Blending Economic Performance Assessment Study for: Gasoline, Diesel, Bunker

Today many US refineries are leaving 5 to 25 million dollars/year “on the table” in avoidable octane and RVP giveaway. That just scratches the surface, since there are many other potential areas that are left unexplored (see TABLE below), and could be equally significant in terms of giveaway $’s.

USA “ABC” Refinery – Summary of Blending Improvements Economics
(1)Basis of Estimates = Extrapolation from US Complex Refinery, 130 KBPD Gasoline Production

Achievable Giveaway Reduction

Area of Improvement Comments
Reduction of Blend AKI and RVP Giveaway Includes conflicts betw RefLP and Blending
Reduction of TVL Giveaway TVL competes against RVP
Reduction of VOC Giveaway Switch to “Per Gallon” VOC spec
Reduction of Planned Recipe Giveaway Lower recipe variability
Exploit Ethanol Octane Boost Allows RBOB/CBOB neat spec “fat” reduction
Lowering Reformer Severity from 100 RON to 94RON Zero risk at 100RON
Reduce RVP Seasonal Rollover Giveaway Multi-blend multi-time period schedule optimization
Short term logistics optimization Best timing for producing a batch
Reducing tankage 1 RBOB and 1 Cat Gas tanks
Improved segregation of blend components
Reduced RIN exposure by increasing exports 10% of gasoline exported to Mexico
Total “ABC” Refineryr Potential Benefits (M$/yr) 5 to 15+ millions/yr depending on production capacity
(2)Costs to Capture Benefits 2 to 15 millions, depending on existing blending facilities

We do gasoline blending economic performance analysis and recommend ongoing monitoring to capture these potential improvements, potentially contribute another $5 to $15 million annually to the bottom line.

Typical Study Table of Content

Attachment 1

Sample Gasoline Blending Study Report Table of Contents

Ara Barsamian, Refinery Automation Institute, LLC,
Tel 1-973-644-2270/email: Jabarsa@refautom.com

1.0 Introduction and Summary 4
2.0 Current and Future Gasoline Blending Operation 5
 2.1 Current Gasoline Blending Configuration 6
 2.2 Gasoline Grades Specifications 7
 2.3 Export Gasoline Grades to mitigate RIN RVO’s 7
 2.3 Blend Planning 8
  2.3.1 Current and Future Improved Blend Planning 10
  2.3.2 Ethanol Blending and RIN’s 10
  2.3.3 Ethanol Blending Octane Boost and Reformer Severity 10
  2.3.4 Minimizing RVP Seasonal Rollover with Improved Blend Planning 10
 2.4 Gasoline Blending Performance and Improvement Benefits 12
  2.4.1 Physical Blend Quality Giveaway 12
  2.4.2 Planning Recipe Giveaway 14
  2.4.3 Total Recoverable Giveaway 17
 2.5 Benefits of In-Line Blend Release/EPA Waiver Petition 18
3.0 Gasoline Tankage and Inventory Utilization 19
 3.1 Current Tankage Utilization Efficiency 19
 3.2 Potential Tankage Re-Allocation for Improved Utilization 21
 3.3 Blending Use of Automatic Tank Gauging and Profitability 23
4.0 Gasoline Blending Facilities 25
 4.1 New or Refurbishing Existing In-Line Blender 25
  4.1.1 In-Line Blender Capacity 27
  4.1.2 In-Line Blender Modular Design for Easy Installation and Maintenance 27
 4.2 The Existing/Future Blending Control System 28
 4.3 The Existing/Future On-Line Analyzers 29
5.0 Proposed In-Line Blend Release Architecture 31
 5.1 In-Line Blender Configuration and Design 32
 5.2 On-Line Analyzers for Blend Property Control 33
  5.2.1 NIR Analyzer for Blender Header Measurement 33
  5.2.2 RVP Analyzer for Blender Header Measurement 34
  5.2.3 Sulfur Analyzer for Tier 3 Blender Header Measurement 34
  5.2.3 On-Line Analyzers Performance Monitoring 34
 5.3 Automatic Composite Samplers 35
 5.4 Blending Software 37
  5.4.1 Blend Control System Hierarchy 37
  5.4.2 New Blend Control System Implementation 39
  5.4.3 Blend Control Software Alternatives 40
 5.4.4 Blend Control System Implementation Phases 41
 5.5 Blending Key Performance Indicators (KPI) Reporting 42
6.0 Blending Operator Location 45
 6.1 Peculiarities of Blending/Offsites Operation vs. Onsites 45
 6.2 Examples of Blending/Offsites Control Rooms 46
7.0 Cost Estimates 48
8.0 Blending Project Execution Plan 51
 8.1 Typical Gasoline Blending Project Schedule 51
 8.2 Typical Gasoline Blending Project Organization 52
 8.3 Typical Post- Project Organization 54
9.0 Recommendations 58
10.0 Acknowledgements 59
11.0 Appendix 60

Past Companies Studies and Projects

 

  • Blending Components Selection Asia-USA (2017)
  • Blending Advice USA (2017)
  • In-line blender design Asia (2017-2018)
  • Alternative ON boosters Europe (2017)
  • Feasibility Study for a gasoline plant Asia (2017)
  • Feasibility Study and Design for ULSD 10 ppm Europe (2017)
  • Alternative Bunker Recipes for 2020 sulfur spec Asia (2017)
  • Colonial Pipeline Naphtha and Butane Blending Feasibility Project and Sourcing (2016)
  • Carrollton Oil-Manguinho Refinery Gasoline Blending Components Selection and Sourcing (2016)
  • FHR Corpus Christi, TX Refinery Gasoline Blending + Naphtha Optimization Project (2016)
  • ExxonMobil Research & Engineering Marine Bunker Blending Consulting (2015)
  • Trafigura TX Gasoline Blending Optimization Consulting (2015)
  • Blue Ocean Brokerage Gasoline, Diesel, and Biofuels Blending Consulting (2015)
  • MOL Hungary Gasoline, Diesel, and Marine Bunker Blending Consulting (2015)
  • Tesoro Anacortes refinery Gasoline & Diesel, Blending Consulting (2015)
  • WNR El Paso Refinery Gasoline Blending Improvement Project (2014-2015)
  • P66 Bayway Refinery Gasoline Blending Improvement Project (2014-2015)
  • SUNCOR Sarnia refinery Gasoline & Diesel, Blending Consulting (2014)
  • Socar Aurora Fujairah (UAE) Terminal Gasoline Blending Consulting (2014)
  • Sasol Gasoline Blending Consulting (2014)
  • Alcoa/Jamalco Power Plant: Fuel Oil Blending Project (2014)
  • ASTM Working Group on FT-NIR Gasoline In-line Blending Certification – (2012-2014)
  • JX Nippon Energy Bunker Blending Feasibility Study, Fujairah, UAE (2013-2014)
  • Eco-Energy Pipeline Gasoline Butanization Project (2012-2013)
  • Colonial Pipeline Gasoline Butanization Blending Project (2013)
  • Petrobras Pasadena Refinery Gasoline Blending Modernization Project (2012-2013)
  • Hess Port Reading Refinery Gasoline Blending Modernization Project Study (2012)
  • Celanese Gasoline and Synthetic Ethanol/Methanol Blending R&D (2011-2012)
  • ExxonMobil Torrance Marine Bunker In-Line Blender Design for Jacobs Engineering (2010)
  • Preem Gothenburg Refinery Gasoil/ULSD/Green Diesel Blending Study (2011)
  • Petro-Canada Edmonton Refinery Gasoline Blending Study/Benzene Reduction/Ethanol Blends
  • Buckeye Pipeline Gasoline and Diesel Transmix Recovery and Blending Consulting (2010)
  • NexGen Biofuels E10 Gasoline and B2 BioDiesel Blending: Blending Terminal Design, Optmized Blend Recipes (2010-2011)
  • Interchem BV Gasoline Blending Trading: Blending Facilities with New Tanks(LBC)
  • Chevron Pascagoula Refinery Gasoline Blending Improvement Study
  • Hovensa St. Croix Refinery Gasoline Blending Improvement Study
  • CITGO Lake Charles Refinery Gasoline Blending Improvement Study
  • Sunoco Marcus Hook Gasoline Blending Modernization/NIR Consulting
  • Sunoco Toledo Refinery Gasoline Blending Modernization Study
  • Sunoco Pt. Breeze Gasoline Blending Modernization Study (2006-2008)
  • Petrobras RLAM Refinery Diesel In-Line Blend Certification Feasibility Study
  • BP Cherry Point Refinery: 2 Diesel (ULSD and LSD) In-line Blend Certification Projects
  • Motor Oil Hellas Corinth Refinery Gasoline Blending Modernization Project Consulting
  • Petro-Canada Montreal Refinery Gasoline Blending Modernization Project
  • Suncor Sarnia Refinery Gasoline Blending Upgrading Study
  • Sasol Synfuels Secunda Refinery Diesel Blending On-line Certification Consulting
  • Sasol Synfuels Secunda Refinery Gasoline Blending On-line Certification Study
  • Motiva Port Arthur Refinery Gasoline + Diesel Blending On-line Certification Study
  • Golfo Brasil Petroleo Gasoline and Diesel Blending Automation Project
  • NIS Pancevo Refinery Gasoline and Diesel Computerized In-line Blending
  • Atofina Port Arthur Refinery Gasoline NMR and Diesel NIR Blending Consulting
  • Agip Raffineria di Milazzo Gasoline Computerized In-line Blending Study and FEED
  • PKN Orlen Plock Mogas in-line blender expansion project
  • Petrogal Blending and OM&S consulting
  • PDVSA Production Automation Project: Well Optimization and ASMS

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Contact Info

Refinery Automation Institute, LLC

6 Leslie Court Morristown,
New Jersey 07960 USA
Phone: +1-973-644-2270
eFAX: +1-973-206-2256
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