indian petrochem 2019 the lalit, mumbai , 14-15 november …adipic acid adiponitrile ah salt...

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Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November 2019 New Feedstock Approaches For The Chemical Industry Roger Lee – Managing Director

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Page 1: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019The Lalit, Mumbai , 14-15 November 2019

New Feedstock Approaches For The Chemical Industry

Roger Lee – Managing Director

Page 2: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Bio-Materials

Polyamide FibreHMDA

Acetic Acid

Vinyl Acetate Monomer

Methyl Acrylate

Ethyl Acrylate

Butyl Acrylate

2-Ethylhexyl Acrylate

DIDP

DINP

Orthoxylene

Paraxylene

PTA

DMT

Polyester

Caprolactam

Adipic Acid

Adiponitrile

AH Salt

Polyester Fibre

Polyester Film

PET Resin

DOP

DPHP

Polyamide 6

Polyamide 66

Phthalic Anhydride

2-EH

2-PH

Isononanol

Isodecanol

Maleic AnhydrideUnsaturated Polyester Resin

Isocyanates

Caustic Soda

Chlorine

Soda Ash

Ethylene Oxide MEGDerivatives

Butanols

Acrylic Acid

Acrylic Fibre Acrylonitrile

Methanol

EDC VCM PVC

Polyamide Resin Polyacetal PBTABS & SAN Polycarbonate

Bisphenol A

PhenolAcetone

EO Derivatives

PolyurethanesPolyols Chlorohydrin POPeroxy PO

1,4-Butanediol

Epichlorohydrin Epoxy Resins

Polypropylene Fibre

Styrene

TECNON ORBICHEM - CORE STRENGTHS Intermediates, Fibres & Specialty Resins

Page 3: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019REFINERIES ↔ CHEMICAL COMPANIESIf future production of base chemicals like ethylene and benzene will become increasingly the province of refineries, chemical companies may need to seek new feedstock approaches.

Technologies such as:• Use of synthesis gas as the raw material• Carbon dioxide capture and utilisation (CCU)• Electrolytic generation of hydrogen• Use of biomaterials• Metabolic conversion of biomass• Regeneration of monomers or chemical feedstocks from plastics waste

will have to be examined and developed to maintain independence.

Source: Tecnon OrbiChem

Page 4: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019USE OF SYNGAS TO MAKE CHEMICALS• Make ammonia, and then fertilisers (urea, ammonium nitrate)• Make methanol, and then:

o Methanol-to-olefins (MTO)o Methanol-to-propylene (MTP)o To acetic acido To dimethyl ether

• Make liquid fuels, plus olefins and alcohols, via Fischer-Tropsch• Separate out carbon monoxide, used to make, for example:

o Oxo alcoholso Dimethyl carbonateo Nickel tetracarbonylo Phosgene

Source: Tecnon OrbiChem

Page 5: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019SYNTHESIS GAS PRODUCTION• Natural gas consists mostly of methane, which is very un-reactive chemically. To make it chemically

useful, it is converted or ‘reformed’ to synthesis gas, a mixture of carbon monoxide and hydrogen:CH4 + ½O2 → CO + 2H2

• Biomass or coal or plastics waste can be converted to synthesis gas for chemical use. This is done by partial oxidation in a gasifier in the presence of steam:

2CH (biomass) + ½O2 + H2O → 2CO + 2H2

• Biomass, coal or plastics waste can give rise to a synthesis gas of low hydrogen content, in which case it can be subjected to a shift reaction to raise the proportion of hydrogen:

CO + H2O → CO2 + H2

The shift reaction is the main method to produce on-purpose hydrogen.The CO2 from the last reaction is isolated and must be disposed of. In future this will increasingly require sequestration and storage of this greenhouse gas. However, the shift reaction can be operated in reverse:

CO2 + H2 → CO + H2O This offers an opportunity for usage of carbon dioxide [CCU] rather than storage [CCS],- provided there are abundant supplies of hydrogen.

Source: Tecnon OrbiChem

Page 6: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019METHANOL PRODUCTION CAN BE A SINK FOR CO2

Source: Tecnon OrbiChem

This is the shift reaction in reverse.It can be used to absorb CO2 fromother operations on site.

Steam Reformer

Methanol Synthesis

Natural Gas

Steam

H2 Rich Syngas

MethanolDe-sulphuriser

CO2

Page 7: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019METHANOL: A TRANSPORT MEDIUM FOR CH4 & CO2

Natural gas, consisting mostly of methane, is often produced in remote locations. Such ‘stranded gas’ can be sourced from shale gas and tight oil, associated gas from oil fields, and gas fields. To move it to market, it must be liquefied to LNG, and transported in specialised vessels at minus 165 ºC. The logistics and storage costs are high.

An alternative is to convert the methane to methanol, via production of syngas. Since methanol is a liquid at ambient temperature (b.p. 65 ºC), logistics costs are much lower. At destination, methanol can be used as a transport fuel, or converted into chemicals:

• Formaldehyde• Dimethyl Ether• MTBE• Acetic Acid• Methanol-to-Propylene (MTP)• Methanol-to-Olefins (MTO)

Note It may be possible to produce methanol directly from methane. Preheated methane is reacted with oxygen to produce a mixture of methanol and formaldehyde. [See US Patent 8293186B2; US Patent 9180426B2]

There is much debate and experimentation on using methanol production as a sink for carbon dioxide where it is produced (for example at a steel works), taking electrolytic hydrogen made from renewable electricity and using the reverse shift reaction. The methanol can then be shipped to destinations for use as fuel or as a chemical feedstock.

Source: Tecnon OrbiChem

Page 8: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019METHANE TO METHANOL TO ACETIC ACID

Source: Tecnon OrbiChem

Syngas Unit

Methanol SynthesisMethane

Acetic Acid

CarbonylationReactor

CarbonMonoxide

Unit

Oxygen

CO

CrudeAcetic Acid

Dis

tilla

tion

Col

umn

Steam

Hydrogen

Hydrocarbon

RejectsRemote Site Industrial Park

China imported 7.4 million tons of methanol in 2018, mostly for chemical use.

Page 9: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019CAN HYDROGEN BECOME A TRANSPORT MEDIUM FOR ENERGY AND CHEMICALS USE?Hydrogen is widely used in refineries and chemical plants. World sources of hydrogen are:

A. 48% from steam reforming of methane (SMR)B. 30% from light hydrocarbon cracking and reformingC. 18% from coal (mostly in China)D. >4% from electrolysis, mostly in production of caustic soda.A. and C. involve direct production of large volumes of carbon dioxide.B. and D. involve production of carbon dioxide in steam generators/power plants.

Production of carbon-neutral hydrogen requires the use of either:• SMR together with Carbon Capture & Usage or Storage (CCUS)• Electrolysis using electricity from renewable sources

Source: Tecnon OrbiChem

Page 10: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019WHY SHOULD TRANSPORT OF HYDROGEN BE NECESSARY?• Renewable electrical energy has a vital role in replacing power generated from fossil fuels, so

as to reduce carbon emissions.• The problem with renewable power is that it can fail to be generated at times when needed

(when the wind does not blow and the sun does not shine). Conversely it can be over-produced at other times. It is necessary to accompany renewable power plants with storage facilities.

The possibilities are:A. Storage batteries - practical but very expensive at present, though costs will surely decrease

in futureB. Water reservoirs - have long been in use, but using land for water storage is becoming

increasingly controversialC. Generate hydrogen electrolytically - it can be stored, used when required to generate

power, and transported, allowing use in remote locations. But costs of compression or liquefaction are high.

Source: Tecnon OrbiChem

Page 11: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Source: BP Energy Outlook 2019

Indian Petrochem 2019WORLD ELECTRICAL POWER GENERATION BY SOURCEFUEL SHARES IN POWER GENERATION (%)

0

10

20

30

40

50

2000 2010 2020 2030 2040

Coal

Gas

2000 2010 2020 2030 20400

10

20

30

40

Geothermal & Biomass

Solar Wind

RENEWABLES SHARE OF POWER GENERATION BY SOURCE (%)

Page 12: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

0

1

2

3

4

SMR SMR + CCS Electrolysis

CCS

Capital cost

Operating costFuelElectricity

0

1

2

3

4

Liquid H2 via MCH via Ammonia

$ per Kg H2 (2017 $)

Deep Sea Shipping CostConversion

Shipping Dehydrogenation

Source: International Energy Agency

Indian Petrochem 2019HYDROGEN COST SCENARIO - 2040$ per Kg H2 (2017 $)

Production Cost

Page 13: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019MOVING HYDROGEN TO MARKET

Electrolysis using

renewable electricity

Transport

Reforming of methane or other fossil

fuel

CO2

CCUS

Hydrogenation of toluene to MCH

Ammonia production via Haber- Bosch

Liquefaction Regasification

Dehydrogenation

Use Directly

Dehydrogenation of methyl

cyclohexane MCH

Fuel cells e.g. in

automobiles

Chemical feedstock

Power generation

Fuel cell

Chemical feedstock

Combustion

Hydrogen

Source: Tecnon OrbiChem

Page 14: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019WHAT CAN HYDROGEN IN BULK BE USED FOR?• To make chemicals, such as:

o 1,4 - Butanediolo Caprolactamo Cyclohexaneo Hydrogen peroxideo Hydroxylamineo Tetrahydrofuran

• Extensive use in refineries, for desulphurisation, hydrotreating, hydrocracking

• As an energy carrier

• For decarbonisation

• For automobiles and other transport via on-board fuel cells

• For addition to natural gas distribution networks

• For storage of surplus power generation

Source: Tecnon OrbiChem

Page 15: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019HYDROGEN AND CARBON DIOXIDECarbon Capture and Usage (CCU) is a process that is one of the hopes for reducing climate change. There are many schemes for capturing and using carbon dioxide, with hydrogen involved in two possible ways:

1. The reverse shift reaction:CO2 + H2 → CO + H2O

Carbon monoxide (CO) can then be used in various chemical processes.

2. The Sabatier process:CO2 + 4H2 → CH4 + 2H2O

This produces methane (so is the reverse of SMR process), which can then be introduced into the natural gas distribution grid.

Source: Tecnon OrbiChem

Page 16: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019HYDROGEN & CARBON DIOXIDE TO METHANOL

Source: Tecnon OrbiChem

Using renewable electricity from wind farms, when there is low or no demand from the grid, to electrolyse water to hydrogen, the reverse shift process is not merely carbon zero, but carbon negative.

See:CRI Vulcanol ™ : www.carbonrecycling.isFlexmethanol ™: www.bse-leipzig.de

BioMCN : www.biomcn.euECOMET2: www.sunfire.de

Renewable Energy

CO2 Emissions Capture CO2 Purification

ElectrolysisH2

H2O Chemicals

Transport FuelCO2

MethanolCO2 + H2 CO + H2O

Page 17: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride

Indian Petrochem 2019THE HYDROGEN ECONOMY• There has been much talk of ‘the hydrogen economy’, in which many of our energy

sources, like the gas in our kitchens and the gasoline in our cars, will be replaced with hydrogen. This would certainly make a massive contribution to combatting climate change, provided the hydrogen has been made without generation of carbon dioxide.

• Some of this future gazing has been over-blown. Storage of hydrogen is not easy (especially in cars) and transport and distribution are expensive. But use in transport may be viable where pollution reduction is critical.

• By end 2017 there were 328 hydrogen fuel stations in the world, of which 139 in Europe, 118 in Asia and 68 in North America.

• Hydrogen fuel cell buses were introduced in Shanghai in September 2018 and it is planned to have 3,000 in operation by 2020.

• This is an opportunity for the chemical industry to be a provider of carbon-neutral hydrogen supplies, and also a creator of carbon-negative products and fuels.

Source: Tecnon OrbiChem

Page 18: Indian Petrochem 2019 The Lalit, Mumbai , 14-15 November …Adipic Acid Adiponitrile AH Salt Polyester Fibre Polyester Film PET Resin DOP DPHP Polyamide 6 Polyamide 66 Phthalic Anhydride