1. Overview of Process Industries
PTAC 1302
CAPT – Chapters 1 to 9
Thomas Chapter 20

2. The Process Industry Process Industry Pharmaceuticals Chemical
Refining
Food/Bev
Pulp/Paper
Energy
Oilfield
Pipeline
Metals
Alternative
Nuclear
Traditional

3. Oil & Gas Sector

4. Early Uses of Petroleum
Egypt - mummification
China – heating homes
Persia – asphalt street paving
Sumatra (Indonesia) - medicine
Native Americans - medicine
Medicine shows – miracle elixirs

5. History of Chemical Industry
Persians produced glass in 7,000 BC
Phoenicians – develop soap
Medicines, precious metals – China, Greece, Egypt
Medieval Time – alchemists seek to create gold from non- precious metals
Arabs – middle ages develop plaster to heal broken bones

6. More History Pilgrims – tanning leather
Industrial Revolution – advent of large scale chemical manufacturing transforms us from agriculture to trade economy
1800’s – textiles, fertilizers, soaps, glass, paper, explosives
WW I – chemicals to power equipment. Mustard gas to poison enemy
Rayon (artificial silk) & Nylon for women’s stockings in 1928

7. Still More History
WW II – nylon for parachutes, tents, etc; synthetic rubber for tires, rayon for rain gear, etc.
1960 – present: drive towards cleaner / greener / renewal processes

8. The Market Expands
1859: Colonel Edwin Drake drilled First oil well in Titusville, PA, by adapting old steam engine to drill bit
1860: Fifteen refineries producing naphtha, kerosene, heavy oils and tars
1865: First pipeline in Titusville, PA
1869: New products: Vaseline, candle wax, gum
1886: Henry Ford designs first gasoline-powered automobile
Early 1900s: Britain and U.S. dominate industry

9. Chemical Processing 1913: Thermal cracking to produce gasoline
1917: First fractionating column
1920: First gas stations
1936: Catalytic cracking to produce gasoline
1940: Catalytic reforming to increase octane

10. War, Petroleum, and Chemicals
In the 1940’s, WWI and WWII dramatically increase importance of processing industries
Industry advances help Allied victories
Synthetic rubber
Plastic
Rayon & Nylon
Higher octane fuels
Post WWII Booms
automobile travel
babies - consumer products

11. The 1950s s
1950s: U.S. and European domination of petroleum business
1950 – now: Nuclear medicine
1954: First nuclear power plant in Russia
1960s: Foreign nationalization
1960’s - 70’s: Plastics manufacturing advances
1970s: Oil glut and Arab Oil Embargo

12. 1980’s - Today
1980’s – 2000’s: Process automation advancements, cogeneration
2000’s – today: Environmentally friendlier / renewable raw materials, recycling, waste minimization, sustainability

13. End Products………..

14. Oil & Gas Sector Terms
Exploration – locating oil and natural gas reservoirs
Production – extracting oil & natural gas from the reserves and bringing materials to surface (on-shore & off-shore)
Feedstock – raw materials coming in
Products end goods going to customers
Petrochemicals – chemical materials made from oil or natural gas
Exploration – looking for natural resources (particularly underground)
Process – as a verb: to manufacture. as a noun: way of doing things or the operating system
Process Technology – study and application of scientific principles associated with the engineering, operation and maintenance of chemical processes
Process Industry – Manufacturing of energy and consumer goods
Process Unit – equipment that actually converts raw materials (feedstock) to product
Refining – manufacturing process where main chemical processing method is distillation or fractionation. Ex – gasoline production
Feedstock – raw materials
Product – end goods manufactured from feedstocks and intermediates
Petrochemicals – oil based

15. Oil & Gas Sector Terms
Refining – purifying crude substances into other products
Distillation (aka fractionation) – process that uses different boiling points to separate materials
Conversion – process that changes size and/or structure of petroleum components (for example – cracking breaks down large molecules into smaller ones
Treatment – prepares materials for further processing
Formulating and blending – mixes other components or additives to enhance final product
Exploration – looking for natural resources (particularly underground)
Process – as a verb: to manufacture. as a noun: way of doing things or the operating system
Process Technology – study and application of scientific principles associated with the engineering, operation and maintenance of chemical processes
Process Industry – Manufacturing of energy and consumer goods
Process Unit – equipment that actually converts raw materials (feedstock) to product
Refining – manufacturing process where main chemical processing method is distillation or fractionation. Ex – gasoline production
Feedstock – raw materials
Product – end goods manufactured from feedstocks and intermediates
Petrochemicals – oil based

16. Oil & Gas Sector Terms Additional processes Recovering components
Waste and waste water management
Cooling
Logistics – storage, shipping, transfers
Exploration – looking for natural resources (particularly underground)
Process – as a verb: to manufacture. as a noun: way of doing things or the operating system
Process Technology – study and application of scientific principles associated with the engineering, operation and maintenance of chemical processes
Process Industry – Manufacturing of energy and consumer goods
Process Unit – equipment that actually converts raw materials (feedstock) to product
Refining – manufacturing process where main chemical processing method is distillation or fractionation. Ex – gasoline production
Feedstock – raw materials
Product – end goods manufactured from feedstocks and intermediates
Petrochemicals – oil based

17. Chemical Sector Raw materials are not just fossil fuel based
Includes – food and beverage, medical, construction, agriculture, clothing, transportation, cleaning, military, personal hygiene, amusement and hobbies
Commodity Chemicals – basic chemicals produced in large quantities at lower cost. Intermediates.
Specialty Chemicals – used less often, produced in smaller quantities at higher cost

18. 7 Segments Basic chemicals Synthetics Agricultural
Pains, coatings, adhesives
Cleaners
Pharmaceuticals
Miscellaneous

19. Mining Sector Coal for power generation
Zinc, calcium, magnesium, iron, other metals for pharmaceuticals
Salt for food
Metals and cement for construction
Metals and silica for communications
Soda ash for fertilizers

20. Mining Processes Searching for mineral and ore deposits
Mining – extraction of valuable minerals and other geologic material from earth
Surface
Underground
Conventional
Longwall
Continuous

21. Mining Processes Processing rocks and minerals
Transport of rocks and minerals to customers
Further refinement or processing (ex alumina silica  alumina)
Separating and Classifying
Crushing, Grinding
Sizing
Chemical processing
Filtering
Washing

22. History of Mining Sector
Stone Age (around 2 million years ago) – crude tools
Copper Age (around 5,000 BC) – more refined tools
Bronze Age(around 2,500 BC) – weapons emerge
Iron Age (around 1,500 BC) – tools & weapons
Steel Age (around 200 AD) – tools, weapons, and construction

23. History 1800’s – Industrial Revolution powered by coal
-- Railroads and transoceanic ships use coal
-- California Gold Rush
WW I & WW II – vehicles improve with lighter alloys, communications equipment, post-war construction and reconstruction
1960’s – Present: coal under fire by environmentalists

24. Power Generation Sector
Transmission
Distribution
Traditional (fossil fuel based)
Nuclear
Alternative – solar, wind, geothermal, hydroelectric

25. History 101
Early civilizations – used water power to grind grain into flour
16th century – coal major source of heating, power
1700’s – James Watt invents steam engine which spurs Industrial Revolution. Volta invents crude battery.
1800’s – lots of advances in electricity. Edison with DC (direct current) Tesla and Westinghouse with AC (alternating current). Large power stations built

26. History Keeps On
1920’s & 30’s – hydroelectric power given a boost with construction of major dams (such as Hoover Dam)
1930’s – nuclear power develops with fission for weapons and electricity generation
1954 – Russia starts up first commercial nuclear power plant
1970’s – Arab Oil Embargo sends world scurrying for alternative sources
1970’s – 1980’s – major nuclear plant disasters at Three Mile Island (New York) and Chernobyl (Russia) adversely impact growth of nuclear industry due to public concerns
2000’s – fusion research and alternative energy projects grow

27. Pulp & Paper Sector
Business & Industry – printer paper, checks & financial statements, catalogs, boxes
Medical & Health – medical charts, bandages, crutches and splints, gowns & masks, prescription pads
Construction – building frames, insulation, cement bags, wallpaper
Education – textbooks, notebooks, paper, tests
Household – food packaging, money, toilet paper, furniture, boxes
Recreation – playing cards, board games, tickets, party supplies

28. History Time
Over 2,000 years ago – something to capture important information on… such as decrees, laws, invitations, battle messages
Papyrus, silk, clay
Chinese – invent writing paper & toilet paper
Mid-1400’s – Johann Gutenberg’s printing press lets written word go wild and go global
1600’s – paper mills born to keep up with expanding growth
1800’s – mass production of paper goods possible with Fourdriniers machines

29. Processes Harvesting the softwoods and hardwoods Pulp Mills –
Logs are washed, debarked
Fibers are mechanically or chemically separated, then washed, screened, and bleached
Paper Mills – convert pulp to paper goods. May be coated.

30. Water & Waste Water Sector
Treatment of water to remove pathogens, hazardous chemicals, and particulates
Water Treatment Process:
Primary Treatment to remove settleable solids
Secondary Treatment to remove suspended solids
Tertiary Treatment to remove dissolved solids

31. Food & Beverage Sector Basics – grinding to use grains for breads
Distillation - alcohol
Fishing and Slaughtering
Canning & Packaging
Cryogenics & Refrigeration
Industry changed and grew out of concern for pathogens in food stuffs
Removal of harmful dyes and additives
Convenience Food Packaging, Microwavables, Fast food craze

32. Processes Disinfecting Preserving Manufacturing Drying Agglomerating
Roasting and Toasting
Cooking and Frying

33. Processes
Mixing
Evaporating
Reverse Osmosis
Pasteurizing
Distillation

34. Most Tightly Regulated
FDA – food and drugs
NOAA – fishing and seafood
ATF - alcohol
CDC – disease control
USDA – meat and poultry
EPA – drinking water
FDA = Food and Drug Administration
NOAA = National Oceanic and Atmospheric Administration
ATF = Alcohol, Tobacco, Firearms
CDC = Center for Disease Control
USDA = United States Departmant of Agriculture
EPA = Environmental Protection Agency

35. Pharmaceutical Sector
Medicines and Drugs
2000 BC – apothecaries prepare mainly herbal drugs
1000 BC – Egyptians writing prescriptions
200 AD – Roman scientist Galen develops compounding. Many of his “recipes” still in use today.
1600’s – 1700’s – pharmaceutical practices launch in Switzerland and Germany
1800’s – quality control introduced. Biologicals hit the scene
1900’s - antibiotics

36. Unit Operations Used
Reactors for Organic Chemical Reactions & Ammonia Reactions
Cryogenics
Centrifuges and Filtration

37. Drug Approval & manufacturing Process
Pre-clinical studies
Clinical Evaluation
Clinical Trials
Regulatory Filing
FDA approval and post-approval monitoring
Cost of developing a new drug is about $900 million dollars over years
Large-Scale Manufacturing
Generics Introduced

38. Today’s Process Industry
Impact on Gulf Coast Region
Process industries responsible for about 50% of Houston’s economy
Employs 60,000 workers
Needs 4,800 – 6,000 new hires/year
Jobs have become more complex

39. Current Trends
Oil prices (hence petrochemical product prices) very dependent on world events, politics
Big Rollover – peak production…. many believe it came in
Hubert Peak Theory of global petroleum production peaking, then declining … but then comes shale production – what else might we be able to recover in future?

40. Current Trends Consolidations in industry
Mergers and acquisitions
Reduction of duplicate processes
Emphasis on keeping costs low
Impact on Process Technicians
Higher expectations, more responsibility
More education and training needed
More proactive work strategies

41. Trends for the Future 1. Serious foreign competition
2. More use of computers, advanced control simulation, process automation
3. Rapid technological change
4. Partnerships between education and industry
5. More regulation
6. More legal issues
7. More responsibility, higher expectations of workers
8. More education/training
9. Less supervision
10. More smart jobs,
11. Job sharing
12. Sex equity and diversity issues