ORYX GTL Experience in Flaring Reduction Challenges and

Opportunities

Marlene Janse van Vuuren,& Venkatesan .V

IQPC 3rdAnnual Flare Management & Reduction Summit

26th – 29th Oct 2013

• Qatar National Vision-2030

• Flaring in Qatar

• ORYX GTL – An introduction

• Sources of Flaring at ORYX GTL

• Flaring Calculation Methodology

• Flare Minimization Action Plan

• Flare Reduction Challenges & Actions

• Conclusion

Contents of Presentation Slide 2

Qatar National Vision-2030

• Qatar National Vision 2030 launched end 2008 • Initiatives to support GHG and Flare Reduction entrenched in QNV 2030

Econ

omic

D

evel

opm

ent

Soci

al

Dev

elop

men

t

Hum

an

Dev

elop

men

t

Envi

ronm

enta

l D

evel

opm

ent

”Management of the environment such that there is harmony between economic growth, social development and environmental protection” • Awareness • Water security • Marine environment • Climate change • Waste – Reduction, more recycling and

more efficient use

Slide 3

National Development Strategy

2011 – 2016

• Qatar joined GGFR in 2008 with a commitment to halve gas

flaring to 0.0115 bcm per million tons of energy produced from

the 2008 level of 0.0230 bcm per million tons of energy produced

• since the year 2000, whilst the oil and gas production in Qatar

increased by almost four fold, gas flaring has been halved. Qatar

flared nine cubic meters of gas per barrel of oil equivalent (boe)

produced in 2000, versus 1.1 m3 per boe in 2011.

Slide 4

Qatar Flaring Zones

OFF SHORE

DUKHAN

MESAIEED

RAS LAFFAN

OFF SHORE

Source: Defense Meteorological Satellite Program (DMSP) Archive Nighttime lights

More Qatar Flaring &GHG Reduction initiatives

• Qatar’s commitment and visibility in the international arena – hosting 18th session of the Conference of the Parties (COP 18) December 2012 at the Qatar National Convention Centre in Doha, Qatar.

• Ministry of Environment new Consent to Operate requirements to industries (compulsory) to implement Flare reporting strategy, submit Flare Reduction Time Bound Action Plans - driving behavior

• Qatar Petroleum’s (QP) Director General ‘s leadership, guidance and support, raising awareness • Regional legislator QP Ras Laffan Industrial City require participation in GHG Accounting Reporting (with guidance

since 2008) • Compulsory participation in GHG Accounting Reporting Audits since 2010 • Sustainable Development Reporting from voluntary (2011) to mandatory (2013) with focus on Climate Change / flaring

& GHG Reduction in 2012 SDR

Slide 6

Our Vision is clear

7

• We discuss our Vision

• We promote our Values

• We make HSE the first topic

of every meeting

Slide 7

49% 51%

What is GTL(Gas to Liquids)?

• Broadly, GTL is a process that converts natural gas to an easily transportable liquid product

• In practice, GTL is synonymous with the Fischer-Tropsch process • Proven alternative route to add value to natural gas prior to sale • GTL can be used to produce a wide variety of refined products, including

GTL diesel, GTL naphtha and LPG

Syngas Production

FT Conversion

Refining

Wastewater Treatment

Natural Gas

Oxygen

GTL Fuels

Tailgas

Reaction water

Condensate & Wax

GTL Process Overview Slide 10

500 350 50 15

35

20

10

Sulphur (ppm)

Aro

ma

tics

(%)

0

GTL Diesel

GTL Fuel - Advantages

High Quality

< 5 ppm Sulphur

< 1% Aromatics

> 70 Cetane No.

Average 30%

emission reduction

Diesel HC CO NOx

PM GTL Fuel

Slide 11

Flare Overview

Pilot gas

Fuel gas system

Tailgas

Syn gas unit

FT Unit

Product work-up

Hydrogen Unit

LPG Hydrogenator

Main flare

• Main flare

• Vent gas flare

Slide 12

Routine & Non-routine Flaring

Routine Flaring: • Pilot gas • Vent gas (low pressure gas from all units & tanks) • Excess tailgas from FT unit • CO2 Stripper off- gas from product work-up unit • Off-gas from LPG hydrogenator unit Non-routine Flaring: • Emergency pressure relief flows • Emergency depressurization operations • During maintenance • Episodic regeneration • Start-up / Shutdown operations

Slide 13

How did ORYX GTL do it?

• Established and refined reporting methodology • Improved stability and reliability of facility (new projects) • Implemented procedures, measuring capabilities • Optimized Fired heater to increase Tail Gas firing • Improved energy efficiency via optimization projects • Reduced unplanned shutdowns

Slide 14

Flaring Reduction Challenges • Absence of governance and guidance during design phase (2001-2003)

• GTL – new technology, complex process with complex energy efficiency process

integration

• Some of largest units in world – ASU, ATR & FT

• Highly complex fuel network (5 fuels) and unique fuels – Tail Gas, liquid fuel

• Initial startup and stabilization challenges

• Unavailability of procedures, equipment (flow meters), resources

• Understanding the complexity of Flaring and GHG reporting requirements

Slide 15

Flaring Calculation

• Flaring calculation are performed using Excel based Aspen Info Plus system on

real time basis.

• The calculation uses composition of various flaring streams and valve/control

outputs and other flare flow data (P,T, compositions).

• The core of the calculation system integrated with advanced process control

system and lab information management system to collect, aggregate, and

validate data prior to use in calculations.

• The tool is managed by production on daily basis to track the flaring volumes

• The data is validated and verified by Process engineers on monthly basis to

report regulators.

Slide 16

Flare Minimization Objectives

Objectives:

To support Qatar National Vision 2030

To achieve near- zero flaring

To comply with regulatory requirements

To reduce GHG emissions

To improve energy and carbon efficiency of the process

To improve the operational stability and reliability of facility

Time frame

Short term actions for December 2012

Medium term actions 2012 - 2013

Long term action plan 2012 to 2017

Slide 17

Flare Minimization Action Plan

Short Term Actions (December 2012): • Improve Tail Gas firing in fired heater • Applying advance process control schemes • Cleaning fired heaters to improve thermal efficiency

Medium Term Actions (2012 – 2013): • Re-routing of vent gases to fuel gas system • Installation of flare flow meters and analyzers

Long Term Actions (2012 to 2017): • Install vent gas recovery and compression project • Install fuel gas mix drum to reduce use of Natural gas as fuel

Slide 18

Flare Sources Contribution

Based on 2013 data

10.60%

5.83%

44.36%3.27%

27.03%

4.64%

3.33%

0.89% 0.07%

Syngas Unit

Product work up unit

Tailgas

Pilot Gas

Vent Gas

FT Unit

Hydrogen Production

Fuel System

LPG Unit

Slide 19

Tailgas to Flare Reduction Slide 20

What is Tailgas?

• Tail gas is an internally generated fuel from the FT process.

• It is treated to remove heavy-end hydrocarbons, and routed to the

synthesis gas unit or used as a fuel in process heaters and excess

tailgas is flared.

Objective:

• To optimize fired heaters to make maximum utilization of tailgas

and reduce the flaring Tailgas Composition - mol% Hydrogen 20 - 30 Carbon Monoxide 20 - 30 Carbon Dioxide 20 - 30 Nitrogen 10-20 Methane 5-15 C2 to C6 1-5

21

Tailgas to Flare Reduction

Challenges & Actions:

• Less heating value of tailgas due to high inert levels, which led to flame instability

• To increase heating value both natural gas and tailgas was mixed at the inlet of individual burners

Stack damper and stack hood problems

• At 75% tailgas to fuel ratio, the stack damper was fully open and restricted the further tailgas firing.

• Review of the stack design indicated that rain hood protection in the stack restricted the flue gas flow. The rain hood

removal provided the better draft control in the heaters.

Slide 21

22

Tailgas to Flare Reduction

Ultra Violet flame scanner issues

• UV scanner port was small and obstructed the view angle by refractories.

• Additional hole was made in the center of the flame plate and re-aligned the UV scanner standpipe to remove the

restriction from the view angle.

• Field trials conducted with different natural gas/tailgas ratios to assess the flame conditions and the stability, by

reducing the low alarm setting for the UV scanner from 400 to 80 counts and trip from 100 to 40 counts.

High skin temperature

• Detachment of skin thermocouples from the tubes was observed and indicating the flue gas temperature, which

resulted in the high skin temperature readings.

Slide 22

23

Tailgas to Flare Reduction

High bridgewall temperature

• Based on simulation studies and OEM recommendation, the trip point of the high bridgewall temperature was

increased to 1050 0 C.

Air/fuel imbalance

• The air damper plate which regulates the air flow to the burners was missing on some of the burners, which resulted

the improper flame characteristics.

Advance Process Control logic

• Implemented the fast response to the natural gas cut back system in case of emergencies via advanced process control

logic

Slide 23

Results : Tail gas Facts 2013

90% of generated tail gas was used as fuel in

2013 resulting in a 51.8% reduction in tail gas to

flare compared to 2012

Natural gas fuel consumption reduced by 11%,

when compared to 2012 due to high rate utilization

of tail gas as fuel even with higher production

levels

Flare reduction initiatives contributed to 15% GHG

reduction in 2013.

Slide 24

Results and Achievements

Annual Flaring volumes in Tons

In 2013, 77% flaring reduction achieved compared to 2011

Slide 25

Planned overall GHG Emission Reduction Slide 26

Achievements

1.81

2.22

1.72

1.46

0.00

0.50

1.00

1.50

2.00

2.50

2010 2011 2012 2013

Mill

ion

to

n o

f C

O2

eq

Year

GHG Emission Reduction

In 2013, 34 % GHG Reduction was achieved compared to 2011 results

Slide 27

Contribution of Flare Reduction GHG Reduction

90%

30%

40%

65%

Slide 28

In 2013, 36% flare

reduction achieved due to

tailgas maximization ,

operational stability and

reliability compared

In 2013, NG consumption

as fuel has reduced 11%,

even though the overall

production rate increased

.

Longer term projects to reduce GHG

Flare Gas Recovery Overview:

Long Term Actions: Vent gas flare recovery project

High pressure Flare

Low Pressure flare

Fuel Gas System

Main Flare KODVery Low Pressure flare

Low Pr Vent Gas Seal Drum

Flare

Process Fired Heaters / Boilers

New Fuel Mix Drum

Vent Gas Blower

New Compressor

Other Process UnitsTailgas

Fuel Mix Drum

Simple schematic - Flare system with Flare gas recovery

Slide 29

Overall 90% flaring reduction can be achieved by 2017

Up to 2013, 77% flaring reduction achieved as compare to 2011

Tail gas utilization, operational stability and reliability – main contributor

Flare reduction contributed to 34% of GHG reduction .

Flare gas recovery project – will reduce GHG by 7%

Carbon efficiency of the GTL process can be improved over 2%

40% decrease in natural gas utilization as fuel

56 million $ projects in pipeline to improve the operational stability and

reliability which can either directly or indirectly reduce the flaring

Flare Reduction Summary Slide 30

Recommendation to Industries

• Be aware of world trends and local authority regulations changes

• Be proactive and up to date with new emerging technologies for Flare &GHG reduction

• Include capabilities to measure in design

• Share your knowledge and experience with other industrial partners

Slide 31

Thank You لتعاونكم

Flare Sources Contribution

Based on 2013 data

10.60%

5.83%

44.36%3.27%

27.03%

4.64%

3.33%

0.89% 0.07%

Syngas Unit

Product work up unit

Tailgas

Pilot Gas

Vent Gas

FT Unit

Hydrogen Production

Fuel System

LPG Unit

Slide 33

Flaring Data Comparison

Flare Data (MT) Comparison for 2012 & 2013

Source Description 2012 2013 Variation

Pilot gas 4,356 4,994 14.6%

Vent gas 65,023 41,283 -36.5%

Tail gas 140,448 66,751 -51.8%

Syn gas Unit 3,649 16,185 343%

FT Unit 4,875 7,088 45.4%

Product work-up Unit 9,797 8,900 -9.2%

Hydrogen production 2,150 5,084 136.5%

Fuel system 287 1,356 372.5%

LPG hydrogenator 1790 102 -94.3%

Total Flaring 232,375 152,743 -34.27%

Slide 34