D A U.S. Environmental Protection Agency Industrial Environmental Research PDA f^C\C\l~7 ~7f\ Cr M Office of Research and Development Laboratory Cincinnati. Ohio 45268 December 1976 ENVIRONMENTAL CONSIDERATIONS OF SELECTED ENERGY CONSERVING MANUFACTURING PROCESS OPTIONS: Vol. XV. Fertilizer Industry Report Interagency Energy-Environment Research and Development Program Report ------- RESEARCH REPORTING SERIES Research reports of the Office of Research and Development, U.S. Environmental Protection Agency, have been grouped into seven series. These seven broad categories were established to facilitate further development and application of environmental technology. Elimination of traditional grouping was consciously planned to foster technology transfer and a maximum interface in related fields. The seven series are: 1. Environmental Health Effects Research 2. Environmental Protection Technology 3. Ecological Research 4. Environmental Monitoring 5. Socioeconomic Environmental Studies 6. Scientific and Technical Assessment Reports (STAR) 7. Interagency Energy-Environment Research and Development This report has been assigned to the INTERAGENCY ENERGY-ENVIRONMENT RESEARCH AND DEVELOPMENT series. Reports in this series result from the effort funded under the 17-agency Federal Energy/Environment Research and Development Program. These studies relate to EPA's mission to protect the public health and welfare from adverse effects of pollutants associated with energy systems. The goal of the Program is to assure the rapid development of domestic energy supplies in an environmentallycompatible manner by providing the necessary environmental data and control technology. Investigations include analyses of the transport of energy-related pollutants and their health and ecological effects; assessments of, and development of, control technologies for energy systems; and integrated assessments of a wide range of energy-related environmental issues. This document is available to the public through the National Technical Information Service, Springfield, Virginia 22161. ------- EPA-600/7-76-034o December 1976 ENVIRONMENTAL CONSIDERATIONS OF SELECTED ENERGY CONSERVING MANUFACTURING PROCESS OPTIONS Volume XV FERTILIZER INDUSTRY REPORT EPA Contract No. 68-03-2198 Project Officer Herbert S. Skovronek Industrial Pollution Control Division Industrial Environmental Research Laboratory - Cincinnati Edison, New Jersey 08817 INDUSTRIAL ENVIRONMENTAL RESEARCH LABORATORY OFFICE OF RESEARCH AND DEVELOPMENT U.S. ENVIRONMENTAL PROTECTION AGENCY CINCINNATI, OHIO 45268 For sale by the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 30402 ------- DISCLAIMER This report has been reviewed by the Industrial Environmental Research Laboratory, U.S. Environmental Protection Agency, and approved for publica- tion. Approval does not signify that the contents necessarily reflect the views and policies of the U.S. Environmental Protection Agency, nor does mention of trade names or commercial products constitute endorsement or recommendation for use. ------- FOREWORD When energy and material resources are extracted, processed, converted, and used, the related pollutional impacts on our environment and even on our health often require that new and increasingly more efficient pollution con- trol methods be used. The Industrial Environmental Research Laboratory - Cincinnati (lERL-Ci) assists in developing and demonstrating new and im- proved methodologies that will meet these needs both efficiently and economically. This study, consisting of 15 reports, identifies promising industrial processes and practices in 13 energy-intensive industries which, if imple- mented over the coming 10 to 15 years, could result in more effective uti- lization of energy resources. The study was carried out to assess the po- tential environmental/energy impacts of such changes and the adequacy of existing control technology in order to identify potential conflicts with environmental regulations and to alert the Agency to areas where its activi- ties and policies could influence the future choice of alternatives. The results will be used by the EPA's Office of Research and Development to de- fine those areas where existing pollution control technology suffices, where current and anticipated programs adequately address the areas identified by the contractor, and where selected program reorientation seems necessary. Specific data will also be of considerable value to individual researchers as industry background and in decision-making concerning project selection and direction. The Power Technology and Conservation Branch of the Energy Systems-Environmental Control Division should be contacted for additional information on the program. i David G. Stephan Director Industrial Environmental Research Laboratory Cincinnati 111 ------- EXECUTIVE SUMMARY The function of the fertilizer industry is to provide farmers with the three basic plant nutrients nitrogen, phosphorus, and potassium in a form and proportion suitable for particular crops and soils. This requires the production of intermediate products through chemical reaction, mixing or blending, and an extensive distribution system. In this report, the definition of the fertilizer industry excludes the mining or manufac- ture of raw materials, such as ammonia, phosphate rock, sulfur, and potash. In fact, most of the industry's energy consumption (78 x 1012 Btu/yr) is in the manufacture and mining of raw materials, and not in the subsequent processes. However, the fertilizer industry treated in this report con- sumed 52 x 1012 Btu in 1973. Almost half was as electric power. The remainder was mostly natural gas, but natural gas use is declining in favor of fuel oil and LPG. We foresee no process changes being made in the fertilizer industry (as defined herein) solely from the desire to conserve energy. The major cost components in the fertilizer industry are raw materials; investment and working capital-related costs are second; and other items such as energy and labor are usually insignificant. While changes in product mix and processes are likely over time, such changes will be the result of factors other than energy conservation. There are two areas where environmental regulations and energy conser- vation are in conflict. These are: The reduction of nitrogen oxide emissions from nitric acid plants; and Switching from natural gas to fuel oil for firing fertilizer dryers, where emissions are presently controlled by bag filters. The most widely used process for control of nitrogen oxide emissions in nitric acid plants is the catalytic decomposition of nitrogen oxides to nitrogen and oxygen. This process is capital- and energy-intensive, and is particularly expensive for those few nitric acid plants that cannot recover the energy in the form of steam. The problem is aggravated because natural gas is the required energy source, and most plants are limited in the quantities of gas they can purchase. Natural gas use for pollution IV ------- control reduces the amount available for other purposes, thus effectively reducing production. The annual natural gas requirement for pollution con- trol of a 300-ton-per-day nitric acid plant could be used to produce 6,600 tons of ammonia, including process fuel requirements, or about 11,000 tons of ammonia if used only for feedstock. Other abatement systems are becoming available and hold the promise of lower investment and operating costs, significantly lower energy require- ments, and no need for natural gas as the energy source. However, these other processes currently suffer in various ways from problems of mainte- nance, of stringent operating conditions ("Molecular Sieve"), inapplicability to low-pressure nitric acid processes ("Grade Paroisse"), and too little actual experience (CDL/Vitok). We found that only 10-20% of the ammoniation granulation fertilizer plants in the country use bag filters to collect the considerable dust generated by the process; others use wet scrubbers. The need to shift to fuel oil because of the scarcity of natural gas has caused problems in operating the bag filters, because of the premature clogging of the filter for a variety of reasons, including incomplete combustion of fuel oil, increased soot and ash formation, and deposition of sulfate salts on the bags. We have found that these problems can be overcome, short of replac- ing the bag collectors with wet scrubbers or short of shutting down the plant. It will require upgrading the burner equipment, gaining experience, and improving operating procedures. Areas for further research or other types of action are: Determining the applicability of the new processes to control nitrogen oxides emissions from sources other than nitric acid plants; Developing methods of alleviating the problems of startup, shut- down, and malfunction of the nitrogen oxide abatement equipment; and Disseminating information on techniques for using bag filters in conjunction with oil-fired dryers. This report was submitted,1 in partial fulfillment of contract 68-03-2198 by Arthur D. Little, Inc. under sponsorship of the U.S. Environmental Protec- tion Agency. This report covers a period from June 9, 1975 to January 16, 1976. ------- TABLE OF CONTENTS Page FOREWORD ±il EXECUTIVE SUMMARY iv List of Figures , List of Tables x Acknowledgments x^ Conversion Table xiv I. INTRODUCTION 1 A. BACKGROUND 1 B. CRITERIA FOR INDUSTRY SELECTION 1 C. CRITERIA FOR PROCESS SELECTION 3 D. SELECTION OF FERTILIZER INDUSTRY PROCESS OPTIONS 3 1. Process Options Selected 3 2. Method of Analysis 4 II. FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS 6 A. ENERGY CONSERVATION MEASURES IN CONFLICT WITH POLLUTION CONTROLS 6 1. Nitric Acid 6 2. Fertilizer Mixing 7 B. PRACTICES/PROCESSES REQUIRING ADDITIONAL RESEARCH 9 III. FERTILIZER INDUSTRY OVERVIEW 10 A. DESCRIPTION 10 1. Industry Sectors 10 2. Integration 13 3. Energy Use 15 4. Plant Characteristics 15 B. OUTLOOK , 17 1. Nitrogen Fertilizers 17 2. Nitric Acid 21 3. Mixed Fertilizers 23 IV. COMPARISON OF CURRENT AND ALTERNATIVE PROCESSES 24 A. REASONS FOR CHOOSING OPTIONS TO BE ANALYZED IN DEPTH 24 1. Air Pollution Control in Nitric Acid Plants 24 2. Conversion to Fuel Oil for Drying in Mixed Fertilizer Plants Equipped with Bag Filters 24 vii ------- TABLE OF CONTENTS (Cont.) Page B. COMPARISONS OF CURRENT AND ALTERNATIVE PROCESSES 25 1. Nitric Acid 25 2. Conversion to Fuel Oil in Mixed Fertilizer Plants Equipped With Big Filters 43 V. IMPLICATIONS OF POTENTIAL CHANGES 56 A. AIR POLLUTION CONTROL IN NITRIC ACID PLANTS 56 B. FERTILIZER DRYING 57 1. Continued Use of Bag House With Improved Design and Operation 57 2. Conversion From Bag House to Wet Scrubber With Fuel Change From Natural Gas to Fuel Oil 58 viii ------- LIST OF FIGURES Number Page IV-1 Bag House Collector and Plate Type Scrubber 26 IV-2 Particulate Collection Efficiencies for Various Types of Control Equipment 27 IV-3 Flow Diagram of a Typical 300-Ton-Per-Day Nitric Acid Plant Utilizing the Pressure Process 28 IV-4 Total NOX (Calculated as N02)/Hour vs Daily Production of Nitric Acid 32 IV-5 Grande Paroisse NOY Abatement Process 37 A. IV-6 Masar Process for NOX Abatement 40 IV-7 Batch-Mixer, Pug-Mill and Rotary-Drum Ammoniation 44 IV-8 Simplified Flow Diagram of an Ammoniation Granulation Plant 45 IV-9 Detailed Schematic Diagram of Rotary-Drum Ammoniation Plant 46 IV-10 Detail of Granulation Plant Dust Collection System 47 ix ------- LIST OF TABLES Number Page 1-1 Summary of 1971 Energy Purchased in Selected Industry Sectors 2 II-l Comparison of Energy, Pollution Control, Economics, Energy Use for Alternative Nitric Acid Processes 8 III-l Integration of Leading Ammonia Producers 14 III-2 Energy Use in Fertilizer Manufacture - 1973 16 III-3 Granulation Plants in United States 18 III-4 Fertilizer Nitrogen Consumption 21 III-5 Nitric Acid Production 22 III-6 Future Nitric Acid Demand 22 IV-1 Production Costs 30 IV-2 Nitrogen Oxide Emissions from Nitric Acid Plants 31 IV-3 Average Composition of Tail Gas from the Pressure Process 31 IV-4 Capital and Operating Costs for Different NOX Abatement Systems in a 300 TPD Nitric Acid Plant 34 IV-5 Energy Requirements in NOX Abatement Systems for A 300 TPD Nitric Acid Plant 35 IV-6 Basis for Tables IV-4 and IV-5 35 IV-7 Emissions Data for Nitric Acid Plants Having Alkaline Scrubbing Equipment 42 IV-8 Ammoniation Granulation Production Statistics - 1973 48 IV-9 Uncontrolled Emission Factors for Ammoniation Granulation Plants 49 IV-10 Emission Factor and Total Mass of Controlled Emission from Fertilizer Mixing Plants 50 IV-11 Mixed Fertilizer Plant Scrubber Costs 51 ------- LIST OF TABLES (Cont.) Number Page IV-12 Mixed Fertilizers - Fuel Oil Alternative Scrubber Water Treatment Costs 52 IV-13 Mixed Fertilizer Plant Bag House Costs 54 IV-14 Fertilizer Drying, Costs for Main and Auxiliary Burners 54 IV-15 Fertilizer Drying, Incremental Cost of Burning Fuel Oil with Bag Filters 55 V-l Capital Cost and Operating Cost for NOX Abatement Systems for a 300 TPD Nitric Acid Plant 57 V-2 Energy Requirement in NOX Abatement Systems for a 300 TPD Nitric Acid Plant 58 V-3 Comparison of Scrubber and Bag House Costs and Energy Consumption for Treating Mixed Fertilizer Plant Gaseous and Particulate Wastes 59 xi ------- ACKNOWLEDGMENTS This study could not have been accomplished without the support of a great number of people in government agencies, industry, trade associations and universities. Although it would be impossible to mention each individual by name, we would like to take this opportunity to acknowledge the particular support of a few such people. Dr. Herbert S. Skovronek, Project Officer, was a valuable resource to us throughout the study. He not only supplied us with information on work presently being done in other branches of EPA and other government agencies, but served as an indefatigable guide and critic as the study progressed. His advisors within EPA, FEA, DOC, and NBS also provided us with insights and perspectives valuable for the shaping of the study. During the course of the study we also had occasion to contact many individuals within industry and trade associations. Where appropriate we have made reference to these contacts within the various reports. Frequently, however, because of the study's emphasis on future developments with compara- tive assessments of new technology, information given to us was of a confiden- tial nature or was supplied to us with the understanding that it was not to be credited. Therefore, we extend a general thanks to all those whose comments were valuable to us for their interest in and contribution to this study. Finally, because of the broad range of industries covered in this study, we are indebted to many people within Arthur D. Little, Inc. for their parti- cipation. Responsible for the guidance and completion of the overall study were Mr. Henry E. Haley, Project Manager; Dr. Charles L. Kusik, Technical Director; Mr. James I. Stevens, Environmental Coordinator; and Ms. Anne B. Littlefield, Administrative Coordinator. Members of the environmental team were Dr. Indrakumar L. Jashnani, Mr. Edmund H. Dohnert and Dr. Richard Stephens (consultant). Within the individual industry studies we would like to acknowledge the contributions of the following people. Iron and Steel: Dr. Michel R. Mounier, Principal Investigator Dr. Krishna Parameswaran Petroleum Refining: Mr. R. Peter Stickles, Principal Investigator Mr. Edward Interess Mr. Stephen A. Reber Dr. James Kittrell (consultant) Dr. Leigh Short (consultant) xii ------- Pulp and Paper: Olefins: Ammonia: Aluminum: Textiles: Cement: Glass: Chlor-Alkali: Phosphorus/ Phosphoric Acid; Primary Copper: Fertilizers: Mr. Fred D. lannazzi, Principal Investigator Mr. Donald B. Sparrow Mr. Edward Myskowski (consultant) Mr. Karl P. Pagans Mr. G. E. Wong Mr. Stanley E. Dale, Principal Investigator Mr. R. Peter Stickles Mr. J. Kevin O'Neill Mr. George B. Hegeman Mr. John L. Sherff, Principal Investigator Ms. Nancy J. Cunningham Mr. Harry W. Lambe Mr. Richard W. Hyde, Principal Investigator Ms. Anne B. Littlefield Dr. Charles L. Kusik Mr, Edward L. Pepper Mr. Edwin L. Field Mr, John W. Rafferty Dr. Douglas Shooter, Principal Investigator Mr, Robert M. Green (consultant) Mr, Edward S, Shanley Dr, John Willard (consultant) Dr.. Richard F, Heitmiller Dr, Paul A. Huska, Principal Investigator Ms. Anne B. Littlefield Mr., J.. Kevin O'Neill Dr, D. William Lee, Principal Investigator Mr, Michael Rossetti Mr, R, Peter Stickles Mr, Edward Interess Dr, Ravindra M. Nadkarni Mr. Roger E. Shamel, Principal Investigator Mr, Harry W. Lambe Mr% Richard P. Schneider Mr. William V. Keary, Principal Investigator Mr. Harry W. Lambe Mr. George C. Sweeney Dr, Krishna Parameswaran Dr. Ravindra M. Nadkarni, Principal Investigator Dr, Michel R. Mounier Dr, Krishna Parameswaran Mr. John L. Sherff, Principal Investigator Mr. Roger Shamel Dr. Indrakumar L. Jashnani xiii ------- ENGLISH-METRIC (SI) CONVERSION FACTORS To Convert From Acre Atmosphere (normal) Barrel (42 gal) British Thermal Unit Centipoise Degree Fahrenheit Degree Rankine Foot Foot /minute Foot3 Foot2 Foot/sec 2 Foot /hr Gallon (U.S. liquid) Horsepower (550 ft-lbf/sec) Horsepower (electric) Horsepower (metric) Inch Ki lowat t-hour Litre Micron Mil Mile (U.S. statute) Poise Pound force (avdp) Pound mass (avdp) Ton (assay) Ton (long) Ton (metric) Ton (short) Tonne To 2 Metre Pascal 3 Metre Joule Pascal-second Degree Celsius Degree Kelvin Metre Metre /sec Metre3 2 Metre Metre/sec 2 Metre /sec Metre3 Watt Watt Watt Metre Joule Metre Metre Metre Metre Pascal-second Newton Kilogram Kilogram Kilogram Kilogram Kilogram Kilogram Multiply By 4,046 101,325 0.1589 1,055 0.001 t° = (tj -32)/1.8 'K = tR/1'8 0.3048 0.0004719 0.02831 0.09290 0.3048 0.00002580 0.003785 745.7 746.0 735.5 0.02540 3.60 x 106 1.000 x 10~3 1.000 x 10~6 0.00002540 1,609 0.1000 4.448 0.4536 0.02916 1,016 1,000 907.1 1,000 Source: American National Standards Institute, "Standard Metric Practice Guide," March 15, 1973. (ANS72101-1973) (ASTM Designation E380-72) xiv ------- I. INTRODUCTION A. BACKGROUND Industry in the United States purchases about 27 quads* annually, approximately 40% of total national energy usage.** This energy is used for chemical processing, raising steam, drying, space cooling and heating, process stream heating, and miscellaneous other purposes. In many industrial sectors energy consumption can be reduced significantly by better "housekeeping" (i.e., shutting off standby furnaces, better thermo- stat control, elimination of steam and heat leaks, etc.) and greater emphasis on optimization of energy usage. In addition, however, industry can be expected to introduce new industrial practices or processes either to conserve energy or to take advantage of a more readily available or less costly fuel. Such changes in industrial practices may result in changes in air, water or solid waste discharges. The EPA is interested in identifying the pollution loads of such new energy-conserving industrial practices or processes and in determining where additional research, development, or demonstration is needed to characterize aad control the effluent streams. B. CRITERIA FOR INDUSTRY SELECTION In the first phase of this study we identified industry sectors that have a potential for change, emphasizing those changes which have an environmental/energy impact. Industries were eliminated from further consideration within this assign- ment if the only changes that could be envisioned were: energy conservation as a result of better policing or "housekeeping," better waste heat utilization, i fuel switching in steam raising, or power generation. *1 quad = ID3-5 Btu **Purchased electricity valued at an approximate fossil fuel equivalence of 10,500 Btu/kWh. ------- After discussions with the EPA Project Officer and his advisors, industry sectors were selected for further consideration and ranked using: Quantitative criteria based on the gross amount of energy (fossil fuel and electric) purchased by industry sector as found in U.S. Census figures and from information provided from industry sources. The fertilizer industry purchased 0.078 quads out of the 12.14 quads purchased in 1971 by the 13 industries selected for study, or 0.3% of the 27 quads purchased by all industry (see Table 1-1). Qualitative criteria relating to probability and potential for process change, and the energy and effluent consequences of such changes. In order to allow for as broad a coverage of technologies as possible, we then reviewed the ranking, eliminating some industries in which the process changes to be studied were similar to those in another industry planned for study. We believe the final ranking resulting from these considerations identi- fies those industry sectors which show the greatest possibility of energy con- servation via process change. Further details on this selection process can be found in the Industry Priority Report prepared under this contract (Volume II). On the basis of this ranking method, the fertilizer industry appeared in thirteenth place among the 13 industrial sectors listed. TABLE 1-1 SUMMARY OF 1971 ENERGY PURCHASED IN SELECTED INDUSTRY SECTORS Industry Sector 1. Blast furnaces and steel mills 2. Petroleum refining 3. Paper and allied products 4. Oleflns 5. Ammonia 6. Aluminum 7. Textiles 8. Cement 9. Glass 10. Alkalies and chlorine 11. Phosphorus and phosphoric acid production 12. Primary copper 13. Fertilizers (excluding ammonia) (1) 1015 Btu/Yr. 3.49(1) 2.96(2> 1.59 0.984<3) 0.63<4> 0.59 0.54 0.52 0.31 0.24 0.12(5> 0.081 0.078 SIC Code In Which Industry Found 3312 2911 26 2818 287 3334 22 3241 3211, 3221, 3229 2812 2819 3331 287 (2) (3) (4) (5) Estimate for 1967 reported by FEA Project Independence Blueprint, p. 6-2, USGPO, November 1974. Includes captive consumption of energy from process byproducts (FEA Project Independence Blueprint) Oleflns only, Includes energy of feedstocks: ADL estimates Amonla feedstock energy included: ADL estimates ADL estimates Source: 1972 Census of Manufactures, EPA Project Independence Blueprint, USGPO, November 1974, and ADL estimates. ------- C. CRITERIA FOR PROCESS SELECTION In this study we have focused on identifying changes in the primary production processes which have clearly defined pollution consequences. In selecting those to be included in this study, we have considered the needs and limitations of the EPA, as discussed more completely in the Industry Priority Report mentioned above. Specifically, energy conservation has been defined broadly to include, in addition to process changes, conservation of energy form (gas, oil, coal) by a process or feedstock change. Natural gas has been considered as having the highest energy form value followed in descending order by oil, electric power, and coal. Thus, a switch from gas to electric power would be considered energy conservation because electric power could be generated from coal, existing in abundant reserves in the United States in comparison to natural gas. Moreover, pollution control methods resulting in energy conservation have been included within the scope of this study. Finally, emphasis has been placed on process changes with near-term rather than long-term potential within the 15-year span of time of this study. In addition to excluding from consideration better waste heat utilization, "housekeeping," power generation, and fuel switching, as mentioned above, certain options have been excluded to avoid duplicating work being funded under other contracts and to focus this study more strictly on "process changes." Consequently, the following have also not been considered to be within the scope of work: Carbon monoxide boilers (however, unique process vent streams yielding recoverable energy could be mentioned); Fuel substitution in fired process heaters; Mining and milling, agriculture, and animal husbandry; Substitution of scrap (such as reclaimed textiles, iron, aluminum, glass, and paper) for virgin materials; Production of synthetic fuels from coal (low-and high-Btu gas, synthetic crude, synthetic fuel oil, etc.); and All aspects of industry-related transportation (such as trans- portation of raw material). i D. SELECTION OF FERTILIZER INDUSTRY PROCESS OPTIONS 1. Process Options Selected After excluding ammonia manufacture (treated in a separate report) from the fertilizer industry sector, the remaining energy use is relatively low, and thus, the low priority accorded the industry in this study. Furthermore, much of the energy conservation potential will entail areas excluded from this study such as "housekeeping," better heat recovery from waste streams, and fuel switching. However, in the course of work done for the Federal ------- Energy Administration in 1974 (Economic Impact of Shortages on the Fertilizer Industry, No. PB 240418, January 1975), we uncovered two problem areas where energy conservation and pollution control were in conflict. After discussion with the Project Officer, it was decided that these two problem areas would be investigated in greater depth, even though they do not precisely fit the defini- tion of "process changes for energy conservation purposes." These two areas are: (1) The reduction of nitrogen oxide emissions from nitric acid plants. In this study, we have considered the major emission control options of: Catalytic Reduction, Molecular Sieve, Grande Paroisse, CDL/Vitok, and Masar. (2) Switching from natural gas to fuel oil for firing fertilizer dryers where emissions are presently controlled by bag filters. In this study, we have considered the options of: Better equipment/technique, and Installing scrubbers. Excluded from our analysis were the mining aspects of the fertilizer industry. Major mining operations are conducted by and for the industry to produce phosphate rock, sulfur, and potash. These are included in SIC Group 14, "Mining and Quarrying of Non-Metallic Minerals, Except Fuels." Fertilizers included in this study are included in SIC Groups 2873, 2874, and 2875. 2. Method of Analysis a. Nitric Acid We first reviewed the literature to determine the available processes for pollution abatement in nitric acid plants and reviewed this list with those in the industry who are knowledgeable in this area to determine which processes held the most promise. Suppliers of the most promising air pollution control devices were contacted, and technical and economic information on these processes was obtained. We also contacted several of the users of these air pollution devices to determine their experience with them. This in- formation was then used to prepare our analysis. Our engineering judgment was used to assess the feasibility of these processes, applicability to new and existing plants, technical problems which may be encountered, and to make economic comparisons among them. b. Fertilizer Drying Our concern was only with those fertilizer granulation plants which use bag filtration as a method of particulate control. We contacted several fertilizer manufacturers and determined that three major companies account for about half of such plants in the country. These companies were contacted to ------- determine their experience in converting such dryers from natural gas to fuel oil, and their opinions were elicited as to how the problems could be over- come. We also held discussions with a furnace manufacturer and a producer of bag filters to obtain similar information. This information was combined with our own prior knowledge on the costs of conducting the various options provided us to prepare an analysis which will show whether such conversion from natural gas to fuel oil is feasible, how it might best be accomplished, and the cost. The industry description in this report is based on 1974, the last representative year for the industry for which good statistical information was available. Recognizing that capital investments and energy costs have escalated rapidly in the past few years and have greatly distorted the traditional basis for making cost comparison, we believe that the most meaning- ful economic assessment of new process technology can only be made by using 1975 cost data to the extent possible. Consequently, in estimating operating costs, we have developed costs representative of the first half of 1975 using constant 1975 dollars for our comparative analysis of new and current processes. ------- II. FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS A. ENERGY CONSERVATION MEASURES IN CONFLICT WITH POLLUTION CONTROLS 1. Nitric Acid The manufacture of nitric acid generates significant emissions of nitrogen oxides to the atmosphere. The most widely used process for pollu- tion control is the catalytic decomposition of these nitrogen oxides to nitrogen and oxygen. This process is energy intensive and is particularly expensive for those nitric acid plants which cannot recover the energy in the form of usable steam. The problem is aggravated because natural gas is the required energy source. Most plants are limited'in the quantities of gas they can purchase, and such natural gas is critical and non-substitutable for the manufacture of ammonia, which in most cases occurs at the same site. Natural gas use for pollution control reduces the amount available for other purposes, thus effectively reducing production. The natural gas requirement for pollution control of a 300-tpd-nitric-acid plant is 232.6 x 10^ Btu per year. This amount could be used to produce 6,600 tons of ammonia, including process fuel requirements, or about 11,000 tons if used only for feedstock. The catalytic reduction process produces steam, which may be used else- where in the plant complex, and it may be argued that this reduces the energy input at some other point. Such argument may not be valid for two reasons: first, not all plants have use for the steam; and, second, such steam, if needed, could otherwise be provided with a fuel other than natural gas. Other abatement systems are becoming available and hold the promise of lower investment costs, lower operating costs, significantly lower energy requirements, and no need for natural gas as the energy source. Also, because the catalytic reduction process is usually too expensive to operate in plants using low-pressure processes to produce nitric acid, two or three of the alternate processes allow more economical recovery for such plants. However, the other processes suffer from problems of maintenance of stringent operating conditions (Molecular Sieve), inapplicability to low pressure nitric acid processes (Grand Paroisse), and too little actual experience (CDL/Vitok). Investment in a 300-ton-per-day nitric acid plant with no pollution control would be about $5,500,000; while the cost of manufacture, including profit, would be $56.48 per ton. The catalytic reduction process for con- trolling nitrogen oxide emissions would require an additional investment of $1,384,000 and would add $6.16 per ton to the manufacturing cost, including profit. These costs are quite significant, representing a 25% addition in investment and an 11% increase in the total cost of manufacture. ------- The four alternative processes studied improve on these costs. The Molecular Sieve and Grande Paroisse processes entail investments on the order of $1.2 million and $1.0 million, respectively, and add $4.01 and $2.30 per ton to the cost of nitric acid. These figures are still significant, but are lower than for the catalytic reduction process. The newer processes should result in even better economics. The CDL/Vitok requirements and Masar processes should have investment of $575,000 and $663,000, respectively, and add $1.58 to $1.92 per ton to the manufacturing cost. Energy requirements are also much lower in each of the four alternatives to the catalytic reduction process. Not only is energy use lower in the other processes, but there is no requirement for natural gas. Energy is consumed as electricity only in three of the options, with electricity and fuel oil needed for the Molecular Sieve option. These processes are compared in Table II-l. 2. Fertilizer Mixing In the drying of mixed granular fertilizers, considerable dust is generated, which must be removed from the process air stream before it is vented to the atmosphere. In switching from natural gas to fuel oil for firing the fertilizer dryer, manufacturers have encountered operating difficulties with the bag filter. The problem arises from premature clogging of the filter for a variety of reasons, including incomplete combustion of the fuel oil, increased soot and ash formation, and, in the case of high-sulfur fuel oil, deposition of sulfate salts on the bag. To avoid these problems, some plants have switched to propane rather than to fuel oil. The scarcity and high price of propane make this an infeasible alternative for an extended period of time. We estimate that only about 20% of the estimated 200 ammoniation- granulation plants being considered use bag filters to collect the dusts; the remainder use scrubbers. Thus, while the switch from natural gas to fuel oil will present problems to a few plants, the problem is not highly significant when viewed in an industry-wide context. The options available to those plants that now employ bag filters to con- trol particulate emissions and who must convert to fuel oil are: Upgrade the burner equipment and operating procedures to minimize or eliminate the problems just described; Install alternate control equipment, such as a wet scrubber to reduce particulate emissions; or Shut down. ------- TABLE II-l COMPARISON OF ENERGY, POLLUTION CONTROL, ECONOMICS, ENERGY USE FOR ALTERNATIVE NITRIC ACID PROCESSES No Control (Base Case) 00 Energy Consumption (10 Btu/ton product) Gross Net of Steam Credit Investment ($ Thousands) Base 300 tpd Plant Pollution Control Total Operating Costs ($/ton product) Base 300 tpd Plant Pollution Control Total 1.6 0.9 5500 5500 56.48 56.48 Catalyst Reduction 4.0 2.0 5500 1384 6884 56.48 6.16 62.64 Molecular Sieve 2.0 1.3 5500 1200 6700 56.48 4.01 60.49 Grande Paroisse 1.7 1.0 5500 1000 6500 56.48 2.30 58.78 CDL/ Vitok 1.8 1.2 5500 575 6075 56.48 1.58 58.06 Masar 1.6 1.0 5500 663 6163 56.48 1.92 58.40 Includes a 20% pretax return on investment. ------- Based on the results of our analysis and discussions with mixed ferti- lizer producers, we believe that it will be possible to upgrade burner equipment and operating procedures and to avoid the other two alternatives. B. PRACTICES/PROCESSES REQUIRING ADDITIONAL RESEARCH For nitric acid plants, it will be beneficial in terms of energy con- servation to use processes other than catalytic reduction. Fortunately, such other processes require less capital and lower operating costs. Thus, the industry will likely opt for such alternatives of free choice and will not require outside influence. It would be useful to study the applicability of these new processes to control NOX emissions from sources other than nitric acid plants. While control is adequate at steady state, it is not adequate during startup and shutdown. Also, the pollution control device is complex and may have to be shut down even though the basic plant continues to operate. Methods of alleviating these problems are worthy of further study. For fertilizer drying, the most appropriate action is to disseminate information on techniques for using bag filters in conjunction with oil-fired dryers. ------- III. FERTILIZER INDUSTRY OVERVIEW A. DESCRIPTION The essential function of the fertilizer industry is to produce a variety of solid and liquid fertilizer products containing one or more of the three essential chemical plant nutrients nitrogen, phosphorus, and potassium. In this chapter, we describe the basic chemical processes associated with the production of the principal materials, the overall structure of the industry, and factors relating to energy consumption in the various processing operations. Also included are comments relative to the non-fertilizer use of certain of the basic chemicals whose primary use is for fertilizer. 1. Industry Sectors a. Nitrogen Fertilizers Ammonia is the basic raw material for virtually all nitrogen fertilizers, in addition to its direct use as a fertilizer material. Furthermore, sub- stantial quantities are also used for the production of non-fertilizer materials, including plastics, resins, nitric acid, etc. The principal fertilizer products produced from ammonia include urea, ammonium nitrate, ammonium phosphate, and complete mixed fertilizers. Nitric acid is produced from ammonia. Ammonium nitrate is the reaction product of nitric acid and ammonia. Substantial quantities of ammonium nitrate are used for explosive purposes in surface mining applications. Similarly, urea finds significant uses outside of the fertilizer industry, principally as an animal feed, and as a component of thermo-setting resins. International trade in nitrogen fertilizers is significant for the U.S. industry. Because of geographical and individual company considerations, there are generally simultaneous, and in many cases balancing, exports and imports of anhydrous ammonia and the principal nitrogen fertilizers. Because of the potential limited availability of natural gas for further ammonia plant expansions, the United States may become a major net importer of nitrogen fertilizers in the not-too-distant future. However, the poten- tial for shifting to coal as a feedstock may obviate the need for such import dependence. (This is discussed further in the Ammonia Industry Report, Vol. XII of this study.) 10 ------- b. Phosphates The United States is one of the few countries with major reserves of phosphate rock, which is the basic raw material for phosphate fertilizers and industrial phosphates. Major commercial deposits are currently being operated in Florida, North Carolina, Tennessee, and the Mountain states. Most of the rock mined is transformed into derivative products, but large volumes are also exported as is. To be useful as a fertilizer, the phosphate values in phosphate rock must be transformed into a soluble form. This is generally done by treat- ing the rock with sulfuric acid to produce either superphosphate or phos- phoric acid. Superphosphate is a fertilizer which is used as such or as a component of a mixture containing other nutrients. It has a low nutrient concentration, and, because of this has lost market share to higher analy- sis products based on phosphoric acid. Phorphoric acid is used to produce a variety of solid derivatives, including triple superphosphate, various grades of ammonium phosphates, and complete mixed fertilizers. A major part of phosphoric acid production is located adjacent to the mining operations. However, there are substantial manufacturing facilities for phosphoric acid located elsewhere, principally in the New Orleans area and in the upper Midwest. c. Potash Potassium, the third major plant nutrient, is found in significant commercial deposits in Carlsbad, New Mexico, as well as in lesser quantities in Utah and in various brine operations, including the Great Salt Lake and Searles Lake in California. The principal potash mineral currently being mined is muriate of potash (potassium chloride), and sulfate of potash. Both can be used as mined (after some refining) directly as a fertilizer material. The development of a major potash deposit in Saskatchewan has served to shift the center of North American potash production from the United States to Canada. The reserves in Saskatchewan are vast in quantity and of substantially higher grade than the Carlsbad deposits, whose life is limited.and whose grade is declining. Therefore, the U.S. consumption of potash is increasingly dependent on Canadian materials, although Carlsbad continues to operate. However, recent price increases, together with polit- ical uncertainties in Saskatchewan, have served to reinforce the continued development of the Carlsbad potash operations. A minor amount of the potash that is mined perhaps 10% is used for various non-fertilizer uses, such as in the production of potassium hydroxide, refined potassium salts, and other miscellaneous potassium chemicals. Fertilizer potash is used either directly as a fertilizer or as a raw material for the production of mixed fertilizers. 11 ------- d. Mixed Fertilizer Production Until the mid-1950's, the predominant form of fertilizer used by the U.S. farmer was as a mixture of two or three of the major plant nutrients supplying nitrogen, phosphorus, and potassium. These were most commonly based on superphosphate produced by the limited acidulation of phosphate rock with sulfuric acid. To this was added nitrogen and potash materials (such as ammonium sulfate, ammonium nitrate, and muriate of potash). Mixed fertilizers still constitute an important portion of overall fertilizer use, although the use of single-nutrient materials has displaced a major part of mixed-fertilizer demand. However, because of increasing demand for higher nutrient content in fertilizers, the manufacture of mixed fertilizer has tended away from those based on normal superphosphate (20% ^2^5^ to materials produced from phos- phoric acid (54% ?205) and its derivatives. Requisite quantities of addi- tional nitrogen materials such as ammonia, ammonium nitrate, and muriate of potash are added to the liquid phosphoric acid, which is then dried and granulated to produce a significantly higher concentration of nutrients than is possible with those products based on normal superphosphate. Mixed fertilizers produced from phosphoric acid are generally manufac- tured in the same complex where the phosphoric acid is produced largely in Florida, but with significant production in North Carolina, the New Orleans area, and the upper Midwest. There is also a limited but growing use of liquid Tiiixed fertilizers, in which the nutrients exist either in dissolved form in clear solutions, or as stable suspensions of solid particles. These are often produced in a two-step operation, in which a base solution of ammonium phosphate is produced in a large central "hot-mix" plant. The finished product contain- ing additional quantities of nitrogen and potash is then produced in smaller "cold-mix" plants located close to the marketplace. e. Distribution and Blending Major changes have taken place in the mode of distribution, principally through the emergence of "bulk blending" stations as the principal means of marketing fertilizer materials. Until the emergence of bulk blending in the early 1960's, traditional distribution of fertilizer involved the movement of bagged mixed fertilizers, from medium-sized production plants producing between 25,000 and 200,000 tons per year of mixed fertilizer, to farm buyers, through general retail farm supply organizations. Thus, the farmer purchased through such outlets as feed and seed stores, grain elevators, etc. Single nutrient materials, such as ammonium sulfate and muriate of potash, were used in addition and were also handled in bags through the same outlets. 12 ------- However, in the early 1960's, the advantage of bulk handling of ferti- lizers became apparent and the emergence of bulk blending developed quickly. In bulk blending, a few basic high analysis materials containing single nutrients (or, in the case of ammonium phosphates, both nitrogen and phos- phorus) are shipped in bulk form to retail bulk blending units. Here they are combined physically in mixtures suited to the particular needs of indi- vidual farmers. To avoid segregation during mixing and handling, they are generally in granular form of relatively uniform size. Simple physical mixing operations take place and the material is generally applied in bulk through the use of broadcast spreading trucks. Thus, at no point in the distribution chain are the materials handled in any but bulk form. With the availability of a wide variety of blends of the three nutri- ents at the retailing station, the demand for basic products shifted from the chemically mixed fertilizer materials to major blending materials such as ammonium nitrate, triple superphosphate, diammonium phosphate, and muriate of potash. As this mode of distribution developed, many of the major manufacturers developed their own organization of bulk blending stations, thus emerging as the direct seller to the farmer. A typical large fertilizer organiza- tion might develop a chain of 100 to 200 such bulk blending stations. These would typically handle from 1,000 to 5,000 tons of material per year and generally sell within a radius of 15 miles. Bulk blending, together with liquid mixed fertilizers, has displaced a great portion of former quantities of chemically mixed fertilizers. Never- theless, substantial volumes of mixed fertilizers are in continued use, particularly of the higher grades, such as 10-20-10 or 15-15-15. 2. Integration The U.S. fertilizer industry is characterized by a substantial amount of integration, both vertical and horizontal. Most basic producers .of raw materials, such as phosphate rock, potash, and ammonia, are also involved in chemical upgrading to finished fertilizer products, and in many instances have well-developed distribution and marketing organizations that have direct retail contact with the ultimate farmer/consumer. Many companies are basic manufacturers of more than one nutrient raw material. The degree of horizontal integration of the major companies is indicated in Table III-l. i There has been considerable retrenchment of vertical integration extending to retail outlets. During the expansion period of the mid-1960's, many basic fertilizer producers developed programs for retailing major volumes of their product through wholly owned or controlled retail outlets. However, most major companies were unable to operate retailing operations profitably, and many subsequently disposed of these outlets. However, companies which are still active at the retail level include Agrico, Allied Chemical, W.R. Grace, and The First Mississippi Corporation. Farmland Industries and CF Industries, which are both major farm cooperative organ- izations, of course have a built-in retail system through their county farm co-ops, which are ultimately the owners of the parent industries. 13 ------- TABLE III-l INTEGRATION OF LEADING AMMONIA PRODUCERS Ammonia Phosphate Rock Phosphoric Acid Potash1* (thousand tons N) (thousand tons) (thousand tons PO^S^ (thousand tons K_0) CF Industries 1,069 1 1,250 440 Farmland Industries 1,081 - 455 Agrico 1,030 9,100 735 Allied Chemical 979 - 160 Collier Carbon 628 - 14 Chevron 621 Mississippi Chemical 602 - 200 Amoco 588 - ~ Vistron 470 U.S. Steel 466 2,800 265 IMC 278 12,500 750 2,710 Occidental 177 5,500 610 Mobil - 4,500 125 Texas Gulf - 4,000 685 550 American Cyanamid 278 3,000 263 W.R. Grace 358 2,300 325 Beker 244 2,300 565 Gardinier 268 2,000 590 Total of Above Companies 9,1373 48,000 6,992 3,700 (% of Capacity) 59% 78% 77% 33% Total of Top Ten Companies 7,5343 48,000 6,814 9,322 (% of Capacity) 49% 78% 75% 84% Total Capacity 15,524 61,884 9,044 11,058 Source: Derived from TVA listing. 1 Long-term contract with IMC . 2 Has tolling arrangement for roughly 35% of Freeport capacity. Excludes duPont, with capacity of 636, because it does not serve the fertilizer industries. It is included in Total Capacity. 4 Includes Canada. ------- 3. Energy Use Aside from the manufacture of ammonia and mineral raw materials, the use of energy by the fertilizer industry is relatively small compared to other industries in this study. Energy use in fertilizer manufacture in 1973 is provided in Table III-2. Energy used to produce fertilizer pro- ducts was 52 x 1012 Btu's, almost half of which was in the form of electric power. This amount excludes the energy to produce the raw materials, ammonia (covered in a separate report), phosphate rock, potash and sulfur. These raw materials consumed 574 x 1012 Btu's, indicating that the fertil- izer included in this discussion represented only 8% of the total energy used by the industry. Energy use includes that used in the manufacture of fertilizers only and excludes energy used to produce the products for non-fertilizer uses. For the most part, the fuels used are for generating steam and for drying furnaces. Electricity is used to operate motors, compressors, pumps, materials handling equipment, and grinding equipment. 4. Plant Characteristics Of primary importance in this report are nitric acid and granular mixed fertilizer plants. Therefore, only these two types of plants are discussed. a. Nitric Acid There are approximately 125 nitric acid plants in operation in the United States. Because nitric acid is produced from ammonia, most nitric acid plants are located adjacent to ammonia plants within an overall nitrogen products complex. However, since the transport of ammonia is not difficult, there are a number of nitric acid plants which are not associated with ammonia manufacturing facilities and receive their raw material by rail, water, or pipeline transport. There is a fairly wide spectrum of plant sizes within the nitric acid industry. There are some 24 plants with capacities below 100 tons per day, and the remaining units are fairly evenly distributed within the size range of 100-500 tons per day. Approximately 45% of the capacity consists of plants- in excess of 300 tons per day, with some plants running as large as 500 tons per day. \ b. Mixed Fertilizers Prior to 1960 there were approximately 200 mixed-fertilizer plants located throughout the country, often in association with normal superphos- phate plants. These produced low-analysis mixed fertilizers based on the ammoniation of normal superphosphate. As economics has favored fertilizers more concentrated than could be made using normal superphosphate, a number of these plants have been shut down or converted to make higher-analysis fertilizer based on phosphoric acid. 15 ------- TABLE III-2 ENERGY USE IN FERTILIZER MANUFACTURE - 1973 Fuel Power Raw Materials Ammonia Phosphate Rock Potash Sulfur Sub-Total 1012 Btu 491.7 15.9 9.6 29.0 546.2 Total 10 kWh 584 1,643 379 76 2,682 1012 Btu1 6.1 17.3 4.0 0.8 28.2 (1Q12 Btu) 497.8 33.2 13.6 29.8 574.4 79 5 2 5 92 Fertilizers Urea Ammonium Nitrate Phosphoric Acid Triple Superphosphate Diammonium Phosphate Normal Superphosphate Mixed Fertilizers Sub-Total 7.7 9.5 0.0 1.4 4.6 0.0 5.0 28.2 460 390 647 110 286 65 350 2,308 4.8 4.1 6.8 1.2 3.0 0.7 3.7 24.2 12.5 13.6 6.8 2.6 7.6 0.7 8.7 2 2 1 0 1 0 1 52.4 Total 574.4 4,990 52.4 626.8 100 1 At 10,500 Btu/kWh. Source: Arthur D. Little, Inc., "Economic Impact of Shortages on the Fertilizer Industry" report to the Federal Energy Administration, January, 1975. ------- There are about 160 of these old plants still operating, though prob- ably no more than 40-50 of them are still based on normal superphosphate. These typically have annual production ranging from 20,000 to over 100,000 tons per year, with 50,000 to 60,000 tons being the average. Additionally, there are 25 to 30 more modern fertilizer plants based on phosphoric acid, with capacities ranging from 100,000 to 500,000 tons per year. These involve the drying and granulation of mixed fertilizer formulations based on additions to phosphoric acid. An up-to-date listing of granulation plants is not available. A list was prepared in 1973 by the Potash Institute of North America, and appears as Table III-3. It cannot be determined from this listing, however, which of these plants are still operating as granulation plants or which are associated with operating superphosphate or sulfuric acid plants. B. OUTLOOK 1. Nitrogen Fertilizers The rate of growth in the consumption of fertilizer nitrogen in the United States has dropped off significantly over that which prevailed for the years prior to 1970. We have summarized prior consumption data in Table III-4, together with our estimates of the U.S. consumption in 1980 and 1985. The annual rate of growth for the period 1960 to 1970 averaged 10.5% per year. This dropped off significantly following 1970. For the four- year period from 1970 to 1974, the average annual growth was 5.3%. In 1975, consumption declined 6% from the previous year. The decline in the rate of growth of nitrogen consumption in recent years may in part be due to a saturation in the market after many years of very high growth. However, more important reasons were worldwide shortages of nitrogen fertilizers and very significant price increases. The recent performance of nitrogen fertilizer consumption casts some doubt on future growth rates. However, there is a fundamental need for increasing quantities, and we believe that an average growth rate of 6% per year through 1985 is realistic. Therefore, we have included in Table III-4 our estimates of nitrogen fertilizer consumption in 1980 and 1985, on the basis of a 6% annual(growth rate for the next ten years. On the basis of these consumption figures, an additional 7.7 million tons of nitrogen will be needed in 1985, compared with that consumed in 1975. This is roughly equivalent to 28 of the 1,000-ton-per-day ammonia plants. A number of these are under construction; however, additional pro- jects will have to be initiated to meet the demand which we expect to develop by the mid-19801s. 17 ------- TABLE III-3 GRANULATION PLANTS IN UNITED STATES Alabama U.S.S. Agri. Chem.-Charokee Swift-Birmingham Goldkist-Hanceville Miss. Chemical-Decatur Centrala-Dempolis Arkansas Agr ic o-Walnu t Arkla-Helena Olin-North Little Rock California Chevron-Richmond Occidental Chem-Lathrop Colier Carbon & Chem-Nichols Swift-L.A. Valley Nitrogen-Helen Valley Nitrogen-Elison Florida Kaiser-Tampa Swift-Winter Haven Georgia Columbus Nitrogen-Moultrie Macon W.R. Grace-Colquitt (New Albany) I.M.C.-Americus, Augusta Kaiser-Bainbridge Royster-Macon, Athens (2) Swift-Albany,Savannah U.S.S. Agri Chem.-Albany, Columbus Pelham Phosphates-Pelham Goldkist-Cordele, Goldkist So. States Phosphate Illinois Borden Chemical-Streator U.S.S. Agri Chem.-E. St. Louis Chicago Hgts. Allerton Supply-Allerton Perkinson Co.-Decature Effingham Equity-Eff inghaip A.B. Cheis'inan, Inc.-Meredosia Indiana Texaco-Butler, Peru U.S.S. Ag. Chem.-Jeffersonville Kova Fert.-Greensburg IFBCA-Indianapolis, Columbia Iowa Arco-Ft. Madison Chevron-Ft. Madison Kentucky Royster Texaco-Louis.&Nashville Borden-Russellville Bluegrass Plant Fd.-Cynthiana Burleybelt Pert.-Lexington Ohio Valley Fert.-Maysville So. States-Louisville, Owensboro, Russelville Louisiana Agrico-Donaldsonville Swift-Shreveport 18 ------- TABLE III-3 GRANULATION PLANTS IN UNITED STATES (Cont.) Maine Brockville Chem.-Preque Isle Agway-Detroit Maryland Agrico-Baltimere W.R. Grace Co.-Baltimore Kerr McGee-Baltimore, Cambridge Swift-Baltimore U.S.S. Ag Chem.-Baltimore Miller Chem.&Fort.-Whiteford Lebanon Chem. Corp.-Baltimore W.D. Tillghman-Salisbury Lebanon Chem.-Baltimore So. States-Baltimore Mass. Coranco-Lowell Michigan Agr ic o-Sag inaw Borden Chem-Saginaw, Holland Riga (3) Minnesota Howe, Inc.-Minneapolis Rochester Fert.-Rochester Mississippi ' Royster-Jackson Swift-Jackson Miss. Chemical-Yazoo City Pascaquola Missouri Farmland Chem.-Joplin Missouri Farmers Assn.-Palymra, Springs Nebraska Federal-Omaha New Jersey Texaco-Cranbury Chamberlain & Barclay-Cranbury Star Fish & Bone-Bridgton Agway-Yardville New York Agrico-Burralo Royster Agway-Albany, Batavia, Big Flats, Lyons, Canastock N. Carolina Agrico-Greensboro Borden Chem.-Kinston (2) Swift-Wilmington (?) W.R. Grace-Wilmington I.M.C.-Winston Salem Kaiser-Wilmington Kerr McGee-Williamston Royster-Wilmington, Charlotte U.S.S. Ag. Chem.-Greensboro Wilmington Fert.-Wilmington Weaver Fert.-Winston Salem Pearsail & Co.-Wilmington New Barn Oil & Fert.-New Barn Farmers Chem-Tunis Ohio Swift-Orrville Agrico-Cairo, Wash. Ct. House W.R. Grace-Findlay, Columbus (2) Alliance Plant Life Services-Marion F ed eral-C olumbus Kerr McGee-Fostoria Landmark-Mt. Gilead Scotts-Marysville Marion Plant Life-Marion 19 ------- TABLE III-3 GRANULATION PLANTS IN UNITED STATES (Cont.) Pennsylvania Kerr McGee-Philadelphia Reichard-Allentown Lebanon Chem.-Lebanon, Allentown Miller Chemical-Hanover Agway-York, Kittanning So. Carolina W.R. Grace Co.-Charleston I.M.C.-Hartsville Kerr McGee-Florence-Jericho Swift-Columbia (Charleston?) Tennessee Agric o-Memphis Texaco-Humboldt,Nashville W.R. Grace-Memphis U.S.S. Ag.Chem.-Nashville Memphis Swift-Memphis Tenn. Farmers' Coop-Lavoigne, Jackson Texas Texas Farm Products Nipak, Inc.-Littlefield-Kerens Swift & Co.-Houston Borden Chem.-Texas City Occidental Chem.-Houston, Plainview Farmer s Fer t.-Texarkana Red Barn-Freeport Texas Farm Prod.-Nacogdoches Virginia Borden Chemical-Norfolk (2) Danville Royster-Norfolk Swift-Norfolk Charles Priddy Co.-Norfolk Richmond Guano-Richmond The Vance Co.-Chilhowis So. States-Chesapeake, Va., Richmond Wisconsin Federal Chem.-White Water Royster-Madison Koos-Kenosha F.S. Services-Prairie du Chien Source: Prepared by Potash Institute of North America - May 1973 20 ------- TABLE III-4 FERTILIZER NITROGEN CONSUMPTION (000 tons N) 1960 2,738 1965 4,639 1970 7,459 1971 8,134 1972 8,016 1973 8,339 1974 9,157 1975 8,608 1980 (@6%/yr) 12,254 1985 (@6%/yr) 16,400 Source: U.S. Department of Agriculture and Arthur D. Little, Inc, estimates. Increasing attention is being given to solid urea as the most attrac- tive nitrogen fertilizer product. Recent analyses indicate that urea can be as competitive as anhydrous ammonia, in terms of price per unit of nitrogen applied to the ground. A number of companies are erecting addi- tional urea production facilities and emphasizing its use as a fertilizer material. Therefore, solid urea's share of the total fertilizer nitrogen market will likely increase significantly. This will largely be at the expense of ammonium nitrate, and this tendency will also limit further growth in the use of anhydrous ammonia as a direct application fertilizer material, on a percentage-of-market basis. It is likely that the shortage of natural gas will limit the number of additional ammonia plants that can be constructed in the United States, at least in the short term. Therefore, additional nitrogen required may be supplied from plants outside the United States. A number of plants under construction in Canada, Mexico, Venezuela, and Trinidad may have surplus capacity most logically suited for the U.S. market. These would be the primary off-shore sources if import requirements do develop. However, more distant sources, such as the USSR, North Africa, and the Arabian Gulf, may also be potential suppliers. 2. Nitric Acid Nitric acid finds its greatest use (about 75%) in the production of ammonium nitrate, which is used primarily for fertilizers, but substantial quantities are also used for explosives. Additional smaller quantities of nitric acid are used for the production of nitric phosphate fertilizers, munitions, the manufacture of several organic chemical intermediates, and for stainless steel pickling. Production for recent years, based on Depart- ment of Commerce figures, is shown in Table III-5. 21 ------- TABLE III-5 NITRIC ACID PRODUCTION (thousand tons of 100% nitric acid) Year Production 1966 5,514 1967 6,463 1968 6.992 1969 7,223 1970 7,603 1971 7,638 1972 7,981 1973 7,690 1974 8,192 1975 6,964 (based on 9 months production) The growth in the period 1966-1974 represented approximately 5% per year annual increase. The substantial drop in 1975 was probably due to the drop in industrial activity during the recession, together with an approximate 6% decline in nitrogen fertilizer use. The future outlook in demand would suggest a somewhat reduced annual rate of growth. Ammonium nitrate's displacement of dynamite as an above- ground blasting agent is essentially complete, and further growth in this direction will probably proceed at the same general rate of increase as the use of explosives. In the fertilizer area, major attention is being focused on urea as the primary solid nitrogen material of the future, and it is doubtful that actual volumes of ammonium nitrate used in agriculture will increase substantially. For this reason, a 4% annual growth rate through the 1980's is an appropriate forecast for nitric acid. On this basis, and using 1974 production as the base year, future demand is esti- mated as shown in Table III-6. TABLE II1-6 FUTURE NITRIC ACID DEMAND (thousand tons of 100% nitric acid) Year Production 1974 8,191 1980 10,360 1985 12,600 22 ------- U.S. nitric acid capacity was estimated in 1975 at 9.7 million tons of 100% nitric acid. There are approximately 125 nitric acid plants at 84 locations in the United States. It is possible that effective capacity may be significantly below this figure, because some plants have been shut down or even dismantled. Nevertheless, the total figures do suggest that there is significant excess capacity. All but a few of these plants use a pressure process. Assuming effective capacity may be in the neighborhood of 9 million tons per year, an additional 1.4 million tons capacity will be needed by 1980, and a further 2.2 million tons of capacity by 1985. One factor that could affect future production of nitric acid is the availability of ammonia. However, even if domestic ammonia production increases are limited by the gas situation, imported ammonia should be available to meet additional nitric acid requirements. 3. Mixed Fertilizers During the depressed conditions of the fertilizer industry in the late 1960's and early 1970's, many of the granular mixed fertilizer plants throughout the country were closed down. This was a result of a decline in the use of particular types of fertilizers. Many companies had a dozen or so plants, each of which was operating at well below capacity. Thus, a consolidation occurred, with the less efficient or most poorly located plants being closed. Now the use of complete mixed fertilizers has stabi- lized, and it is likely that those plants still remaining will continue to operate. A number of them are being renovated so that they will be capable of making higher-analysis products by using phosphoric acid rather than normal superphosphate. There is some question as to whether it may not be preferable to pro- duce such high-analysis mixed fertilizers in large plants, rather than in small plants near the markets. Such a decision would hinge on many factors, and each company will have its own decision to make. Nonetheless, if significant costs must be incurred in adding pollution control equipment or in other renovations, it could result in the closing of many of the old plants. 23 ------- IV. COMPARISON OF CURRENT AND ALTERNATIVE PROCESSES A. REASONS FOR CHOOSING OPTIONS TO BE ANALYZED IN DEPTH The major use of energy in the fertilizer industry sector is as a feed- stock and fuel for ammonia production, which in this study is analyzed separately. In addition, the phosphorus-phosphoric acid industry is also considered separately. In the remainder of the fertilizer industry, we uncovered two areas having potential impact on energy conservation and pollution control: Air pollution control in nitric acid plants, and Conversion to fuel oil for drying in mixed fertilizer plants equipped with bag filters. 1. Air Pollution Control in Nitric Acid Plants The principal way of reducing nitrogen oxide emissions from a nitric acid plant is the catalytic reduction of the oxides to molecular nitrogen and oxygen. The process requires considerable investment and is energy intensive. Furthermore, the process requires that the major energy source be natural gas, which is in short supply both in the nation and to specific nitric acid plants. For these reasons, we have reviewed alternatives to the basic air pollution process to determine whether other methods are available that will not require natural gas, and to determine the costs of such options. Options reviewed in detail are: Molecular Sieve, Grande Paroisse, CDL/Vitok, and Masar. 2. Conversion to Fuel Oil for Drying in Mixed Fertilizer Plants Equipped with Bag Filters We have chosen the two options of upgrading dryer burner equipment/ technique and installation of a scrubber, because these are the only two viable control options for the ammoniation granulation plants that now use bag filters rather than scrubbers to control dryer and cooler emissions. ' 24 ------- Neither of the options considered here are, strictly speaking, process changes. The changes under consideration relate only to the air pollution control options. The bases for the control options are illustrated in Figure IV-1, which shows a simple bag filter and a plate- type scrubber. The bag filter has the advantages of: generating no wastewater. allowing easy recycle of product, and greater efficiency of particulate control (see Figure IV-2). On the other hand, it has the disadvantages of being attacked by acid mist and being easily clogged unless considerable attention is given to its care during plant operation. This is particularly true when hygroscopic dusts (such as fertilizer) are present in the gas stream being filtered. To avoid condensa- tion, the gas temperature must be maintained about 70°F above the dewpoint of the highest boiling gaseous contaminant or reaction product. Consideration must also be given to the products of gas phase reactions in the dryer. For example, solid ammonium chloride may be formed through the reaction of gaseous ammonia with hydrogen chloride (formed by the reaction of sulfuric acid with potash). One producer reported that it took nearly a year to optimize operation conditions for use of the bag filter. B. COMPARISONS OF CURRENT AND ALTERNATIVE PROCESSES 1. Nitric Acid a. Base Line Technology for Nitric Acid Manufacture (1) Nitric Acid Process Nitric acid is an important material in the manufacture of fertilizer- grade ammonium nitrate and explosives. The acid is produced by oxidation of ammonia, usually under high pressure and temperature over a platinum catalyst, forming nitric oxide (NO). The gaseous products from the reactor and oxygen, are cooled to form N02, and are sent to an absorption tower to form the acid product. The process forms an acid of approximately 60 - 65% strength, which is sufficient for ammonium nitrate production, and may be upgraded to 99% strength by one of several concentration processes. Both the ammonia reactor and the absorption tower are operated under high pressure, which favors heavy production of NO and N02 with minimum equipment. Oxidation of ammonia and final reduction of tail gas compounds are highly exothermic reactions which produce the heat and energy needed to satisfy demands in other parts of the plant. The flow diagram of a typical 300 tpd nitric acid plant utilizing the pressure process is given in Figure IV-3, which shows catalytic reduction used for NOX abatement. The process change considered here is the NOX abate- ment system. The base case is the nitric acid industry with no abatement. 25 ------- GAS IN .STACK FABRIC FILTERS RECOVERED DUST SCREW CONVEYOR BAG HOUSE COLLECTOR STACK PLATE TYPE SCRUBBER Source: Tennessee Valley Authority ENTRAPMENT COLLECTOR EFFLUENT Figure IV-1. Bag House Collector and Plate Type Scrubber 26 ------- 99.99 g- c OJ 'o it 0> o o O to Source: Towards Cleaner Air - A Review of Britain's Achievements. Central Office of Information for the British Overseas Trade Board, London, 1973. Figure IV-2. Partlculate Collection Efficiencies for Various Types of Control Equipment ------- NATURAL CATALYST TT AMMONIA GAS V \OXIDI2ER Flow, (Ib/hr) Temperature, (°F) Pressure, (psig) NH3, (Vol %) NO, (Vol %) N02, (Vol %) O2, (Vol %) H20, (Vol %) HN03, (Wt%) H2),(Wt%) N, (Vol 2, 0, 10 Tail Gas 103,000 85 92 0.10 0.15 3.0 0.6 96.15 (Vol Stack Effluent 106,500 450 0 0.10 Nil Nil 3.8 94.2 2.0 Source: Atmospheric Emissions from Nitric Acid Manufacturing Processes, USHEW, Publication No. 999-AP-27, 1966. Figure IV-3. Flow Diagram of a Typical 300-Ton-Per-Day Nitric Acid Plant Utilizing the Pressure Process 28 ------- The cost of making nitric acid is largely dependent on the price of the ammonia raw material. Using a figure of $100 per ton, ammonia represents over half the cost of manufacture, including a 20% margin to cover income taxes, profits, and general selling and administrative expenses. A detailed cost estimate is provided in Table IV-1. Fixed investment is estimated to be $5.5 million for a 300 tpd plant, or $54 per annual ton. (2) Emissions from Nitric Acid Plant The main source of atmospheric emissions from the manufacture of nitric acid is the absorption tower tail gas, which contains unabsorbed oxides of nitrogen. These oxides are largely in the form of nitric oxide and nitrogen dioxide. In addition, trace amounts of nitric acid mist are present in the gases as they leave the absorption system. In the pressure process, the gases are reheated for power recovery purposes and are discharged to the atmosphere at 400 - 500°F; any nitric acid mist present is then changed to its vapor state to discharge into the atmosphere. In the atmospheric system, tail gases discharged to the atmosphere are cold, and therefore, any entrained particles of nitric acid in this gas stream would appear as a mist. The quantity depends on the extent of entrainment and the efficiency of entrainment separators. The tail gas is reddish-brown; the intensity of the color depends on the concentration of nitrogen dioxide present. The concentrations of 0.13% to 0.19% and higher by volume of nitrogen dioxide produce a definite color in the exit plume. Effluent gases containing less than 0.03% nitrogen dioxide are essentially colorless. (Nitric oxide, as distinguished from nitrogen dioxide, is colorless.) Nitrogen oxide emissions from nitric acid plants are given in Table IV-2. The tail gas from the pressure process iray be considered to have the average composition given in Table IV-3. Total NOX emissions from a nitric acid plant are shown in Figure IV-4. Small amounts of acid mist may be present in the emissions from some nitric acid plants. A small quantity of entrained acid is generally present in the gases leaving the absorption system. In the pressure process, the tail gases are reheated and expanded before being released to the atmosphere at 400-500°F; this treatment results in vaporization of any traces of acid mist that may have been presentiin the gases from the absorber. Emissions from acid storage tanks may occur during tank-filling operations. The gases displaced are equal in volume to the quantity of acid added to the tank. (3) Emission Control Standard In the United States, the limits on nitric oxide and nitrogen dioxide (commonly considered together as NOX) emitted from nitric acid plants are 3 Ib/ton of 100% acid for new plants (federal standard) and, on the average, 5.5 Ib/ton of 100% acid for old plants (state standards). This is equivalent to approximately 200 ppm and 400 ppm, respectively, by volume in the tail gas. 29 ------- TABLE IV-1 PRODUCTION COSTS Product: Nitric Acid Annual Capacity: 102,000 Tons Location: LouIsinna Fixed Investment;: $5,500,000 Annual Production: 102,000 Tons VARIABLE COSTS Raw Materials Ammonia Energy Natural Gas Energy Credits Steam Water Process (Consumption) Cooling (Circulating Rate) Direct Operating Labor (Wages) Direct Supervisory Wages Maintenance Labor Overhead Catalyst Chemicals & Operating Supplies FIXED COSTS Plant Overhead Local Taxes and Insurance Depreciation TOTAL PRODUCTION COSTS Return on Investment (pre-tax) POLLUTION CONTROL TOTAL Units Used in Costing or Annual Cost Basis 8 men It foremen 1 superin- tendant 5% of Investm( 30% of Operatit 707, of Operati 2% of Investn 11 years 20% of Fixed I $/Unit SlOO/ton $2/MCF $3/103 Ib $0.75/103 gal $0.03/103 gal J12,700/yr $18,000/yr $25,000/yr nt g Labor & Super $185/oz ng Labor & Supe ent nvestment Units Consumed per Ton of Product 0.292 ton 1.6 MCF 700 Ib 280 gal 18,300 gal 0.00802 oz $/ADT of Product 29.20 3.20 (2.10) 0.21 0.55 1.00 0.95 2.70 0.59 1.48 .50 1.37 1.08 4.90 45.70 10.78 56.48 30 ------- TABLE IV-2 NITROGEN OXIDE EMISSIONS FROM NITRIC ACID PLANTS Control Emission NO?3 Type of Control Efficiency Ib/ton Acid Kg/MT Acid (%) Weak Acid Uncontrolled 0 50-55 25-27.5 Catalytic Combustor 78-97 2-7 1-3.5 (natural gas fired) Catalytic Combustor 97-99.8 0-1.5 0-0.75 (hydrogen fired) Catalytic Combustor 98-98.5 0.8-1.1 0.4-0.55 (75% hydrogen (25% natural gas) High-Strength Acid 0.2-5.0 0.1-2.5 aBased on 100 % acid production Source: Compilation of Air Pollution Emission Factors, Second Edition, US EPA Publication No. AP42, March 1975. TABLE IV-3 AVERAGE COMPOSITION OF TAIL GAS FROM THE PRESSURE PROCESS Total Nitrogen Oxide (NO + N02) 0.3% Oxygen 3.0% H20 0.7% N , etc. Balance Source: Atmospheric Emissions from Nitric Acid Manufacturing Processes, USHEW, Publication No. 999-AP-27, 1966. 31 ------- 1,200 1,000 Q ,_ UJ 3 I- 9 0 ? 800 _i -o 51 X 5 LLJ O «z O LU < 2 BASED ON 85 scfm OF EFFLUENT PER DAILY TON OF ACID 400 200 0 100 200 300 400 PRODUCTION OF NITRIC ACID, tons/day (100% HN03 BASIS) Source: "Atmospheric Emissions from Nitric Acid Manufacturing Processes," USHEW, Publication No. 999-AP-27, 1966. Figure IV-4. Total NOX (Calculated as N02)/Hour vs Daily Production of Nitric Acid Adoption of air pollution control is a recent practice in the nitric acid industry. The process change considered in this study is the application of alternative NOX abatement systems. Therefore, the base case is considered as a nitric acid plant without NOX abatement. b. NOX Abatement Technology In this section, we consider the following NOX abatement systems: Catalytic Reduction Method, Molecular Sieve Process, Extended Water Absorption or Grande Paroisse Process, e CDL/Vitok Process, Masar Process, and Alkali Scrubbing Process. In addition to the above processes, there are the SABAR process, Chemico Hycon process, and several European processes. 32 ------- (1) Catalytic Reduction Process In the catalytic reduction process, the residual tail gas from the absorber, essentially nitrogen, is demisted and then preheated with steam. The hot tail gas is then further heated by passing it through the shell side of the heat exchanger train utilized to cool the hot process gas. Before being introduced into the hot gas expander, the reheated tail gas is passed through a combustor that contains catalyst. The oxides of nitrogen are reduced to N2 and 62 in the combustor. Natural gas or hydrogen is used as the fuel in the combustor. The flow diagram is shown in Figure IV-3. Hydrogen or natural gas, or a mixture of the two, are used as fuels. The stack effluent is usually clear and colorless, indicating reduction of all nitrogen dioxide to nitric oxide, at least to less than 0.03% by volume. In most cases there is substantial, if not total, removal of oxygen by combustion with the fuel. Current Status of the Catalytic Reduction Process - The catalytic process is well established and has been installed on several nitric acid plants. It can also be retrofitted on an existing plant if it uses a pressure process and practices power recovery. If the plant uses a low-pressure process, the capital cost of the catalytic reduction process will be too high. If the plant operates at high pressure and does not practice power recovery, the operating costs of the NOX abatement will be too high, because there will be no use for the steam, and the plant may adopt an alternate NOX abatement device or may shut down. Effluent Control - The only flow stream from the combustor is the tail gas. If the combustor temperature is maintained according to specifications, the exhaust gases will meet the stationary source standards. Maintenance of operating conditions is also important to prevent carry-over of the catalyst, overheating of the catalyst, etc. Economic Factors - The estimated capital cost and the operating cost of the catalytic process for NOX abatement are given in Table IV-4. Investment cost is high, as are the investment- related operating costs. Charges for catalyst and fuel are also significant, although the fuel costs are largely offset by a steam credit if the steam can be utilized. Energy Requirements - The energy requirements for a catalytic process for NOX abatement are given in Table IV-5, which indicates that method is an energy intensive process. Particularly critical is the fact that this energy must be in the form of natural gas, which is in short supply. Technical Considerations - A significant amount of fuel is used in the catalytic reduction process. A major portion of the heating value of the fuel is recoverable in the form of steam. Thus, there is a net export of steam from such a plant, and it may be possible to use the heating value of the steam in other operations at the same location. Attention must be paid to the uses of steam. 33 ------- TABLE IV-4 CAPITAL AND OPERATING COSTS FOR DIFFERENT NOX ABATEMENT SYSTEMS IN A 300 TPD NITRIC ACID PLANT Catalyst Molecular Grande CDL/ Reduction Sieve Paroisse Vitok Masar 1,384,000 1,200,000 1,000,000 575,000 663,000 360 2,200 315 2,200 4,400 77,800 15,833) 187,590) 128 360 2,200 315 2,200 4,400 45,600 500 7,330 250 6,120 322 360 2,200 315 2,200 4,400 300 4,420 90 360 2,200 315 .2,200 4,400 1,020 14,980 715 17,500 265 360 2,200 540 3,775 ,5,975 1,310 32,070 20 Capital Investment,1 ($) Operating Costs Operating Labor, (hr/yr) ($/yr) Maintenance Labor, ($/yr) Labor Overhead (incl. fringe benefits & supervision, $/yr) Catalyst or Molecular Sieve Cooling Water, (gpm) ($/yr) Steam, (Ib/hr) ($/yr credit) Electricity,(kW) ($/yr) Boiler Feed Water, (gpm) ($/yr) Fuel, (106 Btu/hr) ($/yr) Nitric Acid, (tpd) ($/yr) Urea, tpd ($/yr) Ammonium Nitrate, (tpd) ($/yr) Depreciation (11-yr life) Return on Investment (@ 20%) Taxes & Insurance, (@ 2%) Total Annual Cost, ($/yr) Annual Cost, ($/ton) Investment estimates exclude interest during construction, owners expenses,' and land costs. Includes credit for 0.0017 tons of urea/ton of nitric acid produced present in the spent solution (D.SITPD). 20,890 35 12,850 28.5 465,120 52,550 2.0 32,640 (6.6) 14,690 43,250 3,260 (6.0) (6.0) (5.28) (112,200) (102,000)(102,000) (89,760) 1.372 74,528 1.25 (42,500) 125,900 276,800 27,700 628,270 6.16 109,090 240,000 24,000 413,930 4.06 90,910 52,300 60,300 200,000 115,000 132,600 20,000 11,500 13,260 236,780 161,330 195,708 2.32 1.58 1.92 Source: Arthur D. Little, Inc. estimates. 34 ------- TABLE IV-5 ENERGY REQUIREMENTS IN NOX ABATEMENT SYSTEMS FOR A 300 TPD NITRIC ACID PLANT (109 Btu/Yr) Steam (Credit) Electrical Natural Gas Oil Basic Nitric Acid Plant (71.4) - 163.2 Catalytic Reduction (129.20) 10.97 232.56 Molecular Sieve 2.04 27.59 _ Grande Paroisse - 7.71 _ CDL/ Vitok 5.83 22.71 _ Masar 10.69 1.71 _ 91.8 114.33 16.32 45.95 7.71 28.54 12.40 Source: Arthur D. Little, Inc. estimates. TABLE IV-6 BASIS FOR TABLES IV-4 AND IV-5 (Plant Capacity 19 300 tpd and 102,000 tons/yr) (March 1975 Dollars, ENR Index - 2,126) 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. Operating Labor @ Maintenance Labor @ Overhead @ Cooling Water @ Boiler Feeduater @ Natural Gas 9 Oil 9 Depreciation @ Return on Investment Taxes and Insurance Nitric Acid Urea Ammonium Nitrate 1 kWh - 10,500 Btu Electricity $6.1/hr $7.0/hr 100% of labor (Including fringe benefits and supervision) $0.03/1,000 gal $0.75/1,000 gal $2.00/106 Btu $2.00/106 Btu 11 yr straight line @ 20% of capital cost 8 22 of capital cost 9 $50/ton @ $160/ton @ SlOO/ton 9 $0.02/kWh 35 ------- The requirement of catalyst use may be solved with proper atten- dance. The service life of the catalyst, contamination or over- heating, may present problems if operating conditions are not properly maintained. (2) Molecular Sieve Method This method is based on the principles of absorption, oxidation, and regeneration of the molecular sieve. An oil-fired heater is used to provide heat for regeneration. The process has high efficiency for removal of NOX gases. The NO outlet concentration is generally below 50 ppm. The pressure drop in the molecular sieve is significant, and averages 5 psi. Current Status of Process - The process has been applied to three plants in the United States having capacities of 55 tpd and higher. The process has operated successfully in controlling the NOX emissions. Effluent Control - The only flow stream from the molecular sieve process is tail gas. If operating conditions are maintained according to specifications, the NOX concentration in the tail gas is below 50 ppm. Economic Factors - The capital and operating costs of the molecular .sieve method for NOX abatement are given in Table IV-4. The process is capital intensive, and the annual costs associated with replac- ing the molecular sieve materials and electric power costs are also significant. Unlike the catalytic reduction process, nitric acid is recovered and can be credited to the operating costs. Energy Requirements - The energy requirements for the molecular sieve method for NOX abatement are given in Table IV-5. Power requirements are high because of the added compression requirements and the need to regenerate the sieve. Technical Considerations - The absorption techniques involve swing operation. This may be a problem, because the burner in the nitric acid plant requires good, steady-state operation to minimize platinum losses and to prevent explosions from improper ammonia- air mixtures. It is necessary to replace molecular sieves after a certain number of operating hours. Maintenance of proper operating conditions is important to avoid degradation of the sieves. In some cases, the cost of sieve replacement may be significant. Also, the molecular sieve method uses relatively high energy compared to the other NOX abatement methods (except the catalytic method). 36 ------- (3) Extended Water Absorption or Grande Paroisse Process In the Extended Water Absorption or Grande Paroisse Process, tail gas from the existing absorber tower, which typically contains between 1,500 and 5,000 ppm NOX, is routed to the secondary absorber for additional "extended absorption" of nitrogen oxides. The tail gas is contacted counter- currently with process water, and additional acid produced in the secondary absorber is pumped to the existing absorber. A startup acid pump is included to circulate a large quantity of weak acid through the secondary absorber to fill the absorber trays as quickly as possible during startup. Figure IV-5 is a simplified flow sheet for the process as installed in a typical nitric acid plant. The exit solution is used to feed the existing absorber, eliminating any liquid stream from the NOX abatement process. The process has no effect on the quality of the nitric acid produced. « Current Status of the Grande Paroisse Process - The Grande Paroisse process is well-developed in Europe, and has been used in the design and construction of over 30 plants throughout the world to date. In the United States, the Grande Paroisse NOX abatement process has been applied to five plants having production capacities of 125, 240, 300, 315, and 360 tpd. One additional plant having a capacity of 1,000 tpd using the Grande Paroisse process is under construction. EXISTING SECONDARY ABSORBER TQWER . NITROUS GAS | I NITRIC ACID I T | ±r_L RECOVERED NITRIC ACID TO EXISTING TAIL GAS PREHEATER =^> /' START-UP ' ONLY PROCESS WATER ACID TRANSFER PUMPS (ONE IS SPARE) START-UP PUMP PROCESS WATER PUMP (EXISTING) Source: J. F. Pritchard Co. Catalog Figure IV-5. Grande Paroisse NOX Abatement Process 37 ------- Effluent Control - The only flow streams from the absorber are tail gas and weak nitric acid solution. The tail gas meets the EPA NOX standards. The weak acid is used as a feed makeup water to the nitric acid absorber. Economic Factor - The capital cost and the operating cost of the Grande Paroisse NOX abatement process are given in Table IV-4. The process is capital intensive. Costs which are not investment- related are minor and are more than offset by the credit for nitric acid recovered. Energy Requirements - The energy requirements for the Grande Paroisse process for NOX abatement are given in Table IV-5. It uses less energy than any of the other processes, with the possible exception of the Masar process. Technical Consideration - The Grande Paroisse process has been accepted where the cost of feedstock and utilities is noticeably higher (Europe). The process may be used in a new plant or may be retrofitted in an existing plant. The process is based on the conversion of NO to useful NC^, rather than to nonproductive nitrogen. The rate of reaction varies directly with the square of the pressure. Therefore, the operating pressure determines the success of the NOX abatement in the tail gas. The preferred absorber pressure for an existing plant is above 100 psia and for a new plant it is above 150 psia. The capital cost increases significantly if the operating pressures are reduced (to maintain the same NOY concentration in the tail gas). A (4) CDL/Vitok Process* The process uses the principle of scrubbing tail gas with nitric acid under conditions which reduce the nitrogen oxides to the desired level. Both physical absorption and stripping and chemical oxidation absorption are used. The reaction may be catalyzed in some applications to reduce the size of the equipment required. No chemicals other than water and nitric acid are required for the process, thus avoiding additional new waste disposal problems and cost. The nitric acid is not consumed, being an internal recycle, and the water is only that required for the manufacture of the acid, and this becomes a part of the product. All the nitrogen oxides removed from the tail gas are converted to nitric acid at concentration levels that can be commercially utilized. Current Status of the CDL/Vitok Process - The CDL/Vitok process has been applied to one commercial plant having a capacity of 350 tpd. The NOX content in the tail gas is less than 3 Ib/ton of nitric acid. Also the process was tested for one year in a demon- stration size plant in an ammunition plant. *Maryland, B.J., "The CDL/Vitok Nitrogen Oxides Abatement Process," presented at the Environmental Symposium of the Fertilizer Institute, January, 1976, New Orleans. 38 ------- It is expected that the CDL/Vitok process will be applied to four plants next year. These plants have a rated capacity of 60, 60, 150, and 250 tpd. Effluent Control - The only effluent stream from the CDL/Vitok process is tail gas. The tail gas will meet the NOX stationary source standard. Economic Factor - The capital cost and the operating cost of the CDL/Vitok process for NOX abatement are given in Table IV-4. The CDL/Vitok process has the lowest capital and operating costs. Energy Requirements - The energy requirements for the CDL/Vitok processes are given in Table IV-5. It uses approximately 25% of the energy of the catalytic reduction process. Technical Considerations - The CDL/Vitok process is similar to the Grande Paroisse process. The two processes differ in operating conditions: the CDL/Vitok process uses a higher liquid-to-gas ratio and a lower operating temperature. It is claimed that only one absorber is required for the CDL/Vitok process. However, the increased liquid flow rate may affect the tower capacity. (5) Masar Process The Masar process (see Figure IV-6), as applied to nitric acid plants, takes the tail gas from the exit of the absorption tower and passes it to a gas chiller where it is cooled. During the cooling operation, condensation occurs, with the formation of nitric acid. The chilled gas and condensate passes into section A of the Masar absorber. The Masar absorber is divided into three sections, A, B, and C. Masar Absorber Section A - In this section, the chilled gas and condensate represent feed gas stream, and chilled feed water (from Section C) represents liquid stream. The feed water stream, mixed with weak nitric acid, flows down in Section A countercurrent to the tail gas to scrub NOX from the tail gas. The liquid stream is circulated through a chiller, E, to remove reaction heat. The bleed stream from the Section A is weak nitric acid and is fed to the nitric acid absorber in the main plant to serve as its feed water. Masar Absorber Section B - The tail gas passes into Section B of the Masar absorber, where it is scrubbed with a circulating urea- containing solution. A urea/water solution (concentrated Masar solution) is made up in a storage tank and metered into the recirculating system at a rate necessary to maintain a specified minimum urea residual content. As the solution scrubs the tail gases, both nitric and nitrous acids are formed, and the urea in 39 ------- CONC. MASAR SOLUTION SPENT MASAR SOLUTION (SLOWDOWN) LIQUID CHILLER TAIL GAS CHILLER LIQUID CHILLER Source: MASAR, Inc., Catalog FEED WATER FEED WATER TO NITRIC ACID PLANT ABSOR. COL. SECTION SECTION B SECTION A PUMP TAIL GAS TO NITRIC ACID PLANT MASAR ABSORBER Figure IV-6. Masar Process for NOX Abatement ------- gases, both nitric and nitrous acids are formed, and the urea in the solution reacts with the nitrous acid. As the solution is circulated, the nitric acid content rises and some of the urea present hydrolyzes and forms some ammonium nitrate. To maintain the system in balance, some of the circulated solution (spent Masar solution) is withdrawn. Disposition of this solution is discussed below. The recirculated solution is also pumped through a chiller, F, to remove the heat of reactions and to maintain the desired process temperature in Section B. Masar Absorber Section C - The tail gases from Section B pass into Section C, where they are scrubbed by the feed water stream. The feed water is chilled in Section C by countercurrent flow of chilled gas. The chilled water from the bottom of Section C is used as feed water in Section A. The tail gases then leave the Masar absorber and pass on to the existing mist eliminator and heat exchanger train of the nitric acid plant. In the application of this process at Illinois Nitrogen, the cooling medium used in the gas chiller is liquid ammonia. The vaporized ammonia is subsequently used as the feed to the plant ammonium nitrate neutralizer. For non-ammonium nitrate producers, mechanical refrigeration could be used or the ammonia vapor could be used in the nitric acid converter directly. Current Status of the Masar Process - The Masar process is now being used in three U.S. nitric acid plants: two 350 tpd capacity, and one 250 tpd capacity. Effluent Control - The effluent streams from the Masar process are tail gas and spent Masar solution. The tail gas has met regulatory standards with regard to NOX abate- ment. The NOX in the tail gas exhaust from one operating plant has been between 100 and 200 ppm for a one-year operation period. Some data show NOX in tail gas as low as 57 ppm. The spent Masar solution contains urea and ammonium nitrate. This is spent in the form of a weak solution. Approximately 25% of the urea in the feed is present in the spent solution. The ammonium nitrate concentration is two to three times the concentration of urea in the spent solution. The solution can be utilized in preparing fertilizer solution. Companies that do not make fertilizer solutions may sell the solution to companies that do or to farmers for direct application. Economic Factors - The capital cost and the operating cost of the Masar process for NOX abatement are given in Table IV-4. .The credit for the spent Masar solution is determined by using $160/ ton for urea and $100/ton for ammonium nitrate. 41 ------- If the spent Masar solution is used in the fertilizer industry, there will be some cost associated with handling the solution. Alternatively, the solution may be sold to farmers. In the latter case, the price may be lower. Energy Requirements - The energy requirements for the Masar process are given in Table IV-5. It uses only about 10% as much energy as does the catalytic reduction process. Technical Considerations - Essentially 80% of the NOX recovered is available in direct usable form (weak nitric solution), as discussed previously. The remainder is abated with the use of urea. This leads to the discharge of spent Masar solution, containing urea and ammonium nitrate. Application of the spent Masar solution should be determined. The process requires refrigeration. Selection of the cooling medium is important. Alternatively, mechanical refrigeration may be used. (6) Alkali Scrubbing Process Alkaline scrubbers also reduce the emission of nitrogen oxides effectively. Data for five plants are presented in Table IV-7. The two- stage, sodium hydroxide-water scrubber performed exceptionally well, with an overall reduction of 91% in nitrogen oxides content. The data on the sodium carbonate scrubber show a very high (2.5%) nitrogen oxides concentration in gases entering the sodium carbonate scrubber; this high value might indicate that the principal purpose of the scrubber was to produce nitrite and nitrate salts rather than to reduce emissions below the usual 0.15 - 0.40% nitrogen oxides concentration characteristic of untreated tail gas. Alkaline scrubbing is used only if the production of nitrates is desired. TABLE IV-7 EMISSIONS DATA FOR NITRIC ACID PLANTS HAVING ALKALINE SCRUBBING EQUIPMENT Scrubber Type of Control NaOH + H20 Na2C03 No. of Stages 2 1 Percent Reduction in Nitrogen Oxides 91 94 Pounds of Nitrogen Oxides Emitted per ton of Acid Produced 4 27-54 (100% Basis) Source: Atmospheric Emissions from Nitric Acid Manufacturing Processes, USHEW, PHS-999-AP-27, 1966. 42 ------- 2. Conversion to Fuel Oil in Mixed Fertilizer Plants Equipped With Bag Filters a. Wet Scrubber Currently Installed for Control of Particulate Emissions Currently, approximately 80% of the estimated 200 ammoniation granula- tion fertilizer plants use wet scrubbers to control particulate emission levels. These plants are expected to have relatively few problems in switching from natural gas to fuel oil for drying. The capital cost for new burners, oil tanks, piping, and miscellaneous equipment is about $10,000 for a typical dryer. Most plants have already installed stand-by fuel oil equipment, so the investment has already been incurred. There are no significant differences in operating costs, aside from the fuel cost differential itself. b. Base Line Technology Used for Comparison (Bag Filters Currently Installed) For purposes of analysis, the base line plant is a 47,000 metric-ton- per-year ammoniation granulation plant using a natural gas-fired dryer and equipped with a bag house filter to control particulate emissions. Of the three types of ammoniators illustrated in Figure IV-7, the rotary-drum design is most common. Figure IV-8 presents a simplified flow diagram for an ammoniation granulation plant, while Figures IV-9 and IV-10 show additional details of the material handling and dust collection sys- tems, respectively. The base case plant has no water effluent and consumes from 200,000 to 400,000 Btu per ton of product for drying. Table IV-8 presents additional production statistics for the base line plant. Uncontrolled and controlled emission factors (and the total amounts of controlled emissions) are presented in Tables IV-9 and IV-10, respectively. The allowable emission rate per ton of product for new plants is 2.1 pounds. The uncontrolled emission rate in Table IV-9 is 4.6 pounds per ton, indi- cating a 60% efficiency requirement. For existing plants, the average of state emission regulations for plants of less than 30 tons per hour is 3.59 pO'62^ where P is the production rate in tons per hour. For plants of 30 tons per hour or greater, the formula is 17.31 P°-16. In cases where gaseous effluents exceed existing EPA standards, installation of an auxiliary-scrubber is required. The composition and quantity of stack gas will vary considerably depending on product formulation and production control. c. Installation of Scrubber on Bag House-Equipped Plants When Converting From Natural Gas to Fuel Oil As discussed earlier, some fertilizer dryers fired by natural gas employ bag houses for air pollution control. In the base case, when fuel oil has been substituted for natural gas, operational problems have some- times resulted from the plugging of the bag house filter media with products 43 ------- LIQUIDS SOLIDS PRODUCT SOLIDS LIQUIDS- SURGE HOPPER RECYCLE FEEDER | PUG MILL j DRIER COOLER OVERSIZE MILL PRODUCT SOLIDS | CONTINUOUS FEEDERS RECYCLE LIQUIDS »- ^ DRUM AMMONIATOR GRANULATOR DRIER OVERSIZE MILL COOLER PRODUCT Source: Sauchelli, V., Manual on Fertilizer Manufacture, Industry Publications, Inc., Caldwell, New Jersey, 1963. Figure IV-7. Batch-Mixer, Pug-Mill and Rotary-Drum Ammoniation 44 ------- SOLID MATERIALS EMISSIONS SOLIDS MIXING EMISSIONS CRUSHING MILL EMISSIONS AMMONIATOR -GRANULATOR LIQUID RAW MATERIAL EMISSIONS DRYER EMISSIONS COOLER FINES AND RECYCLE Source: Monsanto Research Corporation EMISSIONS f EMISSIONS t DOUBLE DECK SCREEN PRODUCT Figure IV-8. Simplified Flow Diagram of an Ammoniation Granulation Plant ------- CL JSTER HOPPEF S PHOSPHORIC ACID AND/OR SUPERPHOSPHORIC ACID PRODUCT Source: Tennessee Valley Authority Figure IV-9. Detailed Schematic Diagram of Rotary-Drum Ammoniation Plant ------- SCREEN Source: Tonnoifoo Valley Authority Figure IV-10. Detail of Granulation Plant Dust Collection System ------- TABLE IV-8 AMMONIATION GRANULATION PRODUCTION STATISTICS - 1973 Number of Plants Total Annual Production, million tonnes (tons) Annual Plant Production Rate, tonnes/year (tons/year) Average Annual Production Rate, tonnes/year (tons/year) Plant Design Hourly Production Rate, tonnes/hour (tons/hour) Average Annual Operating Period, hours/year Actual Average Production Rate, tonnes/hour (tons/hour) 195 9.14 (10.08) 9,000- 90,000 (10,000-100,000) 46,870 (51,690) 4.5-90 (5-100) 3,894 12.04 (13.27) Source: Monsanto Research Corporation 48 ------- TABLE IV-9 UNCONTROLLED EMISSION FACTORS FOR AMMONIATION GRANULATION PLANTS vo Emission kg/tonne (pound/ton) Emission Source Cateogry Material storage and handling Ammoniator granulator 0.503 + 104% "(1.006 + 104%) Ammonia 0 Total Total Total Chlorine Fluorine Phosphorus Particulate 0 0 0 0.5 (1.0 + 300%a + 300%) Dryer and cooler Screen and oversize mill Bagging and loading Total plant 0.316 + 44% (0.633 + 44%) 0 0.819 + 66% (1.639 + 66%) 0.030 + 186% 0.0013 + 57% (0.060 + 186%) (0.0025 + 57%) 0.014 + 175% 0.0083 + 70% (0.028 + 175%) (0.0167 + 70%) 0 0.0011 + 87% (0.0022 + 87%) 0.175 + 356%b (0.350 + 356%) 0.0316 + 133% 0.23 + 48% (0.0633 + 133%) (0.46 + 48%) 0 0.25 + 300%)a (0.5 + 300%) 0.25 (0.5 + 300%a + 300%) 0.044 + 175% 0.0096 + 61% 0.0327 + 133% 1.40 + 300% (0.088 + 175%) (0.0192 + 61%) (0.0655 + 133%) (2.91 + 300%) *These values are a result of engineering estimates of similar processes because no source test data is available and the values may vary by a factor of three. 3The large error is due to only two data points which statistically results in a large spread for 95% confidence range. The standard deviation in the two data points is +40%. Source: Monsanto Research Corporation ------- TABLE IV-10 EMISSION FACTOR AND TOTAL MASS OF CONTROLLED EMISSIONS FROM FERTILIZER MIXING PLANTS O Ammoniation Granulation Plants Emission Factor, Total Mass, Emission Species kg/tonne tonnes/year Ammonia 0.123 + 66% 1,120 + 740 Total chlorine 0.0066 + 175% 59 + 103 Total fluorine 0.0014 + 61% 13+8 Total phosphorus 0.0049 + 133% 45 + 60 Particulate 0.21 + 300%C 1,920+5,760 aBased on a minimum control efficiency of 85%. All plants have control equipment which is 85% to 99.5% efficient. Source: Monsanto Research Corporation of incomplete combustion. However, there is a strong indication that such problems can usually be overcome by modifying the combustion process. If this measure is generally successful, it will still be possible to use bag houses when fuel oil is used. However, should the use of bag houses prove to be incompatible with the use of fuel oil, wet scrubbers will have to be employed. The capital and operating costs for a wet scrubber capable of handling a gas stream of 13,000 cfm and at 38,000 hours of annual opera- tion are shown in Table IV-11. In the operation of a wet scrubber, the scrubber water is typically recycled after each pass through the scrubber. Since a portion of the water is evaporated on each pass, makeup water must be added. To prevent the buildup of absorbed materials in the scrubber water, a small portion of the scrubber water flow must be purged from the system. This purge stream is a contaminated wastewater stream and a potential source of water pollution. An estimation of the characteristics of this wastewater stream is shown below: 50 ------- TABLE IV-11 MIXED FERTILIZER PLANT SCRUBBER COSTS (Production Basis: 52,000 tons/yr) CAPITAL INVESTMENT $70,000 INDIRECT COSTS Depreciation ((? 9.U/yr) 6,360 Return on Investment (0 20%/yr) 14,000 Taxes and Insurance (@ 2%/yr) 1,400 TOTAL INDIRECT COSTS $21,760 DIRECT OPERATING COST Operating Labor 3,500 Maintenance Labor and Materials 3,500 Electricity 5,700 TOTAL DIRECT OPERATING COST $12,700 TOTAL ANNUAL COST $34,460 UNIT COST ($/ton of fertilizer) $0.66 Source: Arthur D. Little, Inc. estimates. Wastewater Flow Rate = 7,660 gallons/day (during actual drying time) Estimated Wastewater Composition (based on 90% scrubber efficiency) Constituent Concentration (mg/liter) Ammonia 275 Chloride 150 ' Fluoride 75 Phosphorus \ 275 Suspended Solids 100 Ammonia, fluoride, and phosphorus are the principal pollutants of concern in the wastewater stream. Their concentration levels must be reduced prior to discharge into a receiving stream. To remove the pollutants, lime treatment (with aeration) can be employed. The addition of lime will raise the pH of the wastewater, thus converting ammonium ions into ammmonia gas, which can then be stripped from the waste- water by aeration. Lime will also cause the fluoride ions and phosphorus (as phosphate ions) to precipitate out of solution as calcium fluoride and calcium phosphate. The reactions and aeration can be performed in conventional 51 ------- mixing basins and the settling of precipitates can be performed in a con- ventional clarifier. The final effluent from the lime treatment must be neutralized with sulfuric acid prior to discharge. The estimated composi- tion of the treated effluent is approximately: Ammonia 30 mg/liter Chlorine 150 mg/liter (no removal) Fluoride 15 mg/liter Phosphorus 20 mg/liter Suspended Solids 20 mg/liter An estimate of the costs of treating the scrubber water is presented in Table IV-12. TABLE IV-12 MIXED FERTILIZERS - FUEL OIL ALTERNATIVE SCRUBBER WATER TREATMENT COSTS (Production Basis: 52,000 tons/yr) CAPITAL INVESTMENT $50,000 INDIRECT COSTS Depreciation (@ 9.1%/yr) 4,600 Return on Investment (@ 20%/ys) 10,000 Taxes and Insurance (@ 2%/yr) 1,000 TOTAL INDIRECT COST $15,600 DIRECT OPERATING COST Operating Labor ($6.10/hr + 100% of labor for 7,300 overhead) Maintenance Labor and Materials 2,000 Chemicals (lime and acid) 1,500 Electricity (@ $0.02/fcoh) 600 Sludge Disposal (@ $5.00/metric ton) 500 TOTAL DIRECT OPERATING COST $11,900 TOTAL ANNUAL COST 27,500 UNIT COST ($/ton of fertilizer) $0.53 Source: Arthur D. Little, Inc. estimates. 52 ------- The treatment system will result in the following consumption of chemicals and energy: Hydrated Lime 5.4 tons/year Sulfuric Acid-100% Basis 10 tons/year Electrical Energy 30,000 kWh/yr (0.64 kWh/metric ton of fertilizer) In addition, an estimated 100 tons per year of sludge having a solid con- centration of 10% will be generated. This sludge may contain as much as 0.5% fluorides and 2.0% phosphates in addition to soluble ammonia; ermsequently its disposal into landfills must be done with care to insure that leaching into ground or surface waters does not occur. d. Continued Control of Particulate Emissions With Bag Houses When Converting From Natural Gas to Fuel Oil For those ammoniation granulation plants that now have bag filters it appears that the problem of filter bag clogging may be corrected through proper attention to equipment design and operation. Many ammoniation granulation plants have already installed dual-purpose burners and fuel oil storage systems to cope with the interruptable natural gas service which they have been forced to accept. A few producers have chosen to use propane when natural gas is shut off, rather than invest in fuel oil equipment. For those plants with fuel oil equipment, no incremental invest- ment is required for conversion to fuel oil. However, operating costs increase slightly, because cleaning of the bag filters must be done six time per year (with ideal burner performance) rather than four times per year as with natural gas. Most of the problems occur during startup, before equilibrium operating temperatures are reached. This can be alleviated by preheating the fuel oil, by using proper, well-adjusted burners, and by preheating the dryer before charging the material to be dried. In some cases, particularly where the dryer exit gases may cool before entering the bag house, an auxiliary burner may be required (Figure IV-10). The estimated operating costs for a bag house on the base line ammonia- tion granulation plant are shown in Table IV-13. The incremental costs for installing fuel oil storage equipment and dual burners are presented in Table IV-14. If fuel oil equipment is already installed, the incremental costs are much lower, as indicated in Table IV-15. As may be seen by com- paring these costs with the incremental costs required for installation of a scrubber system, ungrading the equipment and operating procedures for use of fuel oil with the bag house is considerably less expensive. In cases where difficulty is experienced because of incomplete combustion of the fuel oil, industry observers suggest that an afterburner or other special burner design, such as an infrared burner now under development (Burdett Company, private communication) could solve this problem. The cost of such burners for the base case fertilizer drying plant would be about $15,000. 53 ------- TABLE IV-13 MIXED FERTILIZER PLANT BAG HOUSE COSTS (Production Basis: 52,000 tons/yr) CAPITAL INVESTMENT $80,000 INDIRECT COSTS Depreciation (8 9.1%/yr) 7,280 Return on Investment (0 20Z/yr) 16,000 Taxes and Insurance (@ 22/vr) ' TOTAL INDIRECT COST 24,880 DIRECT OPERATING COST Operating Labor ($6.10/hr + 100% OHD) 4,000- Maintenance Labor and Materials 4,000 Electricity (@ $0.02/kWh) 1,800 TOTAL DIRECT OPERATING COST 9,800 TOTAL ANNUAL COST 34,680 UNIT COST ($/ton of fertilizer) $0.67 Source: Arthur D. Little, Inc. estimates. TABLE IV-14 FERTILIZER DRYING, COSTS FOR MAIN AND AUXILIARY BURNERS (Production Basis: 52,000 tons/yr) CAPITAL EQUIPMENT Main Burner <4 x 106 Btu/hr), Storage and $9,500 Related Equipment Auxiliary Burner (0.2 x 106 Btu/hr) and 500 Related Equipment TOTAL $10,000 INDIRECT COSTS Depreciation (@ 9.1Z/yr) 910 Return on Investment (9 20Z/yr) 2,000 Taxes and Insurance (? 2%/yr) 200 TOTAL INDIRECT COST $3,110 DIRECT OPERATING COST Operating Labor 500 Maintenance Labor and Material 500 TOTAL DIRECT OPERATING COST 1,000 TOTAL ANNUAL COST $14,110 UNIT COST ($/ton) $0.27 Source: Arthur D. Little, Inc. estimates. 54 ------- TABLE IV-15 FERTILIZER DRYING, INCREMENTAL COST OF BURNING FUEL OIL WITH BAG FILTERS (Production Basis: 52,000 tons/yr) CAPITAL INVESTMENT Auxiliary Burner, Piping and Misc. $500 INDIRECT COSTS Depreciation (@ 9.1%/yr) 45 Return on Investment (@ 20%/yr) 100 Taxes and Insurance (@ 2%/yr) 10 TOTAL INDIRECT COSTS 155 DIRECT OPERATING COST Operating Labor 2,000 Maintenance Labor and Materials 2,000 TOTAL DIRECT OPERATING COST $4,000 TOTAL ANNUAL COST $4,155 UNIT COST ($/ton of fertilizer) $0.08 Source: Arthur D. Little, Inc. estimates. 55 ------- V. IMPLICATIONS OF POTENTIAL CHANGES A. AIR POLLUTION CONTROL IN NITRIC ACID PLANTS The manufacture of nitric acid produces significant emissions of nitrogen oxides to the atmosphere. The most widely used process for pollution control is the catalytic decomposition of the nitrogen oxides to nitrogen and oxygen. This process is energy intensive and is particularly expensive for those few nitric acid plants which cannot recover the energy in the form of usable steam. The problem is aggravated because natural gas is the required energy source. Most plants are limited in the quantities of gas they can purchase, and such natural gas is critical and non-substitutable for the manufacture of ammonia, which in most places occurs at the same site. Natural gas use for pollution control reduces the amount available for other purposes, thus effectively reducing production. The natural gas requirement for pollution control of a 300 tpd nitric acid plant is 232.6 x 10^ Btu per year. This amount could be used to produce 6,600 tons of ammonia. The process produces steam, which can be used elsewhere in the plant complex, and it may be argued that this reduces the energy input at some other point. Such argument may not be valid for two reasons: 1. Not all plants have use for the steam; and 2. Such steam, if needed, could otherwise be provided with a fuel other than natural gas. The other abatement systems becoming available hold the promise of satisfactory control of emissions and at lower investment costs, lower oper- ating costs, significantly lower energy requirements, and no need for natural gas as the energy source. Also, because the catalytic reduction process is usually too expensive to operate in plants using low-pressure processes to nitric acid, two or three of the alternate processes allow more economical recovery for such plants. The other processes suffer from problems of main- tenance of stringent operating conditions (Molecular Sieve), inapplicability to low-pressure nitric acid processes (Grand Paroisse), and too little actual operating experience (CDL/Vitok and Masar). The economics of the pollution control options are provided in Table V-l. Investment in a 300 tpd nitric acid plant with no pollution control is about $5.5 million, and the cost of manufacture, including profit, is $56.48 per ton, although this cost is strongly affected by the price of ammonia, which we have 56 ------- TABLE V-l CAPITAL COST AND OPERATING COST FOR NO ABATEMENT SYSTEMS FOR A 300 TPD NITRIC ACID PLANT Capital Cost Operating Labor Maintenance Catalyst or Sieve Cooling Water Steam (credit) Electricity Boiler Feedwater Fuel Depreciation Return on Investment Taxes and Insurance Nitric Acid (credit) Urea Ammonium Nitrate Net Operating Cost, ($/yr) 628,270 ($/ton) 6.16 Catalyst Reduction 1,384,000 4,400 4,400 77,800 (387,590) 20,890 12,850 465,120 125,900 276,800 27,700 Molecular Sieve 1,200,000 4,400 4,400 45,600 1,980 6,120 52,550 Grande Paroisse Process 1,000,000 4,400 4,400 1,840 14,690 CDL/ Vitok 575,000 4,400 4,400 14,980 17,500 43,250 Masar 663,000 4,400 7,550 32,070 3,260 32,640 109,090 240,000 24,000 (112,200) 408,580 4.01 90,910 52,300 60,300 200,000 115,000 132,600 20,000 11,500 13,260 (102,000) (102,000) (89,760) 74,528 (42,500) 234,200 161,330 195,708 2.30 1.58 1.92 valued at $100 per ton. The catalytic reduction process thus adds 25% to the investment and 11% to the cost of manufacture. The molecular sieve and Grande Paroisse processes have almost as much investment, but add only 7% and 4%, respectively, to the operating costs. The newer CDL/Vitok and Masar processes appear to offer significant savings in both investment and operating costs. Energy requirements are also much lower in each of the four alternatives to the catalytic reduction process (see Table V-2). Of particular interest is that only the catalytic reduction process requires natural gas. B. FERTILIZER DRYING ( 1. Continued Use of Bag House With Improved Design and Operation For the ammoniation granulation plants considered, which are already equipped with bag houses, the impact on pollution control and energy require- ments for upgrading design and operation is negligible. Performance of the bag filter will be improved through proper attention to operation and design. The key factors in successful use of fuel oil are a properly designed and adjusted burner and combustion chamber and pre-heating of all exhaust gas before it enters the bag filter. Pre-heating the fuel oil before it enters the combustion chamber may also help to achieve full combustion; however, this investment (several hundred dollars) should not be necessary for No. 1 or No. 2 fuel. 57 ------- TABLE V-2 ENERGY REQUIREMENT IN NOX ABATEMENT SYSTEMS FOR A 300 TPD NITRIC ACID PLANT (109 Btu/yr) Catalytic Reduction Molecular Sieve Grande Paroisse CDL/ Vitok Masar Steam (Credit) Electrical Natural Gas Oil (129.20) 10.97 232.56 114.83 2.04 27.59 16.32 45.95 7.71 7.71 5.83 22.71 28.54 10.69 1.71 12.40 In terms of economic impact, the added cost of upgrading equipment to handle fuel oil is relatively small when compared to the original bag house investment. The incremental cost of approximately $0.08 per ton of product represents about 0.05% of current product price (approximately$160 per ton, January 1976). As such, this added cost is viewed as having a negligible impact on the industry. The cost premium for fuel oil over natural gas (per Btu) has not been considered here, because the switch to fuel oil is a result of factors beyond the operation control. This could be a significant cost. 2. Conversion From Bag House to Wet Scrubber With Fuel Change From Natural Gas to Fuel Oil It is unlikely, in view of the costs involved, that an ammoniation granulation plant operator would choose to install a wet scrubber when he has already invested in a bag house for pollution control. Assuming that there is no scrubbing equipment now in place, the incremental investment for installation of a scrubber and the necessary effluent treatment equipment, at $1.19 per ton, would be more than ten times as expensive as the upgraded bag house system described above. In addition, the energy requirements for a wet scrubber of comparable efficiency would be considerably higher than for the bag house system. The fuel requirements for fertilizer drying would be nearly identical (slightly less for the scrubber), but the power requirements for scrubber operation are approximately three times as great as for operation of the bag house. In summary, the amount of fuel required for drying would be about the same for either option, while the operating power would be much greater for the scrubber. In terms of both the required incremental investment and the performance per unit of operating power, the upgrading of current bag house equipment is the preferred alternative for a typical plant equipped with bag filters (see Table V-3). 58 ------- TABLE V-3 COMPARISON OF SCRUBBER AND BAG HOUSE COSTS AND ENERGY CONSUMPTION FOR TREATING MIXED FERTILIZER PLANT GASEOUS AND PARTICULATE WASTES (Production Basis-50,000 short tons/yr) Scrubber Alternative Scrubber Scrubber Effluent Treatment Total Less Variable Cost of In-Place Bag House Incremental Annual Cost ($/ton) $0.66 0.53 1.19 .19 Incremental Annual Energy Consumption (million Btu) $2,990 315 Total Incremental Cost and Energy 1.00 3,305 960 $2,345 Bag House Upgrade Alternative Burner Conversion and Auxiliary Equip $0.08 760J Apparent Advantage of Bag House Upgrade 12X 3X 1 Assumes 0.2 x 10 Btu/hr for 3800 hours of operation annually. 59 ------- TECHNICAL REPORT DATA (Please read Instructions on the reverse before completing) 1. REPORT NO. EPA-600/7-76-0340 2. 3. RECIPIENT'S ACCESSION-NO. 4. TITLE AND SUBTITLE ENVIRONMENTAL CONSIDERATIONS OF SELECTED ENERGY CON- SERVING MANUFACTURING PROCESS OPTIONS. Vol. XV. Fertilizer Industry Report 5. REPORT DATE December 1976 issuing date 6. PERFORMING ORGANIZATION CODE 7. AUTHOR(S) 8. PERFORMING ORGANIZATION REPORT NO. 9. PERFORMING ORGANIZATION NAME AND ADDRESS Arthur D. Little, Inc. Acorn Park Cambridge, Massachusetts 02140 10. PROGRAM ELEMENT NO. EHE624B 11. CONTRACT/GRANT NO. 68-03-2198 12. SPONSORING AGENCY NAME AND ADDRESS Industrial Environmental Research Laboratory Office of Research and Development U.S. Environmental Protection Agency Cincinnati, Ohio 45268 13. TYPE OF REPORT AND PERIOD COVERED FINAL 14. SPONSORING AGENCY CODE EPA-ORD 15.SUPPLEMENTARY NOTES Vol. Hi-xiv, EPA-600/7-76~034c through EPA-600/7-76-034n, refer to studies of other industries as noted below; Vol. I, EPA-600/7-76-034a is the Industry Summary Report and Vol. II, EPA-600/7-76-034b is the Industry Priority Report 16. ABSTRACT This study assesses the likelihood of new process technology and new practices being introduced by energy intensive industries and explores the environmental impacts of such changes. Specifically, Vol. XV deals with the fertilizer industry and examines two areas in which energy conservation and pollution control are in conflict: the reduction of nitrogen oxide emissions from nitric acid plants and switching from natural gas to fuel oil for firing fertilizer dryers where emissions are presently controlled by bag filters. Vol. III-XIV deal with the following industries: iron and steel, petroleum refining, r-lp an^ paper, olefins, ammonia, aluminum, textiles, cement, glass, chlor-alkali, phosphorus and phosphoric acid, and copper. Vol. I presents the overall summation and identification of research needs and areas of highest overall priority. Vol. II, prepared early in the study, presents and describes the overview of the industries considered and presents the methodology used to select industries. 7. KEY WORDS AND DOCUMENT ANALYSIS DESCRIPTORS b.lDENTIFIERS/OPEN ENDED TERMS C. COSATI Field/Group Energy Pollution Industrial Wastes Fertilizer Ammonia, Phosphorus Nitric Acid Particulate Control Manufacturer Processes Energy Conservation Granulated Fertilizers Air Emission Control Nitrogen Oxide Control 13B 3. DISTRIBUTION STATEMENT Release to public 19. SECURITY CLASS (ThisReport) unclassified 21. NO. OF PAGES 74 20. SECURITY CLASS (Thispage) unclassified 22. PRICE EPA Form 2220-1 (9-73) 60 ------- |