohemical Industry Decarbonization Tool

8

STEP 1: IDENTIFICATION OF PRIME CO2 EMITTERS (SCOPE 1

& SCOPE 2).NaCl Electrolysis Chlorine












Ethene Chloroethene

















Coke Neo acids



TiO2 etc.InceneratorsMetal processing

LimestoneKiln


waste treatment (except incenerators), biogas and agricultural industry.

Natural

Gas

Atm

osp

her

ic a

nd

Vac

uu

m D

isti

llati

on

Refinery

operations:

Alkylation

Hydrotreating

Catalytic

reforming

Solvent extraction

Hydrocracking

Steam Cracking

Propane

Deasphalter

Visbreaker

Solvent dewaxing

Delayed Coker/

Flexi coker

Refinery

fuel gas

Mineral

ores


Separation/

Reforming

Heating

oil

Crude

oil

FEED

STO

CK

S

PR

OD

UC

TS

NaCl Electrolysis Chlorine












Ethene Chloroethene

















Coke Neo acids



TiO2 etc.


waste treatment (except incenerators), biogas and agricultural industry.Mineral

oresMetal processing

LimestoneKiln Incenerators

FEED

STO

CK

S

PR

OD

UC

TS


Separation/

Reforming

Natural

Gas

Atm

osp

her

ic a

nd

Vac

uu

m D

isti

llati

on

Refinery

operations:

Alkylation

Hydrotreating

Catalytic

reforming

Solvent extraction

Hydrocracking

Steam Cracking

Propane

Deasphalter

Visbreaker

Solvent dewaxing

Delayed Coker/

Flexi coker

Refinery

fuel gas

Crude

oil

Heating

oil

9

2. MAPPING IDENTIFIED CO2 EMITTERS WITH TECHNOLOGY ROUTES.

E: Electrification B: Bio-based C: CCUS CR: Circularity H: Heat use

2017

Far

Future

E

B

E

C

B

H

H

E

BCR

C

C

CR

PETROCHEMICAL CHAINS

Near

Future

eg. oil, natural gas. eg. polymers, solvents.10

2. LEGO BLOCK DROP IN – GREEN FIELDS, BROWN FIELDS AND COMPANIES

11

Green Field ApproachBrown Field Approach

Biomass Level 1 Syngas Level 2 Methanol Level 3 Acetic Acid

CO-H2 CH3OH CH3COOH

Oxygen Carbon Monoxide

O2 CO

BAU Electrification

Biomass

TECHNOLOGIES – IMPACT OF LEARNING RATES

12

STEP 3: SCENARIO ANALYSIS AND RESULTS

13

WHICH ROUTES FOR 50% - 95% CO2 REDUCTION - MENTI?

Electrification

and Energy

carriers (H2, NH3)

• Electrification of chemical processes and utilities.

• In(direct) production of chemicals/ fuels.

• Heat pumps and electrification of utilities.

CO2 capture and

utilization

• Chemical/fuel production.

• Food grade CO2 production and greenhouses.

• EOR, EGR, underground storage.

Bio-Based

Conversion

• Bulk and speciality chemicals (high O2).

• Production of fuel/syngas.

• Sea weed/ micro algae factories.

Circularity• Polymer recovery

• Integration with local opportunities.

• Biomass and waste utilization.

Heat use &

Process efficiency

• Pinch analysis energy (resource) available.

• Heat pumps and CHP integration on overall site.

14

WHICH ELECTRIFCATION ROUTES WILL DOMINATE

DECARBONIZATION - MENTIMETER?

Power2Heat

Power2Electricity (direct or via H2)

Power2Gas (eg H2)

Power2Chemicals (eg. Formic acid)

15

SOLUTION: EXEMPLIFIED WITH A

REFINERY CASE

CO2 DECARBONIZATION SCENARIOS

SCENARIO 0: BASE CASE

• Shutdown the cogens and replace steam and power with imported electricity and heat pumps;

• CCS is applied on the catalytic cracker unit;

• Shut down the boilers replace steam and power with imported electricity and heat pumps.

Routes for decarbonization of furnaces is the main difference between the scenarios.

SCENARIO 1: CARBON CAPTURE LEADING SCENARIO 2: H2 COMBUSTION LEADING

• Output of furnace is connected to CCS +

Base Case;

• H2 is replaced as fuel source for furnaces; H2

produced on site vs H2 produced elsewhere and

imported + Base case

CO2 STREAM CHARACTERIZATION

• ~90% of refinery CO2 emissions mapped by above units.

• CO2 capture is the only “reasonable” option for decarbonization of cracking unit.18

Domeinen

Cumulative Capital Investment with reductionin CO2 emissions

• Power2Heat (Cogens) has lowest CAPEX increase per tonne of CO2 emissions reduced. • CO2 capture for FCC is a close second.

Includes extra CO2

emission to provideheat for regnerationof amines; and 10% CO2 not captured.

Cracking

Domeinen

Cost distribution of decarbonization.

CO2 ETS price

Heat pumps are attractive option for decarbonisation if the cost of methanein refinery gas and natural gas can be recovered.

* CAPEX estimates assume drop in package unit and do not include the cost of ISBL piping/ connections to grid network for electricity/steam/gas system.

Total electricity costis 102 euros out of which 98 euros is recovered from NG reduction.


Includes the cost of compression, transport and storage of CO2; Based on CO2

avoided.

Cracking

Domeinen

Merit order for decarbonization

CO2 Avoided (Ktonnes/annum)

Leve

lize

d c

ost

of

De

carb

on

izat

ion

(E

uro

s/to

nn

e C

O2

avo

ide

d)

CCS on Cracking

Importingelectricity andHeat pumps (to replaceCOGENS)

Heat pumps (to replaceBoilers)

Cost recoveredon Methaneavoided

Domeinen

CO2 DECARBONIZATION SCENARIOSSCENARIO 0: BASE CASE

• Shutdown the cogens and replace steam and power with imported electricity and heat pumps;

• CCS is applied on the catalytic cracker unit;

• Shut down the boilers replace steam and power with imported electricity and heat pumps.

Routes for decarbonization of furnaces is the main difference between the scenarios.

SCENARIO 1: CARBON CAPTURE LEADING SCENARIO 2: H2 COMBUSTION LEADING• Output of furnace is connected to CCS + Base

Case; • H2 is replaced as fuel source for furnaces; H2 produced on

site vs H2 produced elsewhere and imported + Base case

Domeinen

SCENARIO 1: CARBON CAPTURE LEADING SCENARIO 2: H2 COMBUSTION LEADING

DECARBONIZATION: CAPITAL INVESTMENT

• Cumulative cost of H2 scenario results in a higher cost in case of on-site reforming unit.• Infrastructure outside battery limits for CO2 transport, H2/electricity import excluded.

Includes extra CO2 emission to provide heat for regeneration of

amines (can be provided byheat pumps); and 10% CO2 not

captured.

CrackingCracking

Domeinen

Decarbonization: Distribution of costs CO2 leading

• Cost of energy (heat, electricity, methane) dominates cost of decarbonization routes.

CO2

ETS

Euro

/to

nn

e C

O2

Avo

ided

Includes the costof compression, transport andstorage of CO2; Based on CO2

avoided.

Includes thecost of compression, transport andstorage of CO2; Based on CO2 avoided.


Total electricitycost is 42 eurosout of which 42 euros is recoveredfrom NG reduction.

Cracking

Domeinen

Decarbonization: Distribution of costs H2 leading

• Cost of energy (heat, electricity, methane) dominates cost of decarbonization routes.• Specific cost of infrastrucuture costs for CCS is smaller than that of H2.

• For deep decarbonization CCS is evident.

CO2

ETS

Euro

/to

nn

e C

O2

Avo

ided

Includes the costof compression, transport andstorage of CO2; Based on CO2

avoided.


Total electricitycost is 42 eurosout of which 42 euros is recoveredfrom NG reduction.

Total energy costis 144 euros out of which 92 euros is recovered fromNG reduction.The cost includesthe price of compressiontransport andstorageof CO2.

Cracking

DECARBONIZATION: DISTRIBUTION OF COSTS

OPEX: Steam,

MEA makeup,

Electricity

OPEX: Electricity. OPEX: Electricity.

OPEX: Methane

• Cost of energy (heat, electricity, methane) dominates cost of

decarbonization routes.

• Specific cost of infrastrucuture costs for CCS is smaller than that of H2.

Eu

ro/to

nn

e C

O2

Avo

ide

d

(cracking)

26

CO2 ETS

OPEX: Electricity.

SCENARIO ANALYSIS: COST OF ELECTRICITY, CO2,

LEARNING RATES.E

uro

/to

nn

e C

O2

Avo

ide

d

(cracking)

27

CO2 ETS

P2Heat using heat

pumps for amine

regeneraiton.

P2Heat using heat pumps for

low temperature steam; Import

of electricity base load.

Cost

reduction

New technologies

like molten metal

cracking at high

thermal efficiency

and low electricity

price

Cost

reduction

Cost

reduction

Cost

reduction

• Low cost electricity (in future) can significantly benefit to reduce the OPEX.

• New technologies like molten metal could significantly reduce decarbonisation cost.

Possible CO2 ETS

Cost

reduction

P2Hydrogen

using low cost

electricity.

Domeinen

ENERGY MIX SUMMARY: CURRENT AND FUTURE OUTLOOK

Energy Mix Base Scenario (MW)

Natural Gas

Fuel gas

Coke

Electricity Import)

Hydrogen import (LHV)

Energy Mix Scenario 1: Base case + CCS* (MW) Natural Gas

Fuel gas

Coke

Electricity Import)


Energy Mix Current (MW)

Natural Gas

Fuel gas

Coke

Electricity Import)


Energy Mix Scenario 2: Base case + H2 (MW) Natural Gas

Fuel gas

Coke

Electricity Import)


N Energy: 100 N CO2: 100

N. Energy Bill: 100

Use of H2 import has the most significant impact on change.* For CCS, a signficant amount of emissions (and energy) is added due to steam use for amine regeration. These emissions can be reduced by extending the capture capacity or providing the heat of regenreation by heat pumps in future. And overall, reach the target of >95% CO2 reduction by 2050.


N. Energy bill: 97


N. Energy Bill: 143N Energy: 100

N CO2: 32N. Energy Bill: 108

1. Identification of sweet spots for CO2 emissions.

2. Mapping of Technologies with

development of scenarios and sensitivity.

3. Techno-Economic evaluation of complete chain.

PENDANT :Petrcohemical Industry Decarbonization Tool

29

DISCLAIMER 1: SUSTAINABILITY (CO2)

PROBLEM WILL BE SOLVED.

DISCLAIMER 2: IT IS TECHNO-SOCIO-

POLITICAL.

Q: WILL WE (I) BE RELEVANT IN SOLVING IT?

Powered by:

Sustainable Electrification of the Chemical Industry

R. Bhardwaj | W.J. Frens

Annual Voltachem Event 13-12-2018

DECARBONIZATION OF CO2 INTENSIVE

INDUSTRIAL CLUSTERS

31

32

Results: Polling (21 votes)

33

Results: Polling (10 votes)

DISCUSSION QUESTIONS 2:

Questions:

What % of carbon reduction will be achieved by the following decarbonization routes by 2030?

What % of carbon reduction will be achieved by the following decarbonization routes by 2050?

Which (electrification) technologies will be in widespread application by 2030?

Which (electrification) technologies will be in widespread application by 2050?

Which (electrification) technologies are most exciting to be carried out in future?

34

Documents

DECARBONIZATION OF CO2 INTENSIVE INDUSTRIAL CLUSTERS · LPG and Gas LPG Propene PE/PP rubber Straight run gasoline Butene Middle distillates Isobutne Polypropene Gasoline Butadiene