5th february 4, 2016 ldpe/eva market & opportunities · there is no endorsement of any product...
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LDPE/EVA market & opportunities
5th IndianOil Petrochemcial Conclave
February 4, 2016
Daisy Le
Licensing Manager, Polymers
ExxonMobil Catalysts & Licensing
• Global & Subcontinent supply/demand
• Trend of bigger new builds
• ExxonMobil HPPE Technology
• Grass Root Projects
• Typical revamp opportunities
• Expansion and cost reduction
• Margin improvement
• Reliability improvement
• On-going support
Outline
4 4
Global LDPE supply/demand
Source: PTAI
• Global consumption continues to grow at ~2½ % in next 5 years
• > 5 million tons new capacity announced in recent years
KT
7 7
Trend of bigger grass roots facilities
North & South America
Russia & Central/Eastern Europe
China
Asia Pacific
Middle East Africa
Source: Nexant, PTAI, Uhde HPT
• >5 million tons of LDPE/EVA to be added in next 2-4 years
• Largest announced: 420 kta Tubular; 140 kta Autoclave
• 11 out of 25 lines are >300 kta
Braskem-Idesa 300kta Tubular
Sasol 420kta Tubular
Dow 350kta Tubular
Formosa 400kta Tubular
Gazprom/Novy
Uregoy 3 x 133 kta Tubular
Slovnaft 250kta Tubular
Reliance 400kta Tubular
USI 2 x 50kta Autoclave
Confidential 370kta T+A
Sailboat 300 kta T+A
Haoda 100kta Autoclave
FPC 70kta Autoclave
Shenhua 2 x 300kta Tubular
Sinopec 3 x100kta Autoclave
Sinochem 100kta Autoclave
Sipchem 200kta Tubular
Borouge 350kta Tubular
Sadara 350kta Tubular
Rabigh II 300kta Tubular
ExxonMobil HPPE
license offerings
Grass roots tubular
• 450 kta homopolymer
• 300 kta EVA >20% VA
Grass roots autoclave
• 190 kta homopolymer (150 kta w/o tubular tail)
• 180 kta EVA >30% VA (145 kta w/o tubular tail)
Revamps
• Application of ExxonMobil technology to existing
HPPE lines
• Capacity expansion
• Safety improvement
• Higher value products
• Improved product quality and reliability
• Experience with all major HPPE technologies
10 10
ExxonMobil HPPE technology
Formosa, Texas
Tubular. LDPE
~400 kta
Sasol NA, Louisiana
Tubular, LDPE
~420 kta
EM Baton Rouge, Louisiana
Tubular, Autoclave, LDPE/EVA
~400 kta
EM Antwerp, Belgium
Autoclave, LDPE/EVA
~350 kta
EM Meerhout, Belgium
Tubular, LDPE/EVA
~500 kta
Kemya, Saudi Arabia
Tubular, LDPE
~320 kta
Sipchem, Saudi Arabia
Tubular, EVA
~200 kta
Lotte, South Korea
Autoclave + TT, LDPE/EVA
~135 kta
LG Chem, South Korea
Autoclave, LDPE/EVA
~140 kta
Sinopec BYPC, China
Tubular, LDPE/EVA
~ 200 kta
Haoda, China
Autoclave, LDPE/EVA
~100 kta
TPE1, Thailand
Autoclave, LDPE
~ 100 kta
Sasol, South Africa
Tubular
~220 kta
SABIC UK, United Kingdom
Tubular, LDPE
~400 kta
EM Beaumont1, Texas
Tubular, LDPE
~250 kta
Confidential
Autoclave, Tubular, LDPE
~370 kta
Titan, Malaysia
Tubular, LDPE
~ 220 kta
Qenos1, Australia
Autoclave, LDPE
85 kta
1 – Retrofit of other HPPE technologies
Nova Chemicals, Canada
Tubular, LDPE
~185 kta
13
Demonstrated Safety Performance
• Safety first consideration in design
• Construction standards,
maintenance & operating
procedures reduce leaks
• Robust design of components –
“leak before break”
• Modular safety systems allow
isolation of affected areas and
minimize emissions
• Non-congested reactor bay
• Gas released in the bay more
easily dispersed
• Ease of maintenance access
• Very low incidence of decomps
Licensee Decomps
EM Decomps
Source: EM Data
14
Proven Mechanical
Reliability
• EM reliability is among the best in
industry
• Maintenance and operations
procedures reduce down time
• Cylinder change <8 hours
• Stirrer change <12 hours
• Condition-based maintenance
• Integrated root cause analysis approach
• Many licensees have
demonstrated comparable
performance
15
EM Tubular Design Features
• Multiple feed/side stream injections of ethylene • Shorter reactor
• Less ethylene to the front requires less steam in the preheater
• Modifier feeds to various inlets allows product “tailoring”
• Reduced pressure drop throughout reactor
• Multiple tube diameters • Higher average pressure – higher conversion, better haze, lower MI, higher
density, narrower MWD
• Optimized velocity improves reactor stability and reduces decompositions
• High average conversion (≈ 34 %) – and, up to 40%
• Cold jacket water temperatures • Improved heat transfer efficiency – shorter reactor and higher conversion
• Improved temperature control – better quality
• High number of reaction zones (peroxide injection) • Flexibility of operating conditions gives broader grade slate and “tailoring”
• High conversion on premium grades of LDPE, high clarity LDPE and MDPE
16
EM Autoclave Design Features
• 1500 liter vessel with proprietary stirrer
• Demonstrated 30%+ VA at 145 kta
• Expandable to 180-190 kta with EM’s Tubular Tail technology
• Specific technology deployed to produce low gel product
• Flexible operations allow a very broad grade slate
• Extrusion coating
• Medium density LDPE (up to 0.935 g/cc)
• HEVA
17
Tubular vs. Autoclave
• Examples of differences in product/ applications:
• Better extrusion coating grades on autoclaves
• Autoclave grades have higher melt strength for same MI - better for foam
applications (e.g. shoe soles)
• Tubular LDPE film grades have better clarity
• Broader MI/ VA window on autoclave reactor
• HEVA (>30% VA) technology demonstrated at larger capacities on
autoclaves
• Only up to 28% VA commercially operating on large tubular reactors
• Larger plot required for tubular reactor
• Lower power consumption for tubular reactor
• Due to size and cost advantages, tubular lines have accounted for
majority of new installations
• However, autoclave projects have seen a resurgence, driven by growth
in photovoltaic and other EVA applications
19 19
• Capacity debottlenecking
• ~10-25% expansion often low cost
• 25-30% autoclave expansion with tubular tail reactor
• Expansion projects typically lower unit capex than grass roots
• Compressor throughput optimization
• Reduction of raw material use (e.g. initiator, energy, ...)
• Improved wax separation
• Reduce frequency of offline cleaning
• Process and process control
best practices
Expansion and cost reduction
Reduced unit opex with
above projects
Margin improvement
• Grade performance and properties
improvement
• Higher value product gradeslate
• EVA or increased VA content •
High clarity films • Medium density
• Patented technology for solvent-free
products
• Increased yield with optimized
production wheel and grade change
procedures
• Reduced lab tests frequency with on-line
monitoring and advanced controls
• Reduction of gel level
Process design results in product
mix suitable for high-performance
applications
Reliability improvement
• Significant improvement in plant
reliability
• Compressor components life
• Initiator pumps
• Stirrer bearing life
• Shorter shutdowns
• Cylinder change <8 hours
• Stirrer change <12 hours
• Condition-based maintenance
• Integrated root cause analysis approach
• ExxonMobil design standards and
best practices
Reduced maintenance cost
with higher reliability
Ongoing support
• Annual technical exchange meetings
• E-mail and phone consultation
• Site visits
• Design reviews
• Visits and consultation with key
equipment vendors
• Training support
• Experience of all ExxonMobil sites
and other licensees
ExxonMobil support to find
optimum solutions
23 23
Grass Root Projects
• Indian subcontinent LDPE demand growth at ~7-8%
• Self-Sufficient within the region
• Economy of scale
Revamp Opportunites
• Existing smaller LDPE plants with limited EVA capability potentially less
competitive than newer world-scale units
• Revamp with ExxonMobil HPPE technologies has demonstrated
• Improved safety
• Successful expansion
• Increased profitability
• Enhanced reliability
Summary
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