BCECA Industry Day Student Handbook Updated 260218.pdf

“Industry Day”

Student Handbook

Table of Contents

ABOUT BCECA

4

PROGRAMME FOR THE DAY

7

PROCESS DESCRIPTION

8

APPENDIX 1: BIDDING - COSTING YOUR PLANT

8

APPENDIX 2: SCHEDULING A LARGE PROJECT

15

APPENDIX 3: P&ID DEVELOPMENT DEVELOPME NT

19

APPENDIX 4: HAZOP – HAZARD AND OPERABILITY STUDY

29

APPENDIX 5: PURCHASING

37

APPENDIX 6: CONSTRUCTION AND COMMISSIONING COMMISSI ONING

43

APPENDIX 7: MEMBER COMPANY INFORMATION

44

British Chemical Engineering Contractors Association

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INTRODUCTION Welcome to the BCECA (British Chemical Engineering Contractors Association) Industry Day. The day has been devised by the BCECA Young Engineers Committee to help give students an idea of what it is like to run a large project and work in the contracting industry. The day is in no way graded or assessed either by BCECA or the University. We hope that you enjoy the day and that the exercises will give you some ideas to help you with your final year project and also consider applying to the BCECA member companies for graduate jobs. The day is run by young engineers from the BCECA companies; feel free to ask questions about the industry as well as questions specifically about the exercises. Appendix 1 contains some hints and tips for your design project. They may also be useful to you during the exercises today.


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About BCECA

Industries Served

Oil & Gas Extraction (Onshore & Offshore): Oil Refining: Power Generation: Petrochemical: Heavy & Fine Chemical: Polymer: Fibre: Pharmaceutical: Pulp & Paper: Coal: Mining & Metallurgical: Industrial Gases: Water: Environmental Engineering: Food: Fertiliser: Agrochemical: Biotechnology: Nuclear: Defence. Def ence. The UK Engineering Construction Industry

The UK engineering construction industry is large and diversified by international standards. It employs over 14,000 people on engineering design and project management alone, not including the much larger numbers required for site construction and equipment manufacture. At any time, BCECA members are responsible for projects with a total value of over US$25 billion and achieve over US$6 billion of new business for the UK each year. Apart from their resources in the UK, all BCECA member companies operate internationally and have affiliated companies in many parts of the world. Statistics collected over the last 40 years have shown that, in every year, between 30% and 70% of the value of new contracts obtained by the UK companies has been for projects to be built outside the UK. As a result, member companies have unrivalled international experience. Services Provided by Industry

Members undertake any or all of the wide range of activities needed for the successful realisation of process plant projects, i.e. consultancy, (seeking project financing) feasibility studies, basic designs and detailed engineering, procurement, construction, project management, planning and cost control, commissioning, maintenance and training.

We can illustrate the six phases of a typical major process plant project and how the total costs were allocated on one such project. Although the procurement of equipment and materials and the construction phase account for the dominant costs, work performed earlier, particularly in the feasibility and basic engineering phases, has a major impact on the overall cost.

total project cost allocation


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While their core business is in the design project management and construction of process and utility plants, members are also using their project management, engineering and construction expertise on infrastructure and transportation projects, R&D facilities, other manufacturing facilities and defence projects.

Forms of Contract

Members regularly work to many forms of contract (ranging from build own operate (BOO), lump sum turnkey, lump sum FOB, fixed fee to wholly reimbursable) depending on the nature of the project. Some major clients recognise the cost, schedule and quality benefits of alliance and partnering agreements of various kinds and members have substantial experience of these longer term arrangements/incentives. These partnering agreements frequently include manufacturers and small and medium-size enterprises (SMEs) to work as part of the whole supply chain management of the project. Technology

All members participate actively in the development of the process technology used by the industries they serve. There are many examples where they are acknowledged world leaders in their field. However, they are also very experienced at taking a client's or third party process technology and translating it into a successful industrial operation. Members are at the forefront of the development of CAD and cooperate with clients and suppliers in the use of electronic data interchange in the process industries. Unparalleled experience of design and construction problems in the hostile conditions of the North Sea has led to many engineering and construction innovations. Offshore module design has assisted the development of the pre-assembled unit concept in onshore process plant construction. This permits more of the construction phase to be carried out in the controlled conditions of a manufacturing plant or fabrication yard, thereby reducing the amount of work and the labour force required on site.

Health, Safety and the Environment

Members pay great attention to the health and safety of their own people and their subcontractors, particularly during the design and on construction sites. They have received many national and international awards for their safety records. They also have extensive experience in undertaking risk assessments of all kinds for clients. They are able to ensure that the best practices are followed in plant design and can assist clients to obtain the operating permits or licenses that may be required by local and national laws. Similarly, members are assisting clients to deal with environmental problems and the growing amount of related legislation. They can undertake environmental impact assessments for new projects and audits of existing operations. They are developing more environmentally friendly processes, helping to reduce the pollution caused by operating plants and assisting clients with the licensing procedures of regulatory bodies.


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Project Finance

Many buyers require project finance to supplement their own funds and BCECA members have many years of successful experience in arranging such facilities using not only their own skills but taking advantage of their ready access to the London financial markets. This experience extends to the utilisation of funds from other countries and the international aid agencies when these may be advantageous and available to a client. Careers

The contracting industry provides careers for people starting as modern apprentices or, at graduate level, progressing through technical, procurement and financial activities to achieve chartered membership of a relevant professional institution. Site construction and commissioning experience enables further career expansion into corporate management or project and construction management. International travel is involved in many positions as up to seventy percent of projects are constructed at overseas sites. There are also visits and assignments to overseas subcontractors' design offices and vendors' manufacturing facilities. Members have international offices and this offers a wide range of opportunities for staff to pursue. Throughout the structure of the companies, positions become available for hiring staff at all levels.


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Programme for the day

09:00

BCECA Presentation & Introduction to Project Work Process

09:30

Exercise 1: Bidding

10:00

Exercise 2: Scheduling

11.00

Exercise 3: P&ID Development

12:00

Lunch

13:00

Exercise 4: HAZOP

14:00

Exercise 5: Purchasing

15:00

Exercise 6: Construction & Commissioning

16:00

15 minute wrap Up Session

The Exercises The exercises will be completed in groups. Make sure you read the instructions to the exercise carefully and ask questions if you are unsure. Each exercise is preceded by a presentation. There will be information in these presentations that may help you complete the exercise. Be prepared to give feedback to the other groups and discuss the exercise problems and solutions.

The Aim The day is structured such that for each task there are points. The aim is to be the group who earns the most points by the end of the day. The day is not written to cover detailed chemical engineering design, but to give you ideas about what affects process design and project management. Much of what is covered will be useful to you when you are completing your final year design project

Warning: Some exercises require calculation. The numbers, both process and cost related are not accurate for company confidentiality reasons. Don’t use these numbers as any sort of reference reference g uide in your desig n project, project, refer to publ publis is h texts texts .

Feedback The BCECA Industry Day changes depending on the feedback we get, if you believe there are bits to be improved then please tell us!


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Appendix 1: Costing your plant Working out the cost of a plant is difficult. It takes experience to be able to accurately cost a facility. Generally, the cost of a plant over its lifetime is split into multiple sections:

Capital Cost: Equipment cost Construction Commissioning Engineering

Overheads: Purchasing Legal Business support Travel expenses

Operating Cost: Raw material costs Maintenance Staff salaries Transportation of products/ feedstocks Compliance with regulations Technical support

These lists are not exhaustive, but should provide you with a starting point for thinking about your plant economics. Process Description

The exercises for the day revolve around a simple oil, gas and water separation on an offshore oil installation. Please refer to Figure for the Process PFD. Process Description 

A mixture mixture of oil, gas and water is driven by the high pressure (~150barg) from the well into a three phase separator V-101. o

The pressure should be reduced before entering V-101 for safety reasons.


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

Water is separated from the bottom of V-101 and taken to water processing for injection back into the well and use in coolers. o



Gas section o

o

o



The water level in V-101 is also maintained maintained to facilitate oil/water oil/water separation. Gas leaves the top of V-101 and is cooled in gas cooler E-101 to knock condensates out of the gas stream. The condensates and gas are separated in vertical separator V-102, with gas being sent to compressor K-101, and condensates to a downstream unit. Gas compressor K-101 increases the pressure of the gas stream, delivering product gas to onshore gas processing at product specs.

Oil Section o

o

o

Oil passes from the bottom of V-101, where the pressure is increased by pump P-101. P-101 pumps the oil through Cooler E-102, where it is cooled to product spec. The oil is then delivered to onshore processing at product specs.


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3 phase separator V-101

Gas Cooler E-101

2 phase separator V-102

Compressor Motor M-101

Compressor K-101

Gas to Product Product Cooling Water Supply M

V-102

M-101

K-101

E-101

LP Steam Steam

From Oil Well Cooling Water Return

To Further Processing

V-101 E-103

Cooling Water Supply

LP Condensate Condensate

Oil to Product Product FV-101 E-102 P-101

Cooling Water Return

To Water Processing

Pump P-101

Oil Cooler E-102

Figure 1 – Oil/ Oil/ Gas/ Water Separation Process PFD

Condensate heater E-103

Exercise 1: Project Bidding Instructions You are to take part in closed bid to win a small project; you are tasked with calculating an estimate for the cost and then bidding for the project with this estimate. Each group is to submit a closed bid for the project to the facilitator. You must submit the bid before the close time that the facilitator stipulates. Fill in the bidding sheet attached at the end of this exercise and hand it to one of the facilitator to collect. Note: you are bidding for a project based on the calculated cost to the client, part of which is the profit that you intend to make. A lower profit margin may increase the likelihood of the client choosing your group, but you will make less money! Estimating

You are required to calculate the total project cost utilising the following information which has been simplified for this exercise and should not be used for actual estimating purposes. I)

Total major equipment cost:

1. Compressor (K101) Capital Cost This can be calculated by the motor size required 

   

The gas flow rate for this project is 1000 kg/h at a density of 1.225 kg/m3 Gas is compressed from 15barg to around 60barg 1 hp = 745 Watts

2. A rough estimate for Phase Separator Vessels Capital Cost is: 

Vessel

D (m) T/T (m) DP (bara)

3 phase separator (V-101) 6.5 10 16

2 phase separator (V-102) 3.6 6.5 16

Your company has recently purchased a two phase separator for the same process with a marginally higher flow rate. This was within the last six months and cost £130,000. You can choose which estimate to use for your new two phase separator.

3. Total Major Equipment Costs:  

Costs for the compressor and column above. Remaining other major equipment costs £86,000.

Note: Example of other major equipment being the heat exchangers.

II) Ancillary Costs Pipework & Valves, Instruments, Electrical, Civil and Construction costs associated with the major equipment. (Ancillary Cost) 

 





Pipework & Valves cost can be estimated as 8% of the Total Major Equipment Cost. Instruments cost can be estimated as 19% of the Total Major Equipment Cost. Electrical equipment cost can be estimated as 17% of the Total Major Equipment Cost. Civil Engineering work can be estimated as 25% of the Total Major Equipment Cost. This is an existing existing brownfield site and as such construction costs are expected to be more onerous than for a new facility. It is expected that they can be estimated to be approximately equivalent to 75% of Total Major Equipment Costs.

III) Man Hour Cost 

  

 

Similar work has been completed by your company before and it is expected expected that you you will need 1500 hours to complete this plant. A normal working week is 37.5 hours. The project is 8 weeks long. A principal engineer or subject matter expert is required to run this project for the full duration. Another principal principal or senior engineer is required for the full project duration. 3 other engineers are required full time for this project. They can be any grade. Grade

Hourly Rate (£)

Subject matter Expert Principal Senior Process Graduate

90 80 70 60 50

Other costs associated with Project Management, Engineering Management, Document Controls, Project Planning and other disciplines have been discounted for this exercise.

IV) Overhead Cost 

The total overhead rate can be estimated as 5% of the total man hour cost.

V) Total minimum project cost 

This is the sum of all the above calculated costs

VI) Profit 

A nominal profit margin must be within 0-50% for this project. It is at discretion of each team to decide on the margin, but think about the reasons for choosing this profit margin.


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Note: The profit is calculated as a percentage of the total minimum project cost. The bidding price is the sum of the profit and the total minimum cost.


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Bidding Cost Submission Sheet

I)

Total Major Equipment Cost

£

II)

Ancillary Cost

£

III)

Total Man Hour Cost

£

IV)

Overheads

£

V)

Total Minimum Project Cost

£

VI)

Profit Margin

£

Bidding Price

£


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Appendix 2: Scheduling a large project Scheduling any task requires understanding of resources, both human and materials. It allows us to measure our progress against our targets and gives us something to aim for. The schedule is often a contract document and there maybe penalties and bonus’s associated with how the project performs against the schedule. The schedule may have to “mesh” with the clients own schedule for a shutdown so that

electrical, process and other tie-ins can be done. Many things influence the schedule for example, the customer requirements, the project size, and the project manager. There are several levels of planning: Level 1: Proposal: This will probably be the basis of the contract. It shows the major parts of

the project such as preliminary design, construction and commissioning and then any milestones such as payment dates! Project Plan: More detailed than the last, sub dividing the above events into smaller chunks Level 2:

Level 3: Detailed Overall Project Plan: This lists how each discipline affects another; for example, P&ID’s must be finished before HAZOP can be carried out. Level 4: Task/Activity Plan: This breaks down the discipline requirements into small tasks.

E.g.: 1. Prepare HAZOP worksheets ready for HAZOP review 2. Carry out HAZOP HAZOP with required disciplines disciplines 3. Issue HAZOP recommendation List 4. Collect HAZOP recommendation replies 5. Issue HAZOP report When considering the schedule there three parameters to consider: Number of people, cost, and quality Reduce the people, and quality goes down, schedule gets longer. Pay more, generally quality is better, but budget is bad. May get to a point that it doesn’t matter how many people you get in you are never going to

be able to complete on time. May be limited space for people to work - or other problems. Scheduling is based on experience. For example, it takes around 8 weeks from order for a standard control valve to be delivered. Don’t forget to make allowances for situations you haven’t met before. For example, you

need to transport a distillation column 100 miles from a port through the desert to the construction site. Does the fact that it’s it’s desert mean that it will will take longer? What are the roads like? Are there any local rules or regulations? Can we get the support of the local law enforcement? Are there any low bridges! All these kinds of questions need to be thought about to ensure that the column doesn’t get stuck halfway through its journey and put the schedule back.


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Exercise 2: Project Schedules In this exercise you are to develop a Gantt chart to detail the schedule for design, purchase, delivery and installation of the extra piping and additional pressure controls required when attaching to an existing customer pipeline. For a project like this the contracting company will complete the engineering, procurement and construction and then a sub-contractor will complete the installation. Task A: 1. Develop a Gantt chart 2. Determine the project duration and critical critical path 3. Determine whether the project can be completed within the time frame Points to consider: The table shows the tasks that have to be completed in building the pipeline, their durations and their precedence’s. The pipeline has to be ready in two years. Develop a Gannt chart for constructing the pipeline. Task

Duration (months)

Immediate predecessors

A

4

-

B

2

-

C

7

-

D

12

A

E

5

A

F

7

A,B

G

6

D,J

H

3

C

I

12

E,F,H

J

7

E,F,H

K

12

C


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Task B: It is discovered that task J will actually take nine months to complete. However, other tasks can have their durations shortened by employing extra resources. The cost of employing these extra resources is given in the table below. You may choose to save any number of months in a task up to the maximum number of months set by the table below. Find the cheapest way of completing the project in two years. Task

Maximum number of months Additional resource cost co st of task can be reduced by reducing task by one month (£000s)

A

2

30

D

1

10

C

3

30

F

2

20

G

2

40

Hints & thoughts: Think about the order in which tasks need to be done.


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ID

Task Name

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

Duration

Task Predecessor

Months 1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

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Appendix 3: P&ID Development These hints and tips are for you to use during the exercises today and may also be useful during your design project. They are in no particular order or importance. 







Developing the P&ID is when your process really starts to take shape. You should have decided which process you are going to use to manufacture your product and in doing so fixed the major pieces of equipment. From this you can draw you basic PFD (process flow diagram). The PFD shows the bare bones of the process. The PFD will be the basis of the P&ID, Process and Instrumentation Diagram. The symbols used on P&ID’s’ will vary from company to company, however, the most important thing is to ensure anyone who looks at the drawings can understand what is going on. For your design project a suggested standard is BS 1646 Use the KISS principle – Keep It Simple Stupid! Complicated designs are never good engineering. They require more engineering hours, are harder to build, require more maintenance and have a higher possibility of going wrong. Start by thinking about steady-state operation. Your heat and mass balance will tell you about the pressures, flows and temperatures you require at different parts of your process. From these you can spec: 

Major process lines – size, material, pressure and temperature rating



Manual valves (See section on valves)



Control valves (See section on valves)



Emergency shut-off valves valves (See section on trips and alarms)



Materials of construction (see section on design temperature and pressure)

Control Loops: There can be tendency to over-control over-control a process, so beware. Make sure when you put a control loop in that it will not “fight” with another loop. That is t o say the action of



one loop to open a valve may cause another loop to try a close the valve. Decide what is truly important to control. Discharge pressure from a pump? Temperature in a reactor? 

Instrumentation: What will the operators on your plant need to see? Do they need to be able

to see a pressure indicator when they are using a valve? If so this should be marked on the P&ID as a note. E.g. “PI 123 to be visible from valve V 456”. Do you need data to be relayed back to a control room via DCS (Distributed control system)? Beware of overloading the operators with too much information, but remember, not enough is just as dangerous. When specifying instrumentation you must give a range e.g. 0 – 10 barg for a pressure indicator. Also the type of instrument you require is very important. An orifice type flowmeter is probably not a good idea if you have a process which has solids or is prone to blocking. 

Alarms and Trips:

Decide what the danger points are in your process. E.g. Reactor temperature. What could happen if the reactor temperature gets too high? What do you want an operator to do about it? Does he have time to do anything about the problem? If it is a runaway reaction then an alarm is useless as there is no time for action – a trip is needed and an alarm added for information rather than action. However, if it is a high level alarm on a storage tank there are a few options. Perhaps he can reduce the rate of production so that tank will not fill before the next shipment

of product. Perhaps he can divert divert the product to another tank, or perhaps he just shuts the process down. How much time to you want the operator to have to make a decision? If you were making 1Mt/D of product into a 24MT tank then perhaps you want to alarm at 20MT so that he has 4 hours to take action. Ultimately you need a high level trip so that the tank does not overflow; however, you would want a reaction from the operator to stop that trip from activating. 

Start-up and Shutdown: These are two additional cases to the steady-state case discussed

earlier. Some start-up & shutdown examples: o

o

Pressurising a reactor bed on start-up – If you open the normal process valves too quickly you may fluidise and damage the bed, so you may need to install small bore bypasses around the large valves to allow pressure to build slowly on start-up Overrides to trips – you may need to override an analyser trip during start-up when the compositions are not as per steady state.

Drains – do you need to be able to drain out liquid or product from vessels in order to complete maintenance?

o

o



Do you need a purge line line to be able able to purge a vessel during shutdown

Utilities: Don’t forget things like steam, cooling water and power; you need to know how

much of each you need. Also, are they critical? What would happen if you lost the nitrogen blanketing to a vessel containing a flammable substance? Would it be wise to have two sources of supply? 

Safety versus Reliability: This can be a real problem. Often plants are specified with certain

reliability, especially if supplying a product via a pipeline to a customer. In order to make things safe we add trips, these will stop production if an unsafe condition occurs. However, trips can malfunction and shutdown the plant when not required – this impacts the reliability. One way of getting around this is to decide whether a certain trip function would impacts your reliability if it were to activate spuriously. If so, a 2 out of 3 (2oo3) voting system can be used, such that three independent transmitters are used to monitor a parameter, if 2 out of 3 register an unsafe condition then the trip activates, if only one sees an unsafe condition the trip doesn’t activate. Look out for common mode failures – if you need two check non-return valves in a line to reduce a safety relief case, spec them to be different models/manufacturers. 

Design Pressure and Temperature: For each item of equipment you specify you must be

sure that it will be suitable for the maximum temperature and pressure of the system. This will be the design temperature and pressure. For example the design temperature and pressure for carbon steel pipe is 19.6 barg at –29°C. Any carbon steel components you specify must be operating at temperatures above –19° and below pressure of 19.6 barg. You must make sure that any equipment connected to higher pressure systems via such things as control valves are protected from the higher pressure should the control valve fail open using a safety valve. 

Valves: There are many different types of valves and you need to understand how each one

responds when opened to choose the correct one for your process. For example, a valve with an equal percentage characteristic gives a large percentage of maximum flow for a small percentage opening. A linear characteristic will will give the same percentage flow for percentage opening. This can be important when you are considering control valve applications. How do British Chemical Engineering Contractors Association

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you want the valve to respond? A big change in flow for a small change in opening or vice versa? Valves have plugs in them; this is what seals the flow in the pipe. They are not necessarily made from the same material as the body of the valve. If you have a process which contain corrosive materials you must specify that certain materials, particularly elastomer which are used in O-ring seals are not suitable. 

t hat you have to t o pump or compress Pressure Drop: All pressure drop costs money, it means that

fluid to a higher pressure than required to overcome pressure drop and this costs power. Hints on keeping pressure drop low: o

o

o

Try to minimise the number of bends, t-pieces and other fittings in a line. You can check the relative pressure drops of fittings using the equivalent length method found in most text books Aim for a pressure drop of around 5psi/1000ft on long runs such as pipelines Try to run your process at as low a pressure as you can, this may be hard as a reaction may require a high pressure to get the required yield. There is normally a trade-off between power and production. Try to make the correlation if you can, you may find power is more expensive than the additional product you will make.


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Exercise 3: P&ID Development You have been given a partially developed P&ID, process description and P&ID development guidance hints sheet. The partially developed P&ID should give you a taster of the different engineering aspects that are involved in the P&ID development: materials selection, line sizing, control sequencing, emergency shut downs, utility lines... etc. The P&ID should be treated as a work in progress document and not as a completed P&ID. As a group review these and continue developing the partially developed P&ID following f ollowing the P&ID development guidance hints to help you identify seven missing elements.

Process Description 

A mixture mixture of oil, oil, gas and water is driven driven by the high pressure (~150barg) into three phase separator V-101. o



Water is separated from the bottom of V-101 and taken to water processing for injection back into the well and use in coolers. o



The water level in V-101 is also maintained maintained to facilitate oil/water oil/water separation.

Gas section o

o

o



The pressure should be reduced before entering V-101 for safety reasons.

Gas leaves the top of V-101 and is cooled in gas cooler E-101 to knock condensates out of the gas stream. The condensates and gas are separated in vertical separator V-102, with gas being sent to compressor K-101, and condensates to a downstream unit. Gas compressor K-101 increases the pressure of the gas stream, delivering product gas to onshore gas processing at product specs.

Oil Section o

o

o

Oil passes from the bottom of V-101, where the pressure is increased by pump P-101. P-101 pumps the oil through Cooler E-102, where it is cooled to product spec. The oil is then delivered delivered to onshore processing at product specs.

Vessel Operating Conditions:

Operating Pressure (barg) Wellhead V-101 V-102

Operating Temperature (DegC) 150 15 14


200 75 30

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Other equipment data:

E-101 E-102 K-101 P-101

Inlet Pressure Outlet Pressure Inlet Temperature Outlet Temperature (barg) (barg) (DegC) (DegC) 15 14 75 30 30 29 75 60 14 60 30 130 15 35 75 75


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P&ID development guidance hints There are 7 factors to consider when designing P&IDs. They fall under the following categories: 1. Operational issue 2. Materials of construction 3. Safety 4. Control 5. Operability Trip 6. Shutdown Isolation 7. Equipment cost saving There are missing elements on the partially developed P&ID that are related to each of these 7 factors. The items may be valves, control loops, trips, alarms etc. Your task is to identify them and draw them on the P&ID.

1. Operational issue In order to ensure condensation of impurities in the gas stream, the temperature of the gas entering V-102 must not exceed 35 deg C. This would affect the quality of the gas product being sent to customers which could lead to a breach of contract and financial penalties. What kind of measures and control can you put in place to avoid such a scenario? If the temperature does exceed 35 deg C, the operator must take immediate action. What measure can be put in place to ensure a timely response from the operator?

2. Materials of construction Determine what materials of construction should be used for the pipework between equipment items missing a pipe spec abbreviation. This should be based on design temperatures and pressures of equipment and pipe specifications detailed below. Annotate the P&ID with the abbreviation of the pipe spec that you have chosen on top of each line missing a pipe spec. Piping specification data:

Stainless Steel STD Stainless Steel 80S Carbon Steel STD Carbon Steel 80S

Design Pressure (barg) Design Temperature (DegC) Abbreviation SS STD 45 150 SS 80S 171 250 CS STD 13.2 200 CS 80S 19 200

Vessel design specifications:

Wellhead V-101 V-102

Design Pressure (barg) Design Temperature (DegC) 170 225 45 100 45 100


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Equipment design conditions:

Design pressure (barg) P-101 K-101 Cooling Water header LP steam header

Design temperature (DegC) 70 100 3 5

100 200 100 170

3. Safety The design pressure of V-101 is 45 barg. What safety instrument should be installed on the three phase separator to protect it if the control valve on the inlet line to V-101 were to fail?

4. Control The water level in V-101 needs to be kept within a certain range to ensure good separation of the oil and water. How can this be controlled?

5. Operability trip If the cooling water supply to E-101 were to fail, then the temperature of the gas stream to the flash vessel V-102 would increase to the point where it would be too high to condense impurities. This would prevent proper separation of the gas from condensable impurities, leading to poor quality gas which could incur a breach of contract and financial penalties. What emergency safeguard can you put in place to prevent out of spec gas from being sent to customers?

6. Shutdown Isolation In the event of a general plant shut down, what failure mode should FV-101 fail in? (fail open or fail closed?) Hints: Think about scenarios in which a valve should fail open for safety reasons. For example, if the supply of a product to a customer is safety critical: nitrogen blanketing of pyrogenic material to prevent auto ignition, cooling water supply to nuclear power plant reactor to prevent runaway reaction… Think about scenarios in which a valve should fail closed for safety reasons. For example, isolating reagents from one another to prevent uncontrolled reactions. Or isolating a product stream when the product is out of spec to prevent it from affecting the plant and product quality further downstream.

7. Equipment cost saving The liquid outlet of V-102 needs heating from 30 deg C to 50 deg C. Currently it is planned for this stream to be heated via a shell and tube heat exchanger with a low pressure steam supply.


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You want to reduce the number of heat exchangers to be bought for this project. Can you think of a way to save on equipment capital cost and utility cost? (Identify a heat source on the P&ID which could be used to heat V-102’s outlet stream ) Deliverable: 1. Marked up P&ID 2. Answers to the above questions


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Partially completed completed P&ID of the Oil, Water, Gas separation system. (Please note that this is not a fully developed P&ID and doesn’t contain all valves, drains, vents requir ed for operation and maintenance. It is a very basic representation to give an appreciation of the varied information that is represented on a P&ID.)

British Chemical Engineering Contractors Association www.bce www.bceca.org.uk ca.org.uk

28

Appendix 4: HAZOP – Hazard and Operability Study There are all sorts of safety issues with in the process industries: •Slip trips and falls •Process safety •Construction safety •Emergency planning

Poor safety costs lives and money. During the construction of a plant we can be lifting huge vessels, working at height, working in confined space, these dangers are controlled by permits to work. During plant operation we are worried about slips, trips and falls and process safety. HAZOP covers the process safety and operability operability by asking “What if?” The HAZOP is carried out when the P&ID’s are at a fairly advan ced stage and the control

strategy is developed. Picking up changes that need to be made at this stage in the design will save money later on. Changes during construction or commissioning cost more as reengineering has to be completed. It’s far easier to rub out a valve on a piece of paper than remove it once the plant is built. The HAZOP team is made up of around six people, any more than this and the meeting gets too crowded, any less than about four people and the technique doesn’t get the

brainstorming element that it requires. Aside from the chair and scribe, other team members can include engineers of different disciplines, plant staff, and maintenance staff, anyone who may have a useful input. To make the HAZOP easier and more systematic the flowsheets are split into nodes. Nodes can be as big or small as you like, but the smaller they are the simpler they are, but too many little nodes means that the team may lose interest and you may miss something. A suggested method is to use a piece of equipment to centre around and then make each feed and each product line from the equipment a node. Guidewords are used to add structure. Not all guidewords are applicable to all nodes; they

act as an aide memoir. A sample matrix is at the end of this section. When you are considering consequences remember to think about reliability and operability, as well as safety. The HAZOP is not the place to discuss solutions unless they are very simple. If there is no instant answer to the problem you have raised then minute it as an action. E.g. “consider how to purge line from reactor to distillation column”. Again, if you are not sure what a consequence is, then minute it as an action to find out, the HAZOP team then can decided whether it is an issue or not.

Exercise 4: HAZOP Hazard Review is an extremely important part of the design process. As a class you are going to complete a hazard review of a part of the process. Typically, two key positions are selected – a chairman to lead the HAZOP, and a scribe to take down all issues noted. It is important that you approach this as if it were a real review. We have provided you with a P&ID which focuses on the V-101 3 phase separator node. Remember, each node is considered separately and the other parts of the plant are in effect forgotten about whilst HAZOPing. Use the HAZOP matrix below provided to help you brainstorm as a group, and then share your thoughts with the rest of the class. Deliverables: 1. Marked up P&ID 2. Completed HAZOP of Node 1

Notes: 



The node in this exercise exercise have been kept small for the sake of simplicity – in a true HAZOP the entire gas/oil/water separation system may be considered a node for example. Not every node will use every guideword, and many nodes may have the same guidewords and consequences (for example E-101 and V-102 will have many overlapping dangers and consequences as they are intimately linked – hence why they may normally be considered one and the same node).

Flow

No

Less

More

As Well As

Reverse

No Flow

Low Flow

High Flow

Misdirected Flow

Reverse Flow

Low Temp

High Temp

Temperature Pressure

Open to atmosphere

Low Pressure

High Pressure

Level

No Level

Low Level

High Level

Maintenance

Inability to Maintain

Inadequate Maintenance

Vacuum

Additional effort to Maintain


Improper Maintenance

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Here is an example of how to split the PFD of the gas/water/oil separation system into nodes. For this exercise we will concentrate on Node 1.

P&ID to be HAZOPed

Focus on Node 1. This is a partially completed P&ID. There are a lot of safeguards missing. Carry out a HAZOP to identify these and complete the P&ID. We have provided you with a partially completed HAZOP. Your task is to finish completing it based on the above P&ID.

Partially completed HAZOP There are sometimes multiple causes for one deviation with multiple consequences however sometimes there is no consequence for a deviation.

Parameter

Deviation

Causes

Flow

No Flow

Blocked 3 phase inlet

Consequences

Safeguards

Recommendations

None High level alarm on oil side. High level trip which would close additional on/off trip valve on 3 phase inlet line. (SD1)

No Flow

High Flow

Varying 3 phase flow from oil well.

Increase in level and pressure inside of V-101

High Flow

Reverse Flow

None

None

Fit a flow meter and flow control valve on 3 phase inlet line.

None

Have a high pressure switch on V-101 that trips an emergency shut down valve on three phase inlet (SD2)

Pressure

No Pressure

Pressure valve on vapour outlet fails open.

High pressure

Vapour outlet pressure control valve fails closed (or a hand valve is closed).

Vacuum

System unexpectedly trips and all inlets and outlets fail closed.

Pressure in V-101 would drop. Water and oil at high temperature would vapourise and carry over in the vapour outlet. The downstream heat exchanger might struggle to cope with the increased cooling demand and this could affect the quality of the gas being sent to customers.

Pressure relief valve.

V-101 which is full of hot oil, water and vapour will start cooling down, condensing all the vapour. As vapour condenses, pressure will drop which could potentially cause a vacuum.

None.

British Chemical Engineering Contractors Association www.bceca.o www.bceca.org.uk rg.uk

34

Temperature

Level

Maintenance

Low Temperature

System trip or general shut down with very low ambient temperatures. (up to -50 °C)

High Temperature

None

High Level

3 phase inlet contains significantly more water than oil.

Low Level

3 phase inlet valve fails closed

Inability to maintain

Routine maintenance to be carried out on PSV

Lines could freeze and potentially crack.

Poor overflow of oil over weir. Potential for water to overflow over weir, contaminating oil outlet.

None.

Interface level sensor in water side with high level alarm when the interface level gets too close to the weir height.

None

V-101 has to be put offline which could interrupt gas and oil supply to customers for a long period of time in breach of contract.

Low level alarm on water side and ESD valve on low interface level on water outlet.

None.


35

Additional effort to maintain

V-101 water outlet blocked due to build-up of sand and well residue.


36

Appendix 5: Purchasing Purchasing is one of the most important steps in the procurement cycle of a project. Procurement is defined as: ‘Activities pertaining to the acquisition of goods or services from an external source.’ This will include a range of activities alongside purchasing. The task of purchasing is focused on the acquisition of goods and services for projects. Purchasing often represents a huge portion of the costs for a project and it happens early on in the procurement cycle. Many different disciplines have a stake in the process for different reasons: The purchasing procedure can be broken down into 4 key steps: 1.

Define

Before inviting suppliers to bid on work, it is very important that what is required is accurately defined. This will involve a Scope of Supply Document and will include (amongst other things): a. Required Delivery/Installation dates. b. Information on delivery points. c. Documentation & language requirements. d. Standards & codes to be met. e. Operating requirements e.g. performance, testing & warranty. 2. Invite

Invite suppliers to bid on this scope of work. 3. Evaluate and Negotiate

When comparing and evaluating bids it is important to make sure you are comparing like for like. It is particularly important to make sure the supplier is providing: a. The right goods / services. b. Of the right quality. c. At the right time. d. In the right place. e. For the right price. f.

And with the right supporting documentation.

4. Award and Manage

Once the most suitable bid has been selected, a Purchase Order (PO) will be issued, which is a: ‘Legally ‘Legally binding agreement agreement for the supply of goods or services in return for an agreed payment.’ payment.’ As such, the purchasing process is implemented implemented meticulously in i n order to protect the company, its stakeholders and suppliers.

Exercise 5: Purchasing In this exercise students need to decide which compressor they are going to purchase. Students must first identify a suit able compressor from each each vendor’s offerings. Based on the ‘specification’ that the compressor must: 

Be able to pump at 20m3/min.



Pump at a pressure of 10 bar.



Be manufactured, delivered and installed within 6 months to meet the scheduling requirements.

Further information that will be required throughout the exercises: 

Electricity Cost: £0.1735 per kWh



Currency Exchange Exchange Rate: 0.88 £/Euro £/Euro and 0.71 £/$



Number of operational hours per year is 8000.

Question 1: Fill in the below table with the model numbers from each company that match these requirements. Follow the calculation steps on the next page to fill in the table. Determine which company offers the best deal.

Comp-Pros

ImpressaCompressa

USA Compressors

Model Capital Cost Installation Costs Total Installed Cost Total Installed Cost in £ Power requirement (shaft power, kW) Total Operating Costs (over 10 years) Total Cost (Total Installed Cost + Total Operating Cost)


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Question 1 calculation steps: 1.

Identify which compressor from each company will be suitable for the given requirements.

2.

Note the capital cost for each machine.

3.

Calculate installation cost of each machine based on chosen delivery option.

4.

Calculate the Total Installed Cost (Capital Cost + Installation Costs) for each machine.

5.

If required, apply a currency conversion to obtain the total installed cost in £.

6.

Identify power requirement for each machine.

7.

Using the power produced figure for each compressor chosen, you can work out the total cost of electricity required to power each machine. Note that this figure will not need to have a currency conversion applied as the electricity is sourced from the UK!

8.

Add the Total Installed Cost and the Total Operating Cost for each compressor to find the total cost over 10 years.

Question 2: Euro collapses in value and now £1 buys €1.50. Which compressor would you now choose?

Question 3: The project timeline is not as demanding as it once was and the compressor now needs to arrive within 8 months instead of 6. Which compressor would you now choose?

Question 4: USA Compressors modifies their product delivery options to include a delivery option within 6 months that costs 35% of the Total Capital Cost. In response, Impressa-Compressa slashes its installation costs for every delivery option by 50%. Which compressor is best value now?

Question 5: The cost of electricity on site has been reduced due to wholesale energy prices falling. It’s now only £0.14 per kWh of electricity. Still assuming a 10 year compressor life, which compressor would be best now?

Question 6: What other factors would you consider when purchasing a compressor? What would make you chose one vendor over another for a similarly priced compressor?


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CompP ros Te ch nolog yLtd

P roduct Spe ci fi cations ns -20 1 5/ 1 6 1

Comp-Pros Technology Limite d is a speciality compressor vendor based in the heart heart of Yorkshire, UK. We pride ourselves on being able to deliver a product suitable for a wide variety of commercial l needs. Our experienced experience d workshop workshop can manufacture, deliver and install any compressor compressor in a market-leading market -leading timeframe.

2 3 4 5

Model ID Model Model Model Model Model

90 Performanc e 90 Max 90 Turbo 90 Ult ra 90 Ult ra-II

Power FAD kW HP m 3/min 90 120.7 16. 7 90 120.7 15. 4 90 120.7 13. 8 90 120.7 12. 9 90 120.7 11. 4

W ork ing Pres s ure c fm bar g ps i g 591 8 100 545 9 115 488 10. 5 135 457 11. 5 150 403 13. 5 180

Capital Cost £ £ £ £ £

£ 720,000 810,000 945,000 1,035,000 1,215,000

Model Model Model Model Model


110 110 110 110 110

147.5 147.5 147.5 147.5 147.5

20. 4 18. 6 17. 1 16. 1 14. 2

722 658 605 570 503

8 9 10. 5 11. 5 13. 5

100 115 135 150 180

£ £ £ £ £

880,000 990,000 1,155,000 1,265,000 1,485,000



130 130 130 130 130

174.3 174.3 174.3 174.3 174.3

25 22. 7 20. 5 19. 3 17. 3

885 803 725 683 612

8 9 10. 5 11. 5 13. 5

100 115 135 150 180

£ £ £ £ £

1,040,000 1,170,000 1,365,000 1,495,000 1,755,000

6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25



150 150 150 150 150

201.2 201.2 201.2 201.2 201.2

28. 3 25. 9 23. 6 22. 7 20. 8

1002 917 835 803 736

8 9 10. 5 11. 5 13. 5

100 115 135 150 180

£ £ £ £ £

1,200,000 1,350,000 1,575,000 1,725,000 2,025,000

26 27 28 29 30 31 32

Total Install Install ed Cost Cost (including deli very costs costs))

33

W ithin 4 months W ithin 6 months W ithin 8 months W ithin 10 months

34

15% 13% 11% 10%

of c apital of c apital of c apital of c apital

c os t c os t c os t c os t

35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54

Limited. This document is the co pyright pyright of Co mp-Pros Technology Ltd (Comp-Pros) and may not be copied in whole whole or in part without without t he © Com p-Pros T echnology Limited. written written consent o f Co mp-Pros. The information co ntained ntained in this document is co nfidential nfidential and may be used only for the purpose purpose fo r which which it is supplied supplied by Comp-Pros. This document and all copies must be returned returned to Co mp-Pros o n demand. demand.


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40

Product Specifications - 2015/16

Impressa-C Impressa-Compressa ompressa Ltd

1

Impressa-Compressa is a manufacturer manufactur er of high high quality, efficient compressors compressors from fr om a state -of-the-art facility in Munich, Germany. G ermany. Our compressors are designed designed to the highest highest standards st andards and come with a 10 year guarantee guar antee and full warranty. warrant y. Please do not hesita te to talk to us about your process requirements. r equirements.

2 3 4 5


80 A 80 B 80 C 80 X 80 Y

Power FAD 3 kW HP m /min 80 107.3 16. 9 80 107.3 15. 6 80 107.3 14 80 107.3 13. 1 80 107.3 11. 6

Working Pressure bar g ps i g 7 87.5 8 115 9 135 9.5 150 10 180

Capit al Cos t

c fm 598 552 495 464 411


105 A 105 B 105 C 105 X 105 Y

105 105 105 105 105

140.8 140.8 140.8 140.8 140.8

20. 6 18. 8 17. 3 16. 3 14. 4

729 665 612 577 510

7 8 9 9.5 10

87.5 115 135 150 180

€


130 A 130 B 130 C 130 X 130 Y

130 130 130 130 130

174.3 174.3 174.3 174.3 174.3

25. 2 22. 9 20. 7 19. 5 17. 5

892 810 733 690 619

7 8 9 9.5 10

87.5 115 135 150 180

€

6 €

€ € € € €

504,000 576,000 648,000 684,000 720,000

7 8 9 10 11 12 13

€ € € €

661,500 756,000 850,500 897,750 945,000

14 15 16 17 18 19

€ € € €

819,000 936,000 1,053,000 1,111,500 1,170,000

20 21 22 23 24 25


155 A 155 B 155 C 155 X 155 Y

155 155 155 155 155

207.9 207.9 207.9 207.9 207.9

28. 5 26. 1 23. 8 22. 9 21

1009 924 842 810 743

7 8 9 9.5 10

87.5 115 135 150 180

€ € € € €

976,500 1,116,000 1,255,500 1,325,250 1,395,000

26 27 28 29 30 31 32


33

W ithin 4 months W ithin 8 months W ithin 12 months

34

20% of ins t alled c os t 15% of ins t alled c os t 10% of ins t alled c os t

35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54

Impressa-Com pressa Limited. Limited. This document is the copyright of © Impressa-Com

Impressa-Compressa Impressa-Compressa Limited (Impressa-Compressa) (Impressa-Compressa) and may not not be copied in whole whole or in part without the written written co nsent of Impressa-Compressa. Impressa-Compressa. The information c ontained in this document is co nfidential nfidential and may be be used only for the purpose fo r which which it is supplied supplied by Impressa-Compressa. Impressa-Compressa. This doc ument and all copies must be returned returned to Impressa-Compressa Impressa-Compressa o n demand.


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USA Compressors Ltd

Product Specifications Specifications - 2015/16 2015/16

1

USA Compressors Compressors are the market leading compress compressor or experts in North America. We strive strive for excellence in in our machines and aim to deliver a superior product to our competitors. Customer value is our number one focus - let us show show you why we are number 1!

2 3 4 5


135 - Ty pe II 135 - Ty pe II 135 - Ty pe X 135 - Ty pe RX 135 - Ty pe XXX

Power kW 100 100 100 100 100

HP 135 135 135 135 135

FAD 3 m / mi n 16. 8 15. 5 13. 9 13 11. 5





W ork ing Pres s ure bar g ps i g 9 112.5 10 115 11 135 12 150 13 180

c fm 595 549 492 460 407

125 125 125 125 125

168 168 168 168 168

20. 5 18. 7 17. 2 16. 2 14. 3

725 662 609 573 506

9 10 11 12 13

150 150 150 150 150

202 202 202 202 202

25. 1 22. 8 20. 6 19. 4 17. 4

888 807 729 687 616

9 10 11 12 13

Capit al Cos t $ $ $ $ $

$ 765,000 850,000 935,000 1,020,000 1,105,000

112.5 115 135 150 180

$ $ $ $ $

956,250 1,062,500 1,168,750 1,275,000 1,381,250

112.5 115 135 150 180

$ $ $ $ $

1,147,500 1,275,000 1,402,500 1,530,000 1,657,500

6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25



175 175 175 175 175

235 235 235 235 235

28. 4 26 23. 7 22. 8 20. 9

1005 920 839 807 740

9 10 11 12 13

112.5 115 135 150 180

26

$ $ $ $

1,487,500 1,636,250 1,785,000 1,933,750

27 28 29 30 31 32


33

W ithin 8 months W ithin 10 months W ithin 12 months

34

15% of ins t alled c os t 13% of ins t alled c os t 10% of ins t alled c os t

35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54

pyright of USA Co mpressors Limited (USA (USA Co mpressors) and may not not be co pied in whole whole or in part without the written written © USA Compresso rs Ltd. This document is the co pyright consent o f USA Co mpressors. The information co ntained ntained in this document is confidential and may be used only for the purpose for which it is s upplied upplied by USA Compresso rs. This document and all copies must be returned returned to USA Com pressors o n demand. demand.


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Appendix 6: Construction and Commissioning This group is responsible for: •Constructability/layout •Construction strategy •Contractor control •Resources and training

What happens on site and in what order? Civil construction - Foundations & piling Services - Water/power/instrument air Vessels/machines bolted down Pipework installed & blown out if necessary Cables installed Lubricants/catalysts loaded Control system installed Alarm and trip settings installed Before commissioning can start the plant has to be checked line by line to ensure it has been built as per the design. Other issues also have to be looked at. Do we have the correct insurance documents in place to start the plant? Are the commissioning and start-up procedures in place? Are our neighbours aware of what is happening? We may vent more than normal, will this cause them a problem?


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Appendix 7: BCECA Member Company Information


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BCECA Industry Day Student Handbook Updated 260218.pdf

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