1. Project Overview
S
ince the oil industry replaced agriculture as the biggest user of diesel
in North Dakota, diesel fuel consumption in the state has risen by
51% to approximately 53,000 barrels per day, with about two-thirds
of the state’s diesel fuel imported.
In 2012, MDU Resources, a regional utility company, and Calumet Specialty
Products commissioned Ventech to develop a technical study for a new
refinery that would help the state of North Dakota meet its demand for diesel
using locally produced Bakken crudes while reducing its dependency on out-
of-state imports.
Based on its study recommendations, Ventech was awarded a contract in June
2013 to provide the refinery technology and primary equipment for the Dakota
Prairie Refinery, a 20,000 BPSD refinery and the first greenfield refinery to be
built in the U.S. since 1976.
DakotaPrairieRefining
20,000BPSDCrudeOilRefinery
Dickinson,NorthDakota
Client: MDU Resources Group, Inc. and Calumet Specialty Products Partners, L.P.
Scope: Lump Sum Engineering, Procurement, Fabrication and coordinating transport of modules to site
Status: Completed May, 2015
20,000
20,000 BPSD
capacity (exceeded
performance
expectations)
13 months to
fabricate and deliver
modules (22 months
to fabricate, deliver
and install)
13
42
42 modules
total
6
6 different
process units
designed and
fabricated
1976
The first
greenfield refinery
built in the U.S.
since 1976
Ventech Engineers
International LLC
713-477-0201
sales@ventech-eng.com
www.ventech-eng.com
2. As one of the leading designer/fabricators of modularized
processing facilities, Ventech brought a unique perspective
to the project. In addition to its experience in executing both
modular and stick-built facilities, the company is also in the
surplus equipment industry buying, selling, valuing and
moving complete refinery systems and surplus process
units.
This combination of knowledge enables Ventech to not only
design and engineer facilities that process a wide variety
of feedstocks to maximize high-value products, but to also
deliver the most efficient and cost-effective facility to meet
the client’s fast-track schedule and derive the greatest value
from the capital budget.
Proven Design, Custom Tailored Maximizing Value to the Last Drop
TherefineryVentechdesignedforCalumetandMDUResources
is based on its proven 20,000 BPSD design customized for the
client’s product specifications and the locally sourced Bakken
crude oil.
In addition to 7,000 BPSD of ultra-low-sulfur diesel fuel
destined for North Dakota-based customers, the production
slate includes 6,500 BPSD stabilized naphtha, 6,000 BPSD
atmospheric bottoms and approximately 300 BPSD of mixed
LPG’s trucked to a nearby natural gas processing facility
owned by WBI Energy, Inc., a subsidiary of MDU Resources.
Wastewater is pre-treated at the refinery site and then piped
to a municipal water treatment plant and sold to fracking
operations.
To meet the client’s “quicker to production” and budget
objectives, the refinery design uses a combination of stick-
built, modularized and refurbished units, including:
• 20,000 BPSD Crude Distillation Unit – 11 modules
& 1 burner management skid (BMS)
• 7,000 BPSD Naphtha Stabilizer Unit – 2 modules
• 8,000 BPSD Mid-Distillates Hydrotreater – 11
modules & 2 BMS
• Sour Water Stripper Unit – 3 modules
• Refurbished Hydrogen Unit – 8 modules & 1 BMS
• Amine regeneration unit – 6 modules
• Sulfur recovery unit – 1 module
• All supporting utilities
The amine regeneration unit and the sulfur recovery unit
modules were designed and supplied by a third party.
An Integrated EPF Solution
Working from a lump-sum, fixed-price contract and
using an integrated schedule for project contractors and
subcontractors, Ventech began fabrication of the refinery’s
modules and skids at its Pasadena indoor fabrication
facility, located just 30 minutes from the Port of Houston.
To support the fast-track schedule, module fabrication
started early in the project and continued in parallel with
engineering. Key pieces of equipment and materials were
competitively sourced from vendors in the USA, Canada,
Mexico, Spain and Taiwan.
The unprecedented boom in the oil and gas industry and
the shortage of materials and manpower inevitably led to
schedule challenges that had to be managed on a daily
basis. Ventech’s procurement organization worked closely
with third-party vendors and transport companies to
expedite deliveries and develop workarounds.
Through close coordination with the owners and other
contractors, the Dakota Prairie Refinery was completed
safely in one of the fastest grassroots – refinery builds ever
(less than three years from technical studies to production).
Project Highlights
• Ventech’sscopeexecutedforafixedlump-sumprice,versusothercontractors’T&M/reimbursable
contracts.
• One of the fastest ever builds of a greenfield refinery.
• First greenfield refinery project in the United States since the 1970s.
• Combined design solution of modular (42 total modules + 4 burner management skids), stick
built and refurbished units to optimize build time and lower costs.
• Used proven Ventech 20,000 BPSD refinery design customized to feedstock and client product
specifications.
• Currently performing as designed, has acheived higher than nameplate design performance.