Petroleum industry


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This is a powerpoint made by me for my report in my subject Chemical Process Industries. This include some history of the petroleum industry. Industry statistics (consumption, demand, import, and export). Raw material of petroleum. Mass balance, Energy used and intensity. And the Separation Processes and Chemical Conversion used in refining petroleum. There are some environmental and social issues regarding petroleum that are include here. Hope this is useful. :)

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Petroleum industry

  1. 1. Petroleum Industry Agcaoili, Alexandrine Roxanne Cruz, Ana Margarita Magallano, May Uzielle
  2. 2. Introduction
  3. 3. Introduction • A. Background  Petroleum is the product of natural changes in organic materials over millennia.  Petroleum is formed by hydrocarbons with the addition of certain other substances, primarily sulphur.  Originally the primary use of petroleum was as a lighting fuel, once it had been distilled and turned into kerosene
  4. 4.  Petroleum, along with oil and coal, is classified as a fossil fuel, therefore petroleum is considered to be a non-renewable energy source.  As the reserves of recoverable liquid petroleum diminish, oil companies are increasingly turning to unconventional resources. Unconventional resources include such things as extra heavy oil and shale. Introduction
  5. 5. Some Historical Events.
  6. 6. Introduction  Peak oil is a term that applies to the point when global petroleum extraction is at its maximum.  Current estimates based on the Hubbert model indicate that world peak oil will take place in roughly 2020. Several different factors have lead to this conclusion including global demand/supply and production technology.
  7. 7. Introduction  When it comes to finding oil, geologists are the ones responsible. Geologists use their knowledge of rock formations in order to find the right conditions for an oil trap.  Most commonly, geologists apply seismology for oil location. In this method, shock waves are created that pass through rock layers and are then reflected back to the surface where they are measured using seismic equipment.
  8. 8. Introduction  Petroleum formation occurs by various hydrocarbons combining with certain minerals such as sulphur under extreme pressure.  Modern day scientists have proven that most if not all petroleum fields were created by the remains of small animal and plant life being compressed on the sea bed by billions of tons of silt and sand several million years ago.
  9. 9. Introduction  The oil and gas industry is usually divided into three major sectors:
  10. 10. Introduction • B. Application/Market  Petroleum products include transportation fuels, fuel oils for heating and electricity generation, asphalt and road oil, and the feedstocks used to make chemicals, plastics, and synthetic materials found in nearly everything we use today.  About 75% of the 6.79 billion barrels of petroleum that we used in 2012 were gasoline, heating oil/diesel fuel, and jet fuel.
  11. 11. Top 16 uses of petroleum• Bunker Fuel • Detergent • Plastics • Jet Fuel • Diesel Fuel • Synthetic Fibers • Fertilizers and Pesticides • Paint • Gasoline • Photographic Film • Food Additives • Heating Oil • Synthetic Rubber • Make up • Medicine • Candles
  12. 12. Industry Statistics
  13. 13. Industry Statistics • Global Production of Petroleum  Total Crude Oil Supply (thousand barrels per day)  Total Production of Refined Petroleum Products (thousand barrels per day) Source: International Energy Statistics ( 2008 2009 2010 2011 2012 WORLD 85,476.3 84,580.7 87,076.5 87,333.0 89,153.7 2008 2009 2010 WORLD 74.509.237 82,443.7 83,799.2
  14. 14. Industry Statistics • Local Production of Petroleum  Total Crude Oil Supply (thousand barrels per day)  Total Production of Refined Petroleum Products (thousand barrels per day) 2008 2009 2010 2011 2012 PHILIPPINES 27.2 28.9 38.6 31.9 25.2 2008 2009 2010 PHILIPPINES 179.683 150.4 181.3 Source: International Energy Statistics (
  15. 15. Industry Statistics • Global Consumption of Petroleum  Total Refined Petroleum Consumption (thousand barrels per day) 2008 2009 2010 2011 2012 GLOBAL 84,496.0 84,758.9 87,364.3 88,614.3 88,944.4 Source: International Energy Statistics (
  16. 16. Industry Statistics • Local Consumption of Petroleum  Total Refined Petroleum Consumption (thousand barrels per day) 2008 2009 2010 2011 2012 PHILIPPINES 300.2 295.1 309.2 316 302.3 Source: International Energy Statistics (
  17. 17. Industry Statistics • Local Imports Petroleum Imports of Crude Oil (Thousand Barrels Per Day) Imports of Refined Petroleum Products (Thousand Barrels Per Day) 2006 2007 2008 2009 2010 PHILIPPINES 103.454 139.148 134.244 158.142 147.866 2006 2007 2008 2009 2010 PHILIPPINES 238.7 203.5 203 135.860 182.040 Source: International Energy Statistics (
  18. 18. Industry Statistics • Local Exports of Petroleum Exports of Crude Oil (Thousand Barrels Per Day) Exports of Refined Petroleum Products (Thousand Barrels Per Day) 2006 2007 2008 2009 2010 PHILIPPINES 36.715 32.455 29.118 9.017 17.805 2006 2007 2008 2009 2010 PHILIPPINES 0 0 0 26.189 20.085 Source: International Energy Statistics (
  19. 19. Industry Statistics Petroleum Refineries in the Philippines Refinery Location Production Petron Limay, Bataan 29,000 m³/d Royal Dutch Shell Batangas 19,000 m³/d Caltex(Chevron) Batangas 13,700 m³/d
  20. 20. • Accdg. To DOE:  1200 players in petroleum industry  P39B investments in 2011.  60 Depots  1,200 Gasoline Stations  1,400 LPG establishments
  22. 22. Process Flowchart
  23. 23. Raw Materials
  24. 24. Raw Materials • An oil refinery is a manufacturing facility that uses crude oil and other feedstocks as a raw material and produces a variety of refined products.
  25. 25. Petroleum Exploration and Refining Process
  26. 26. Unit Processes/Operations
  27. 27. A. Equipment Used in Petroleum Refinery • Heat Exchangers • Furnace • Fractionating Tower • Steam Strippers • Condensers • Coolers • Auxiliaries
  28. 28. B. Separation Processes
  29. 29. 1. FluidFlow Fluid flow is an operation that must not permit any unexpected failure because fire and explosion might ensue. 2. HeatTransfer Transfer coefficient change daily as fouling occurs. Cooling towers become less effective with time. Modern plants check the condition of the exchangers daily against computer record. 3. Distillation When the difference in volatility between components is too small for separation in a reasonably sized tower, modifications of simple distillation are used. When a solvent of low-volatility is added to depress the volatility of one of the components, the separation is known as extractive distillation. Butenes are separated from butanes using this principle with furfural as the extractant.
  30. 30. 4. Absorption Gas oil is used to absorb natural gasoline from wet gases. Gases which are expelled from gas storage tanks as a result of solar heating are also sent to an absorption plant for recovery. Steam stripping is generally used to recover the absorbed light hydrocarbons and restore the absorption capacity of the gas oil. 5. Adsorption Used for recovering heavy materials from gases. Adsorbents such as activated charcoal and molecular sieves are used. Molecular sieves can select the materials recovered by molecular shape as well as molecular weight; this can be very useful. Energy can be saved by using a pressure swing adsorption process wherein the material is released from the adsorbent by changing the system pressure.
  31. 31. 6. Filtration Filtration is used to remove wax precipitated from wax-containing distillates. If the cold cake is allowed to warm slowly, the low-melting oils drains (sweat out) from the cake and further purify it 7. Crystallization Before filtration, waxes must be crystallized to suitably sized crystals by cooling and stirring. Waxes undesirable in lubes are removed and become the microcrystalline waxes of commerce. p-Xylene can be crystallized and separated from other C8 materials by differential crystallization. For most purposes, this operation is both slow and expensive. 8. Extraction This procedure is very important in preparing a high-quality lube oil. Low-viscosity index material, waxes, color bodies, and sulfur compounds are removed in this way. Adequate mixing must be followed by clean and rapid separation of the two liquid layers.
  32. 32. C. Chemical Conversion Processes
  33. 33. Crackingor Pyrolysis • The breaking down of large hydrocarbon molecules into smaller molecules by heat or catalytic action. Zeolite catalysts are common; other types are also used. C7H15·C15H30·C7H15 C7H16 + C6H12:CH2 + C14H28:CH2 Heavy gas oil Gasoline Gasoline Recycle Stock (antiknock)
  34. 34. Polymerization • The linking of similar molecules, the joining together of light olefins. C C C C C – C = C + C – C = C C – C – C – C = C + C – C – C– C = C C C C C Heat, pressure and a catalystUnsaturated short chains Longer chains82% 18%
  35. 35. Crude Distillation Unit Process Process Objective: – To distill and separate valuable distillates (naphtha, kerosene, diesel) and atmospheric gas oil (AGO) from the crude feedstock.
  36. 36. Vacuum Distillation Unit Process • Process Objective: – To recover valuable gas oils from reduced crude via vacuum distillation.
  37. 37. Delayed & FluidCokingProcesses • Delayed Coking Process • Process Objective: – To convert low value resid to valuable products (naphtha and diesel) and coker gas oil. • Fluidic Coking Process • Process Objective: – To convert low value resid to valuable products (naphtha and diesel) and coker gas oil.
  38. 38. Delayed & FluidCokingProcesses
  39. 39. FluidicCatalytic Cracking (FCC) Process • Process Objective: – To convert low value gas oils to valuable products (naphtha and diesel) and slurry oil.
  40. 40. HF AlkylationProcess • Process Objective: – To combine light olefins (propylene and butylene) with isobutane to form a high octane gasoline (alkylate).
  41. 41. Unsaturated + isosaturated saturated branched chain, e.g., catalytic alkylation C C – C – C – C– C C C C = C – C– C + C – C – C C C C – C = C + C – C – C C – C – C – C – C C C C C C – C – C – C – C C C C 1 Butylene IsobutaneIsobutylene Isobutane 2,3,3-Trimethylpentane 2,2,4-Trimethylpentane, Or “isooctane
  42. 42. Hydrotreating Process • Process Objective: – To remove contaminants (sulfur, nitrogen, metals) and saturate olefins and aromatics to produce a clean product for further processing or finished product sales. Naphtha Hydrotreating  Gasoline Hydrotreating Mid-Distillate Hydrotreating FCC Feed Pretreating
  43. 43. Hydrocracking Process • Process Objective: – To remove feed contaminants (nitrogen, sulfur, metals) and to convert low value gas oils to valuable products (naphtha, middle distillates, and ultra-clean lube base stocks).
  44. 44. C7H15·C15H30·C7H15 + H2 C7H16 + C7H16 + C15H32 (no unsaturates formed) Heavy Gas Oil Recycle Stock Branched- Chain Gasoline Straight- Chain
  45. 45. Catalytic Reforming Process • Process Objective: – To convert low-octane naphtha into a high-octane reformate for gasoline blending and/or to provide aromatics (benzene, toluene, and xylene) for petrochemical plants. Reforming also produces high purity hydrogen for hydrotreating processes.
  46. 46. IsomerizationProcess • Process Objective: – To convert low-octane n-paraffins to high-octane iso-paraffins.
  47. 47. Mass Balance
  48. 48. Products and by- Products
  49. 49. Products and by-Products • One barrel of crude oil, when refined, produces about 19 gallons of finished motor gasoline, and 10 gallons of diesel, as well as other petroleum products. Most petroleum products are used to produce energy.
  50. 50. • Major products of oil refineries •Asphalt •Diesel fuel •Fuel oils •Gasoline •Jet fuel •Kerosene •Liquefied petroleum gas (LPG) •Lubricating oils •Paraffin wax •Tar •Petrochemicals
  51. 51. By-Products o Detergent o Fertilizer o Synthetic fibers o Vitamins o Plastic o CDs / DVDs o Band-Aids o Linoleum o Perfume o Insecticide o Petroleum Jelly o Soap o Vitamin Capsules o Candles (wax) • There are 6000+ items made from petroleum waste/by-products. Here are some:
  52. 52. Energy Use and Energy Intensity
  53. 53. Environmental and Social Impact/Issues
  54. 54. EnvironmentalIssues • Air Issues • Under the Clean Air Act (CAA) states have the primary responsibility to address air-related impacts from energy development. States are required under the Act to maintain - or come into attainment with -National Ambient Air Quality Standards (NAAQS) – Criteria air pollutants (ozone, CO, SO2, PM, and their precursors, including Nox and VOCs) – Hazardous Air pollutants (HAPs, primarily fugitive VOC emissions from oil and gas production) – Haze precursors (which include ozone, Nox SO2, and particulates) – greenhouse gases (GHGs, which include CO2 and CH4)
  55. 55. EnvironmentalIssues • Water Issues – produced water – drilling fluids, cuttings and well treatment chemicals – process, wash and drainage water – sewerage, sanitary and domestic wastes – spills and leakage
  56. 56. EnvironmentalIssues • Land Use Issues • Most land use-related activities and criticisms of production operations revolve around: Surface disturbances due to drilling, and certain drilling techniques used to reduce these impacts; Impact of oil and gas operations on wildlife due to surface disturbances, noise, and other industrial activities; Treatment of drilling waste; and Separation of surface and mineral rights.
  57. 57. Summary of Environment and Social Impacts for Activates Associated with Petroleum Refining and the Storage of Petroleum Products
  58. 58. SocialImpacts • Oil pollution has impacted on the community in several ways. These are grouped into three interrelated impacts viz.; 1. Adverse impacts on Biodiversity - The most profound and adverse impact of oil pollution in with far- reaching implications on all other aspects of our traditional lifestyles and livelihoods, had been the total loss of biodiversity and destruction of habitats largely due to soil degradation. - During oil spills, the process of photosynthesis which enhances plant diversity is impaired since the process is reduced due to the fact that spilled crude have a high absorbance property so when the crude spreads on to the surface of leaves, the latter find it difficult to photosynthesize and thus die, leading to biodiversity loss. The toxic crude also affects underground herbs and shrubs, while microbial organisms which form important groups in the food web, are also destroyed.
  59. 59. SocialImpacts 2. Socio-economic Impacts I. Nutritional styles and Food Shortage - The combination of the effects of oil spill and acid rain resulting from gas flaring has been soil degradation which affects crop yield and harvest. Fish are driven away from in-shore or shallow waters into deep-sea as a result of flaring. The whole impact of this, is food shortage and which has affected the ability of most families to feed themselves.
  60. 60. SocialImpacts II. Destruction of Traditional Means of Livelihood - Another implication of oil pollution is that having destroyed biodiversity, it has also rendered the agricultural sector unprofitable. Hence, most of the youth and women have become jobless since our local economic support system of fishing and farming is no longer sustainable. III. Migration and the Rise of Environmental Refugees - Oil pollution has resulted in the destruction of the environment. This in turn has led to the unsustainability of land for the traditional economic livelihood patterns that once thrived in the area
  61. 61. SocialImpacts IV. The Impact on Cultural Values and Spirituality - Oil spills and Gas flares knows no boundaries so there are adverse impacts on cultural values and social harmony. One of the most telling impacts of oil pollution on the community is that it has led to the death and possible extinction of medicinal plants and herbs that are rooted in our traditional medicine and spirituality and have deep spiritual significance to the community. This degradation is brought about by the fact that most of these herbs and plants are found in sacred grooves, shrines and forests, which have fallen under direct destruction in the course of oil exploitation and the toxicity of oil pollution.
  62. 62. SocialImpacts V. Impact on Traditional Institutions of Authority and Social Harmony - One area in which oil pollution has dealt a dead knell to our customs and traditions is the rugged individualism which it has fostered amongst members of our communities which is contrary to our communal lifestyles. This had led to the disintegration of customs, traditions and social values, such as respect for our elders.
  63. 63. SocialImpacts 3. Physico-health Impacts of oil Pollution The most worrisome aspect of oil pollution in is the rise in occurrence of certain. If the level of the harmful chemicals could be high in ordinary water, the sediments which fish and other aquatic creatures feed on are definitely higher in Benzo pyrene concentration, and the people dependent on these marine creatures for food, automatically take in much more higher level of the cancerous chemical.
  64. 64. Plant Visit Experiences
  65. 65. References• • • • • • • Lee, H., Molburg, J., Wang, M., “Allocation of Energy Use in Petroleum Refineries to Petroleum Products: Implications for Life-Cycle Energy Use and Emission Inventory of Petroleum Transportation Fuels”, Int J LCA 9 (1) 34 – 44 (2004) • Energetics Incorporated for the U.S. Department of Energy Office of Energy Efficiency and Renewable Energy Industrial Technologies Program, “Energy Bandwidth for Petroleum Refining Processes”, October 2006
  66. 66. • European Bank for Reconstruction and Development Sub-sectoral Environment and Social Guidelines Petroleum Refineries and Petroleum Storage • Eze, J., “Top 16 uses of Petroleum”, Gas Oil Energy Magazine, 2010, April 7 • PYAGBARA L., “The Adverse Impacts of Oil Pollution on the Environment and Wellbeing of a Local Indigenous Community” AUGUST, 2007 • Shrieve’s Chemical Process Industries