THE ECONOMICS OF
RESIDUAL FUEL  OIL DESULFURIZATION


               A Study for the

            Division of Air Pollution
             Public Health Service

           U. S. DEPARTMENT OF
      HEALTH, EDUCATION, AND WELFARE
           BECHTEL CORPORATION
          San Francisco and New York
                                June, 1964

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FOREWORD
Under the Clean Air Act (Public::,Law 88-206, 88th Congress) the
U. S. Department of Health, Education, and Welfare is charged
with the responsibility of expediting research into the desulfuri-
zation of fuels.
The Act provides for the letting of contracts to
complement research activities performed directly by the Public
Health Service of the Depa:r:tment and by other organizations
"under research grants.
Under contract to the Public Health Service, the Bechtel Corporation
has investigated the costs of reducing the sulfur content of certain
residual fuel oils.
The Division of Air Pollution, Public Health
Service, is publishing this summary report prepared by the


"Bechtel Corporation to make these research results available to all
individuals and organizations who may find them useful.

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                     THE ECONOMICS OF
            RESIDUAL FUEL OIL DESULFURIZATION
                      TABLE OF CONTENTS
Object and Scope                                          1
Summary                                                 3

Discussion
    The Nature of the Problem                            8
    Crude Selection and Product Slate                     13
    Formulating the Mathematical Model                  16
    Refinery Flowsheet                                  19
    Utilities                                             21
    Hydrogen Balance                                    23
    Results, Case Nos. 1 to 8                            25
Tables                                                    e No.
    Disposition of Sulfur in Refinery Products              1
    Product Specification Used in LP                      2
    Abridged Specifications for Fuel Oils                   3
    Results:      Case No.  1                             4
                  Case No.  2                             5
                  Case No.  3                             6
                  Case No.. 4                             7
                  Case No.  5                             8
                  Case No.  6                             9
                  Case No.  7                            10
                  Case No.  8                            11

                                                     Figure No.
Figures
    Refinery Flowsheet                                   1
    Results,  Case Nos. 1, 2,  3 and 4                       2
    Results,  Case Nos. 6, 7,  and ,8                         3
    Shadow Prices of Residual Fuel Oils                   4
    Comparison of Desulfurization ^Cost for California
      and ;Kuwait Residual Fueil Oil                         5
    •New Unit 'Capacities for Existing 'Refinery             -6

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Appendix                                              -—*—
    1.    Technical Aspects of the LP Matrix        A- 1 to A-3
                                                        fc
                                                    M-l to M-20
    2.    Glossary                                  B-1 to B-4
    3.    Bibliography                              C-l to C-4

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OBJECT AND SCOPE
No.  6 Residual Fuel Oils marketed in the United States contain an
average  sulfur content of about 1.6 percent,  with a range encompas-
sing a minimum of about 0. 4 percent to a maximum of about 4. 5 per
cent. The emission of sulfur dioxide from furnaces burning such
fuel  is recognized as a cause of significant air pollution.

The  objective of this  study is to establish costs for reducing the sul-
fu'r content of fuel oils manufactured from high  sulfur crudes.   The
desired maximum sulfur content for an acceptable fuel oil has been
taken to  be 0. 5 wt.percent for this study.

Presented are eight case studies developed in detail with the aid of
a Linear Programming (LP) model of a typical  100,000 barrel per
day modern refinery.  These eight cases  are as follows:

Case No.                       Description

   1         The base case  - a nominal 100, 000 BPSD refinery
             which, with no restrictions on sulfur, would produce
             a residual fuel containing 1. 63  percent of sulfur.
             Huntington Beach  (California) crude is the feed stock.
             With respect to residual fuel sulfur content, the  prod-
             uct is typical of U. S. production.

             Progressively  severe restrictions are placed  on  sulfur
             content of residual fuel and the  facilities required to
             meet these restrictions most economically are defined.

   2         Case No. 1  with coking excluded.  This forces utiliza-
             tion of the more expensive residual oil desulfurization
             process.

   3         Case No. 1  with both coking and hydro-pretreatment
             of catalytic  cracker feed stock excluded.

   4         Case No. 1  with fuel oil production reduced to 10, 000
             BPSD.

   5         In this case, the residual fuel sulfur content is held
             constant  at 0. 5 percent while the production rate  is
             varied.   All processing options are permitted.

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Case No.                        Description

   6         Case No.  1,  in which 5, 000 BPSD of Kuwait Crude Oil,
             and 500 BPSD of "imported" Kuwait No.  6 residual
             fuel oil are included in the  refinery feed.  As in Case
             No. 1, progressively severer restrictions are applied
             to the sulfur  content of the  residual fuel  product.

   7         The same as Case No.  6, but applied to  an existing
             refinery optimized for  operations without restriction
             on the fuel oil sulfur content.  It is assumed that the
             "existing" refinery is fully depreciated,  so that capi-
             tal charges are  assigned only on new units required to
             meet the restrictions on fuel oil sulfur.

   8         A  special  case,  applicable  to a Gulf Coast refinery,
             where cheap  natural gas fuel is available for potential
             conversion to hydrogen.

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SUMMARY


The results of the eight case studies are presented briefly in this
summary.  Later in the  report each of these cases is described in
detail with all of the important computer  results presented in tables.
Except  for Case No.  5 which  deals with varying fuel oil production
rates,  all of the eight cases are concerned with the increase in re-
fining costs as progressively stringent sulfur restrictions are ap-
plied. .  Desulfurization costs  shown are calculated as differential
costs relative to operation for that case  where  there  is no sulfur
restriction imposed.  Since the quantity of the other refinery prod-
ucts and their quality specifications are  held constant for all cases,
these relative costs are  realistic indications of the effect of a sulfur
restriction.   The various cases may be compared with each other by
the refinery realization curves.  These represent a relative profit
which is calculated by subtracting variable costs  from the value of
the products.  Since only variable costs  are considered, the magni-
tudes of these numbers have no significance except in relation to each
other.

The area of the  chart marked "viscosity give-away" indicates the
range in which the computer could not economically meet both the
viscosity and sulfur specifications for the residual fuel oil.  In these
cases the product is more fluid than that required by the market.
For  some applications, this low viscosity fuel  oil could command a
small premium,  but no such credit was taken in this  study.
Case No.  1 is the base case
in which the full range of re-
finery processes are avail-
able to deal with the sulfur
problem.  Desulfurization
of the residual fuel oil was
accomplished primarily by
residual oil coking  and hydro-
gen treating the cutter stocks.
At low sulfur levels,  the ratio
of cutter  stocks to residual
oils  was increased  beyond the
level required for viscosity
blending alone .
40
                                             REFINERY REALIZATION
                                            CENTS/BARREL OF PRODUCT
                     CASE >
                 CALIFORNIA CRUDE OIL
                  24,300 BPSOFUELOIL
               ALL REFINING OPTIONS PERMITTED
                        DESULFUftlZATlON  CQ3T
                       CENTS/BARREL OF FUEL OIL
                                                0.7     0-9     I.I     1.3    1.5    1.7

                                               WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL

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Case Nos.  2 and 3 show the
effect of excluding coking
from consideration and
thereby forcing the more
expensive alternate  of
residual oil hydrodesulfuri-
zation to be used at  all
levels of sulfur in the re-
sidual fuel oil.

While the differential cost
curve is slightly lower than
in Case No,  1,  the refinery
realization curve is also
lower.   Case No.  3  is the
same as Case No. 2  with  the
added restriction that hydro-
gen  treatment of catalytic
cracking feedstock was pro-
hibited.  No  significant dif-
ference in cost resulted.
 REFINERY REALIZATION
CENTS/BARREL OF PRODUCT
            ——CASE 2
            CALIFORNIA CRUDE OIL.
             COKING EXCLUDED
            24,300 BPSD FUEL OIL
            ___CASE 3
            CALIFORNIA CRUDE OIL
         COKINS AND FCCU PRETHE AT EXCLUDED
                     OESULFURIZATION COST
                     CENTS/BARREL OF FUEL OIL
    O.7     0.»     I.I      1.3     1.5     1.7

   WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL
         REFINERY REALIZATION
        CENTS/BARREL OF PRODUCT
                            CASE 4
                        CALIFORNIA CRUDE OIL
                     FUEL OIL REDUCED TO 10,000 BPSO
                     ALL REFINING OPTIONS PERMITTED
                           (OESULFUHIZATION COST
                           :ENTS/BARREL OF FUEL OIL
          07     0.9     I.I     1.3      1.6     I.T
         WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL
     Case Nos.  2 and 3 serve
     to illustrate that coking
     and resid hydrodesulfuri-
     zation  are competitive
     processes for converting
     residual stocks  to more
     valuable refinery products
     Case No. 4 repeats Case
     No. 1 except that the re-
     sidual  oil production is
     reduced from 24, 000
     BPSD to 10, 000 BPSD.
     The cost of fuel oil de-
     sulfurization increases
     somewhat over Case No.
     1,  but  there is also a
     striking improvement  in
     refinery realization.

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Case No.  5,  which is not illustrated by graph,  explores the profit-
ability of fuel oil manufacture over a wide range  of production
levels while maintaining a constant 0. 5 wt percent sulfur specifi-
cation.  As the rate is cut from 32, 478 BPSD in a series of steps
to 10,000  BPSD, the realization rises from $0.279 per barrel of
products to $0. 531 per barrel.   For the conditions of the study,
the break-even price for incremental fuel oil production at 0. 5 wt.
percent is  calculated to be $2. 75.  Below this price, there is
economic pressure on the refiner  to reduce production of this
product.
Case No.  6 is a new base case for
supplemental studies in which a
constant  5, 000 BPSD of Kuwait
crude substitutes for part of the
California crude.  The mathe-
matical data generated by the LP
permitted separate  costs of de-
sulfurizing the high sulfur Kuwait
residuum to be calculated.  Fig-
ure  3 shows the resulting compari
son  between Kuwait and California
crudes.

Also included in  Case No. 6 was
a small 500 BPSD increment of
4, 5  percent sulfur "imported"
fuel oil.  The model refinery
used this as a "crude" and the
LP calculated a value or "shadow
price"  for it at various sulfur
levels.

At the 0.  5 wt percent level, its
value was $. 80 lower than the
price for desulfurized product
fuel oil.  This figure can be
taken as a measure  of the de-
sulfurization cost.
          CASE*
COMPARISON OF OE3ULFURIZATION COST FOR
CALIFORNIA AND KUWAIT RESIDUAL FUEL OILS

   SOOO BPBD KUWAIT CRUDE AND
  SOO OfSQ IMPORTED RESIDUAL FUEL OIL
  REPLACING PART OF CALIFORNIA CRUDE
  NO RESTRICTIONS ON REFINERY OPTIONS
           REFINERY REAUIAT
         CCNT3/BARM L TOTAL PR
         Sf SIDLJii. FUEL OIL
           . FROM
          KUWAIT STOCKS
 WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL

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Case No. 7 considers the con-
sequences of a restriction on
fuel oil sulfur when  it  is
applied to an  existing  re-
finery,  optimized to process
100,000 BPSD of crude with-
out limitation on fuel oil sul-
fur.  It is assumed that the
refinery is  fully depreciated
when the  sulfur limit is ap-
plied.   The incremental  cost
to lower the sulfur content of
fuel oil is about 20 percent
higher than for an all-new,
optimized plant such as Case
No,  6, but is not otherwise
radically different.   To con-
form to the 0. 5 wt percent
limitation,  the refinery would
have to add 10, 000 BPSD of
coking capacity and  14, 000
BPSD of middle distillate hydro-
desulfurization.
REFINERY REALIZATION
                       CASE 6
                 9,000 BPSD KUWAIT CRUDE AND
               SOO BPSD IMPORTED RESIDUAL FUEL OIL
               REPLACING PART OF CALIFORNIA CRUDE
               NO RESTRICTIONS ON REFINERY OPTIONS
                   — — — CASE 7
               FUEL OIL SULFUR RESTRICTION APPLIED
                   TO AN EXISTING REFINERY.
                CALIFORNIA AND KUWAIT CRUDE MIX
DESULFURIZATION COST
  0.7      0.9     I.I      1.3     l.fl     1.1

 WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL
                                   CASE 6
                             3.0OO BPSD KUWAIT CRUDE AND
                           BOO BPSO IMPORTED RESIDUAL FUEL OIL
                            REPLACING PART OF CALIFORNIA CRUDE
                            NO RESTRICTIONS ON REFINERY OPTIONS
                               — — — CASE 8
                             5.00O BPSD KUWAIT CRUDE AND
                           500 BPSD IMPORTED RESIDUAL FUEL OIL
                            REPLACING PART OF CALIFORNIA CRUDE
                            NATURAL GAS AT I9C/MSCF USED FOR
                                 REFINERY FUEL
              0.7     0»     I.I      1.3     1.5

             WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL
       Case  No.  8  shows
       the  effect  of mak-
       ing  natural gas fuel
       available at low cost.
       When Case No.  8 is
       compared with Case
       No,  6 it is found
       that the  availability
       of cheap natural gas
       improves  the  profit-
       ability of the refinery
       by reducing operating
       costs.  The refinery
       configuration  is not
       significantly affected
       by this  change ex-
       cept that more hydro-
       gen  is used  in pro-
       cessing.

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It is of particular interest that the availability of cheap hydrogen
did not reduce the cost of desulfurizing fuel oil.  If anything, the
relative attractiveness of alternate uses for the stocks blended
into fuel "oil were enhanced by the availability of cheap hydrogen
with the result that fuel oil desulfurization cost was somewhat
higher than in the case with higher  priced hydrogen.

The overall conclusions of this  study may be summarized as follows

1.       Manufacture of low sulfur  residual fuel oil from
        high sulfur crudes requires an incentive pricing
        of $0. 40 to $0. 65 per barrel above fuel oil pro-
        duced without  sulfur restriction.  This cost is
        increased about 20  percent if applied to an exist-
        ing  refinery.

Z.       Imported residual fuel oil  can be regarded as
        crude and processed in a modern  refinery:  Its
        value is approximately $0. 80 per  barrel less than
        the desulfurized fuel oil product.

3.       The availability of cheap natural gas reduces
        refining costs in general, but it does not appear
        to make fuel oil desulfurization more  attractive.

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 THE NATURE OF THE PROBLEM

 The nature and extent of the petroleum sulfur problem can be seen
 from Table I which is a tabulation of Bureau of Mines data in the
 several 1962 Mineral Industries Surveys published by the  Bureau
 of Mines.   The average sulfur content and API gravity of each of
 the products for each geographic area was considered to be repre-
 sentative of the total volume marketed in that district.  Because
 of this and other assumptions in the calculations,  no statistical
 accuracy can be claimed.   However, the table does point up
 clearly the fact that the greater  part of the sulfur released to the
 atmosphere comes from the burning of residual oils.  The pro-
 portion is likely to show an increase in the near future, because
 competitive quality requirements are now forcing the  refiners to
 desulfurize larger proportions of the other products.  Further,
 the processes  for desulfurizing these lighter stocks have been
 well studied and their place in the refining scheme is  well estab-
 lished.   For these reasons, this study has been confined entirely
 to residual oils.

 A thorough literature survey by  the Bureau of Mines indicates that
 hydrodesulfurization is the only  refining process that  appears prom-
 ising for  removing sulfur from residual petroleum oils.  Several of
 the major oil companies are known to be developing residual oil
 desulfurization processes.  However,  only two commercial proc-
 esses  have  been  announced,  the Gulf HDS process and the H-Oil
process developed jointly by Hydrocarbon Research, Inc. ,  and
 Cities Service  Corporation.

 It should be mentioned in passing that essentially complete removal
 of sulfur from  residual petroleum oils by hydrogen treating is
 easily accomplished in the  laboratory.  However,  these laboratory
 reactions require  high hydrogen  pressure, large ratios  of catalyst
to oil and large quantities of hydrogen.  The  commercial processes
do not attempt  complete desulfurization, use special catalysts and
incorporate mechanical features which attempt to  overcome these
limitations.- Even so, in the present state of development residual
oil hydrodesulfurization is  expensive in comparison with other
 refining processes.

 Published figures  indicate that the total costs for the desulfurization
might be as high as $0. 70 to $1.00 per barrel of residual oil proc-
essed.  If it were  assumed that this is an additive cost to be applied
directly to the  price of residual fuel oil, the  process would be pro-
hibitively expensive  for many situations.  However, an analysis
                                  (8)

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which considers  the desulfurization process by itself cannot give a
true indication of the cost of the operation.  The product oil from
the hydrodesulfurizer actually consists of a wide range of materials
no longer typical of the feed oil.  From the refiner's viewpoint it
can be regarded  as a synthetic  "crude" with a value  determined by
the products that can be prepared from it.  Only a small fraction of
the hydrodesulfurized product might be blended to  fuel oil if the
refinery were "optimized".

The  inter-relationship between the various refinery  processing
units is extremely complex, and current  practice is  to approach
these problems with a mathematical simulation or "model".  This
study has been largely directed toward creating and  manipulating
such a refinery model in which residual oil hydrodesulfurization is
only one of several processes which can contribute to reducing
sulfur content of residual fuel oil sulfur.

In approaching a study of this nature,  attention must be directed to
the material itself, the residual fuel oil.   ASTM Grade No. 6 fuel
oil is characterized generally by the absence of any  specifications
other than flash point (for safety in storage),  viscosity (to insure
pumpability), and the maximum content of water and sediments
that  can be tolerated in atomizing burners.  The refinery thus has
considerable latitude in the choice of components to blend in the
product.  In most cases the  residual fuel  oil sells  for less  than
the cost of crude, and it is a marginal product kept to  a minimum
economic production level.

The degree of freedom that exists for the refinery and the nature of
the material itself is best illustrated by some examples.  For
reasons to be explained later,  a 23. 8 API California crude was
selected as a basis for much of this  study.  If this crude were
processed in a simple topping refinery having only a crude unit
and a catalytic reformer,  the product distribution might be as
follows:

                  Gasoline            14%
                  Lt. Distillates        8%
                  Residual Fuel Oil    76%
                  Operating  Loss       2%
                                     100%

Sulfur content of the residual oil would be slightly in excess of 1. 5
wt. percent.
                                   (9)

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In the above example, large quantities of middle distillates and gas
oils must be retained in the residual fraction to meet the maximum
viscosity specification.  Application of modern refinery processing
such as vacuum distillation and propane de-asphalting  can reduce
the heavy fraction to an asphalt residue  amounting to only 14.4%
on the original volume and at the same time recover oils  that are
valuable as feeds to other units.  The  asphalt that remains is a
hard solid at room temperature.  Unless it can be sold as asphalt,
its  disposal is a problem for the  refiner.  Only two options are
generally available:  the material may.be blended and sold as fuel
oil,  or it may be converted to other products.

If it is to be sold as fuel oil,  the  refinery must blend the  residual
oils with sufficient "cutter stock" to meet the viscosity specifica-
tion. Generally, this cutter  stock is the lowest quality middle
distillate available.  On the assumption  that it is a light catalytic
cycle oil, approximately two volumes  of cutter stock will be needed
for each volume of the asphalt  described above.   The net  refinery
yield of residual fuel oil in this case is approximately 44%, the
minimum that can be attained by  blending alone without a  residual
oil  conversion facility.

In nearly every instance where the  refinery has facilities for
fractionating the various products from  the crude, the most  eco-
nomical fuel oil blends will consist of heavy pitch such as the
propane precipitated asphalt described above and a low viscosity
middle distillate.  The fuel oil  reduction that can be  accomplished
by selective blending is substantial and in  the above case  amounts
to 32% on crude charged.

Because residual fuel oil usually sells for less than the cost of crude,
the refiner  is under pressure to reduce  the quantity still further
than is possible with these selective blending methods.  Conversion
processes include thermal coking,  viscosity breaking and the re-
sidual  oil hydrodesulfurization.

Of the three processes, only coking is capable of eliminating the
fuel oil entirely.  The oil is heated to approximately 850°F and
allowed to flow slowly through  a large coking drum where it
decomposes to a hard carbonaceous residue and a wide boiling
range "synthetic crude" which  can be fractionated into various
products.  Coking, like most of the commercial non-catalytic
                                    10)

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cracking processes,  has the disadvantage of producing low quality
gasolines and unstable distillate fractions which must be further
processed.   Further, much of the sulfur in the  residual oil is
concentrated in the coke and limits its usefulness for metallurgical
purposes.  It is even marginal as a fuel since the anticipated high
sulfur content would  limit its applicability.   Even with these limi-
tations, however, coking is a widely used process,  and may be
economically attractive even when the coke product is not salable.

Viscosity breaking is a mild thermal  cracking process which con-
verts part of the residual oil to distillate products.   In many instances,
only the gasoline is removed, and the various gas oils and distillate
stocks resulting from the cracking are  retained in the fuel oil to act
as "cutter stock".  The net result is a significant reduction in the
refinery yield of fuel oil because the amount of  outside cutter oils
is reduced.   It is interesting to note that one Southwest refinery
for many years followed the visbreaking operation with a high
vacuum distillation step.  This  reduced the "black oil" to a hard
pitch which was subsequently discarded in a canyon.  Where the
pitch can be  disposed of, this viscosity breaking vacuum distilla-
tion scheme  is an alternative to  coking.

Residual oil  hydrodesulfruization processes from the refiner's point
of view resemble viscosity breaking and are sometimes referred
to by the terms "hydro-visbreaking" or "resid hydrocracking".  As
descriptive names, these are in some respects  superior to terms
that suggest  only sulfur removal.  Regardless of the conditions
employed or  the type of process, the  desulfurization reaction is
accompanied by a substantial amount  of cracking.  Even  simple
removal of sulfur from a heavy molecule in a way that does not
involve rupture of carbon-carbon bonds, reduces  the molecular
weight and increases volatility.

If these products of the hydrocracking and hydrodesulfurization
reactions are retained in the fuel oil, the net effect is to reduce
the overall refinery yield of residual  fuel oil by reducing the
need for outside cutter stock in a way analogous to viscosity
breaking.  Further,  if the products from the hydrodesulfurization
reaction are  regarded as "synthetic crude" and  fractionated to
recover all of the gas oil and distillate fractions,  it will be found
that the volume of fuel oil can be reduced even further.   The  same
selective blending procedure applied to virgin asphalt can be used
with the residuum from the hydrodesulfurizer unit.
                                   (11)

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It is important to note,  however, that the yield of desulfurized
residuum from resid hydrodesulfurization processing is only a
fraction of the original charge volume if all the gas oil  and other
distillable material is removed.  Depending on the operating
severity, catalyst activity,  and crude type,  the small amount of
residuum remaining may still have a high sulfur  content ap-
proaching that of the feedstock.  This material may be  blended
to make a reduced quantity of fuel oil or it  can in some cases be
recycled to the  hydrodesulfurization process so that there is no
net production of fuel oil.

Residual oil hydrodesulfurization is a relatively new  development,
and only one plant is in  operation.  Therefore, nearly all the  yield
information in the  literature consists of laboratory or pilot plant
data.  The yield data for this study came from two different
sources.  They serve to illustrate quite well the extremes in
flexibility that exist for the  design of a desulfurization unit.

The California residuum data were taken from the Galbreath
and Johnson paper.  The results are typical of a mild treatment
of a refractory  residuum.  The sulfur content of the treated
residuum (not the total treated product)  rather closely matches
the  sulfur content of the original feedstock.

The Kuwait data were taken from the recent work of Beuther and
Schmid. A very active  catalyst was used,  together with severe
conditions.   The result  was a minimum  yield of relatively low
sulfur residuum.

Regardless of the type of process,  the primary effect of residual
oil hydrodesulfurization is a drastic reduction in volume of
residual stock for  fuel oil blending.
                                   12)

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CRUDE SELECTION AND PRODUCT SLATE

In'a study such as this,  the selection of crude type and the product
distribution is of fundamental importance.  In the early phases of
the work, some thought was given to setting up a model descriptive
of the U. S. petroleum refining industry as a whole.  Such a linear
programming model .is described by Manne in connection with a
study on the capability of the industry to produce jet fuel.  Unfor-
tunately, Manne's model does not include any of the hydrogen
treating processes that are essential to the current study.  If
these were included along with the necessary flexibility in proc-
essing operations that Manne's  model did not need, the matrix
would have several hundred equations, a simulation beyone the
scope of this project.

Also, his model was  based on the crudes  from the first 25 of the
major oil fields as listed in the Bureau of Mines  survey for  1950.
During the 12 years from that time to 1962, 50% of the fields had
been dropped  from the list to be replaced by many that had not
been discovered at that time.  Assays were not available for
many of these crudes.

From a practical  standpoint,  residual oil hydrogen treating  yield
data are  available only for a few crude types.   Practically all of
the work has been confined to Middle East,  California or selected
West Texas crudes, none of which are really typical of the average
crude mix for the U.  S.  It is extremely important in an LP study
to have a consistent set of premises for the simulation.

Because  of the large  amount of detail required for each crude type,
the simulation had to be limited to one or two  of these crudes.
California crude  was selected for the base case for two reasons.
It was used in a recent study on fuel oil reduction methods by
Slyngstad and Feigelman and some of their data could be adapted
to this study.  Also,  the fuel oil made from California crudes
will normally run close to the national average of 1. 6 wt. per-
cent sulfur.   Results based on California crude should be fairly
representative of what it will cost the industry as a whole for
desulfurization of residual fuel  oil.

An assay of a particular sample of Huntington Beach crude that
closely corresponded to the average API gravity for total
California production was available. Important properties are
as follows:
                                   (13)

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                  Gravity,  °API                23. 8
                  Sulfur, Wt.  Percent            1.3
                  Reid Vapor  Pressure, PSI      1. 1
                  Viscosity, SSU @ 100°F      149
                  Viscosity, SSU @   80°F      246
                  Price, $/BarreL                Z. 46

 The properties of the various  fractions used in the L.P may be found
 in the matrix coefficients as given in the appendix.

 Product specifications and demands used for the matrix are given
 in Table Z.  The product distribution corresponds to the approxi-
 mate market breakdown in  the West Coast for  1962 as presented
 by Siyngstad and FeigeLman.   These provide a realistic set of
 product demands corresponding to the crude gravity.

 Since the primary purpose  of  the simulation was to study the effects
 of a sulfur specification restriction on residual fuel oil, the other
 products are considered to be "pools" with only average specifica-
 tions typical for the material.   The gasoline pool represents an
 average for premium and regular gasolines with an  octane  number
 slightly higher than the average being marketed today.   The light
 distillate  pool includes #1 burner oil,  JP~5 jet fuel, kerosine, and
 Light diesel.  Heavy distillates include #2 burner oil and heavy
 diesel.

 Specifications for these materials are limited only to boiling range
 and  sulfur content.  The  sulfur contents are typical  of what a refiner
 might normally set for products from this  particular crude.

 The  LP matrix is purposely structured to eliminate any need for
 product prices in determining  the cost of desulfurization.   The
matrix is set up to produce the required product slate for each
 case irrespective of prices, so that the only variables are  the
quantity and  sulfur content of the fuel oil.   In this way,  the  model
is completely independent of the effects of  product market prices.
However,  there is pressure on the refiner to reduce production  of
fuel  oil, and this pressure can be measured in terms of gross
realization relative to product prices.   For this purpose the prices
estimated by Siyngstad and  Feigelman as refinery net-backs for the
West Coast are used.
                                    (14)

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 Two products from this model refinery which are not included in
 the above tabulation are coke and sulfur.  Coke produced from this
 type of crude will have little value for most industrial purposes and
 because of its high sulfur content, it could not be burned as fuel in
 the marketing area served by the refinery.  For this reason, the
 coke was given a negative value  of $1. 00 per ton to allow for a
 disposal expense.

 Similarly, it was assumed that the refinery is not in the sulfur
 business, and no value was assigned to-the byproduct sulfur.
 Assigning a value of,  say, $20/ton would be reflected as a credit
 of $0, 03 to $0, 05 per  barrel in favor  of the resid hydrodesulfuri-
 zation  process in those areas where the sulfur could be marketed.

 Cases  6,  7 and 8 expanded the scope of the study by replacing 5, 000
 BPSD of the California crude with Kuwait.  Properties are as
follows:

                 Gravity,  °API                 30. 8
                 Sulfur, Wt. Percent           2. 35
                 Reid Vapor Pressure, PSIG    8. 1
                 Price, $/Barrel               2.00

Since the quantity of Kuwait crude was held constant in all cases,
the price had  no influence whatever on the LP matrix behavior.
The only use made of the price of Kuwait crude was in calculating
realization.
                                   (15)

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 FORMULATING THE MATHEMATICAL MODEL

 Inter-relationships between the  refinery processing units are ex-
 tremely complex,  and until the recent development of mathematical
 programming methods, it was difficult to make meaningful compar-
 isons between alternate refinery operations.

 The most important and generally useful of the mathematical
 programming methods is Linear Programming (LP).  It has  be-
 come a standard technique for economic analysis in the petroleum
 industry.  Once an  LP matrix has been set up to describe a re-
 finery complex,  it can be programmed into, a computer  and used
 to calculate the economics of alternate modes of operating the
 refinery.  It is possible to change product demands,  specifications
 and refinery processing schemes with assurance that each solution
 will be accurately balanced and optimized.  For this study,  the
 Bonner and Moore LP code and GAMMA matrix generator were
 used on an IBM 7094 computer.   The matrix generator has numerous
 features especially provided for oil refinery problems.

 Formulation of the LP matrix is by far the most time consuming
 operation in a refinery simulation study.  Considerable care must
 be taken to make sure  that all reasonable alternate processing
 possibilities are provided.   Also,  it is extremely important that
 all  of the data be internally consistent if valid results are to  be
 obtained.  For this  study,  the latter was taken as a guiding
 principle.  The base case of the study was purposely narrowed to
 a single  crude and marketing situation so that full  attention  could
 be given to constructing a matrix that would incorporate most of
 the process alternates that a refinery might elect to use.  It  was
 later expanded to evaluate another crude, and to permit handling
 some "imported" residual fuel oil.

 In spite of  its usefulness as a tool for economic analysis, linear
 programming does have limitations that influence the formulation
 of the problem and the interpretation  of the  results.  The LP re-
 quires that a single cost figure be assigned to each possible
 operation,  and this cost figure must be proportional to the "activity"
 of that operation.   In blending operations, this requirement is
accurately met; in others,  it is approximated by restricting the
 range over which a cost applies.

 The development of these "cost-per-barrel" processing costs is
a matter of considerable judgment, and how they are formulated
                                     16)

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 is closely related to the objectives of the study.  Processing costs
 may be considered in three categories according to the  simplifi-
 cations that are made.

       (!)      Generjil Overhead and Operating Labor,  It is
       customary to ignore all costs of a  general nature which
       cannot be  identified with a particular product or operation.
       Since  operating labor for a unit generally is practically
       independent of the feed rate, this is also omitted from
       consideration.

       (2)      Capital Related Costs.  Where a unit already
       exists, it  is usually assumed that amortization, interest,
       maintenance, taxes,  and similar items are independent
       of the  quantity of material being processed.   These costs
       are excluded from the matrix.   On the  other hand, if new
       facilities must be built, it is proper to assign a cost
       penalty against each barrel of capacity that is needed.

       (3)      Utilities. Utilities, chemicals, catalyst,
       running royalties, and other factors that are  propor-
       tional  to the quantity of material processed are always
       included in the cost.

 These distinctions are quite important,  and the method of handling
 capital charges is often a source of confusion.  In a study for a
 "grass roots" refinery where all new  facilities are to be con-
 structed, the'capital related costs would be included in the  matrix,
 and an optimum  refinery configuration would  result from the
 solution. After  the refinery was constructed, a second  LP
 solution might be made,  with all of the capital cost factors  ex-
 cluded.  This L.P would find an optimum  way  of running  the
 refinery which could be quite different from the original case in
which individual unit sizes  were determined.   The reason for
 this  is  the change in objective.  In the first case, the refiner has
included cost factors to deliberately penalize the expenditure of
 capital. The objective is to build a refinery in which the ex-
penses for capital write-off, crude and operation are balanced.
 Once the facilities have been constructed, there may very well
be a more profitable way to run the refinery -- and the second
L,P solution will show this.

It is important to understand that the capital related charges, when
included in the matrix,  are  really penalties to force the  selection
of low cost processing methods.  They represent a  balance of
                                     (17)

-------
 operating cost, cost of crude,  and capital investment that is optimal
 for the refinery.

 For the purpose of this study,  two limiting extremes were set up.
 For most cases,  each process unit considered for the LP matrix
 was penalized by a capital cost which included all maintenance,
 taxes and insurance,  and "write-off" period of three years before
 taxes.  The purpose of this was to optimize the refinery for
 minimum capital expenditure and  at the same  time establish an
 upper cost boundary tha.t would reflect  as  severe a criterion as
 the industry might employ for incremental expenditure.  As an
 alternate,  the study also considers the case of a fully depreci-
 ated refinery which requires new  facilities to  reduce sulfur con-
 tent of  residual fuel product.  In this case, the capital related
 charges were applied only to the new facilities.

 The three year write-off period for establishing capital charges is
 normal from  the industry's point of view.   This is a handy rule of
 thumb,  which corresponds to a true return of  capital in about 5
 years after taxes if the double  declining balance method of depre-
 ciation  is used.  About 18 months  will ha.ve elapsed from  the time
 that a decision is ma.de until new facilities  could be constructed,
 The refinery accordingly is asked to  commit capital for a period
 of 6-1/2 years.  During this time,  new technologies  maybe
 developed that obsolete the facilities, -- or the market condi-
 tions that call for the expenditure  may  change. If the tax laws
 are amended to permit faster depreciation  of new facilities re-
 quired for fuel oil desulfurization,  refiners would find the invest-
 ment more attractive.

 In the present case where fuel oil  desulfurization is being con-
 sidered, the possibility of unexpected developments during that
 6-1/2 year period is particularly great. . Any nation-wide re-
 striction that adds $0.45 or more  per barrel to the cost of fuel
 oil is certain  to cause a re-examination of  energy sources by  the
 industrial consumer,  and it is entirely  possible that  the demand
 for residual fuel could decrease drastically.  This would certainly
prompt an investigation of alternate fuel, sources.  Such an investi-
 gation is beyond the scope of this report,  but it would appear that
both natural gas and coal would be possible alternates in existing
fossilfueled  heaters,  and nuclear  energy in new power plants. A
preliminary inquiry has indicated  that natural  gas fuel for power
plants will continue to be available for some time.
                                     18}

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 THE REFINERY FLOWSHEET

 Figure 1 is a flowsheet showing the general flow arrangement for
 the refinery model.  A considerable amount of time was spent
 attempting to prepare a fully descriptive flowsheet which could
 show all of the connecting streams between the refinery units.
 The resulting diagram was found to be unsuited to discussion
 purposes because of the almost unintelligible maze of lines.   In
 fact,  the LP matrix itself may be the most satisfactory means of
 representing the various flow paths in the model.

 For discussion purposes,  the simplified flowsheet,  Figure 1,  was
 prepared.  The various refinery streams are grouped into five
 categories corresponding  to the product pools plus one additional
 group for the refinery  fuel gas and vapor pressure stocks.

 Eleven main refinery processing units are shown, and these are
 grouped according to the general function.  The groupings are
 self-explanatory,  but it should be noted that the categories are
 to some extent arbitrary.   In all of the hydrogen treating proc-
 esses,  some  "cracking"  takes place.  Also, all of the  cracking
 processes accomplish  some degree of desulfurization.

 The flow diagram is arranged specifically to emphasize an
 important fundamental  principle of petroleum refining.  Almost
 all of the cracking and  reforming processes produce a  "synthetic
 crude",  consisting of some products in the same classification as
 the feed plu's products in all of the  lighter classifications.  The
 catalytic reformer to which naphtha is fed produces a naphtha
 product and also byproduct gas and butanes classified as "light
 ends"  on the diagram.  Similarly, the delayed coker which
 charges  the heaviest residual oils produces all of the lighter
 product  classifications plus coke (which might be classified as
 a residual product).

 Each of the units shown has wide latitude in accepting nearly all
 of the  stocks in its feed classification that may be available.   The
 solid lines depict most of the flow paths actually incorporated  into
 the matrix.  Several promising operations that were  omitted for
 lack of data are shown  with dotted lines.  Treating propane
 deasphalted pitch by coking it,  for example,  might be quite
attractive to a refinery where the  respective units were available.
Several other possibilities for processing the lighter products
were not included  because they are not important to this  partic-
 ular study.  For example, refiners occasionally find it desirable
                                      19)

-------
 to hydrogen treat and reform high sulfur naphthas from the  catalytic
 cracking unit.

 One particular process  of considerable current interest is the Gas
 Oil Hydrodesulfurizer unit.   Pre-treating the gas oil feed to the
 catalytic cracking unit is an effective alternate  to treating the dis-
 tillate products,  and it has the added advantage that the gasoline
 yield and quality are improved at the same time.    ':

 The hydrocracker which converts heavier oils into gasoline and
 middle distillates or middle distillates to gasoline has  become
 increasingly attractive to the modern refinery.  A great deal of
 intensive development work is currently being done  to  lower costs
 and hydrogen consumption, as:well as to increase the flexibility in
 accepting higrier end point charge stocks.  For  this  study, it was
 assumed that the maximum end point of the charge stock was 800°F.
 It was also assumed that the unit would be a typical  two stage design
with a "Hydro-denitrification" (HDN) pre-treatment section. The
 HDN section performs a severe hydrogen treating operation which
 removes both sulfur and nitrogen.

While  only one "pool" is shown for the light ends,  in most refineries
there are two systems for handling these materials.  The  unsaturated
propylene and butylenes  resulting from coking and catalytic  cracking
are segregated so that they may be converted to gasoline by alkylation
with isobutane or  by polymerization.  Saturated  light ends  may also be
used for hydrogen plant  feed if unsaturated hydrocarbons are excluded,
                                     20)

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 UTILITIES

 Not shown on the flowsheet are the peripheral units and utilities
 which are incorporated into the matrix.  An important question
 which is asked in connection with hydrogen consuming processes
 is the cost of hydrogen.   It is frequently assumed that natural gas
 must be purchased for reforming into hydrogen,  and on this basis
 the cost of desulfurization wouLd depend on the cost of this  raw
 material.  As a complicating factor  for this study, natural gas in
 most areas of the country competes  with residual fuel oil for the
 bulk energy market.   It is apparent that any restriction that in-
 creases the cost of fuel oil will increase the demand for natural
 gas, and this in turn will set a new and unpredictable price
 structure for that commodity.

 To ascertain  the availability of natural gas fuel for power gener-
 ation and other industrial uses, inquiry was made to the Federal
 Power Commission who provided a copy of "Advisory Committee
 Report No. 21 on Fuels for  Electric  Generation" dated December
 1963.  On page 14 of this report,  the following statement is made:

   "The supply of natural gas is not  expected to impose any
   quantitative limitations on the use of natural gas for electric
   power generation between now and 1980.  The  use of natural
   gas for this purpose,  however,  can be expected to vary mark-
   edly among the several regions of the country.  The extent to
   which natural  gas  is used for electric generation in each
   region will depend upon several factors, but primarily it will
   depend upon its price relative to the prices of  alternative fuels.
   This, of course, will be affected by, among other things,  the
   supply and demand relationship. "

If the hydrogen unit is designed to do so, it can operate successfully
on waste refinery gas.  Also, various hydrogen containing vent
streams from the various units can be collected and re-processed
in  the hydrogen plant with a  considerable saving in overall fuel
consumption.  Based on these considerations,  the refinery model
was  structured to be  completely self-sufficient in terms of fuel,
both as process  energy and as  hydrocarbon feed to the hydrogen
unit.

Where large amounts of catalytic cracking and coking are employed,
a refinery can approach a steam balance because  these units pro-
duce byproduct steam.  It was  assumed that any refinery of the
                                    (21)

-------
type depicted by this model would have a start-up stream generation
facility independent of any size that might be calculated by a refinery
balance.  For this reason, no capital related charges were assessed
against steam generation.

The matrix also includes a balance on electric power,  and some
simplification had to be made in this regard. It was assumed that
power would be generated by an efficient "public utility" type in-
stallation, but that fuel for this purpose would be supplied by the
refinery.   The use of electricity was accordingly penalized at a
constant 3 znil/Kwh rate for generation and distribution charges,
but excluding the fuel value.

Considerable attention was given to structuring the  problem so that
it would operate in a closed environment.  All fuel used for its own
internal purposes for refinery fuel or electric power was assumed
to  meet the same  sulfur specifications as that marketed.  In other
words, the refinery was required  to burn a No. 6 fuel oil having the
same specifications as imposed on the material for sale.   This  led
to  interesting behavior for those problems where the sulfur re-
striction was severe. At  the high price developed for desulfurized
fuel,  the model found it profitable to burn iso-butane and propylene
rather than convert  them to gasoline as would normally be the case.
                                    (22

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 HYDROGEN BALANCE

 The cost of hydrogen is the  single largest item of expense connected
 with desulfurization processes.   However, there is no simple direct
 relationship between the amount of hydrogen consumed and the result
 ing sulfur level in a specific product.  The reason,  of course,  is
 that refinery products are blends of  many components, and the
 hydrogen requirements  for removing sulfur from the various blend
 components  is variable.  As has been pointed out,  the residual fuel
 oil blends developed by  the linear program largely consist of high
sulfur  residuum cut back with  light distillate.   Most of the sulfur
 reduction comes from treating the cutter stocks.  As compared
with direct resid hydrodesulfurization,  this procedure  results in
 substantial savings in hydrogen.  While the resid HDS process
 requires  in the order of 1000 SCF hydrogen per barrel of product,
 the requirements for desulfurization  of cutter stock were generally
 in the  range  of 100 to 300 SCF per barrel.

 The tabulated run data for.the  Case Studies (Tables Nos,  4 to  11)
includes a figure for hydrogen plant capacity,  and the differential
hydrogen consumption figures  can be  easily computed for many of
the cases.  There is no particular pattern in the data, which simply
indicated that hydrogen utilization was optimized along with other
economic factors.

It must be stressed that the  hydrogen plant sizes shown in the  tab-
ulations are  only relative.  Hydrogen cannot be stored and the
hydrogen plant must have considerable reserve capacity for peaks.
This reserve should be more or  less  constant for various situations
and should not  greatly influence the economics. The refinery
matrix includes a complete hydrogen  balance in which all by-
product sources are utilized up to the limit of their availability.
A practical refinery based on any of  the processing schemes
selected by the computer would undoubtedly require a sub-
stantially larger hydrogen plant than the  balances indicate.

Hydrogen is  a relatively expensive refinery raw material, and a
considerable amount of effort can be justified in conserving its
use. It is assumed in this problem that such steps would be taken.
For example, the hydrogen consumption  figures for the middle dis-
tillate  hydrogen treater are taken from an actual design in which
two stages of pressure let down are used so that the flash gas  can
be recovered and recycled.

-------
 Proper attention to design details can greatly improve the hydrogen
 utilization in a  "hydrogen refinery".  As Gwin points  out, the purity
 requirements for the various processes does vary,  and vent gases
 from one unit can serve as hydrogen feed to another.   Even further,
 the various low pressure  hydrogen rich flash gas streams that are
 available can be collected, compressed,  and reprocessed through
 the hydrogen plant.   The methane and ethane impurities are cracked
 to more hydrogen, while the hydrogen present simply is  carried
 through unchanged.   A substantial saving in fuel can be demon-
 strated by such a procedure.

 Byproduct hydrogen from  catalytic reforming is important as a
 source of hydrogen in a refinery.  In this particular refinery model,
 the hydrogen  from this source is relatively constant because the
 quantity of gasoline did not vary between cases.  California  crudes
 in general have high naphthene  contents and give large byproduct
 hydrogen yields when the naphtha fractions are  reformed.  For
 other crudes, the overall  size of the hydrogen  plant would have to
 be increased, but this again would be a more or less constant
 factor.

 The  costs for hydrogen in this study assume a  modern high pressure
 steam reforming unit,  and are as  low as  can be reasonably expected
 at the present state  of development.   Because of the current interest
 in hydrogen processing in general,  attention is being focused on
 hydrogen  manufacturing process.  However, it is doubtful that any
 significant "break-through" can  occur which would greatly influence
 the results of this study.   The reason is the large influence of fuel
 and other utility costs.  Under the conditions of Case  1 to 7,  the
 cost of hydrogen plant feed was equated to fuel produced by the
 refinery on the basis of its heating value.  This resulted  in a
 hydrogen  cost of about  $0, 30 per MSCF, of which only $0. 13  per
 MSCF is capital write-off. A large-scale, community type plant
would, in effe\ct, be able to reduce only this part of the cost.
                                     24

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 RESULTS

 The general conclusions have been given in the summary.  In this
 section  the results of each case study will be examined in greater
 detail.

 THE CASE STUDIES
 Case No.  1             24, 300 BPSD Fuel Oil           Reference;
                        Variable Sulfur Specification    Table No.  4

 For this case, all of the products were held constant according to the
 demands and specifications in Table No. 4.  Only the  sulfur specifi-
 cation on No, 6 fuel oil was varied.  In this way the effect on refinery
 costs attributable to the one  single specification could be evaluated.
 The economic "optimum" sulfur content where there is no restriction
 is 1, 63 wt. percent for this case.  This was  used as a base  in com-
 puting the  differential cost as the sulfur content is progressively
 reduced to a lower  limit of 0. 5 wt. percent.  These differential
 costs are plotted in Figure 2,

 The refinery configuration for this case is particularly interesting.
 Except for iteration No, 7-52 at 0. 5 wt. percent  sulfur, the Resid
 HDS unit was not used,  and all desulfurization was obtained  by a
 combination of coking,  FCCU pre-treating {the Gas  Oil HDS), and
 treatment  of cutter  stocks.  Below approximately 0. 95 wt. percent
 sulfur,  the amount of low sulfur  cutter stocks exceeds the viscosity
 blending requirements with the result that there is a give-away of
 viscosity.   The viscosity of this fuel oil is lower than  the specifi-
 cation requirement  (45 SSF @ 122°F) and in some markets could
 command a small premium as a No,  5 fuel oil.

 How the computer blended  the final fuel oil product to arrive at
 0. 5% sulfur is interesting and shows  typically how a refiner  would
deal with this problem.

        Component                         Wt. %S    Volume

Resid HDS byproduct middle dist.            0.5          106
Vacuum pitch.                                2.03       5, 149
 Resid HDS product pitch                     1. 7          163
Virgin heavy middle dist. (desulfurized)      0. 12       10, 289
FCCU Jot.  Cycle oil (desulf. feed)            0.01       5, 195
FCCU Hvy. Cycle oil (desulf.  feed)           0. 2        2, 946
FCCU Decant oil (desulf. feed)               0.05         452
                                                       24, 300

                                    (25)

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 The-"Refinery Realization" as plotted in Figure 2 (and also in
 Figure 3 and 5} requires definition and qualification.  The term
 as used in the context of this  report has only relative significance
 because a number of costs facing an actual refinery operation
 have not been deducted.  Typical  of these are the capital charges
 associated with a number of off-site facilities such as start-up
 steam generation, crude and  product storage, crude  receiving
 and product shipment facilities and other costs, such as operating
 labor, factory overhead, laboratories and other controls, etc.
 These were  omitted  from consideration because they are affected
 only to a very minor  extent if at all by the variants considered in
 the  study.

 Case Nos. 2 and 3   24, 300 BPSD Fuel Oil            Reference:
                     Va riable rSuif ur Spe c^ficj-tion      Tab Ie s 5 JU 6

 In Case  No.  2, coking was  excluded from the processing  scheme.
 This forced  the use of the resid hydrodesulfurization  process as  the
 only alternative to meet the increasingly severe restrictions  on fuel
 oil sulfur.  Comparison of Case No. 2 with Case No.  1 would then
 provide an assessment of the  relative  economics of coking and resid
 hydrodesulfurization.

 In Case No.  3, both coking and pretreatment  of fluid catalytic cracker
 feed were excluded.  In this case,  the  only means available for middle
 distillate desulfurization would be the middle  distillate hydrogen
 treater.   Comparison with  Case No. 2 would,  therefore,  provide an
 appraisal of  the economics of  catalytic  cracker feed pretreatment
 versus middle distillate treatment.

 Data for Case No.  2 are summarized in Table 5.  It will be noted
 that  the gross realization for Case 2 is uniformly lower than Case 1.
 By examination of the "Refinery Configuration" portions  of Tables 4
and  5,  it will be noted that  the coking capacity called for in Case  1
has been replaced by resid hydrodesulfurization.  The conclusion is
that  as far as California crude is concerned,  coking is economically  '
more attractive than  resid  hydrodesulfurization for processing
California crude at any level, of sulfur  content.  However, the
incremental  cost of producing  low sulfur fuel  in Case  2, as com-
pared to its base case (Machine Iteration 10-73), is lower than in
Case I.  (See also  Figure 2)
                                    (26

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 Data for Case No. 3 are summarized in Table 6.  If Case 3 is
 compared to Case 2,  there is a rather small advantage in gross
 realization for Case 2, but the difference is very minor in the
 case of California crude.  Again looking at the  Refinery Con-
 figurations of Cases 2 and 3,  the exclusion of Cat  cracker feed
 pretreatment in Case 3 required a' substantial increase in middle
 distillate hydrogen treatment capacity for Case  3.  The  slightly
 improved gross realization for Case 2 indicates that Cat cracker
 feed pretreatment is slightly more economical  than middle dis-
 tillate hydrogen treatment.  The difference is very small and
 could reverse under other conditions.  The incremental cost of
 fuel  desulfurization of the Case 3  refinery compared  to its base
 case (which is essentially  the same as the Case  2 base case) is
 essentially the same as Case  2.

 Case No. 4          10,000 BPSD Fuel Oil            Reference:
                     Variable Sulfur Specification      Table No,  7
                     All Processing Options Permitted

In Case No.  4,  the product slate was altered from that used in Case
Nos. 1,  2 and 3 by reduction of residual fuel oil production from
24, 300 BPSD to 10, 000 BPSD.  All refining options available to
Case No. 1 were permitted; thus, comparison of Cases 1 and 4
would provide an assessment of the profitability of manufacturing
fuel oil.

Comparison  of the data in Table 7 with those in Table 4 show that
gross realization  at all levels of sulfur in  the fuel is higher for Case
4 than for Case 1.  Fuel oil production is clearly unattractive,  and
there is  substantial pressure to reduce production.

The incremental cost of desulfurizing  residual fuel in the Case 4
refinery over its base case {Machine Iteration 8-66)  is somewhat
higher than for  Case  1 (Machine Iteration 7-77).  This is possibly
related to the larger  percentage of FCCU decant oil which is blended
to fuel in  the  smaller volume of Case 4. Decant oil is a very low
quality slop oil, high in sulfur, which  usually has to  be blended to
fuel as the only practically available means of disposal.

Case No.  5         Constant Sulfur Specification of  0. 5 wt, %
                    Variable Fuel Oil Quantity         Reference:
                    All Processing  Options Permitted  Table No. 8

For this  case, the residual oil  sulfur specification was held at  a
                                      27)

-------
 constant value of 0. 5 wt,  percent while the total quantity of fuel oil
 was varied.  Note that Iteration No.  8-52  of Case No.  4 represents
 a point at  10, 000 barrels of residual fuel that can be considered a
 part of Case  No.  5.  Several points are worth noting:  (1)  As the
 production of fuel oil is increased, the amount  of gas oil cracking
 needed decreased (FCCU and hydrocracker).  Larger amounts of
 the feed stocks to these untis are consumed in the fuel oil blends.
 (2) At one point,  the Resid Hydrodesulfurization unit entered the
 solution showing that it and coking are competitive processes, the
 choice of which will  be governed by other factors than residual oil
 sulfur specification,   (3)  At the  low  residual oil yield levels, the
 hydrocracker becomes important as a means of using up distillate
 oils that otherwise would have gone to fuel  oil blending.  In all of
 the runs,  the hydrocracker is important where middle distillates
 are in excess.

 The significance of Case No. 5 lies in gross realization per barrel
 of refinery product figures.  These vary greatly with the total fuel
 oil production.

   Fuel Oil, BPSD  10, 000    13, 138    22, 380    28, 284    32,478
   $ Realization     43, 742   41,694    36,059    32,404    29, 629
   $ Loss/SD          --       2, 048     7, 683    11, 338    14, 113
   $ Loss/Barrel      --       0.65      0.62      0.62      0.62

 At the product values used for calculating the realization, each barrel
 of fuel oil  produced above 10, 000  BPSD represents a loss of gross
 realization of $0. 60/barrel or more.  The break-even point for 0. 5
wt. percent sulfur No. 6 fuel oil is accordingly close  to $2. 75/barrel
for the conditions of  this study.

 No computer  runs  were made to explore effect of fuel oil volume  at
high sulfur levels. A comparison between Case Nos.  1 and 4 shows,
 though, that at the 1. 6 wt.  percent sulfur level,  there is a gain in
 refinery realization of about $2, 300 in reducing fuel oil from 24, 300
to 10, 000 BPD.  This corresponds to an incremental loss of realization
of $0. 16 for each  barrel of fuel oil produced.   Even without a sulfur
restriction, reducing fuel.'oil appears attractive to the refiner.

Consideration of the above cases  shows clearly what is already well
recognized in the  oil  industry; production of No.  6 fuel oil is not a
profitable business.  It also explains why nearly one half of the No. 6
fuel oil consumed in the United States is imported.
                                       28)

-------
 Under the pricing used in this study ($2, 14 per barrel for No. 6 fuel
 and $2.46 per barrel for crude),  the refiner is under pressure to
 reduce fuel oil production without any restriction on sulfur content;
 he is,  in effect,  losing $0. 16 for each barrel of No.  6 fuel he pro-
 duces, if his production rate is about 25 percent of  crude run.  If
 a specification restricting fuel sulfur to 0. 5  percent maximum were
 applied, the loss would rise to $0,60 as compared to alternate
 processing schemes which would reduce the  production of No. 6
 fuel.  To prevent such a loss, a refiner would find strong justifi-
 cation for spending capital funds to purchase the process equipment
 required to reduce production of No. 6  fuel,  and may even be able
 to justify going out of the No. 6 fuel business altogether.

 It is also interesting to note that although the JLP was given the
 option  of propane deasphalting, this alternate was never  selected.

 Case No. 6         Substitution of 5000  BPSD Kuwait Crude
                    Oil in Crude Slate Plus Addition of 500
                    BPSD "Imported" Kuwait No. 6  Fuel Oil
                    Variable Sulfur Specification         Reference:
                                                        Table No. 9
 In Case Nos. 6, 7 and 8,  the effect of incorporating a second crude
 was studied.  In addition, provision was made for including means of
 desulfurizing a relatively small amount of "imported" high sulfur
 No.  6 fuel oil made from Kuwait crude.

 The LP matrix was also structured to provide in the  products, an
 extra  1, 000 BPSD of No.  6 fuel oil made entirely from Kuwait com-
 ponents.  By following the shadow prices calculated by the LP pro-
 gram, the costs for refining the  Kuwait crude,  and desulfurizing
 the "imported" fuel oil could be determined  on an incremental basis.

 By holding the Kuwait components to  incremental quantities, the
 basic structure of the refinery would not be  so drastically changed
 as to make comparison with the non-Kuwait  cases impractical.

 The  refinery models did take into account the special characteristics
 of Kuwait crude.  Thus,  special models were incorporated in the
 matrix for Kuwait crude  distillation,   catalytic reforming including
 the pretreat, catalytic cracking,  residual oil hydjr-adeS'Ulfurization
and coking.   To prevent excessive complication of the LP matrix,
 the Kuwait models were simplified  toy limiting the  reformer to only
 one level of octane improvement,, and the cat cracker to one  con-
version level.  These simplifications were possible because with


                                     (29).

-------
 the relatively small amount of Kuwait crude in the feed, the approx.
 imation would introduce a negligible error; the advantage of the
 simplification was an appreciable reduction in the machine  time
 for reaching a solution.

 The product slate for Case No.  6 {and also for Case Nos. 7 and 8)
 was as follows:
                                               BPSD
                     Motor Gasoline          40, 300
                     Light Middle Distillate     8,000
                     Heavy Middle Distillate    16, 900
                     Residual Fuel Oil         Z4, 300
                     Special Kuwait Re-
                      sidual Fuel Oil            1, 000
                                             90,500

The pertinent results of Case No. 6 are summarized in Table No.  9,
and in Figures 3, 4 and 5.

The gross realization per barrel of product given in Table No. 9 for
Case No. 6 is generally comparable to Case No.  1  - they differ only
by about $0. 01 per barrel.   The incremental cost of fuel oil desulfur
ization is, as might be expected, higher than in Case 1,  reflecting
the higher quantity of sulfur in the feed.

Of much greater interest are the data plotted in Figures 4 and 5.  In
Figure 4 are given the "Shadow Prices" for Kuwait  fuel oil, Cali-
fornia fuel oil, and the "imported" high sulfur fuel oil,  together
with the  shadow cost of removing 1  percent sulfur from one barrel
of California and Kuwait crude.  These data are all plotted as a
function  of the percentage of sulfur  and each of these fuels.

Referring first to the  shadow prices of Kuwait,  California and
"imported" fuel oil, the following conclusions may be drawn:

1.    Kuwait fuel oil is relatively expensive material to refine to
      low sulfur content.  This is apparently due to the increased
      requirement for resid hydrodesulfurization and middle dis-
      tillate hydrogen treatment as  compared to California crude,
      Interestingly,  the shadow prices of Kuwait and California
      crude become equal at 0. 5 percent sulfur,  indicating that
      at this sulfur level, any incremental production could be
      made interchangeably from either crude, as far as cost is
      concerned, where the production  rate is 25, 300 BPSD of
      total fuel.

                                    (301

-------
 2.     Imported high, sulfur fuel oil is an undesirable feed.   At 0. 5%
       sulfur specification for fuel oil, the shadow price of this
       material is $2.04, compared to an assumed market  price of
       $2. 14 and a shadow cost of manufacturing specification fuel
       of $2. 84 per barrel.

 The data in Figure  5 were  obtained by integrating the shadow prices
 given  in Figure 4 over the  whole range of sulfur reduction.  Figure
 5,  therefore, gives the total cost of desulfurization of Kuwait and
 California residual fuel, from their natural sulfur contents down
 to 0. 5 percent sulfur.  Thus, Kuwait fuel would cost an incremen-
 tal $0. 658 per barrel for desulfurization to 0. 5 percent compared
 to $0.  54 for the balance  of the fuel.  This has been labelled "Cali-
 fornia" in Figures 4 and 5  -  actually it includes Kuwait components
 not accommodated in the 1, 000 BPSD of special Kuwait fuel.  The
 difference in incremental desulfurization cost for "California" crude
 in Case 6 from that of  Case 1 is partly due to this contamination
 with Kuwait.

 The shadow cost of desulfurizing residual fuel given in the lower
 portion of Figure 4  requires  further comment.   It will be noted
 that the shadow cost for  removal of 1% sulfur from a barrel of
 fuel oil is  higher for California crude over the  range from about
 1, 3% to 0. 5%.   In interpreting these curves,  it must be remembered
 that the shadow cost is a derivative or slope of the total cost at  some
 point.  In the above range,  the refiner would be installing the bulk
 of his  desulfurization facilities for  California crude, whereas he
 would  have to install them much earlier for  Kuwait.

 Case No.  7         Existing Refinery Operation Under
                    Progressively Lowered Maximuni
                    Limits on Sulfur Content of No. 6  Reference:
                    Fuel                              Table No.  10
Case 7 simulates a modern 100,000 barrel refinery built with no
regard for residual fuel oil sulfur and develops the various process
ing capacities the owner of such a refinery would have to install in
order to comply with progressively more restrictive limits  on the
sulfur content of No,  6 fuel oil.

The matrix includes Kuwait crude and Kuwait fuel in the feed as in
Case  No. 6 with the additional feature that a base capacity was
established for each of the major refinery processing units.  This
                                     (31)

-------
 basic refinery was set up after examination of several preliminary
 computer runs.  It is a computer optimized refinery and is typical
 of-the type of modern refinery that might be built for the product
 mix and crude slate used in this study.  The fluid catalytic crack-
 ing unit,  the catalytic reformer, and the naphtha hydrotreater
 units were purposely set at figures somewhat  larger than the
 optimum called for by the computer solution.   This  is also true
 of the crude unit which was set at a nominal capacity of  100, 000
 barrels per day.   The adjustments in all cases were relatively
 small and intended to give the  refinery the  operating flexibility
 that the refinery designers would specify for a real  situation.
 Furthermore,  all  units  in this  basic refinery are assumed to be
 fully depreciated so that no capital charges apply.  An LP matrix
 was then structured to permit  the construction of new facilities as
 required to meet increasingly  severe sulfur specifications in the
 residual fuel.  For these new facilities a capital investment charge
 was included.

 The original refinery showed a satisfactory hydrogen balance
 sufficient for the modest size hydrocracker and middle distillate
 hydrotreater.  By-product hydrogen from the  reformer was
 adequate for these  purposes.  The matrix was given the  option to
 build hydrogen manufacturing facilities as needed.  Results of
 Case No. 7 are not radically different from those obtained in the
 other cases presented.  The cost of sulfur  removal as shown in
 Figure 3 is about 10-20% higher than for the new refinery cases.
 This indicates  that the position of the oil company having an
 existing refinery is not radically different from the "grass roots"
 cases previously studied.   Figure 6 summarizes the results of
 this particular study by  showing the incremental additions to each
 unit plotted against the weight percent fuel oil  sulfur specification.
 Further information is given in Table No.  10.   These results are
 entirely consistent with  the others that have been presented.  As
 can be seen, delayed coking and middle distillate hydrogen treating
 dominate.  At 0. 5 wt, percent  sulfur specification the refinery
must add a  10,  000  barrel delayed coker and almost 14, 000 barrels
 of middle distillate hydrogen treating.  A nominal amount of new
 catalytic cracking is required to balance gasoline production.  This
does not appear to  be particularly significant and  simply indicates
that possibly the base refinery  may not have had sufficient crack-
ing capacity for adequate flexibility.

-------
 As has been explained in Cases  2 & 3, residual oil hydrotreating and
 coking are competitive processes.  Which one is most economical
 depends on the particular circumstances of crude type,  hydrogen
 cost and the importance of capital expense factors.   Both processes
 can be used to effect either a reduction in total fuel oil production
 or to reduce its sulfur level.  This is illustrated nicely by the
 different behavior of California  and Kuwait  residual stocks.  Coking
 was preferred in  almost all cases with California stocks, while
 residual oil desulfurization was  found to be most economical for
 Kuwait stocks.  There are two basic  reasons for this:

 1.    When the residual hydrodesulfurization process is carried
      out on Kuwait residuum, desulfurization reactions assume
      a much more important  position than  in the case of
      California residuum, probably  because of the large
      amount of sulfur present in Kuwait,  Each cubic foot
      of hydrogen consumed removes a greater weight of
      sulfur from Kuwait than  from California stock.

 2.    The coker distillates from undesulfurized Kuwait  residuum
      are much higher in sulfur  than  comparable materials from
      California,  and require more severe  processing to convert
      into salable products.

 Taken together, these two factors favor residuum hydrodesulfurization
 for Kuwait stocks.

 With only one exception,  there is no indication that the type of crude
would have any significant effect on the way in which units would have
 to be added to an existing refinery such as is considered in Case 7.
 This single exception is the hydrogen plant.  The availability of highly
naphthenic naphthas from California crude produces relatively  large
yields  of by-product hydrogen  from the reformer.  Thus, with  a
more paraffinic crude input, hydrogen plant sizes would be larger
than indicated here,

Case No.  8         Cheap Natural Gas Available        Reference:
                                                       Table No. 11
To cover the situation where  cheap natural gas fuel is available, and
hence, the possibility of cheap manufactured hydrogen, the refinery
of Case No, 6 was re-optimized on the basis that natural gas would
be available at a cost of $0. 19 per thousand cubic feet.
                                     (33)

-------
 There is no indication that the availability of low cost hydrogen
 makes it any more attractive for the refinery to desulfurize No,  6
.fuel oil.  In fact,  if Case Nos.  6 and 8 are compared, it is evident
 that the  principal effect of  cheap natural gas is  to improve the
 refinery profitability by reducing operating costs,  mostly by re •
 ducing crude intake.

 The pertinent data are summarized  in Table 11 and Figure 3,

 Examination of these data,  and comparing them with Case No.  6
 leads to the following conclusions:

 1.    Availability of  cheap  natural gas does not make any significant
      change in the optimum size of a coker.

 2.    Hydrocracking is substantially more favorable when low cost
      hydrogen is available, and tends to displace an equal quantity
      of fluid catalytic cracking. .This applies even though there
      has been no change in the  product slate.

 3,    Low cost hydrogen does  not make a significant difference
      in  the optimum  sizing of resid hydrodesulfurization.  A
      more drastic reduction in hydrogen cost might tip the
      balance in favor of resid hydrodesulfurization over coking
      however.
                                     (34)

-------
TABLES

-------
                                                  TABLE NO. 1
                                 DISPOSITION OF SULFUR IN REFINED PRODUCTS
                                                  YEAR OF 1962
                                                                                             Sulfur
                             Product - 1000 BPD
	                                                 Approx. %
                                                                                  Total
Refined                            Net                                            Sulfur
in Area    Imported  Exported  Consumed  #/Bbl   Tons/Day %Content  Tons/Day Burned
Composite Average - Total U. S. (Excluding Rocky Mountain Region)

Gasoline              4,146         38       - 18       4,166      Z54    529,083

Kerosine (Incl.
                                                               . 043
                                                             228
                                                             5.0
Comm. Jet)
Military Jet Fuel
Distillate Fuel Oil
Residual Fuel Oil
Asphalt
All Other
422
261
1,900
769
281
787
18
30
32
722
18
95
- 1
	
- 23
- 35
- 2
- 84
439 283 62,119 .079 49 1.1
291 275 40, 013 . 067 27 0.6-
1,909 294.5 281,100 ,213 599 13.2
1,456 348.7 253,854 1.428 3,625 80.1
297
798
       Totals
8,566
953
-163
9,356
1,166,169
4f528    100.0

-------
                             TABLE 2

             PRODUCT SPECIFICATIONS USED IN LP MODEL
 Motor Gasoline - Total Pool
           Research Octane  (F-l)                         95. 0
           Reid Vapor Pressure, PSI                     10.0
 Light Middle Distillate
           Max. Wt.  % Sulfur                             0. 25
           Minimum B. P. ,  °F                           330
           Max. B. P. , "F                               540
           No Coker of FCCU Oils Permitted
Heavy Middle Distillate
          Max. Wt. % Sulfur                            0. 50
          Minimum B. P. ,  °F                          330
          Max. B. P.,  °F (Cracked)                    650
          Max. B. P.,  "F (Virgin)                      700

Residual Fuel Oil

          Max. Wt. % Sulfur                          0.5-1.7
          Max. Viscosity,  SSF at 122°F                 175
          Minimum I. B. P. ,  of Blend Stock °F           330

                      PRODUCT DEMANDS

Based on approximately 100,000 BPD of Crude                   (Note 2)
                                                        Value
                                        BPSD           $/Barrel

          Motor Gasoline              40,300           $  4.95
          Light Middle Distillate     '   8,000           $  3.02
          Heavy Middle Distillate      16,900           $  3.02
          Residual Fuel Oil (Note 1)    24f300           $  2.14

Note 1  -  Quantity of residual fuel oil is varied in the same LP runs.
          Other products are always kept constant.

Note 2  -  Estimated values in refinery  storage.

-------
                          TABLE NO. 3
          ABRIDGED SPECIFICATIONS FOR FUEL OILS
 GRADE NO.

 Test

 Flash Pt., °F Min.

 Pour Pt., °F Max.

 Water fa Sediment, % Max.

 Carbon Resid, 10%BTMS,
  % Max.

 Ash, Wt. %, Max.
Viscosity

  Kinematic, CS, 100F, Max.

  Kinematic, CS, 100F, Min.

  SUS, Sec., 100F, Max.

  SUS, Sec., lOOF, Min.

  SFS, Sec. ,  122F, Max.

  SFS, Sec.,  122F, Min.
                    100
                   tr.
100
                             20
130
          20
130
150
  0. 10
  0. 50
  1.00
  2.00
                     0. 15    0.35
                                       0.10     0.10
Distillation
10% Max.
90% Max.
90% Min.

420
550 640
540
                     2.2    (3.6)     (26.4)

                     1.4    (2.0)     ( 5.8)   (32. 1)

                             37.93   125

                             32.6    45     150

                                              40      300

                                                       45
Source:
ASTM Tentative Standard D-396-61T
Note:
Numbers  in parenthesis are equivalent kinematic viscosities.

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CASE NO. 1 EFFECT OF VARYING SULFUR CONTENT OF RESIDUAL FUEL OIL  TABLE NO. 4
Machine Iteration Number  ?-5Z 7-54 7-58 7-66 7-71  7-77 
Wt. % Sulfur in Fuel Oil  0.5 1.04 1.lZ 1. ~6 1.40  1.63 
Value of Products - $/SD  326,685 3Z6,685 3Z6.6B5 326, 685 326.685 326,685 
Less: Cost of Crude   239,351 ~35,835 ~35, 768 235,206 235,011 235,582 
 Capital Related Coata  39,201 35,788 34,625 33,993 33,503 n, 764 
 Variable Operating Coata  13,107 11,90b II, biZ H, 744 H, 793 11,414 
Grosa Realization - $/SD  35,OZb 43,156 44.680 45,742 46,378 46,925 
Crude Run. BPSD   97.297 95,868 95,841 95,612 95.533 95.765 
Product Sla.te. BPSD   89,500 89.500 89,500 89.500 89.500 89,500 
Realization/Crude Run - $/B  0.360 0.450 0.466 0.478 0.485 0.490 
RealiMUon/Total Products $/B  0.391 0.482 0.499 0.511 0.518 0.524 
Crude Cost/Bbl PrOduct  2.614 2.635 Z.634 2. 6Z8' ~.6Z6 2.632 
Capital t; Variable Cost/Bbl ~r()duct  0.584 0.533 0.517 0.511 0.506 0.494 
A Crude Cost/Bbl Product  + 0.042 ... 0.003 ... 0.002 - 0.004 - 0.006 Bade 
A Capital t; Variable Cost/Bbl Product .. 0.090 .. 0.039 + 0.023 .. 0.017 .. 0.012 Base 
To-tal A Cost/Bbl Product  .. 0.132 t 0.042 .. 0.025 .. 0.013 .. 0.006 Base 
Total ACost/Bbl Fuel Oil  t 0.486 t 0.155 + 0.092 + 0.048 .. o. all Base 
REFINERY CONFIGURATION         
Crude Unit, BPSD   97,297 95,868 95,841 95.612 95,533 95.765 
Reformer Pretreate1" , BPSD  z.z,848 21,062 20,316 20,221 20,217 19,564 
Reformer , BPSD   20,097 19.345 19,626 19,623 19,562 19,932 
FCCU Feed Pretreater, BPSD  29,686 18,524 7,116 7,673 8.850 0 
Fluid Catalytic CrackinJ! Unit, BPSD  z.z.613 22,925 21.028 21,278 2.2.052 19,993 
Middle Dis tilla.te HYdr02en Treater , BPSD 16,865 16,569 19.969 16,103 12,82.0 11,923 
Delayed Cokin2 Unit. BPSD  2.3,712 17,82.4 17,846 17,948 18.233 19.605 
Alkylation Unit, BPSD   2,981 2,993 2,839 2,986 3.084 3,003 
Resid. HDS Unit, BPSD  815 0 0 0 0  0 
Hydrocracking Unit. BPSD  1.007 2,679 3,981 ".010 3,891 4.960 
Hydrogen Plant. MMSCF ISD  9.2:03 4.424 0 0 0  0 
Sulfur Plant, M LB/SD   Z61 ZJO 183 18/  189 14Z 

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CASE NO.2 EFFECT OF VARYING SULFUR CONTENT OF RESiDUAL FUEL OIL TABLE NO. ,
        Delayed Coking Excluded       
Machine Iteration Number    10-51 10-56 10-59 10-62 10-68 10-7Z 10-73
W t. C1J'e Sulfur in Fuel Oil    0.5 0.639 0.717 1.022 1.135 1.258 1.276
Value of Products - $/SD    326.685 3Z6.685 326.685 326.685 326,685 326,685 326,685
Less: Cost of Crude    230,310 227,506 227,302 U6,974 226,846 ZZO,719 226,371
 Capital Related Cos ts    51,767  50,087  i8,285 46,433  46,003  46,031 46,248
 Variable Operating Costs  13, 282 ~ -.&.ill ~ -1b.ill -1b...!1! 12.298
Gross Reali~ation - $/SD     31,326  36,354  38,685 40,9n  41,591  41,761 41,762
Crude Run, BPSD      93,6ZZ  92,482  92,399 92,266  92,214  92,162 92,023
Product Slate, BPSD      89,500  89,500  89,500 89,500  89,500  89,500 89,500
Realization/Crude Run - $/B    0.335  0.393  0.419 0.444  0.451  0.453 0.454
Realization/Total Products - SIB   0.350  0.406  0.432 0.458  0.465  0.467 0.467
Crude Cost/Bbl Product     2.573  2.542  2.540 l.536  2.535  Z.533 2.52.9
Capital & Variable Gost/Bbl Product   0.72.7  0.702  0.678 0.656  0.651  0.650 0.654
A Crude Coat/Bbl Product    + 0.044 + 0.013 + O. all + 0.007 + 0.006 + 0.004 Base
ACapital & Variable C08t/Bbl Product + 0.073 + 0.048 + ~+0.002. ~ - 0.004 BaBe
Total ACoBt/Bbl Product    + O. 117 + 0.061 + 0.035 + 0.009 + 0.003 + 0.0 Base
Total b.Coflt/Bbi Fuel Oil    + 0.431 ... 0.225 + 0.129 + 0.033 + 0.011 + 0.0 B11f1e
REFINERY CONFIGURATION               
Crude Unit. BPSD      93,622  9Z. 482  92,399 92.266  92.2.14  92.162 92.,023
Reformer Prctreater. BPSD    20.718  20,420  19,971 19,470  19,29Z  19.242. 19,343
Reformer, BPSD      17,511  17,173  16,793 16,717  16.710  16,739 16.482
FCeU Feed Pre treater,  BPSD    5,323 667  0  0  0  0 0
Fluid Cata lytic Crackin2 Unit, BPSD   28,335  29,217  29.373 29,082  28,864  29.647 31,637
Middle Distillate Hydrol!:en Treater. BPSD  22..912.  23,805  2.2,847 18.405  15.656  12,2.29 10.951
Alkylation Unit, BPSD      Z,079  2,041  2,1B2 2,309  Z,336  2:,32:0 2,445
Hesid. HDS Unit, BPSD     Z8.555  Z7. J19  24,996 2,3,2.82  23,2.37  2.3.947 l5,l10
Hydrocrackinl!: Unit. BPSD     0  0   387 1.041  1,276  1.351 n6
Hvdrollen Plant, MMSCF /SD    20.848  16,92.3  15,2.43 13,671  13. Z 77  13.414 B.313
Sulfur Plant. M LB/SD     233 ~17   207 190  182  185 190

-------
CASE NO.3
EFFECT OF VARYING SULFUR CONTENT OF RESIDUAL FUEL OIL
TABLE NO.6
Delayed Coking and FCCU Pretreating Excluded
Machine Iteration Number
W t. 'Yo Sulfur in Fuel Oil
Value 01 Products - $/5D
Less: Cost 01 Crude
Capital Related Costs
Variable Operating Costa
Gross Realization - S/SD
Crude Run. BPSD
Product Slate. BPSD
Realization/Crude Run - $/B
Rea.lization/Total Products SIB
Crude COB t/Bbl Product
Capital &: Variable Cost/8bI Product
Ii:. Crude Cost/Bbl Product
0. Capital &: Variable Cost/Bbl Product
Total /.lCost/Bbl Product
Total .6.CoBt/Bbl Fuel on ".
REFINERY CONFIGURATION
Crude Unit. BPSD
Reformer f'retreater. BPSD
Reformer, BPSD
Fluid Catalytic Crackinll Unit, BPSD
12.-50
0.5
326,685.
2,2.9,882.
52..491
13.408
30.904
93,448
89,500
0.331
0.345
2.568
0.736
+ 0.039
+ 0.082
+ 0.121
+ 0.446
93,448
19,82.3
16.971
30.141
l'Aiddle Distillate Hvdrol!en Treater, BPSD 31.049
2.,077
Alkvlation Unit, BPSD
Reaid. HDS Unit. BFSD
Hvdrocrackinl! Unit, BPSD
HyQrogen Plant. MMSCF /SD
Sulfur Plant. M LBISD
.
2.8~ 502
o
18.189
226
12.55
0.660
326,685
2.2.7.489
49,770
12..647
36. 179
92.,475
89,500
0.398
0.411
2.542.
0.697
+ 0.013
+ 0.043
+ 0.056
t (}.2D6
92.475
2.0.310
16,920
29, 334
23.984
2,069
2.6,869
o
16.456
214
Base is machine iteration No. 10-73 of Case No. 2.
12,-58
0.794
326.685
22.7.2.74
49,073
12,38Z
38.956
92.,388
89,500
0.4lZ
0.435
2.539
0.676
t 0.010
+ 0.02.2
+ 0.0:32
t O. U8
92..388
19.931
J6. 782'
Z9,369
ZZ,686
2.,197
2.4,72.9
15.069
IZ-60
1. OZZ
326,685
ZZ6.974
46.433
lZ,306
40,97Z
9Z, 266
89, 500
0.444
0.458
2.536
0.656
+ 0.007
+ 0.002
+ 0.009
.. 0.033.
92,2.66
19.470
16,117'
29,082
18.405
2, 309
23,282
445
1,041
13.671
206
'90
At higher
SuIIuJ" Ieveb,
re8ulte are
identic,,1 to
Cue Z

-------
CASE NO.4 EFFECT OF VARYING SULFUR CONTENT OF RESIDUAL FUEL OIL TABLE NO. 7
 Conelant Product Slate, 10,000 BPSD Residual Fuel Oil   
Machine Iteration Number  8~5Z 8.53 8-57 8~58 8-60 8-6Z 8-66
Wt. " SulCur in Fuel Oil  0.5 0.939 1.069 1.2.62, 1.384 1.5oIZ I. 610
Value of Products - $/50  2,96,083 Z96,083 2,96,083 2,96,083 Z96,083 2,96,083 2,96,083
Lees: C08t of Crude   2,OZ,559 2,01,181 2,01,174 2,01,2,01 2,01,031 2,01,036 2,01,075
 Capital Related Costs  37,079 35,955 35,398 34,565 34,2,44 33,930 33,794
 Variable Operating C08tS  12,.703 ~ ~ --!.l.lli ...&Q.!! lZ.030 ...!!...ill.
CiroSl Realization. $/50  43,74Z 40,64Z 47,343 48,356 48.796 49,087 49. Z2,5
Crud!! Run. BPSD   8Z,341 81.781 81,778 81,789 Bl,7Z0 8I,7ZZ 81,738
. Product Slate , BPSO   75,200 75,200 75,200 75,ZOO 75,2,00 75,200 75,ZOO
Realization/Crude Run - $/B  0.531 0.570 0.579 0.591 0.597 0.601 0.602
Rea.Hzation/Total Product. $/B  0.582 0.62,0 ' 0.630 0.643 0.649 0.653 0.655
Crude Co&t/Bbl Product  2.693 z.675 Z.675 Z.675 Z.673 Z.673 Z.674
Capita.l Ie Variable Co.t/Bbl Product  0.66z O,64Z 0.632 0.619 0.615 0,611 0.608
A Crudoc COllt/Bbl Product  + 0.019 + 0.001 + 0.001 t 0.001 . 0.001 . 0.001 Ba.e
A Capital Ic Variable Co~ l/ Bbl Product + 0.054 + 0.034 i....!h.lli :!:.JL..Ql.!. + 0.007 ~ --.!!!!L
Total .ACollt/Bbl Pruduct  + 0.073 + 0.035 + 0.025 + 0.012, + 0.006 + O.OOZ Ballc
Total AC08t/Bbl Fuel Oil  ... 0.549 ,to.2.U ... 0.188 ... 0.090 + 0.045 ... 0.015 Baec
REFINERY CONFIGURATJON        
Crude Unit, BPSO   82.,341 81.781 81,778 81,789 81, no 81,122. 81,738
Reformer Prctrcater. BPSn  19,32,1 18,42,8 18,064 17,518 17,465 17,484 17,445
Reformer. BPSD   19,062. 18,686 18.82.9 19,063 18,92,6 18,957 18,990
FCCU Feed Pretreater, apse  19,797 14.32.6 8,730 0 0 0 0
Fluid Catalytic Cnckinll Unit. apsn  2.1,985 2,2,,2.58 2.1,316 19.836 2.1,461 2.1,197 2,1,02.9
Middle Dilltillate Hydroe-en Treater. BPSD 12,,191 12.,2.98 13,964 16,762 15.466 14,397 13,273
Delaved Cokinll Unit. BPSD  22.,887 2,0,570 2,0,62.9 ZO.769 2.0.82,2 2.1,2.37 21,401
Alkylation Unit. BPSD   3.42.3 3.435 3,360 3.2.39 3,317 3,384 3,388
Hydrocrackinll Unit, BPSD  4,507 5,z'79 5,920 6.904 6,734 6.734 6.824
HydrOflen Pla.nt. MMSCF /SD  8,607 6.781 4.613 1.2.48 0.741 0.531 0.343
Sulfur Plant, M La/SO   236 217 204 184 186 183 179

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CASE NO.5        TABLE NO. 8
EFFECT OF VARYING RESIDUAL FUEL OIL PRODUCTION AT CONSTANT SULFUR CONTENT 
    Varying Fuel Oil Production at 0.5 Wt. ,. Sulfur  
Machine Iteration Number 8-52 9-73 9-74 9-75 9-76 
Heavy Fuel Oil - BPSD 10,000. 13,138 2Z,380 28,264 n. 478 
Value of Products - $/SD 296,083 302,798 322,576 335.168 344,186 
Less: Cost of Crude  202,559 210,701 234,698 248,9S6 261.63J 
 Capita.l Related Costs 37,079 37,484 38.640 40,471 39,494 
 Variable Operating C08h 12.703 lZ,919 13,179 13,337 13,432 
Gross Realization - $/SD 43, 742 41,694 36,059 32,404 29.629 
Crude Run - BPSD  82,341 85.651 95,406 101,202 106,354 
Product Slate - BPSD  75,200 78,338 87,580 93,464 97,678 
Realization/Crude Run - $/B 0.,531 0.487 0.378 o. no 0.279 
Realization/Total Products $/B 0.582 0.532 0.412 0.347 0.303 
REFINERY CONFIGURATION      
Crude Unit, BPSn  82,341 85,651 95,406 101,202 106,354 
Reformer Pretreater. BPSD 19,321 20.270 22,456 23,657 24,558 
Reformer. BFSD  19,062 19,360 20,048 20,203 21,217 
FCCU Feed Pre treater,  BPSD 19,797 22,964 29,370 30,953 28,749 
Fluid Catalytic CrackinSl Unit, BPSD 21,985 22,OJ7 22,341 23,176 20,920 
Middle Dis tillate H'(droR'en Treuer , BPSD 12,191 13,073 16,040 18,566 22,290 
Delayed Coker, BPSD  22,887 2.3,187 24,182 22.943 26,599 
Alkylation Unit, BPSD  3,423 3,319 3.063 2,813 2,650 
Rcsid. HDS Unit. BPSD 0 0 0 Z.497 0 
Hvdrocrackin2 ~nit, BPSD 4.507 3,617 1,495 0 0 
Hydro£Cn Plant, MMSCF /SD 8.607 8.824 8.915 9.798 6.015 
Sulfur Plant, M LB/SD  236 242 259 267 264 

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CASE NO.6   EFFECT OF INCLUDING 5000 BPSD OF KUWAIT CRUDE AND   TABLE NO. 9  
    500 BPSD OF KUWAlT NO.6 FUEL OIL IN REFINERY FEED        
MAchine Itera.tion No.  18.67 18.71 18.73 18-75 18.77 18-85 18-89 18-94 18-98 18-1004 18-105 18-106 18-108
Wt. CVo SuUur in Fuel Oil  0.500 0.6Z5 0.840 0.967 1. 070 1.2.13 1.421 1. 530 1.640 1.842 3.184 ~. ~95 ~. 9B6
Value of Products - S/SD 328.325 32,8,3ZS 328.325 328,325 328,325 328.325 nB.3Z5 3Z8. 325 328,325 328,325 32,8,325 328,325 328,32,5
Less; Cost oi Crude  239,144 237,835 Z35.S6Z 234,2.04 2,33,568 232,,998 Z3Z,520 232..793 232, 849 2,32,889 232. 917 2,32,982, 233,114
 Capital Related Costs 38,30Z. 37.664 ~6. 640 36.050 35,126 34,374 33.667 33,182. 32,,930 32.699 n.485 32.,396 32,217
 Variable Operating                
 Costs  14.047 13.751 13.256 IZ.961 12.710 12,528 lZ.412 12.343 U:Z61 12.398 12. 359 12.349 12.328
Gross Realiza.tion  36,832 39.075 42.867 45,110 46,921 48,425 49,666 50,007 50,2.85 50,339 50,564 50,598 50.666
Crude Run. BPSD  98,148 97,616 96.69Z 96,140 9S.8Bl 95.649 95.455 95. %6 95. 5B9 95.605 95,617. 95,643 95,697
Product Slate. BP5D  90.500 90,500 90.500 90.500 90,500 90,500 90,500 90,500 90,500 90,500 90,500 90,500 90,500
Realiution. S/Bbl Ct'ude 0.370 0.400 0.443 0.469 0.4B9 0.506 0.5Z0 0.52.3 O. SZ6 0.5Z7 0.52.9 0.5Z9 0.5Z9
ReAliza.tion. $/:8bl Producu; 0.40Z 0.43Z 0.474 0.498 0.51B 0.5~5 0.549 0.553 0.556 0.556 0.559 0.559 0.560
Crude Cost/Bbl Product  Z.04Z Z.6Z8 Z.603 Z.588 Z.5B1 Z.575 Z.569 2..512 Z.573 Z.573 Z.574 Z.574 Z.576
Ga.P. it Va-r. Cost/8bl Product 0.578 0.570 0.551 0.542 C.5Z9 0.518 0.510 o.50~ 0.499 0.498 0.496 0.494 0.492.
.aCrude Cost/B'bl Product 0.066 0.05Z 0.02.7 0.012 0.005 M 0.001 M 0.007 M 0.004 ~ 0.003 ~0.003 - O. 002 - 0.001. 
OCap. & Var. Coet/Bbl Product 0.086 0.018 0.059 0.050 0.037 O.OZO 0.018 0.011 0.001 . 0.006 0.004 a.aOl 
TOUlI 0. Cost/Bb! Product O.lSZ. 0.130 0.086 0.Q62 0.042 0.025 0.01l 0.007 0.004 ~ 0.002    
Total ACos t/Bbl Fuel Oil 0.544 0.405 0.30B O.ZZZ 0.150 0.089 O. 039 O.OZ.S 0.014 O.Oll 0.007    
REFINERY CONFIGURA nON                
Crude Unit. BPSD  98,148 97,616 96,692 96,140 95,881 95,649 95,455 95.566 95,589 95.605 95.617 95.643 95,697
Reformer Pretreater. BPSD 21,945 2.1,552. 2.0.961 2.0.640 19.890 19.778 19.378 19.456 19.361 19.249 19,2.52. 19.Z70 19.306
Reformer. BPSD  20,981 20,578 19,859 19.42.0 19;383 19.42.1 19.2.S1 19.52.9 19,5B5 20.432 20.431 20,448 20.481
FCCU Feed Pretreater, BPSD 9.915 9,821 10,849 11,866 4,150 -1,752 3,020 0 0 0 0  0  0
FCC Unit. BPSD  18,773 19.636 20,896 21.5B2. 2.3,414 Z3.96Z Z3.560 23,077 22..821 2.0,Ol8 20,021 19.99Z 19.93~
Mid.distillate H2.-Treater. BPSD 2.4, 787 2.3.516 ZO.8Z4 19.160 ZI.Z45 ZO.760 14.899 14.5Z3 12,647" IZ.60Z 12,644 IZ.604 12.704
De1aved Coker. BPSD  2.5.508 23.256 19,324 16,948 16.140 15,383 15,091 15,845 16.104 15,593 15.686 15. B23 16,098
Alkvla.tion Unit, BPSD  2, 746 2.803 2.911 2,979 2,935 Z.B91 2.998 Z.967 Z.979 2.,984 2.985 2,981 2,975
Resid. HOO Unit, BPSD  1,430 1,430 1,430 1,402 1.375 1. Z6B 1.2.2.0 1.138 1, 023 930  56Z   375 0
Hvdrocra.ckinll Unit. BPSD Z.093 2.,795 2,841 2,820 3,724 3,955 4,2.70 4.488 4,678 6,080 6,072 6.064 6,048'.....-
Hydroli!'en Plant. MSCFD  2,676 2.,741 3,262. 3.715 1.025 0 0 0 0 0 0  0  0
Sulfur Plant. M LS PSD  z65 Z56 Z40 Z31 ZI6 Z03 IB9 175 168 16B  loB   169 170

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CASE NO.7  EFFECT OF FUEL OIL SULFUR RESTRICTIONS ON AN E}QSTING REFINER Y   TABLE NO. 10   
Machine Iteration No.   17-69 17-71 17-72 17-74 17-83 17-89 17 ~94 17"98 17-109 17-114 17-115 17-117  
Wt. " Sulfur in Fuel Oil  0.500 0.602 0.843 1.08Z 1.186 I.Z92 1.499 1. 631 1. 741 Z.124 3.Z71 3.276  
Va.lue of ProductS - S/SD --. 328,825 328,825 328.825 328, BZ5 32.8,825 328.BZ5 328,825 328,825 328,825 328,82.5 32.8,825 328,825  
Less: Cost of Crude  .; 240, 330 239,211 236,533 234.059 233,506 233, n2. 233,435 2.33,170 Z32,969 233,112. 2.33.098 233,097  
 Capital Rela.ted Costs ,"'  1,128 1,142. 1,155 1.010 6lZ 404 23 339 388 163     
 '".\ ,'.       
 Varia.ble Operating Cosu -.:.......::::: 19,622 18,917 17.Z87 15.683 15,230 14.184 13,37Z lZ.650 12.519 12..494 12.,471 12..456  
Gross Realization    67,745 69,555 73.850 78,073 79,477 80,515 81.995 82,666 82,949 83.056 83,256 83.272  
Crude Run. BPSD    98.630 98,175 97.087 96,081 95.856 95,944 95,827 95,719 95,638 95,696 95.690 95,690  
Product Slate. BPSD    90.500 90,500 90.500 90.500 90,500 90,500 90.500 90,500 90.500 90,500 90,500 90.500  
Jt.ealiza.tion, $/Bbl Crude   0.687 0.708 0.761 0.813 0.82.9 0.839 0.856 0.864 0.867 0.868 0.870 0.870  
R..""Hzation, S/Bbl Products   0.749 0.769 0.816 0.863 0.878 0.890 0.906 0.913 0.917 0.918 0.920 0.920  
Cnlde Cost/Bbl Product   2.656 2..643 2.613 2..586 2.580 2.582 2.579 2..576 2..574 2..576 2.575 Z. 57S  
Ca.'!). & Var Cost/Bbl Product   0.ZZ9 0.Z2Z 0.204 O. 184 0.175 0.161 0.148 0.144 0.143 0.140 0.138 0.138  
4 Crude Cost/Bbl Product   0.081 0.068 0.038 0.011 0.005 0.007 0.004 0.001 - 0.001 0.001     
.e.Ca'P. &. Vu. Cost/Bbl Product   0.091 0.084 0.066 0.046 0.037 0.023 0.019 ~ 0.005 0.002     
Total L.Cost/Bbl Product   O.ln 0.152 0.104 0.OS7 0.042 0.030 0.014 0.007 0.004 0.003     
Total ~Cost/Bbl Fuel Oil   0.615 0.544 0.372 0.204 0.]50 0.107 0.050 0.025 0.018 0.011     
REFINERY CONFIGURATION NEW CAPACITY (UNUSED EXISTING CAPACITY IN PAR.£:NTHESES)         
    !!!!                
Crude Unit, BPSD  100,000 (1,370) (1,8Z5) (2,913) (3,919) (4,144) (4,056) (4,173) (4.281) (4,362) (4,304) (4.310) (4,310)  
Reformer Pretrea.ter. BPSD 23.000 (1.050) (1,444) (2,361) (3,133) (2,905) (2,320) (2,377) (2.509) (2.530) (2,514) (2,514) (2.518)  
Reformer. BPSD  23,000 ( 755) (1.179) (2.167) (3.037) (3.048) (3,135) 13.382) (3,631) (3,969) (3.911) (3.946) (3,926)  
FCCU Feed Pretrea.tcr , BPSD                 
FCC Unit. BPSD  20,000  378 1,147 2.937 4,292 3,213 Z48         
Mid-Distillate HZ -Treater. BPSD 13,000 13.547 12.447 9,973 8,323 9.361 9.203 4.0l0 72     ( 109)  
Delaved Coker , BPSD  16,000 10.268 8.377 3.972      ( 294)      
Alkylation Unit, BPSD  3.000 (664) (592) (424) (Z59) (Zl8) (140) (90) (40)       
Resid. HDS Unit. BPSD   1.180 1.180 1,151 1.123 926 611 34 513 587 247     
. Hvdroc:ra.c:k.inll Unit. BPSD 7,000     (694) (1,770) (1,436) (355) (174) (686) (751) (712) (730)  
Hvdrollen Plant MSCFD   2,162 l.l49 2.447 1.163          ~ 
Sulfur Plant. M LB PSD 170  90 82 64 45 40 35 Z5 10 2 2 3 2' 
                   '- 
                   '- -

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CASE NO.8     EFFECT OF INCLUDING 5000 BPSD KUWAIT CRUDE AND             
     500 BPSD OF KUWAlT NO.6 FUEL - CHEAP NATURAL GAS AVAILABLE     TABLE NO. 11   
:Machine Iteration No.    19-67 19-71 19-72 19-76 19-82 19-89 19-90  19.97 19-104 19-105 19-106 19-108 19-1 IZ 
Wl. % Sulfur in Fuel Oil  0.500 0.625 0.803 1. 061 1.167 1.303 1.451  1.609 1. 716 2.838 3,458 3.986 4.103 
Value of Products - $/SD  328,825 328;825 328,825 328,825 328,825 328,825 328,825 328,825 328,825 328,825 328,825 328,825 328, 825 
Less: Cost of Crude    235,818 234,126 232,057 229,067 230,529 230,131 230,096 230,433 230,327 230,200 230,160 230,167 230,170 
 Capital Related Costs 38,706 38, JOI 37,253 36,040 34,616 34,008 33,451 n,897 32.599 32,441 32, 364 32,206 32,204 
 Variable Operating                      
 Costs    16,624 16,623 16.379 ....!hlli. 14,484 14,332 14,087 13,757 13,989 14,058 14,058 14,130 14,129 
GroSt> Realization    37,677 39.975 43,136 47,706 49,196 50,354 51,191 51,738 51,910 52,126 52,243 52.3ZZ 52, 3Z2 
Crude Run, BPSD    96, 796 96.108 95,267 94,052 94,646 94,484 94,470 94.607 94,564 94,512 94,496 94,500 94. 455 
PToduct Slate, BPSD    90,500 90.500 90,500 90,500 90.500 90,500 90,500 90,500 90,500 90,500 90.500 90,500 90,500 
Realization, $/Bbl Crude  0.389 0.415 0.452 0.507 0.519 0.532 0.541 0.546 0.548 0.551 0.552 0.553 0.570 
Rea.lization, $/Bbl Products  0.416 0.441 0.476 0.527 0,543 0.556 0,565 0.571 0.573 0.575 0.577 0,578 0.595 
Crude Cost/Bbl Product  2.605 2.587 2.564 2.531 2.547 2.542 2.542 2.546 2.545 2,543 2.543 2.543 2.543 
Caf,l. & Var. Cost/Bbl Product 0.611 0,604 0.592 0,575 0.542 0.534 .0.525 0.515 0.514 0,513 O. S12 0.512 0.512 
~ Crude Cost/Bbl Product  . 0.063 0.043 0.021 0.012 0.004 0.001 0.001 0.003 0.002 0.000 0.000 0.000 8ase 
kCap. & Var. Cost/Bbl Product 0.099 0.092 ~ ~ 0.030 0.022 0.013 0.003 0.0(12 0.001 ~ 0,000 Bas~ 
"Iotal bCost/Bo1 Product  0.162 C.I3> 0.101 0,051 0.0}4 0.021 0.012 ~ 0.004 0.001 0.000 0.000 Bast: 
Total "'-Cost/Bbl Fuel Oil  0.578 0.488 0.363 0.182 0.123 0.077 0.044 0.02,3 0.016 0.007 0.003 0,000 Ea.se 
REFINER Y CONFIGURATION                     
Crude Unit, BPSD    96,796 96,108 95,267 94,052 94, 646 94,484 94,470 94, 607 94,564 94,512 94,496 94,500 94,500 
Reformer Pretreater, Bf'SD 21,717 21,247 20, 729 19,978 19,704 19,362 19,214 19,123 19,059 19,031 19,049 19,056 19,056 
Reformer. BPSD    22,285 22,077 21,574 20,846 20,702 20.476 20, 386 20,377 20.726 20.8Z4 20.853 20,957 20.958 
FCCU Feed Pretreater, !\PSD 11,066 10,336 10,985 11,910 0 0 0  0 0  0  0    404  404 
FCC Unit. BPSD    13,152 13.410 14,144 15,210 19,70Z 20,02.4 20,160 20,098 18,897 18,553 18,487 18,035 18.035 
Mid-distillate Hz-Treater, BPSD 24, 059 22,996 20,964 17,853 22,747 19,859 16,470 13,51S 12,589 12,613 12,735 12, S61 12,561 
Delaved Coker, BPSD    25,816 23,706 20,498 15,878 IS,850 IS,141 15,095 15,551 IS,979 15,960 IS,94Z 16,137 16,137 . "-
Alkvlation Unit, BPSD    2,882 2,947 3,041 3,178 2,911 2.969 2,993 3,008 2,960 2,944 2,935 2,929 2,929 -..
Resid. HDS Unit, BPSD  1,430 1,430 1,387 1,378 1,300 1,248 1,214 1.032  671  447  332 0  0  
Hvdrocrackinrz Unit, BPSD  4,887 5,358 5.562 5,858 5.871 6,046 6,110 6.183 6, 787 6.982 7,007 7,152 7,152 
Hvdrollen Plant, MSCFD  6.833 7,138 7,720 8,558 2,052 1,483  980 0 0  0  0  0  0  
Sulfur Plant. M LB PSD  267 256 244 224 204 194  183 In  170  171  171   173  173 

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FIGURES

-------
GENERALIZED
REFINERY
FLOWSHEET
eJ1.WOAJ.
SEPARATION
e!!2WID
J!IM2WI
TREATING
-=
ClUCKING AND
~
~
i,.J\SOlIN£
1I"lli!ll.!I
UGHT ENOS CLI
     "'--'            ".-,        4UIYLATION  
                       ..,  
                         POI..TlIERI%ATIOtI  
       P-            ..h.     !..,  4 
    " I""PHTHA " .        . CATALYTIC ..!'..       
      "OS           REFORMER        
    4            ,J!-o         
      "APHTHAS 1'"                     
    I,       .     1           
                L         '  
     "'--'        ".    "'---'          
       ,            .L - 1-      
     MIDDLE "  1-          ~~ - - -    
     DISTILLATE .   -    "'" f----o H'rOROCRACXER .!!..-        
      "OS   -  ,---.           
~ CRUDE   r        ,-<              
UN,T          '               
   I        :  -             
   MJDDLEOISTlLLATES(III,     '               
    I,       L '          l    
          i     .        
          ,            
            ,             
            ,             
     "'--'       '             
           ,             
           ,             
       ,     '       ,      
       "  1-          ...!!..- -    
      '"           FLUID      
      ,,, '   -       CATALYTIC .        
    ,.....  "" ,          CRACKER ~ - -     
                -           
      GAS OILS (GJ                     
    I,      -          JLJ    
     "'--'                  
       ,            I-"--    
 VACUUM RESID     .        f----<   f-'!-    
     RESIDUAL         DELATED    
      '" "        f-'!-    
              ,   COKER        
    r-.  "" ,        , -   r-'-        
            '          
      l        '    I----COKE     
    1          '        
             ,        
    :          ,            
    , RESIDS!R)        ,            
    :           '    1       
  POA GAS OIL tG1           '          
  ,           ,          
 PROPANE   '           ,          
 DEASPHALTER POA PITCH If 11  '           ,          
                         FIGURE 1
LIGHT ENDS Tt!
GASOLI"! AND FUEL
NAPHTHAS TO
GASOLINE
IIIIrDOLE DISTILLATES TO
K[ROSINE, HEATING OIL
ANDRES'DUAL FUEL
(lLENDING
GAS OILS TO
RESIDUAL FUEL
BLENDING
RESIDUAL OILS TO
FUEL OIL
BLENDING

-------
..
:!~,
 ,n 
-'  
...  
a:  
a:  
..  
.. .. 
.... 
"  
...  
z  
...  
u  
 20 
  VISCOSITY
  GIVE-AWAY
 '0 
o
0.'
0.7
WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL
CASE 1
CALIFORNIA CRUDE OIL
24,300 apso FUEL OIL
ALL REFINING OPTIONS PERMITTED
FIGURE 2
REFINERY REALIZATION AND
INCREMENTAL COST OF FUEL OIL
RESULTING FROM SULFUR RESTRICTION
--
'0
RtFINERY REALIZATION
CENTS I BARREL OF PR~OUCT \
--\--
'0
-.-.
-CASE 2
CALIFORNIA CRUDE OIL
COKING EXCI.UOED
24,300 apse FUI':LQIL
---CASE 3
CALIFORNIA CRUDE OIL
COKING AND Fcev PRETREAT EXCLUDED
..    
    VISCOSITY  
    GIVE-AWAY  
0    
,., ,.. '.7 0.' 07 0.' ...
0.'
,.,
'0
20
L'
,..
WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL
JL~
REFINERY REALIZATION
CENTS/BARRI::L OF PRODUCT
--
.0
'\
..
20
VISCOSITY
GIVE-AWAY
..
'.7
o
0.'
0.7
WEIGHT PI~RCENT SULFUR IN RESIDUAL FUEL OIL
L'
CASE 4
CALIFORNIA CRUDE OIL
FUEL OIL REDUCED TO 10,000 BPse
ALL REfiNING OPTIONS PERMITTED
0.'
L'
'.7
,..

-------
120
liD
REFINERY REALIZATION
100
90
80
--
---
.J
.... 70
0::
0::


i
40
30
20
VISCOSITY
GIVE-AWAY

VISCOSITY
GIVE-AWAY
10
DESULFURIZATION COST
o
0.5
0.7
WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL
WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL
FIGURE 3
REFINERY REALIZATION AND
INCREMENTAL COST OF FUEL OIL
RESULTING FROM SULFUR RESTRICTION
60
REFINERY REALIZATION
-----
----
---
--
--
50
....---
-----r
40
- CASE 6
5,000 8PSD KUWAIT CRUDE AND
50D 8PSD IMPORTED RESIDUAL FUEL OIL I
REPLACING PART OF CALIFORNIA CRUDE

NO RESTRICTIONS ON REFINERY OPTIONS I

,I - - ~ CASE 8 I j

5,000 8PSD KUWAIT CRUDE AND
50D BPSD IMPORTED RESW'UAL FUEL 01 L
REPLACING PART OF CALIFORNIA CRUDE i

NATURAL GAS AT 19~/MSCF USED FOR I
REFINERY FUEL I

NC' RESTRICTIONS ON REFINERY OPTIONS j
I
I
I
- CASE 6
5,000 BPSD KUWAIT CRUDE AND
500 BPSD IMPORTED RESIDUAL FUEL OIL
REPLACING PART OF CALIFORNIA CRUDE

NO RESTRICTIONS ON REFINERY OPTIONS
30
VISCOSITY
GIVE-AWAY
- CASE 7
FUEL OIL SULFUR RESTRICTION APPLIED
TO AN EXISTING REFINERY,

CALIFORNIA AND KUWAIT CRUDE MIX
20
VISCOSITY
GIVE-AWAY
10
--
--
DESULFURIZATION COST
.....----
1.1
0.9
1.3
o
0.5
0.7
1.3
1.5
1.7
0.9
1.5
1.7
1.1

-------
3.00
...J 2.00
w
ex:
ex:

-------
FIGURE 5
CASE 6
COMPARISON OF DESULFURIZATION COST FOR
CALIFORNIA AND KUWAIT RESIDUAL FUEL OILS
5000 BPSD KUWAIT CRUDE AND
500 BPSD IMPORTED RESIDUAL FUEL Oil
REPLACING PART OF CALIFORNIA CRUDE

NO RESTRICTIONS ON REFINERY OPTIONS
70
60
REFINERY REALIZATION
CENTS/BARREL TOTAL PRODUCTS
50
..J
w40
0::
0::
eX
m
.....
'"
...
r5 30
u
RESIDUAL FUEL OIL
FROM
KUWAIT STOCKS
RESIDUAL FUEL OIL
FROM
CALIFORNIA STOCKS
I
20
10
o
0.5
2.0
3.0
4.0
1.0
WEIGHT PERCENT SULFUR IN RESIDUAL FUEL OIL

-------
14
FIGURE 6
STUDY OF
EXISTING 100,000 BARREL REFINERY
REFINERY ADDITIONS AND EXPANSION
REOUIRED TO MEET LOWER RESIDUAL
FUEL OIL SULFUR LEVELS
>-
«
c
.......
VJ
-l
W'O~
0::" ':.
0:: ~
« ~
ID ~
\~
~~ 8
C
W
W
Z
>-
t:6
u
«
Cl.
«
U
I-
Z4
::>
==
w
Z
2
12
.
\\
~ \
'\ \
\ \
.
.
.
.
.
.
,
.
.
.
~
.
\ I
'.
. ,)\
"""~ ,
....,K ':.
," ,
.
I
,
"
o
0.5
MIDDLE DISTILLATE
HYDROGEN TREATING
DELAYED COKING
I
SULFUR RECOVERY,
TENTHOUSANDLBS/DAY
I
CATALYTIC CRACKING
. I I
HYDROGEN MANUFACTURE
MMSCF PER DAY
"
..\
1.0
2.0
2.5
FUEL OIL WT % SULFUR SPECIFICATION
1.5
CASE 7
CONSTANT PRODUCT

DEMANDS

40,300 BPSD GASOLINE
B,OOO BPSD LIGHT
OISTILLATE
16,900 BPSD HEAVY
DISTILLATE
25,300 BPSD RESIDUAL FUEL
BASE REFINERY
UNIT
CAPACITY
100,000 BPSa
CRUDE
FLUID CATALYTIC
CRACKER
HYDROCRACKER
MID DIST. HYDRO-
TREATER I!,OOO"
CATALYTIC RE-
FORMER
NAPHTHA HYDRO-
TREATER 23,000"
DELAYED COKER 16,000"
ALKYLATION 3,000"
SULFUR RECOVERY 170,000 LBSID
20000 "
7:000 "
23,000 "
BASE CASE CRUDE MIX
WITH
NO SULFUR RESTRICTION
HUNTINGTON BEACH
CALIFORNIA 90,680 epSD
KUWAIT ~.ooo BPSQ

THE KUWAIT CRUDE RATE WAS HELD
CONSTANT AT ALL SULFUR LEvELS
AND THE CALIFORNIA CRUDE RATE
WAS ALLOWED TO VARY.
30

-------
APPENDIX

-------
 TECHNICAL ASPECTS OF THE LP MATRIX

 This appendix  presents the data used in the LP matrix.  It is be-
 lieved that no useful purpose would be accomplished by giving a
 matrix tableau or a listing of the input  data cards.  The exact
 arrangement of the matrix and the form of the input data depends
 on the particular LP code that is being used,  and undoubtedly
 would  be modified  for any extension of  this study.   The data in
 this appendix is sufficiently complete and detailed that the prob-
 lem can be  reconstructed with little effort for any LP code.

 Even with modern  high speed computers, there are definite economic
 limitations  on  the size of the matrices  to be solved. The time for
 solution varies roughly as the cube of the number of equations,  so
 that there is considerable incentive for keeping the matrix small.
 In this particular problem, a large number of parallel solutions
 were desired,  and  the  effort  involved in creating a  compact matrix
was  justified.  The following is a brief description of some of the
 techniques used:

 1.    Stream combinations  Many of the by-product streams from
      various refinery units are produced in small amounts.  Very
      little is lost in simply combining  these by-product streams
      with others of similar nature.   As an example, the by-
      product naphthas from  the heavy oil hydrodesulfurizer
      units were all considered to be  equivalent to virgin naphtha
      from crude.  This  same combining technique  was employed
      for most of the by-product distillates and gas oils from the
      hydrodesulfurizers which were  considered equivalent to the
      virgin material from crude.   One consequence of this is
      that an exact  sulfur balance was not possible.  As the sulfur
     by-product was assigned no value, this  discrepancy is of
      little importance.

2.    Non-restricting constraints  In most LP problems many of
     the balance equations do not represent real constraints from
     a mathematical viewpoint.  For example, no restriction was
     placed on the availability of crude.  Practically,  its cost can
     be merged into the  cost for the crude unit operations.  The
     Bonner and Moore LP matrix generator has features which
     facilitate this kind of operation.  A large fraction of the
     equations were made non-restricting in this way.
                                   A-l

-------
 3,    Compositing  When two or  more units or operations are
      related by a single feed-product connecting stream, this
      stream can be eliminated as a constraint by creating a com-
      posite operation for each permutation that exists.  Here
      again, the Bonner and Moore code facilitated this operation.
      The  code  also includes facilities for reconstructing the re-
      sults in terms of the  original matrix

 By applying these techniques,  the reduced machine matrix was held
 to 57 equations  and 95 non-basic variables.  Actual machine solution
 time was about  Z minutes for Cases  1 to 5 with approximately an
 equal amount of time for the report writers.  Cases 6 to 8 took
 slightly longer.

 Most of the data presented  in this report was generated by the
 technique of parametric programming.  Starting with an optimum
 solution, the computer program was instructed to  explore the
 effect of a  change in sulfur specification until some basic change ,
 occurred in the  structure of the computer solution.  Because 20
 or more steps were involved in most cases,  printed output was
 taken only  when the step involved a total change of 0. 1 wt. percent
 sulfur or more.  This accounts for the seemingly random selection
 of sulfur specifications in the tabulations.

 The results from the parametric programming steps are particu-
 larly instructive in  showing the relationships between factors of
interest.   Part  of the printed results from the machine is a tab-
ulation showing  how each basic variable reacts to the change in
parametrized specification  {the sulfur spec.)   The rate of hydrogen
 consumption change with each "barrel-percent" sulfur specification
 change varied widely with each change in refinery  structure.  This
 simply confirmed the observation that there is no basic hydrogen
 consumption rate that can be related to a given degree of desulfuri-
 zation of the fuel oil.  Hydrogen is simply one of many economic
 factors  that are optimized for total minimum cost.

 One particularly useful feature of the LP model was the exact
 liquid volume balance.  Debugging and error checking was greatly
facilitated  by  the fact that the crude  run minus the  total of the
products had to  equal a net  volume loss calculated  by the com-
puter.   The volume loss or gain associated with each operation
is given in  the data  listings that follow.   These were determined
according to the following rules:
                                   A-2

-------
 1.    The volume equivalent fuel oil (6. 2 million BTU per barrel)
      for by-product fuel gas was counted as a product from each
      operation.  The net volume loss or gain is the difference
      between feed and products for the operation including  the
      fuel gas.  Coke was not  counted.

 2.    A separate constraint was set up for refinery fuel.  When
      fuel gas is transferred to this constraint,  a volume loss is
      taken.  Similarly, burning product fuel oil,  butanes,  etc.,
      results in a volume loss.

 3.    Transferring excess  hydrogen to the fuel gas  constraint
      resulted in a volume  gain.  In turn when this was trans-
      ferred to refinery fuel, a loss was taken.

In the following  tables are listed the various parameters used in the
development of the matrix including the following:

              Capital Related Charges
              Variable  Operating Cost Factors
              Blending  Properties of Product Streams
              Process Yields  & Utility Demands for each Process
              Utility Cost in terms of Fuel
              Miscellaneous Refinery Transfers
                                    A-3

-------
CAPITAL RELATED CHARGES USED IN LP MODEL
    Gross   
    InvestInent Maintenance Insur.. Taxes TotaL Capital
Description of  Base Total Charge Cost &: Misc. Cost Rela ted Char gr.:
Refinerv Units  Capacity Investment ($/Bbl) ($/Bbl) ($/Bbl) -11@bl)
  (Note 1) (Note Z) (Note 3) (Note 4) (Note 4) 
Comb. Crude Unit 80,000 BPSD $4,700,000 0.0576 0.0069 0.0035 0.068
Propane Deasphalter ZO, 000 BPSD $4,000,000 0.1960 0.OZ64 0.0118 0.234
Reforming Pretreater 20,000 BPSD $2,200,000 0.1078 0.0146 0.0065 O. lZ9
Catalytic Reformer ZO,OOO BPSD $3,300,000 0.1618 0.OZ19 0.0097 O. 193
Delayed Coker  ZO, 000 BPSD $5,000,000 0.2451 0.0332 0.0147 0.293
Resid. Hydrodesul£urizer - 10,000 BPSD $5,300,000 - 0.5196 0.1091 0.0312 0.661
Hydrocracker  8,500 BPSD $4,000,000 0.4614 0.0692 O.OZ77 0.558
Mid. Vi.l. HZ Treater ZO, 000 BPSD $Z,400,OOO 0.1176 0.0159 0.0071 0.141
FCCU Feed Pretreater ZO,OOO BPSD $3,251,000 0.1593 0.OZ16 (J.0096 0.191
Fluid Catalytic Cracker ZO, 000 BPSD (5) $5,800,000 0.Z843 0.0383 0.0170 0.340 (5)
Alkylation Unit  4,000 BPSD $2,600,000 0.6373 0.0860 0.0382 0.762
Sulfur Plant  Z,OOO M Lbo/SD $2,700,000 0.0013/M Lb.. O. 0002/M Lbo. O. 0001/M Lb.. O. 002/M Lb..
Hydrogen Plant  3Z,OOO MSCF /SD $4,300,000 O.1309/MSCF 0.OZZ7/MSCF 0.0079/MSCF 0.162/MSCF
(I)
(Z)
(3)
(4)
(5)
Nominal stream day unit charge rates assumed for estimating capital investment.
Battery limits construction costs,
Based on 1020 operating days (3 years) pay-out period before taxes, interest and amortization.
Estimated a.nnua.l cost for these items divided by the total feed for 340 operating days.
Variable capacity factors were used in the LP model to account foI' difference in coke yield of different feedstock.s.
(M-l)

-------
Qpera.ti.Q.p
FCCU (600-9500 gas oil, treated or un-
treated)
FCCU (700-9500 gas oil, treated or un-
treated)
FCCU (Heavy coker gas oil blended,
treated or untreated)
FCCU (PDA gas oil blend, treated
or untr eated)
FCCU (Increase conversion from 620/0
10 64.5')',)
Hydrocracker (Virgin Stocks, Max. dist.
production)
Hydrocracker (Virgin Stocks, Max. gaso-
line Production)
Hydrocracker (FCCU LCO/coker LGO,
max. .,gasoline production)
Crude Unit (Atm. & Vac.)
Propane Deas phalte r
CataLytic Reformer, (5. R. Gasoline 98 RON
reformate)
Catalytic Reformer, (95 & 9Z RON
reforma.te)
Ca.talytic Reformer, (Hydrocrackate,
98 RON Reformate)
Coking, Delayed
Residual Oil Hydrodesulfurizer - ~
Hydrogen Plant (Values per MSCF Hydrogen)
Sulfur Plant (Values per lb. of elemental
Sulfur)
AlkyLation. HF
Reformer Pretreater
Mid-Distillate Hydrotrea.ter
FCCU Feed Pre treater
Cooling Water Facilities (Values per 1000
gal. Cooling Water)
Boiler .& Steam Plant (Values per 1000 Ibs.
steam)
Electric Power (Values per KWH)
Amine Plant (Values per lb. Sulfur extracted)
.(1)
(Z)
(3)
(4)
VARIABLE OPERATING COST FACTORS FOR LP MODEL
$JJ.L
0.1575
0.1575
0.1575
0.1575
4.0
4.0
4.0
Catalyst
lhUJl
0.Z05
0.Z05
0.Z05
0.Z05
O.OZZZ
0.0111
0.0111
WL
0.03Z3
0.03Z3
0.03Z3
0.on3
0.068
0.137
O. 146
0.0888
0.0444
0.0444
0.95 - 0.0083Z-0.079Z
0.00Z5
0.75
0.005
0.010
- 0.0038
0.010

O.OZ77(I)
0.002036(1)
.:I:1=-
BFW
BFW
BFW
BFW
BFW
BFW
CW
BFW
Water (3)
Qa1L!L
10.3
8.91
II. Z
IZ. I
0.Z89
I. ,85
0.0438(4)
O.IZ
UlL
CI.0072
0.0063
0.0078
0.0085
O.OOOZOZ
O.OOIZ
0.0044
0.084
Estimated total including an allowance for maintenance and incremental investment
Electrical cost estimated as $0.003/KWH + 9000 BTU/KWH fuel consumption
Boiler feedwater valued at $0. 70/Mgal. Cooling tower make-up valued at $0. lO/Mgal.
Cooling tower water make-up ratio, Mgal/Mgal.
Chemicals
&: Misc.
$.L.!L
0.050
0.050
0.050
0.005
0.010
0.010
0.040
0.00175
0.100
0.0038
(M-Z)
In.ta.L
$0.0395
$0.0386
$0.0401
$0.0408
$O.OOOZOZ
$0. [18
$0.187
$0.196
$0.005
$0.010
$0.0888
$0.0444
$0.0444
$0.010
$0.083Z
$0.0037
$0.00175
$0.100
$0.010
$0.0038
$0.010
$0.0359
$0.084
$0.003(Z)
$0.00Z036

-------
Blending
Component
Iso-Butane (Note 1)
N - Butane
Butylenes
Reformate 92 RON
Reformate 95 RON
Reformate 98 RON
Saturated CS-1750
Coker Light Gasoline
Light Hydrocrackate
400 EP Cat. Gasoline
330 EP S. R. Naphtha
C4 Alkylate
C3 Alkylate
Pol ymer Gas cline
Kuwai t Light Gasoline
Kuwait Reformate
(1)
BLENDING PROPERTIES OF PRODUCT STREAMS
Research Octane No. With
1 ce Pb lee Pb 3cc Pb
98. Z
98. Z
97.2
95.7
98.6
100.6
88.5
86. 1
89.2
95.6
78.6
100.6
97.6
96.6
84.6
94.8
100.0
100.0
99.0
97.7
99.9
101.8
91.9
89.4
93.3
97.3
82.5
102.5
99.5
98.1
88.6
96.6
Octanes assumed to be same as N-butane
to avoid preferential use of iso-butane
for gasoline blending.
101. 4
101.4
100.0
99.0
100.8
102.6
93.8
91. 3
95.6
98.4
84.8
103. ?
100.7
99.0
91.0
97.7
(M-3)
RVP
(PSIA)
80.0
59. I
60.0
5.0
5.0
6.0
5.4
10.5
12.0
7. I
3.0
5.0
5.0
1.0
12.0
4.00
Blending
Com.ponent
Viscosity
Blending
Number
330/400 - 540 Kerosine -100
540-650 Hvy. Vir. DIst. + 30
400 -650 Raw Coker Dis t. 0
600 -950 FCCU Feed +390
700 -950 FCCU Feed +4 75
650 -800 Hydrocracker Feed +335
800 -900 Gas Oil +520
Vacuum Pitch, 950+ + 1110
Propane Deasphalter Pitch + 1750
Resid. HDS Pitch + 1750
Light FCCU Cycle Oil -5
Hvy. FCCU Cycle Oil +310
540-680 H-Oil +210
Hydrocracked Distillate -100
FCCU Decant Oil +875
Desulf. FCeu Cycle Oil -5
Desulf. 400 -650 Coker Di,st. 0
Desulf. 540 -650 Hvy. Vir,. Dis t. + 30
Desulf. Kerosine -100
Light Cycle Oil, Trtd. Feed -5
Hvy. Cycle Oil, Trtd. Fel~d +310
Decant Oil, Trtd. Feed +875
Coker HGO, 650-950 +350
380-540 Kuwait Distill. -150
540 -650 Kuwait Distill. + 40
Kuwait FCC & Coker Cycle - 53
Kuwait Heavy Cycle Oil +334
Kuwait Low S. Fr. Distill. + 50
,Kuwait Desulf. Resid. +700
Kuwait Vacuum Resid. +870
Treated Kuwait Lt. Distill. -150
Treated Kuwait Hvy. Distill. + 40
Treated KW Coker &: Cycle - 53
Kuwait 650-1100 +380
Kuwait Coker Heavy G. O. +400
Imported Fuel Oil 569
Sulfur
(Wt. 0/0)
0.52
1. 22
1.25
1.47
1.51
I. 42
1. 54
2.03
2.57
I. 70
1. 15
1.30
0.50
o
1. 40
0.12
0.13
0.12
0.05
0.01
0.02
0.05
1.55
0.61
I. 75
2.40
3.20
o
0.75
5.40
0.061
0.175
0.24
3.00
4.00
4.50
o API
36.8
30.3
35.0
ZI.7
19.6
22.9
18.6
, 6.2
-5.1
-7.4
23.6
16.5
25.8
38.0
3.8
24.6
36.0
31.3
37.8
26.5
24.0
10.2
20.0
41.6
32.9
25.0
15.4
33. I
10.0
3.5
41.6
32.9
25.0
21.2
18.0
12.0

-------
FEED
CONSTR.
1.0
0.0
1.0
0.600
0.025
0.013
0.400
FEED
CONSTR.
1.0
0.0
1.0
0.600
0.025
0.013
0.400
.1
CRUDE DISTILLA TION
CRUDE OIL DISTILLATION - BASE
CASE FOR 330 EP GASOLINE A~D
HYDROCRAC~ER FEED GAS OIL
PRODucr
STREAMS
0.001
0.001
0.021
0.125
0.IY5
0.102
0.125
0..125
0.305
0.064
HUNTINGTON BEACH CRUDE
ISO-BUTANE'
NORMAL BUTANE
PENT ANES-I'15
115-330 NAPHTHA, SR
LT DISTILLATE 540 EP
HVY DISTILLATE 650 EP
HYOROCRACKER FEED 650-800
HEAVY GAS OIL BOO-950
VACUUM PITCH 950'
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
WATER, MGAL/B
SHAM, "LBS/B
FUEL, FDE/B
ELECTRICAL, KwH/B
GASDLiNEI OIST SWING
CRUDE DISTILLATION - 330 EP GASO
'AND 700-950 FCCU FEED
PRODUC T
STREAMS
0.001
0.001
0.021
0.125
0.IY5
0.142
0.210
0.305
0.064
HUNTINGTON BEACH CRUDE
ISDBUTANE
NORMAL BUTANE
~ENTANES-175
REFORMER FEEC 330 EP
LT DIsrlLLATE 540 EP
HVY DISTILLATE 700 EP
H[GH BP CAT FEED 700-950
VACUUM PITCH 950'
vOLUME GAIN
CAPACITY CONSTRAINT FACTOR
WATER MGAL/B
STEAM MlBSI B
FUEL FOE/B
ELECTRICAL KWH/B
GASOLINE/OIST SWING
\
CRUOE U[STILLATION - 330 E~
GASOLIrlE AND FULL RINGE FCCU FEEO
FEED
CONSTR.
1.0
0.0
1.0
0.600
0.025
0.013
0.400
PRUDUCT
STREAMS
0.001
0.001
0.021
0.[25
0.195
0.0,7
0.295
0.305
0.064
HUNTINGTON BEACH CRUOE
ISOBUTANE
NORMAL "UTANE
PENTANES-175
175-330 ~APIITHA, SR
LT OISTILLATE 540 E~P
HVY OIST[LLATE 600 EP
FULL ~ANGE CAT FEED 600-950
VACUU" PITCH 950'
VOLUME GA [N
CA~ACITY CONSTRAINT FACTOR
wA TE R "GALIB
STEAM "LBS/B
FUEL FOEI B
ELECT,[CAL KWH/B
GASOLINE/DIST SWING
SWING O[STILLATE Td GASOLINE
FEED
CONSTR.
0.064
O. [25
0.0
0.064
NOTE:
PROUUCT
STREAMS
0.IB9
540 EP
L[GHT DISTILLATE
175-330 NAPHTHA, SR
175-400 NAPHTHA, SR
VOLUME GA[N
LIMIT DIST/GASO SwiNG
COLUMN LABELED "FEED CONSTRAINTS"
REPRESENTS POSITIVE MATRIX COEFFICIENTS
COLUMN LABELED "PRODUCT STREAMS"
REPRESENTS NEGA TIVE MA TRIX COEFFICIENTS.
(M-4)

-------
VACUUM RESIDUE OPERATIONS
RESIDUAL OIL HYDRO-OESULFURIZATION
FEED
CONSTR.
1.0
1.000
0.098
1.0
0.0312
0.965
8.4
0.0218
. PRODUCT
STREAMS
0.131
0.130
. 0.369
0.200
0.058
4.000
0.01
0.07
0.13
VACUUM PITCH 950+
HYDROGENtMSCF/8
400-540 CUT
540-680 CUT
680-975 FCCU CUT
/-I-DIL RESID
CI-C3,FOE
SULFUR AS H2S,L8S/8BL
N-BUTANE
C5-175 GASOLINE
175-400 GASOLINE
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
STEAM, MLBS/B
COOLING WATER, MGAL/8
ELECTRICITY, KWH/B
FUEL FOE B/B
PROPANE OE-ASPHALTING
FEED
CONSTR.
1.0
1.0
0.050
0.0532
1.500
PRODUCT
STR::AMS
0.528
0.472
0.0
VACUUM PITCH 950+
DECARBONIZED OIL
PROPANE DEASPHALTEO
VOLUME LOSS
CAPACITY CONSTRAINT
STEAM MLBS/B
PRDCESS FUEL, FOE/B
COOLING WATER MGAL/B
PITCH
FACTOR
(M-5)
FEED
CONSTR.
1.0
1.0
0.038
1.440
0.0329
1.300
DELAYED COKING
PRODUCT
STREAMS
3.13
0.1081
0.0124
0.0055
0.0163
0.0162
0.0711
0.1349
0.3636
.q.1414
0.1107
0.1245
VACUUM PITCH 950+
SULFUR IN GAStLBS/BBL,
FUEL GAS (FOE)
PROPYlENE
ISO-BUTANE
BUTYl ENE
NORMAL BUTANE
COKER LT GASOLINE
CDKER HVY GASOLINE 200-400
COKER LGO 400-650
COKER HGO 650-950
OELAYEO COKE PRODUCTtMLBS/B
VOLUME LOSS.
CAPACITY CONSTRAINT FACTOK
STEAM, MLBS/8
ELECTR1CITYt KWH/B
PROCESS FUEL, FOE/B
COOLING WATER, MGAL/B

-------
REFORMER FEED PRETREATING
REFORMER FEED PRETREATING. ViRGIN
FEED
CONSTR.
1.0
0.050
1.0
0.013
0.75
PRODUCT
STREAMS
0.995
0.,4
0.005
330 EP VIRGIN NAPHTHA RAw
HYOROGEN, MSCF/B .
330 EP VIRGIN NAPHTHA TRTD
H2S, SULFUR LBS/BBL
VOLUME LOSS
CAPACITY CON~TRAINT FACTOR
PROCESS FUEL, FOE/B
ELECTRICITY, KWH/B
REFORMER FEED PRETREATING
400 EP NAPHTHA
FEED
CONSTR.
1.0
0.050
1.0
0.013
0.75
PRODUCT
STREAMS
0.9'15
0.39
0.005
400 EP VIRGIN NAPHTHA RAW
HYDROGEN, MSCF/B
400 EP VIRGIN NAPHTHA TRIO
H2S. SULFUR LBS/B
VOLUME LOSS
CAPACITY CON~TRAINT FACTOR
FUEL OIL FOE 8/8
ELECTRICITY KWH/B
REFORMER FEED PRETREATING, COKER
HEAVY NAPHTHA
FEED
CUNSTR.
1.0
0.120
1.0
0.013
0.75
PRODUCT
STREAMS
0.995
O.6~
0.005
CUKER HEAVY GASOLINE
HYDROGEN. MSCF/8
PRETREATED CRACKED NAPHTHA
H2S, SULFUR LBS/BRL
VOLUME LOSS
CAPACITY CONSTRAINT FACTOR
FUEL OIL B8L/RBL
ELECTRICITY, KWH/R
CA TAL YTIC REFORMlNG
REFORM HEAVY HYOROCRACKER GASOLINE
TO 98 RON
FEED
CONSIR.
1.0
1.0
0.0647
0.0010
3.8
0.745
FEED
CONSTR.
1.0
1.0
0.0647
0.0010
3.B
0.145
(M-6)
PRODUCT
STRt:AMS
0.7890
0.0 :!24
0.0132
0.0212
0.9110
0.0222
REFORMER
PROuuCT
STREAMS
0.6500
0.0123
0.0277
0.0443
0.8260
0.0297
HEAVY HYOROCKACKATE
HYDROGEN MSCF/B
FUE
I-C4
N-C4
REFORMA IE, ~8
VOLUM,E LOSS
CAPACITY CONSTRAINT
FUEL FOE
STEAM MLBS/8
ELEC IR KWH/8
COOLING wATER MGAL/8
COKER NAPHIHA
92 ON
COKER HVY GASOLINE
HYDROGEN MSCF/B8L
FOE
ISO-BUTANE
N-8UTANE
REFORMAIE, 92
VOLUME LOSS
CAPACITY CONSIRAINT
FUEL, FOE
SIEAM ML8S/B
ELECTRICITY KWH/B
COOLING wATER HGAL/8
FACTOR
FACTOR

-------
FEED
CONSTR.
1.0
1.0
0.0647
0.0010
3.8
0.745
FEED
CONS TR.
1.0
1.0
0.0647
0.0010
3.8
0.745
REFORMING
C LE AR
PRODUCT
STREAMS
0.925
0.0202
0.0086
0.0136
0.9260
0.0316
REFORM ING
REFORMING
TO 95 RON
PRODUCT
STREAMS
0.9750
0.0364
0.0146
0.0232
0.8820
0.0438
CA TAL YTlC REFORMING
330 EP NAPHTHA TO 92 RON
175-330 NAPHTHA, SR
HYOROGEN,MSCF/B
FUEL GAS, FOE
I SO BUTANE
NORMAL BUTANE
REFORMATE, 92RON
VOLUME LOSS
CAPACITY CONSTRAINT FACTOR
FUEL, FOE
STEAM, MLBS/B
ELECTRICITY, KWH/B
COOLING WATER, MGAL/B
AT 95 RON CLEAR, 330
330 EP VIRGIN NAPHTHA
CLEAR
175-330 NAPHTHA, SR
HYDROGEN, MSCF/B
FUEL GAS, FOE
ISO-BUTANE
NORMAL BUTANE
REFORMATE, 95 RUN
VOLUME LOSS
CAPACITY CONSTRAINT
FUEL FOE
STEAM MLBS/B
ELEC TR. KWH/B
COOLING WATER MGAL/B
FACTOR
REFORMING 330 EP VIRGIN NAPHTHA
TO 98 RON CLEAR
FEED
CONSTR.
1.0
1.0
0.0641
0.0010
3.8
0.745
(M-7)
PRODUCT
STREAMS
1.0000
0.0394
0.0159
0.0255
0.B140
0.0452
175-330 NAPHTHA SR
HYDROGEN MSCF/B
FUEL GAS,fOE
ISO-BUTANE
NORMAL BUTANE
REFORMATE, 98 OCTANE
VOLUME LOSS
CAPACITY CONSTRAINT FACTOR
IFUEL,FOE
STEAM, MLBS/B
HEC TR. KWH/B
COOLING WATER, MGAL/B

-------
CATALYTIC REFORMING
REFORMING 400 EP VIRGIN NAPHTHA
TO 92 RON CLEAR
FEED
CONSTR.
1.0
1.0
0.0647
0.0010
3.8
0.745
PRODUCT
STREAMS
0.915
0.0285
0.0120
0.0188
0.9120
0.0287
175-400 NAPHTHA, SR
HYDROGEN,MSCF/B
FUEL GAS,FOE
ISO BUTANE
NORMAL BUTANE
REFORMATE, 92RON
VOLUME LOSS
CAPACITY CONSTRAINT FACTOR
FUEL, FOE.
STEAM, MLBS/B
ELECTRICITY, KWH/B
COOLING WATER, MLBS/B
REFORMING 400 EP VIRGIN NAPHTHA
TO 95 RON CLEAR
FEED
CONSTR.
1.0
1.0
0.064.7
0.0010
3.8
0.745
PROUUCT
STREAMS
0.9680
0.0296
0.0120
0.0193
0.9065
0.0326
175-400 NAPHTHA, SR
HYDROGEN MSCF/B
FOE
I-8UTANE
N-BUTANE
REFORMATE, 95 RON
VOLUME lOSS
CAPACITY CONSTRAINT
FUEL,FOE
STEAM MLBS/B
ELEC TR. .KWH/8
COOLING WATER MGAL/B
FACTOR
FEED
CONSTR.
1.0
1.0
0.0647
0.0010
3.8
0.145
(M-8)
REFORMING 400 EP VIRGIN NAPHTHA TO
98 RON CLEAR
PRODUCT
STREAMS
0.9900
.0.0319
0.0130
0.0208
0.8990
0.0353
175-400 NAPHTHA
HYDROGEN, MSCF/B
FOE
I-C4
N- BU TANE.
REFORMATE 98 ON
VOLUME lOSS
CAPACITY CONSTRAINT FACTOR
fUEL, FOE
STEAM MlBS/B
ELECTRICITY KWH/B
COOLING WATER MGAl/B

-------
MIDDLE DISTILLATE HYDROGEN TREATING
MIDDLE DIST HYD~DGEN TREATER,
LIGHT VIRGIN DISTILLATES
FEED
CONSTR.
1.0
0.100
0.012
1.0
0.017
0.33
1.9
0.0183
PRODUCT
STRtAMS
0.013
0.91ib
0.002
0.0110
MIDDLE DISTILLATE 350-560V
HYDRDGEN,MSCF/O,
C5+ GASOLINE
MID DIST HTR LVGO PRODUCT
N-BUTANE
FUEL GAS FOE
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
STEAM,MLBS/B
COOLING WATER MGAL/BBL
ELECTRICITY KwH/B
PROCESS FUEL, FOE/B
MIODLt DISTILLATE HYDROGEN TREATER
HEAVY VIRGIN DISTILLATES
FEED
CONSTR.
1.0
0.200
0.0164
1.0
0.017
0.33
1.9
0.0183
PRODUCT
STREAMS
0.02B
0.970
0.005
0.0134
MIO DIST 560-650 V
HYDROGEN,MSCF/B
C5+ GASOLINE
MID DIST HTR HVGO PRODUCT
N-BUTANE
FUEL GAS FOE
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
STEAM, MLBS/B 170PSIG
CODLING WATE~ MGAL/BBL
ELECTRICITY KWH/B
PROCESS FUEL, FUE/B
FEED
CONSTR.
1.0
0.300
0.0254
1.0
0.017
0.33
1.9
0.01B3
NOTE:
(M-9)
MIDDLE DISTILLATE HYDRUGEN TREATER
COKER DISTILLATE AND FCCU LIGHT
CYCLE OIL
PRODUCT
STREAMS
0.041
0.961
0.004
0.0134
MIDDLE DISTILLATE 4DO-650LC
HYDROGEN,MSCF/B
CS+ GASOLINE
MIO DIST HTR LCO PRODUCT
N-.OU TANE
FUEL GAS FOE
VOLUME GAIN
CAPACITY CONSTRAINT FACTO~
STEAM, MLBS/B 170PSIG
COOLING wATER MGAL/BOL
ELECTRICITY KWH/B
PROCESS FUEL, FOE/a
THESE COEFFICIENTS WERE USED BY THE
MA TRIX GENERA TOR TO CREA TE A SEPARA
"DESULFURIZER" FOR EACH STREAM TO BE
TREA TED. HZS YIELDS FROM THESE OPERf
TrONS WERE ENTERED SEPARATELY.

-------
HYDROCRACKlNG
HYDRDCRACKER - CONVERT VIRGIN LIGHT
DISTILLATE TO GASOLINE
HYDRDCRACKER - CONVERT 650-800
VIRGIN GAS OIL TO GASOLINE
FEED PRODUCT    FEED PRoDUC T    
CoNSTR. STReAMS    CONS TR. STREAMS    
1.0  540-650 VIRGIN DIST  1.0  HY DR OCR A CK E R FEED 650-800
1.9  H2 MSCF/B   2.05  H:~ MSCF/B  
 3.14 H2S SULFUR L8S/B   4.5 H;~S t SULFUR LBS/BBL 
 0.034 FUEL GAS FOE   0.04B FUEL GAS rOE  
 0.144 I SO BUTANE    0.152 ISO-BUTANE  
 0.060 N-BUT ANE    0.063 N--BU TANE  
 0.364 LT HYDRDCRACKATE C5-1 BO  0.3B2 LT HYDRDCRACKATE C 5- 180
 0.666 HY HYDRoCRACKATE .400EP  0.6n HY HyoRoCRACKATE 400EP
D.26B  VOLUME GAIN  0.337  VOLUME GAIN  
1.0  CAPACITY CONSTRAINT FACTOR 1.0  CAPACITY CONSTRAINT FACTOR
0.02B3  STEAM ML BS/B  1.IB  COOLING WATER MGALIB 
1.IB  CODLING WATER MGAL/B 0.02B3  srEAM MLBS/B  
10.0  ELECTRICITY KWH/B  12.6  ELECTRICITY KWH/B 
0.098  FUEL FOE BIB  0.098  FUEL FOE BIB  
HYDRoCRACKER 651)-800 V I RG IN GAS
OIL FEED FOR MAXIMUM LIGHT
DISTILLATE PRODUCTION
FEED
CONS TR.
1.0
1.65
PRODUCT
S TP EAI'S
4.5
0.030
0.016
0.025
0.061
0.209
0.815
(M-I0)
0.156
1.0
0.S49
0.02S3
8.95
0.0415
HYORoCPACKER FEED 650-S00
H2 MSCF/BBL
H25. SULFUR LBS/B
FUEL GAS FOE
I SO-BUTANE
N-IIUTANE
LT HYDRoCRACKATE C5-180
HY HYDRoCRACKATE 400EP
HYORoCRACKED DISTILLATE
VOl.UME GAIN
CAPACITY CONSTRAINT FACTOR
COOLING WATER MGAL/S
STEAM MLBS/B
ELECTRICITY KWH/S
FUEL FOE BIB

-------
HYDROCRACKING
HYDROCRACKER - LIGHT COKER GAS
OIL F~ED FOR MAXIMUM GASOLINE
HYDROCRACKER - CONVE~T CATALYTIC
LIGHT CYCLE OIL TO GASOLINE
FEED PRODUCT      FEED PROUUCT      
CONSTR. STREAMS      CONSTR. STREAMS      
1.0  COKER LGO 400-650  1.0  LT CYCLE OIL  
3.1  H2 MSCF/B   3.3  112, MSCF/B   
 4.2 H2S SULFUR LBS/B   3.9 H2S, SULFUR LBS/BflL 
 0.042 FUEL GAS FOE   0.042 FUEL GA,>,FOE  
 0.117 ISO-BUTANE    0.117 ISO-BUTANE   
 0.052 N-BUTANE    o.on N-BUTANE   
 0.317 ~T HYDROCRACKATE C 5- 1 80  0.317 LT HYDROCRACKATE C 5-180
 0.780 HY HYOROCRACKATE 400EP  0.780 HY HYDROCRACKATE 400tP
-0.308  VOLUME GAIN   0.3011  VULUME GAIN  
1.0  CAPACITY CONSTRAINT FACTOR 1.0  CAPACITY CON~TRAINT FACTO~
1.180  COOLING WATER MGAL/B  0.0283  STEAM MLSS/B  
0.0283  STEAM MLBS/B  1.180  CUOLING WATER MGflLlB
14.0  ELEC TR IC!TY KWH/B  14.0  ELEC TRIC I TY KWH/S 
0.098  FUEL FOE B/B  0.098  FUEL FOE B/B  
(M-II)

-------
FEED
CONSTR.
L.O
0.02B12
0.018L
L.O
0.96200
0.3LO
0.00292
FCCU
PROUUC T
STREAMS
2.140
0.0836
0.OB35
0.04BO
0.0100
0.0040
0.3B9
0.32~
0.03B
0.020
0.1~82C
FLUID CATALYTIC CRACKING UNIT - UNTREATED FEED
600-950 GAS.O[L 62 CONV.
600- 950 FCCU FEEO
FCCU REGEN COKE MLBS/BBL
H2S, L8S 5ULFURI BBL.
FUEL GAS. FOE
PROPYLENE
I SO-BUTANE
N- BUHNC
8UTYlENE .
400 EP GASOLINE
LT CYCLE OIL 400/650
hVY.CYCLE OIL
DECANT OIL
VOLUME GALN
CAPACITY CONSTRAINT FACTOR
~TEAM PROOUCTION, MLBS/B
COOLING WATER, MGAL/B
ELECTRIC[TY, KWH/B
FUEL FOE, BIB
CATALYTIC CRACKING OF PROPANE
OE-A$PHALTEO GAS OIL IN BLEND WITH
VIRGIN GAS OIL
FEEO
CONSTR.
0.353L
0.646'1
0.0330
0.06 LL
L.14903
1.0460
0.392
0.00355
PROOUCT
STREAMS
2.46
0.OBB5
0.OB06
0.0340
0.0090
O..Otl4Q
0.3B50
0.3450
0.0150
0.0200
0.12L70
POA GAS OIL
600-950 FCCu FEEO
FCCU REGEN CUKE, MLBS/B
H2S, LBS SULFUR/B
FUEL GAS, FOE
PROPYLENE.
ISO-BUTANE
N-BUTANe
BUTYl ENE
400 EP GASOL[NE
LT CYCLE OIL
HVY CYCLE 01 L
DECANT OIL
VOLUME GAIN
CAPACITY CONSTRA[NT FACTOR
STEAM PRODUCTION, MLBS/B
COOLING WATE~, MGAl/B
ELECTRICITY, KWH/B
FUEL FOE BIB
FEED
CONSTR.
L.O
0.03L2L
0.0699
L.OB610
0.96000
0.340
O.0031B
FCCU
100-950 GA $ 0 I L
&2
CONV.
PROOUC T
STREAMS
2.41
0.OB22
0.OB01
0.0400
O.OLOO
O.OBLO
0.39&0
0.211
0.OB3
0.020
0.09420
100-9$0 Fceu FEED
FCCU REGEN COKE MLBS/BBL
H2S, LBS SULFUR/BBl
FUEL GAS ,FIJE
PROPYLENE
I SO-BUTANE
N -BUTANE
BUTYL ENE
400 EP GASOL[NE
LCD
HCO
DECANT OIL
VULUME GAIN
CAPACITY CONSTRAINT FACTOR
STEAM PROOUCTION. MLBS/B
COOLING WATER, MGAL/B
ELECTRICITY, KWH/B
FUEL FOE BIB
CATALYT[CALLY CRACK HEAV. COKER
GA$ OIL [N BLENU WITH VIRG[N GAS
OIL
FEEO
CONSTR.
O. L212
0.B12B
0.029OB
0.0722
1. 03343
0.96100
0.322
0.00296
PROOUCT
STREAMS
2.44
0.OB26
0.OB36
0.0450
O.OLOO
0.OB30
0.3BBO
0.3220
0.03BO
0.G200
0.L1320
COKER HOO 650 - 950
600 - 950 FCCU FEED
FCCU REGEN COKE. MLSS/B
H2$, LBS $ULFUR/B
FUEL GAS. FOE
PROPYLENE
[SO- BUTANE
N-BUTANE
BUTYLENE
400 EP GASOL[NE
LT CYCLE OIL
HVY CYCLE OIL
OECANT OIL
VOLUME GAIN
CAPACITY CUNSTRA[NT FACTOR
STEAM PRODUCTION, MLBS/B
COOLING WATER, MGAllB
ELECTR[CITY, KWH/R
FUEL FOE OIB
(M-12)

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HYDROGEN TREA TING OF FCCU FEED
HYDROGEN TREAT FCCU FEED, 600-950
VIRGIN GAS \IlL
FEED
CONSTR.
1.0
0.675
0.0746
1.0
0.017
0.50
3.0
, 0.0183
PRODUCT
STREAMS
4.5
0.0286
0.026
0.0~7
0.123
0.800
600-950 VIRGIN GAS OIL
HYDROGEN,MSCF/B
H2S AS SULFUR,LBS/B
FUEL GAS FOE
N-BUTANE
GASOLINE, 48 API
DIESEL, 30 API-OESULF
FCCU FEED. 600-950 TREATED
VOLUME GA IN
CAPACITY CONSTRAINT FACTOR
STEAM, MLBS/B
COOLING WATER, MGAL/B
ELECTRICITY, KWH/S
FUEL, FOE
HYDROGEN TREAT PDA GAS OIL FCCU
FEED
FEEO
CONS TR.
1.0
0.675
0.0746
1.0
0.017
0.50
3.0
0.0183
PRODUCT
STREAMS
4.5
0.0286
0.026
0.091
0.123
O.BDO
PDA GAS OIL
HYDROGEN, MSCF/B
H2S AS SULFUR, LBS/B
FUEL GAS, FOE
N-BUTANE
GASOLINE, 48 API
DIESEL, 30 API
FCCU FEED PDA GAS OIL TRTD
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
STM MLBS/B
CODLING WATER. MGAL/B
ELECTRICITY, KWH/B
FUEL. FOE
FEEO
CONSTR.
1.0
0.675
0.0679
1.0
0.017
0.50
3.0
0.0183
HYDROGEN TREAT
OIL FCCU FE EO
PRODUCT
STREAMS
4.7
0.0252
0.0227
0.OU7
0.363
0.650
700-950 VIRGIN GAS
700-950 VIRGIN GAS OIL
HYDROGEN, MSCF/B
H2S AS SULFUR,LBS/B
FUEL GAS,FOE
N-SUTANE .
GASOLINE, 4B API
DIESEL, 30 API
FCCU FEED 700-950 TREATED
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
STM, MLBS/B
COOLING WATER, MGAL/B,
ELECTRICITY, KWH/B
FUEL, !FOE
HYDROGEN TREAT HEAVY COKER GAS OIL
FCCU FEED
'FEED
CONS TR.
1.0
0.625
0.0734
1.0
0.017
0.50
3.0
0.01B3
PRODUCT
STREAMS
4.8
0.0332
0.0302
0.044
0.21>1>
0.700
650-950 COKER GAS OIL
HYDROGEN, MSCF/B
H2S AS SULFUR,LBS/B
FUEL GI.S, FOE
N-BUTANE
GASOLINE, 4B API
OIESEL, 30 API
FCCU FEED TREATED COKER G 0
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
STEAM ~.LBS/B
CODLING WATER, MGAL/B
ELECTRICITY, KWH/B
FUEL, FUE
(M-13)

-------
FLUID CATALYTIC CRACKING UNIT -.PRETREATED FEED
CATALYTIC CRACKING OF PRE-TREATED
600-950 GAS Oil
FEED
CoNSTR.
1.0
0.0188T
0.0936
0.65703
0.650
0.195
0.00193
PRooUCI
STREAMS
0.146
0.0793
0.0953
0.0670
0.0130
0.0830
0.3760
0.2380
0.1220
0.0200
0.0566
CATALYTIC CRACKING OF PRE-TREATEO
HEAVY COKER GAS Oil IN 8lENo WITH
600-950 VIRGIN GAS 011.
FCCU FEED. 600-950 TREATED
FCCu REGEN CoKE.MlBS/B.
HZS, LBS SULFUR/B
FUEL GAS FOE 8/B
PROPYLENe.
I SO-8UTANE
N-8UTANt:
8UTYlENES
400 EP GASoli NE
IT CYCLE OIL-DESULFUKllED
HVY CYCLE Oll-DESUlFURllEO
DECANT Oil - oESUlFURIZEo
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
STEAM PRODUCTION, MlBS/B
COOLING WAT~R, HGAt/S
ELECTRICITY, KWH/B
FUEL FOE BIB
FEEO
CONSIR.
0.1272
0.8728
0.01983
0.0877 .
0.69046
0.655
0.207
0.00197
CATALYTIC CRACKING OF PRE-TREATED
BLEND OF PoA GAS OIL AND 600-950
VIRGIN GAS OIL.
FEED
CONSTR.
0.3531
0.6469
0.02315
0.0766
0.B0606
0..734
0.217
0.00256
PRODUCT
STREAMS
0.466
0.0842
0.0924
0.053
0.012
0.OB3
0.372
0.261
0.099
0.02
0.0701
PRODUCT
STREAMS
0.44b
0.0783
0.0954
0.064
0.013
0.082
0.315
0.238
0.122
0.02
.0.0616
FCCU FEED. IREAIEo COKER GO
FCCU FEED. 600-950 TREATED
FCCU REGEN CUKE, MLBS/B
HZS, LBS, SULFUR/S
FUEL GAS FOE BIB
PROPYLENE
1 SO- BUTANE
N-BUTANE
8UTYlENE5
400 EP GASOLINE
IT CYCLE OIL-oESULFURIZEo
HVY CYCLE 0IL-OESUlFuR1ZEo
OECANT OIL
VOLUME (i,AlN
CAPACITY CONSTRAINT FACTOR
STEAM PRODUCTION, MLBS/S
COOLING WATER. MGAL/S
ELECTRICITY. KWH/B
FUEL FOE BIB
CATALYTIC CRACKING OF PRE-TREATEO
700-950 VIRGIN GAS OIL
FCCU FEED,TRTO POA CAS OIL
FCCU FEEO,600-950 TREATEC
FCCu REGEN COKE, MLBS/B
H2S. LBS SULFUR/B
FUEL GAS FOE BIB
PROPYLENE
ISO-BUTANE
N-BUTANE
BUTYLENES
400 EP GASOLINE
. IT CYCLE OIL-DESULFuRIZED
HVY CYCLE OIL-DESULFURIZEO
DECANT OIL - DESULFURIZED
VOLUME GArN
CAPACITY CONSTRAINT FACTOR
STEAM- PRODuCTION - ML8S/B
COOLING WATER, MGAL/B
ELECTRICITY, KWH!B
FUEL FOE BIB
FEEO
CONSIR.
1.0
0.02136
0.0854
0.74373
0.648
0.225
..0.00219
PRODUCT
STREAMS
0.476
0.0779
0.0925
0.OS90
0.013G
o.OBOO
0.3830
0.1930
0.1670
0.0200
0.0426
FCCU FEED, 700-950 TREATED
FCCU REGEN COKE, MLBS/B
H2S L8S SULFUR/B
FUEL GAS FUE BIB
PROPYLENE
ISO-BUTANE
N-BUTANf
BUTVlENES
400 EP GASOLINE
LT CYCLE OIL-oESULFURIZEo
HVY CYCLE 0Il-oE5ULFURIZEO
DECANT OIL - DESUlFURIZED
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
STEAM PRODUCTION, MLBS/O
COOLING WATER, MGAL/B
ELECTRICITY, KWH/B
FUEL FOE 8/8
(M-14)

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FEED
CONSTR.
0.0510
1.53
0.110
I. 77577
0.53
0.644
0.0052
FEED
CONS T~.
0.0510
1.53
0.110
1.77577
0.53
0.644
0.0052
INCREASE FCCU CONVERSION
INCREASE FCCU CONVERSION FGR
PRETREATED STOCKS
VALUES ARE SCALED BY 100 FGR
CONVEN I ENCE
PROGUCT
STREAMS
0.159
0.156
0.25
0.547
0.528
0.264
, COKE
FUEL GAS FOE
PROPYlENE
BUTYl ENE S
400 EP GASOLINE
LCO FROM DESULFURIZED FEED
HCO FROM DESULFURIZED FEED
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR
STEAM PROOUCTION, MLBS/B
COOLING WATER, MGALS/B
ELECTRICITY, KWH/B
FUEL CUNSUMEO, FOE/B
INCREASE FCCU CONVERSION
SCALEO BY 100 FOR CONVENIENCE
PRODUC T
STREAMS
0.159
0.156
0.2':'
0.547
0.5l8
b.2M
COKE
FUEL GAS, FOE
PROPYLENE
BUTYlENE
400 EP GASOLINE
LT CYCLE OIL
HEAVYCYCLE OIL
VOLUME GAIN
CAPACITY CONSTRAINT
STEAM PROOUCTION
COOLING WATER
ELECTRICITY, KWH/B
FUEL, FOE
FACTOR
(M-IS)
ALKYLATION & POLYMERIZATION
BUTYLENE ALKYLATION
FEED
CONS TR.
0.585
0.690
1.0
3.75
0.17
0.011
3.68
PRODUCT
STREAMS
1.00
0.215
FCCU BUTYLENES
ISO-BUTANE
MOTOR ALKYlA TE
VOLUME LOSS
CAPACITY CONSTRAINT FACTOR
ELECTRICITY, KWH/8
PROCESS FUEL, FOE/B
STE~M, MSCF/B
COOLING WATER, MGAL/S
pROpYLCNE ALKYLATION UNIT
FEEO
CONSTR.
0.706
0.723
1.0
3.75
0.17
0.011
3.68
pROOUCT
STREAMS
1.0
0.OB7
0.342
PROPYlENE
I SO--BUTANE
MOTOR ALKYlA TE
PROPYLENE TD FUEL FOE B/R
VOLUME LOSS
CAPACITY CONSTRAINT FACTOR
ELECTRICITY, KWH/B
PROCESS FUEL, FDE BIB
STHM, MLBS/B
COOLING WATER, MOAL/B
CATALYTIC POLYMERIZATION
FEEO
CONSTR.
1.2
1.0
1.7
0.200
0.630
PROOUC T
STREAMS
1.00
0.20
PROP YlENE
POLY GASOL! NE
VOLUME LOSS
CAPACITY CONSTRAINT FACTOR
ELECTRICITY, KWH/B
STEAM, MLBS/B
COOLING WATER, MGAL/B

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HYDROGEN & SULFUR PLANT
FEED
CONSTR.
0.07870
1.0
0.028
3.34
HYDROGEN PLANT
PRODUCT
STREAMS
1.0
0.0187
0.00432
FUEL GAS CONSUMED, FOE
HYDROGEN, MSCF
VOLUME LOSS
CAPACITY CONSTRAINT FACTOR
STEAM, ML8S/MSCF
CODLING WATER,MGAL/MSCF
ELECTRICITY,KWHI MSCF
AMINE PLANT
H2S REMOVAL BY MEA A8S0RPTION
FEED
CONSTR.
1.0.

0.005
0.015
0.016
FEED
CONS TR.
1.0
1.0
0.050
PROOUCT
STREAMS
1.0
SULFUR PLANT
PRODUCT
STREAMS
1.0
0.00336
H2S, SULFUR LBS
REGENERATED H2S, LBS S/LB
STEAM MLBS/LB
ELECTRICITY KWH/LB
COOLING WATER MGAL/LB
H2S,REGEN. AS SULFUR,LBS
SULFUR, LBS
CAPACITY CONSTRAINT FACTOR
STEAM PRDOUCED, MLBS/LB
ELECTRICITY KWH/B
UTILITIES
COOLING WATER UTILITY
MGAL
FEED
CONSTR.
0.820
PRODUCT
STREAMS
1.0
COOLING WATER, MGALS
ELECTRICITY, KWH/MGAL
ELECTRIC POWER GENERATION
FEED
CONSTR.
0.00145
PROfJUC T
STREAMS
10.0
ELECTRICITY, KWH
FUEL OIL, I"OE
GENERATE STEAM FROM SALEABLE FUEL
FEED
CONS TR.
1.00
(M-16)
PROOUCT
STR~AMS
4.4
FUEL, FOE
PROCESS STEA~, M LBS

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MISCELLANEOUS REFINERY TRANSFERS
BURN RFFINERY FUEL GAS
FEED
CONSTR.
1.0
PRODUCT
STREAMS
1.0
1.0
FUEL GAS
PROCESS FUEL
VOLUME LOSS
feED
CONSTR.
1.0
BURN PRODUCT FUEL IN REFINERY
FEED
CONSTR.
PROUUCT
STREAMS
1.0
1.0
1.0
HEAVY FUEL OIL
PROCESS FUEL.
VOLUME LOSS
FEED
CONSTR.
1.0
PRODUCT
FLARE F.XCESS REFINERY FUEL
FEED.
CONSTR.
1.0
PRODUCT
STREAMS
1.0
REFINERY FUEL FOE
EXCESS REFINERY FUEL FLARED
FEED
CONSTR.
1.0
BURN EXCESS HYDROGEN
FEED
CONSTR.
1.0

0.053
PRODUCT
STREAMS
0.053
.HYDROGEN
FUEL GAS. FOE
VOLUME GAIN
FEED
COr-.S TR.
ECUIVALENT
1.0
BURN PROPYLENE
. PRODUC T
STREAMS
0.615
1.0
BURN
BUTANES
PRODUCT
STREAMS
0.102
1.(;
BURN I~O-BUTANE
PRODUCT
STREAMS
0.102
1.0
BUY I SO-BUTANE
PRODUCT
STREAMS
1.0
PROPYLENE
REFINERY FUEL
VOLUME LOSS
NORMAL BUTANE
REFINERY FUEL
VOLUME LOSS
BURN ISO-BUTANE
I SO-BUTANE FOE
VOLUME LOSS
BUY ISO-BUTANE
VOLUME GAIN
(M-17)

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SUPPLEMENTARY DATA FOR KUWAIT OPERATIONS
HYCROCESULFuRIZATION OF KUwAIT
RESIDUU~ - SINGLE PASS OPE~ATION
FEED
CONSHI..
1.0
OelH6
".0
"'..~SltO
n...0312
0..9650
8.~OOO
C..0216
PROCUCT
STREAMS
0.028b
O~0050
0.0050
0.05CO
0.3850
D.3100
0.2710
KUWAIT VACUUM RESIO
fUEL GAS$ FOEIS
I SOeUTANE
NQR",Al BUTANE
REFQR"'ER FEED IKUWAITI
380-650 DES. KU" DISTILLATE
.650-1000 GAS OIL, LOW SULFa
DESULF. RESID.
VOlU~E GAIN
CAPACITY CONSTRAINT FACTOR
HYDROGEN, SCF/B
STEA,.., MLBS/B
COOLING WATER, MGAl/B
ELECTRICITY, KWH/S
fUEL OIL, FOE BIB
CAT CRACK KUWAIT GAS OIL
FEEC
CCNSTR.
1.0000
0.0260
D.CbeO
0.9150
O.8tHIO
0..2840
o.con
0.5040
PROCUCT
STREAMS
0.0580
0.0500
0.0530
0.02CO
0..0190
0..5040
0.2540
0.0500
4~OOOO
0.(1980
KUWAIT GAS OIL
FUEL GAS. FOE/a
PRCPYlEr!E
I SOIWT ANE
N-BUTANE
eUTYlENE
FCCU GASOLI NE
LIGhT CYCLE OIL, KU~AIT
HEAVY CYCLE OIL, KURAIT
SUl~UR TN H2S, LaS/a
CCKE YIEle
VCLL',,".E GAIN
CAPACITY CONSTRAINT FACTOR
STEAM PROCUCED, MLBS/B
COOLING WATER. MGAl/B
ELECTRICITY. KWH/B
PROCESS fUEL. FOE BIB
OCTANE ~DJUSTMENT, KU~AII
( M-J8)
HYCRGDESUlFURIlATION OF KUWAIT
RESIDUUM - RECYCLE TO EXTINCTION
FEEC
CCNSTR.
1.0
0.1560
1.3702
1.98ltO
0.0lt28
1.3220
11.5COO
0.0299
PIH'lCUCT
STKEAMS
0.0390
a.Ce70
0.0070
0.5270
0.0(,90
0.5e7a
KUWAIT VACUUM RESIO
FuEl GAS. FOF/B
ISOeUTANE
NOR"'AL 8UTANE
380-650 CESULF. KUWAIT D.
REFOR"'ER FEED IK~WAITI
-650-1000 GAS Oil, LOW SULFa
VCLUME GAIN
CAPACITy CONSTRAINT FACTOR
HYCROGEN, SCF/B
STEAM,MLBS/B
CGOlING WATER, "'GAL SIB
ElECTaICITv. KWH/8
FUEl Oil, FOE/a
KUWAIT CRUCE UNIT OPERATIO~
FEED
CCtoiSTR.
I.COCO
I.COOO
0.60CO
0.0250
0.0130
O.400G
PROCUCT
STREM~S
0.00lt8
(1.0040
0.0160
(1.0370
0.2050
0.165('1
0.0610
0.3120
0~1860
0.0032
O.q940
KUWAIT CRUOE
GAS, FOE
ISOeUTANE
NCRMAL BUTANE
KU~~IT C5 -IC6 lT GASOLINE
~UWAIT C6- 3BO wIDE NAPHTHA
180-560 LT. 0151. KU~AIT
560-050 hVY CIST. KU~AIT
~10-JIOO KUWAIT FCCU FEED
VACUUM RESICUE, KU~AJT
VClt..u,E lOSS
CAPACITY CONSTRAINT FACTOR
.ATER, P>\GAlIB
STEAM, /'Il8S/B
Fl.Jl::l. FOI:
ElECTRICTY, KwH/B
SU~fUR ADJ. NAPHTHA PRTRT

-------
FEED
CCNSTR.
1.0000
0.0700
1.0000
0.0130
0.7500
FEED
CDNSTR.
1.0000
1.0
0.0380
1.4400
.O.032Q
1.3000
0.'0060
SUPPLEMENTARY DATA FDR KUWAIT OPERATIONS
PRETREAT 400 EP NAPHTHA KUWAIT
HZS 1~ CRUDE + COKER P.QDElS
PRDOUCT
, STREAMS
0.9950
0.0050
FEED
CCNSTR.
1.0000
KUWAIT 275-380 EP NAPHTHA
HYDROGEN
TREATED KUWAIT REF. FEED
VOLUME LOSS
CAPACITY CONSTRAINT FACTOR
REFINERY FUEL, FOEIS
ELECTRICITY, KWH/B
1.0000
0.0647
p.OOIO
3.8000
0.7450
COkE KUWAIT REStD
PRODUCT
STREAMS
0.0108
o;oz~o
0.0050
0.0100
0'0130
0'0600
0.1870
0.2560
0.2150
4.6500
OJll56
0.'1592
0..10600
KUWAIT VACUUM RESIDUUM
FUEL GAS
PROPYLENE
ISO-BUTANE
N-BUTANE
BlJTYlENES
COKER IT GASOLINE
REFORMER FEED, KuwAIT COKER
LIGHT GAS OIL/FURNACE OIL
COKER GAS OIL 10 FCCU
SULFUR IN H2S, l~S/B
BYPRODUCT COKE, ~lBS/B
VOlU,..e lOSS
CAPACITY CONSTRAINT FACTOR
STEA~ CONSUMED, MlBS/B
ELECTRICITY, KWH/B
REFINERY FUEL, FOE/B
COLLING WATER, MGAl/B
SULFUR ADJUSTMENT, REF FEED
HYDROGEN ADJ. REF PP.TRT.
FEEO
CONSTR.
1.0000
0.0333
0.0710
1.1600
0.3460
0."-340
0.0034
(M-19)
REFORM ~UWAIT NAPHTHA, 90 OCTANE
PRODUCT
STREA~S
OHIOO
0'0080
0.0120
0.8560
0.5160
0.0140
TREATED KUWAIT NAPHTHA
FUEL GAS, FOE IS
I SO-BUT ANE
N-BUTANE
KUW~IT REFORMATE, 90 RON
HYOROGEfI:, SCF/B
VOLU"',E LOSS
CAP~CITY CONSTRAINT FACTOR
REFINERY FUEL, FOE/B
STEAM, MLBS/B
ELECTRICITY, KWH/B
WATER, MGAl/B
INCRE~ENTAl FCCU YIELDS, COKER G.O.
FROM KUWAIT CRUDE
PROOUCT
SIREA,...S
0.1:>40
O.lO~O
0.0860
0.3570
0;3450
6~OOOO
O~0640
0'0130
0.1120
COKER HEAVY G.Q. KUWAIT
COKE ON CATALVST, MlBS/6
FUEL GAS, FOE/B
PROPYLENE
BUTnENES
FUEL GASOLINE
KUWAIT CVClE OIL
H2S ~S SULFUR, lBS/S
I SD.-BUT ANE
"'-BUTANE
VOLUME GAIN
CAPACITY CONSTRAINT FACTOR

-------
SUPPLEMENTARY DATA FOR KUWAIT OPERATIONS
CATALYTICALLY CRACK GAS OIL FROM
RESIO HYOROOESULFURIZATION
OF KUWAIT VACUUM PITCH
FEED
CONSTR.
1.0
0.02136
0.0854
0..14373
0.648
0.225
0.00219
PROOUCT
STREAMS
0.476
0.0779
O~092S
0.0590
0;0130
0.0800
0.3830
O:.lQ30
Od610
0.0200
0.0426
LOW SULFUR KUWAIT GAS OIL
FCCU REGEN COKEy MlB$/8
HZS lBS SUlFUR/B
FUEL GAS FOE BIB
PROPYLE~E
ISO-BUTANE
N-BUT ANE
8UTYLENES
'tce EP GASOLINE
IT tYClE 0Il-QESULFURIIEQ
HVY CYCLE Oll-DESUlFURIZEO
DECANT OIL - OESUlFURIlED
VOLUM£; GAIN
CAPACITY CONSTRAINT FACTOR
STEAM PRODUCTION, MLBS/B
CCOLItlG ~ATER7 ~GAL/B
ELECTRICITY, KWH/b
FUEL FOE BIB
FCCU 800-950 GAS OIL
FEEO
CCNi JR.
1.0
0.03121
0.0699
1.13610
0.96000
0.340
0.00318
DESULF. OF IMPORTEO RESIOUAL FUEL
FEED
CONSTR.
1.0
0.0855
1.1240
1.0
0.0266
0.1519
6.26
0..0207
PROCUCT
STREAMS
0.0236
O;CC34
0.;0047
0.5,148
O~0411
O~2493
0.1826
1.0
PRODUCT
ST.REAMS
3..lt7
0;0822
O..oa07
o..OltOO
O~OlOO
0.0810
0..3960
0.277
0.083
0;020
0.09420
I'PORTED RESIOUAL FUEL OIL
FUEL GAS, FOEIB
1- BUTANE
N- BUT ANE
380-b50 OESUlF KUWAIT DIST.
REFORMER FEED (KUWAIT)
-b50-1000 GAS OIL, lOw FUlF.
DESUlF RESID
VOLUME GAIN
~YDROGEN, SCF/B
CAPACITY CONSTRAINT FACTOR
STEAM, MlBS/BR
COOlI~G kATER, MlBS/B
tlECTRICITY, KWH/8
fUEL Gll, fOE BIB
eyy FUEL GAS FOR HZ PlT
FCCU 8QO-QSO GAS all
FCCU REGEN COKE ~LBS/BBl
H2S, LBS SULFUR/BBL
FUEL GAS,FOE
PROPYLENE
ISO-BUTANE
N --BUTANE
BUTYL ENE
ItCD EP GASOLINE
lC()
tiCiJ.
DEI:ANT OlL
VClUME GAIN
CA?ACITY CONSTRAINT FACTOR
STEA~ PRODUCTION, MLBS/B
COOLING WATER, MGAL/B
ElI::"CTRICITV, KWH/B
FUEL FOE B/B
(M-20)

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                                   GLOSSARY

Alkylation Unit

     A type of refining unit which produces very high quality gasoline
from light olefins and isobutane.  It is generally associated with FCCU's
or delayed cokers which tend to produce excess light olefins.

Barrel:    42 U.S.  gallons

BPSD:     Barrels per stream day

Capital Charges:  The portion of the operating cost which is directly
proportional to the capital cost.  Depreciation,  insurance, total taxes,
and cost of maintenance  are typical examples.

Crude Unit:  A refining unit comprising an atmospheric or low pressure
first  stage distillation unit, usually followed by  a second stage distilla-
tion unit operating at vacuum.  The unit comprises the distillation towers,
heat exchangers and heaters.

Coker;   A refining unit which is used  to convert  vacuum residuum to
coke  and distillates.  A delayed coker is one type of coking unit.

Distillate:   A refined or  semi-refined material  obtained by condensing
the portion of a mixture  which is vaporized when heated.

pistillate,  Middle:   The portion of petroleum boiling between 330 *F
and about 700°F.  This material usually includes the stocks blended
into No.  1  and No.  2 Fuel Oil.

FCCU:  Fluid Catalytic Cracking Unit. This is one of the types of
units  used  for converting high-boiling hydrocarbons into lower boiling
hydrocarbons.   These units use a finely divided  catalyst which is con-
veyed from vessel to,vessel in an aerated state.  The  aerated solid
behaves  like a fluid..

FCCU Feed Pretreater:  A unit for pre-refining the feed stock charged
to an  FCCU.  These units usually involve hydrogenation.  After hydro-
genation, sulfur and metallic  compounds present in FCCU feed are
practically eliminated and nitrogen is  reduced.  ~Such purification
improves the operation of an FCCU.

Fuel, Distillate: No. 1 or No. 2 Fuel Oil
                                     B-l

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 Fuel,  Residual:  Any liquid fuel containing the residuum from crude
 distillation or thermal cracking.  In the context of this report,  No. 6
 Fuel Oil.

 Gas Oil:  While this term includes middle distillate, its  more specific
 use is to designate the heaviest vaporizable portion  of petroleum,  or-
 dinarily boiling from about 550 F to  1000 F  or more.  It  is FCCU Feed.

 Hydrocracking^Unit: A recently developed process for cracking heavy
 hydrocarbons to light products in the presence of rather high partial
 pressures of hydrogen, and of a special catalyst.  These processes
 can convert gas oil completely into gasoline and lighter fractions,  or
 they can convert gas oils into high grade middle distillates.  All hydro-
 cracked products may be assumed to be essentially  sulfur-free.

 Hydrogen Plant:  A unit  for manufacturing hydrogen.  In this study,
 the steam reformer type of hydrogen plant has been assumed throughout,

 Hydrogen or HZ Treater; A hydrogenating plant,  often used to desul-
 furize or otherwise purify hydrocarbons.

 Incremental Cost:  The difference in cost of operation between  some
 case, usually designated as  a base case, and a related case involving
 one or more variants.

 Isobutane: A specific hydrocarbon compound containing four carbon
 and ten hydrogen atoms.  Isobutane reacts with light olefins in the
 presence of sulfuric  or hydrofluoric  acids to make high octane alky-
 late gasoline.

 Iteration:  A calculation  which is  repeatedly made in the  course of
 solving the  matrix representing an L.P problem.

 LP: Linear Programming.  A mathematical operation, used for ar-
 riving  at an optimal solution in a system where a number of operable
 solutions are possible.  As used in the  context of this study, the
technique is used to seek out the most profitable method of either
building a new  refinery or operating or modernizing an existing  refinery.

Matrix:   An array of numbers, usually the coefficients of the variables
used in the mathematical model of the refinery. The LP computer  code
recognizes the significance of these numbers,  and manipulates them
to arrive at the optimal solution for a given problem.
                                     B-2

-------
Qct'ahe:  An abbreviation for octane  rating.  The octane rating is a
means of ranking gasolines according to their resistance  to detonating
explosions when used as fuels in internal combustion engines.  The
scale is based on 0 for normal heptane and 100 for 2-2-3  tri-methyl
pentane, often called iso-octane.  Gasolines can also be rated above
100 octane by means of an extrapolation formula.

Olefin:  A hydrocarbon which contains less atoms of hydrogen than its
full complement; olefins are particularly characterized by one double
bond between two carbon atoms.  The double bond imparts character-
istic chemical behavior.

Propane De-Asphalter:  A process which extracts FCCU feed from
residuum by its solubility in liquid propane.

Realization:  A gross profit calculated by subtracting variable charges
that are affected by processing rate  from value of products produced.
It is a convenient measure of profitability.

Reformer:  A catalytic  refining unit, usually employing a platinum —
containing catalyst.  The reformer upgrades low octane gasolines into
high octane gasolines by rearrangement of the molecular  structure.
Reformers generally yield by-product hydrogen.

Reformer Pretreater:  A hydrogenation unit used for  purifying the
feed to reformers.  The pretreater in effect protects the investment
in platinum catalyst by insuring removal of catalyst poisons.

Residuum:  The most non-volatile portion of petroleum, residuums
are sometimes called long-or short-residuums.  Along residuum is
the non-volatile residue from an atmospheric pressure distillation;
whereas a short residuum  is obtained from vacuum distillation.

Resid HDS Unit:  A residuum hydro  desulfurizer.  In actual fact,
these units commonly also hydrocrack residuum.  In  any case, they
operate in the presence of  a special  catalyst and a fairly high hydro-
gen partial pressure. Hydrogen is consumed in the process and
sulfur is released as H2S.

Shadow Price:  This is the mathematical quantity  used by  the LP as
a measure of profitability.   It may be described as the cost of
making the last barrel of a particular product.  If this cost is below
the value for that product,  the profitability could be increased by
making more.
                                      B-3

-------
Stream Day:  A day on which a unit is operated at full capacity for
24 hours.  Depending on the amount of maintenance work required, a
unit may accumulate 300 to 330 or even more stream  days in a year.

Sulfur  Plant: As used in this report, a plant for converting H£S to
sulfur, using the Glaus process.
                                     B-4

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BIBLIOGRAPHY

Much of the information used in this study was obtained from private
unpublished sources.  Included in this category are the assay data from
which crude unit yields were adopted as well as other yield'and cost
data used in the formulation of the LP matrix.  Even where published
information was used, it was adapted to fit the requirements of this
study.  For these reasons, complete documentation of all sources of
data is  not practical.

The following is a list of selected references which may be  of interest
to the reader.   Those references  specifically referred to in the text
of this report are noted under the section heading indicated.

THE NATURE OF THE PROBLEM

Bureau of Mines Data on Marketed Products
Blade,  O.  C. , "Burner Fuel Oils,  1963," U. S.  Dept. of Interior,
     Bureau of Mines, Petroleum Products Survey No. 31, Sept. 1963.

Blade,  O.  C. , "Diesel Fuel Oils,  1962," U. S. Dept. of Interior,
     Bureau of Mines, Petroleum Products Survey No. 28, March 1963.

Kirby,  J. G. ,  Messner,  Walter G. , and Moore, Betty M. ,  "Crude
     Petroleum and Petroleum Products," Preprint from  Bureau of
     Mines Minerals Yearbook 1962.

Bureau of Mines Literature Survey on Residual Oil Desulfuriz.ation

Carpenter,  H. C. and P. L. Cottingham, "A Survey of Methods for De-
     sulfurizing Residual Fuel Oil/'U.  S.  Dept.  of  the Interior,
     Bureau of Mines, IC-8156 (1963).

The  H-Oil Process
Galbreath, R.B. and A. R. Johnson, "H-Oil Process is Proven By
    First Commercial Unit," Petroleum Refinery,  Vol.  42,  n.  9,
    pp. 121-123 (1963).

The Gulf HDS Process

    Beuther,  Harold, and Schmid,  B.K.,  "HDS Process Upgrade
    Re sidues," Oil and Gas Journal, Vol. 61, No.  26, pp.  155-158
    (July 1,  1963).
                                    C-l

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Beuther,  Harold, and Schrmd,  B.K. , "Reaction Mechanisms and Rates
     in Residual Hydr ode sulfur ization, " Proceedings of Sixth World
     Petroleum Congress, Section III - Paper  20 - PD7.  Frankfort,
     Germany, June 19 - 26, 1963.

Propane De-Asphalting Process

Atteridg,  P. T.  "A Fresh Look at Solvent Decarbonizing, " The Oil &;
     Gas Journal, Dec. 9, 1963, pp. 72-77.

Delayed Coking Procesj5

Mekler, V. and M.  E. Brooks,  "New Developments in Techniques in
     Delayed Coking," Proceedings, American Petroleum Institute,
     1959, Section III, Refining, American Petroleum Institute,
     New  York, New York,  pp.  229 - 245.

Comparison of Fuel Oil Reduction Processes

The following paper by Slyngstad and Feigelman was used as a basis
for initiating this study.  The paper was published in abridged form by
the Oil  and Gas Journal.

Slyngstad, C. E., & Feigelman,  S. ,"Fuel Oil  R eduction, " Paper
     presented at 38th Annual Meeting,  California Natural Gasoline
     Association, Anaheim,  California, October  10 - 11, 1963.

Oil & Gas Journal, "Four Roads Offered to Less Fuel  Oil," Jan. 6,
     1964, pp.  65-68.
                                                               t

General Refinery Processing Methods

Refining Process Handbook Issue 1962, Hydrocarbon Processing and
     Petroleum Refinery, Volume 41, No.  9, (September 1962).

Nelson, W. L. , Petroleum Refinery Engineering,  4th  ed.  McGraw
     Hill Book Company,  Inc., New York,  New York (1958).

CRUDE SELECTION AND PRODUCT SLATE

MarmeJ s_ Je_t jTuel Study

Manne's LP study for jet fuel illustrates how a large scale LP simula-
tion is set up.  This reference also includes other economic simulation
studies  and provides useful background material.

                                   C-2

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 Manne, Alan S. , and Markowitz, Harry M. , "Studies in Process
     Analysis - Economy Wide Production Capabilities," Cowles
     Foundation Monograph 18, John Wiley and Sons, New York,
     New  York (1963).  See Chapter 4 particularly.

 California Crude fc  Products Data

 Slyngstad, C.  E. ,  and Feigelman, S.  (Reference listed above).

 Brown, C. T. , "California Crudes Show  Great  Variation in
     Properties," The Petroleum Engineering,  Vol.  28,  n.  1,
     pp. C 9-C  14, Jan. 1956.

 FORMULATING THE MATHEMATICAL MODEL

 There appears to be no completely satisfactory reference dealing with
 the technique of LP model formulation as related to the petroleum
 industry.   The book by Manne and Markowitz referred to above is
 helpful as well as the following article.

 Cheveny,  John E. , three part article appearing in Oil and Gas Journal:
     Part  1:  "What is Linear Programming?" Vol. 589  No.  10,  pp.
             113-116,  119-120 (March 7,  I960).
     Part  2;  "Putting Linear Programming to Work,"  Vol.  58, No.
             12, pp. 108-110 (March 21, I960).
     Part  3:  "Putting Linear Programming to Work,"  Vol.  58, No.
             14, pp. 114-115, 117-118 (April 4, I960).

Formulation of the matrix is  to some extent  related to  the particular
algorithm and computer program used.  This study employed a pro-
prietary program available from:

Bonner and Moore Associates, Inc.
500 Jefferson
Houston 3, Texas

Low cost  natural gas fuel was considered in  one LP case.  Informa-
tion on the long term availability of gas and predicted use patterns for
it and  other fuels is covered in two Federal Power Commission reports;

Federal Power Commission,  National  Power Survey, Advistory Com-
     Committee Report  No.  21 on Fuels for Electric Generation
     (December 1963).

	, Advisory Committee Report No.  18 on Fuels for Electric
    Generation in Western United States. (July  1963)


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HYDROGEN BALANCE

Utilization of byproduct hydrogen in a refinery is described in detail
by Gwin.

Gwin,  G.  T. t "Optimal Utilization of Byproduct Hydrogen in an in-
    tegrated Oil Refinery, " Proc. A.P.I.,  1959,  Section III,
    Refining, pp. 193-201.
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