Industrial Process Design © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

1. Design Work Process Common to all design problems in all industries Determine Customer Needs Set Design Specifications Build Performance Models Generate Design Concepts R&D if Needed Predict Fitness For Service Evaluate Economics & Select Design Customer Approval Detailed Design & Equipment Selection Procurement & Construction Begin Operation Common to all design problems in all industries © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

How do companies implement this design process? © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

2. The Design Team Project Sponsor Business Input Project Manager Process Engineer(s) Technical Specialists Control Engineer Cost Engineer Consultants R&D Specialists Mechanical Engineer(s) Civil Engineers Contractors © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Specialization and Outsourcing Operating Companies Own plants Produce chemicals High sales revenue Margins & return on assets (ROA) vary by sector Technology Vendors Own patents Sell catalysts, enzymes, equipment, licenses Sales volume low Margins, ROA usually high Engineering & Construction Companies Experienced project managers Highly competitive & cost effective Medium sales volume, low margins © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Company Performance by Sector Notes: Data from www.CNN.money.com as of 7.2.07 Oil industry is usually not so profitable as during 2005-2007 Technology companies are usually smaller, and are often subsidiaries or privately held. Financial data are often not publicly available. © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Long ago (<1980s) most projects were done “in house” Operating Company Project Sponsor Business Input Project Manager Process Engineer(s) Technical Specialists Control Engineer Cost Engineer Consultants R&D Specialists Mechanical Engineer(s) Civil Engineers Contractors E&C Company Technology Vendor © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Nowadays (For most companies, most sectors) Project Sponsor Business Input Operating Company Project Manager Process Engineer(s) Technical Specialists Control Engineer Cost Engineer Consultants R&D Specialists Mechanical Engineer(s) Civil Engineers Contractors Technology Vendor E&C Company © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Implications Most major projects involve several companies working together “OpCo” might itself be a joint venture between several companies The companies might all be based in different regions of the world Teamwork, technology transfer and effective communications have high impact and value Good project management is more important than ever © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

3. The Project Plan Project must be delivered: On-time On-budget OpCo usually writes incentives into the E&C contract to ensure that this happens © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Design Work Process These steps have to come first Determine Customer Needs Set Design Specifications Build Performance Models Generate Design Concepts R&D if Needed Predict Fitness For Service Evaluate Economics & Select Design Customer Approval This also needs time This takes time Detailed Design & Equipment Selection Procurement & Construction Begin Operation © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

The Project Plan Is developed & implemented by the project manager Sets deadlines for completion of activities & intermediate deliverables Allows scheduling of subordinate or dependent tasks Allows estimation of the required manpower resources at each stage of the project Determines the procurement schedule & gives an estimate of when cash outlays are expected © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Example: 11-Week Plan for a Process Design Project © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s In a Project Plan? List of tasks © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s In a Project Plan? Durations, start and end dates © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s In a Project Plan? Predecessor tasks © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s In a Project Plan? Resource allocations © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s In a Project Plan? Gantt chart © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Example: 11-Week Plan for a Process Design Project © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Tools for Project Planning Specialized software for larger projects MS Project SureTrak Primavera Project Planner Enterprise PM Cobra Small project plans & Gantt charts can be drawn in spreadsheets or using cheap software (<$100) AceProject (free on-line) TurboProject Project Vision Quick Gantt © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

4. The Design Basis We need to know: Determine Customer Needs Set Design Specifications Build Performance Models Generate Design Concepts R&D if Needed Predict Fitness For Service Evaluate Economics & Select Design Customer Approval Detailed Design & Equipment Selection Procurement & Construction Begin Operation We need to know: What are we designing? How much of it do we want? Where will it be built? What are the boundary conditions? © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Process Design Basis Documentation of design assumptions and boundary conditions is very important For new process plants, most companies use some sort of design basis form or questionnaire to serve as a record of the design basis This record is also essential in handing off information between the operating company, technology suppliers and contractors There’s a template online at: booksite.Elsevier.com/Towler © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s in the Design Basis? Project information and revision tabs To allow retrieval of documentation To ensure that revisions are properly documented and make sure that the engineers aren’t working from the wrong version To document review and approval of the design basis © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s in the Design Basis? Contact information Company name Process unit name Who to contact & where to reach them © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s in the Design Basis? Conventions followed Units of measurement Customer specific and may also depend on location Design engineers have to be able to work with both metric and English units Equipment labeling convention Sometimes other conventions and codes, e.g. design codes © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s in the Design Basis? Product information for primary products Product grades desired Safety data sheet reference number Production rate, purity, shipment details © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s in the Design Basis? Information for primary raw materials Feedstock grades Safety information Availability and pricing Feed impurities and their concentrations © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s in the Design Basis? Site information Ambient conditions needed for design of insulation, air coolers, etc. Special conditions such as wind loads, hurricane and earthquake conditions that are needed for mechanical and civil engineering design © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s in the Design Basis? Sheet 2 of the Design Basis has utility information Fuel gases Fuel oils Steam levels Coolants Process water Electricity Process Air Conditions, availability, price, etc. © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

5. Design Practices: Codes & Standards Methods and rules for designing processes and equipment are given in design codes of practice Codes are set by national or international industry panels (e.g., ISO, ASME, API, ISA) Codes are reviewed and reissued frequently Codes specify practices for design, construction, testing and operation of equipment and processes, that are expected to lead to a safe design, based on the experience of the code committee Design in accordance with code is usually required by the company or by law Standard sizes for piping & equipment, compositions, etc. are given in standards Tubing dimensions, valve sizes, exchanger layouts, screw threads, wire gauges, screens, … The two terms tend to be used interchangeably Always consult the current (latest) edition of the code. Always make sure that the codes and standards used comply with local legal requirements. Examples will be given throughout the course © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

5. Design Practices: Design Factors (Design Margins) Equipment is usually sized for greater than the design throughput Allows for uncertainty in the design method and data Leaves some room for expanding output Ensures the plant can run at design capacity Companies usually have a policy on design margins Typically size equipment for 110% of design basis Be careful to add design margin only once! © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

6. Design Documentation Determine Customer Needs Set Design Specifications Build Performance Models Generate Design Concepts R&D if Needed Predict Fitness For Service Evaluate Economics & Select Design Customer Approval Detailed Design & Equipment Selection Procurement & Construction Begin Operation Design information must be clearly documented to enable: Fair comparison between competing design alternatives Transfer of information to E&C company for detailed design Development of plant manuals © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Design Documentation The design documentation for a process usually includes a minimum of: The design basis A written description of the process A process flow diagram At least one mass & energy balance Product specifications and properties A list of major plant equipment Equipment specification sheets A piping and instrumentation diagram A cost estimate HS&E information (e.g., HAZAN, HAZOP, MSDS forms) Additional information such as techno-economic analysis, market information, analysis of competing technologies or alternative design options may also be included if within the scope of the project © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Design Documentation The design basis A written description of the process Process flow diagram At least one mass & energy balance Product specifications and properties A list of major plant equipment Equipment specification sheets A piping and instrumentation diagram A cost estimate HS&E information The PFD or flowsheet identifies all the equipment items and process streams Usually broken into several separate sheets, defining plant sections By convention, feeds enter at left, products exit right Usually also indicates stream temperature & pressure XYZ Co. © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Design Documentation The design basis A written description of the process Process flow diagram At least one mass & energy balance Product specifications and properties A list of major plant equipment Equipment specification sheets A piping and instrumentation diagram A cost estimate HS&E information Mass & energy balances are usually given for each design case (e.g., SOR/EOR, different feeds, winter /summer, etc.) Usually mass flow, mole flow, wt% and mole% are given for every component in every stream Often summarized as a table at the bottom of the PFD XYZ Co. © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Design Documentation The design basis A written description of the process Process flow diagram At least one mass & energy balance Product specifications and properties A list of major plant equipment Equipment specification sheets A piping and instrumentation diagram A cost estimate HS&E information XYZ Co. © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Design Documentation Defines equipment names Indicates which equipment is “spared” Often used to summarize equipment costs and serve as a starting point for the capital cost estimate The design basis A written description of the process Process flow diagram At least one mass & energy balance Product specifications and properties A list of major plant equipment Equipment specification sheets A piping and instrumentation diagram A cost estimate HS&E information © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Design Documentation The design basis A written description of the process Process flow diagram At least one mass & energy balance Product specifications and properties A list of major plant equipment Equipment specification sheets A piping and instrumentation diagram A cost estimate HS&E information Give detailed design information (stream properties, dimensions) for each major piece of equipment Occasionally include mechanical drawings if the equipment is not standard Sometimes substituted with vendor specification sheets for sourced items © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

What’s in a Spec Sheet? Project info & rev tab Equipment service and summary information Stream data needed for design Calculated design information for the equipment Dimensions and construction details Notes © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Standard Templates Typical templates for spec sheets and calc sheets are available at: booksite.Elsevier.com/Towler These can be customized for your design projects © 2007 G.P. Towler / UOP. For educational use in conjunction with Sinnott & Towler Chemical Engineering Design only. Do not copy

Design Documentation The design basis A written description of the process Process flow diagram At least one mass & energy balance Product specifications and properties A list of major plant equipment Equipment specification sheets A piping and instrumentation diagram A cost estimate HS&E information The P&ID is more detailed than the PFD and almost always runs to several sheets It shows all the plant instruments, control systems, control logic and shutdown systems It also shows pipe sizes and metallurgy (but not pipe layout) The P&ID is critical for performing design safety reviews XYZ Co. © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Design Documentation Variable costs of production The design basis A written description of the process Process flow diagram At least one mass & energy balance Product specifications and properties A list of major plant equipment Equipment specification sheets A piping and instrumentation diagram A cost estimate HS&E information Variable costs of production Raw materials Utilities Consumables Packaging & shipping Fixed costs of production Wages Taxes Maintenance Overheads Capital costs Working capital Installed capital cost Royalty costs Annual capital charge © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Design Documentation Information on materials safety is required for hazard analysis, detailed design Material Safety Data Sheets (MSDSs) must be provided to employees and customers by law in the U.S.A. (OSHA Hazard Communication Standard 29 CFR Part 1910.1200) Information also needs to be collected to begin applying for emissions permits The type of information needed and level of detail varies locally The design basis A written description of the process Process flow diagram At least one mass & energy balance Product specifications and properties A list of major plant equipment Equipment specification sheets A piping and instrumentation diagram A cost estimate HS&E information © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy

Conclusion: What Makes a Process Design in Industry Design work process Design team Project plan Design basis Standard design procedures & practices Design documentation © 2012 G.P. Towler / UOP. For educational use in conjunction with Towler & Sinnott Chemical Engineering Design only. Do not copy