Production of Adipic Acid and 1,6-Hexanediol from 1,3-Butadiene Final Project Analysis NoDoz, Corp. Group 8 Greg Bogaert Todd Francis Ramana Vishnubhotla Jonathan West 12/13/02
Introduction Process Description Have supply of 1,3-butadiene (BD) Invest and profit from this market Adipic acid (AA) Used in nylon-6,6 production 1,6-Hexanediol (HDO) Used in pharmaceutical/agricultural chemical production
Objectives Design a process to produce adipic acid and 1,6-hexanediol from a 1,3-butadiene feed stock 900 Mlb/yr of adipic acid 300 Mlb/yr of 1,6-hexanediol Develop an economic analysis detailing the process and plant Provide a detailed analysis discussing the recommendations
Summary Design Process Economic feasibility 7 Stage Production Plant 1000 Mlb/yr of adipic acid 300 Mlb/yr of 1,6-hexanediol 100 Mlb/yr of diethyl adipate Economic feasibility $1454 million/yr in Revenue $772 M initial investment $934 million/yr operating cost $442 Net Present Value (NPV)
Economic Feasibility Total operating life of 10 years One year startup Negligible land costs Discounted Payback Period (DPBP) = 3 years Present Value Ration (PVR) = 1.7 Net present value (NPV) = $442 M Initial investment = $772 M Operating cost = $934 M/yr Revenue = $1454 M/yr
Fixed Capital Investment Name $ (M) ISBL Components Plant Equipment, Insulation, and Installation 129 Piping, Insulation, and Installation 116 Instrumentation and Control 75 Contingency 64 Total ISBL Costs 385 Total OSBL Costs 154 TOTAL FIXED CAPITAL INVESTMENT 539
Working Capital TOTAL WORKING CAPITAL General Expenses $ (M) Administrative Expenses 9 Sales and Marketing 28 Research and Development 9 Total General Expenses 46 Manufacturing Costs Plant Overhead 4 Fixed Charges 5 Direct Production Costs 177 Total Manufacturing Costs 187 TOTAL WORKING CAPITAL 233
Operating Costs TOTAL OPERATING COSTS General Expenses $ (M) Administrative Expenses 37 Sales and Marketing 112 Research and Development 37 Total General Expenses 186 Manufacturing Costs Plant Overhead 18 Fixed Charges 22 Direct Production Costs 708 Total Manufacturing Costs 748 TOTAL OPERATING COSTS 934
Revenue Products Flow Rate (LB/hr) Cost ($/LB) $ (M) Adipic Acid 122,357 $0.78 774 1,6- Hexanediol 42,212 $1.65 568 Diethyl Adipate 15,349 $0.89 112 TOTAL REVENUE 1,454
Discounted Cash Flow $ (M) Operating Life (Yrs) 600 400 200 2 4 6 8 10 $ (M) 2 4 6 8 10 12 -200 -400 -600 -800 Operating Life (Yrs)
Conclusions Technically feasible Economically feasible 7 stage production plant Documented research Intensive computer stimulations Economically feasible 3 DPBP 1.7 PVR $442 M NPV
Recommendations Recommend further development in the production of adipic acid and 1,6-hexanediol Recommend further research of alternative designs
References [Barkel M] Barkel, Barry M. Assignment Memo Adipic Acid/1,6-Hexanrdiol 2002 [Barkel CM] Barkel, Barry M. Cost Manual 2002 [MICHI] Barkel, Barry M. MICHISITE data 2002 [Barkel OH] Barkel, Barry M. Lecture/Office Hours 2002 [CEH] Chemical Economics Handbook, SRI International 2001 [Davis] Davis, et al., DUPONT, Adipic Acid-Physical Properties, Ullmann’s Encyclopedia of Industrial Chemistry, VCH, 2002 [Musser] Musser, Michael Tuttle, Adipic Acid-Quality Specifications, Ullmann’s Encyclopedia of Industrial Chemistry, VCH, 2002 [Merck] Merck Index, Merck Publications 2002 [Peters] Peters, Max S., Timmerhaus, Klaus D., Plant Design and Economics for Chemical Engineers, McGraw-Hill, 1991 [Schwank OH] Schwank, Johannes Lecture/Office Hours 2002 [Shiokawa] Shiokawa, et al., Process for the Production of Esters, US Patent # 5,463,095, 1995 [Shiomi] Shiomi, et al., Process for Producing Diol Compounds, US Patent # 5,536,888, 1996 [Turton] Turton, et al., Analysis, Synthesis, and Design of Chemical Processes, Pretence Hall, 1998 [Werle] Werle, et al., Alcohols, Polyhydric, Ullmann’s Encyclopedia of Industrial Chemistry, VCH, 2002
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