Steam cracking: Ethylene production - …

1 Steam cracking: Ethylene productionEngineering and Technologies 22 Technip ProfileListed on Euronext Paris Revenues: billion euros in 200723,000 people worldwideOne of the five world leaders in engineering, technology and projectmanagement for oil and gas, petrochemical and other industriesConfirmed leadership and proprietary technologies in 3 business segments: Offshore OnshoreSubseaEngineering and fabrication offixed platforms for shallow waters(TPG 500, Unideck ) Engineering and fabrication offloating platforms for deep waters(Spar, semi-submersible platforms,FPSO)Leadership in floatovertechnologyManagement of constructionyardsGas treatment and liquefaction(LNG), Gas-To-Liquids (GTL)Oil refining (refining, hydrogenand sulphur units)Onshore pipelinesPetrochemicals ( Ethylene ,aromatics, olefins, polymers,fertilisers)Biofuel and renewable energiesNon-oil activities (pyrotechnics,life sciences, metals, buildings andinfrastructures)

2 Design, manufacture and supplyof deepwater flexible and rigidpipelines, umbilicals and risersystemsSubsea construction and pipelineinstallation servicesFive state-of-the-art flexible pipeand umbilical manufacturing plantsFive spoolbases for reeledpipeline fabricationA constantly evolving fleetstrategically deployed in the world'smajor offshore marketsBrindisi - ItalyHHHCCH3 ETHYLENET echnip is a world leader in Ethylene Technology for both grassrootsplants (including mega-crackers) and plant hasdesigned over 500 crackingfurnaces. Since the year 2000,Technip hasdesigned andimplemented7 Mtpa of ethyleneproductionrepresenting 30% of total leader in the Ethylene businessETHYLENE IN OUR DAILY LIFEE thylene, the simplest of olefins, is used as a base product for many syntheses inthe petrochemical industry: plastics, solvents, cosmetics, pneumatics, paints,packaging etc. Today, the demand for Ethylene is over 125 million tons per year with a growthrate of per year.

3 The average capacity of production plants, known as Steam -crackers, has risen from 300 KTA in the 1980's to over 1,000 KTA FOR MEGA-CRACKERSS ince the late 1990's, Technip has strengthened its leading position in the marketfor mega-crackers used for Ethylene production . Most recent achievements include:A large 1,000 KTA grassroots plant, started up in 2007 The world's largest plant (1,400 KTA) on mixed feed, started up in early 20084 grassroots facilities under construction in 2008 including 2 large mega-crackersin Qatar and Saudi Arabia, with a capacity in the range of 1,300 KTA each8 large capacity furnaces in ThailandCENTERS OF EXCELLENCET hanks to its highly qualified process engineers and technicians, Technip hasacquired sound technological expertise and has the ability to design and developproprietary centers of Ethylene expertise based in California, the Netherlands, Italy andFrance, supported by a global procurement network, place Technip one step aheadof the competition and make it the partner of choice for any Ethylene - Kingdom of Saudi Arabia4 ETHYLENEP roprietary furnacetechnologiesSMKTMCOIL TECHNOLOGY FOR GAS FEEDST echnip's SMKTM technology has become the preferred choice of various ethy-lene producers for cracking gas feeds.

4 It is applied in new, large capacity furnaces. Since the end of the 1990's, Technip's SMKTM technology has been installed in 88furnaces, delivering a capacity of million tons per year equivalent to 10% ofcurrent world Ethylene production COIL TECHNOLOGY FOR LIQUID FEEDST echnip's GK technology is applied for liquid feed in new furnaces and for themodernization of existing furnaces. It allows operation on a range of feedstocksfrom naphtha to heavy oils, with high selectivity and long on-stream time. Since the year 2000, Technip's GK6 technology has been applied in 66 furnaces,delivering a production capacity of million tons per , the largest capacity SMKTM furnace is 220 KTA and the largest capacity GK6furnace is 150 KTA. However limits of this technology have not yet been TECHNOLOGYIn the future, plant capacitites are expected to grow beyond 2,000 KTA requiringeven larger capacity furnaces.

5 Technip is ready for these large size furnaces withthe ULTRAFUR technology which integrates decades of its proven proprietary technologies,Technip provides plant operators withethylene facilities that are reliable easy tooperate and maintain, resulting in a veryefficient, cost-saving, olefin unitwith the lowestenvironmentalemission furnace technologiesSPYRO FURNACE DESIGN AND OPTIMIZATIONSOFTWARESPYRO simulates the pyrolysis reactions of the cracking process inside the radiantcoil of an Ethylene furnace together with the complete furnace model. It is appliedfor feedstock selection, process scheduling and production optimisation. It allowsaccurate prediction of yield patterns for feed stocks ranging from gases to heavy(or treated) gas oils at all current operating large number of Ethylene plants run on-line control and optimization systemswith a SPYRO programme embedded in their system software.

6 SPYRO can alsobe applied for stand-alone DETERMINING FACTOR IN PLANT CONFIGURATIONAND REVAMP SCENARISPYRO provides detailed information on yields and furnace availability whichcan also be used to set up revamp scenari for the furnace and downstream sectionsof the optimum design of large capacity GK and SMKTM furnaces, Technip appliesSPYRO linked with CFD (Computational Fluid Dynamics), enabling the best designof burner arrangement, cracking coil layout and flue gas is Technip'sproprietary modelfor Steam -crackingyield prediction andcomplete furnacesimulation of eithergas or liquidfeedstock. Since itsintroduction in 1978,SPYRO has beenadopted by 80% ofethylene - Assaluyeh6 ETHYLENEP roprietary separation technologiesACETYLENE ELIMINATIONE thylene plant operators aim at a very pure output from Steam crackers: , with a very low content (below 1ppm) of extremely reactive moleculessuch as acetylene.

7 To achieve this, Technip has developed a sophisticated sequence of separationand purification of the high value products in the Steam methods of acetylene elimination are currently implemented:Front-end hydrogenationcoupled with either front-end deethanizer or front-end depropanizer is available for gas or liquid crackers. This technology is beingapplied in the plant currently under construction in Kuwait. Back-end hydrogenationcoupled with front-end demethanizer is applied foreither gas or liquid crackers. The technology is applied in the plants under construc-tion in Qatar and in Saudi both of these technologies, current equipment limits the maximum capacityof each unit to approximately 1,800 KTA of 's progressive separation technology reduces energyconsumption thereby lowering CO2emissions. This technology isavailable for all types of acetylene separation separation technologiesT-PAR : TECHNIP-PROGRESSIVE ACETYLENE REMOVALT-PAR is a new process developed and patented by Technip.

8 Tests performedwith proven catalysts have been successful. This process combines the advantages of the Front-End and Back-End hydroge-nation technologies: safety with no run away of the chemical reactionsreliability with low sensitivity to variations of the operating conditions andimpuritiesoperabilityreduced maintenancereduced power consumptionpredicted savings on investments of 5 to 8%possibility of reaching up to 2, 000 KTA per complements the Group's technological portfolio. Technip can fulfil the needs of its customers in the ethylenefield providing very competitive alternative portfolio of technologies enablesTechnip to provide the best adaptedsolution for each execution: the Technip wayThere are several challenges inherent in the execution of Ethylene complexes. The ever-increasing scale of the equipment, piping and structures makes it neces-sary to develop new concepts and ensure close teamwork with suppliers.

9 THE TECHNIP OFFERT echnip has the process expertise and resources to serve the industry throughits network of provides the full scope of services starting from Licensing through to EPCprojects and full Lump Sum Turnkey project responsibility. This also includes thesupply of proprietary technology, start-up capabilities for the olefins plant, itsancillary units and associated off-sites and utility sections. Project services rendered:Financing Project managementFeasibility studiesConceptual designCost estimatingProject planning and schedulingLicensingFront-End Engineering and Design (FEED)Detailed engineering of equipment, piping, civil, instrumentation, electricaland automationProcurement including purchasing, expediting and inspectionConstruction Start-up servicesEnvironmental permittingHAZOP and HASANS afety studiesAssistance in Authority Approval and Permit proceduresWith its proprietarytechnologies,Technip is a majorplayer in theethylene businessand is one of thefew world-classgroups capable ofproviding integratedsolutions, fromconceptual designto turnkey designand construction ofethylene - The Netherlands9 ETHYLENEE thylene plant modernizationETHYLENE PLANT MODERNIZATION, CAPACITYEXPANSION AND REVAMP PROJECTSE thylene plant modernization projects vary in scope and size.

10 Existing crackingfurnaces, even if they originate from a recent generation, may be redesigned toincrease their Ethylene capacity by 20% to above 100% of original the same time, specific feed consumption is drastically reduced, thereby contri-buting to an attractive low cost of production per ton of incremental Ethylene . THE SYSTEMATIC APPROACH TO MODERNIZATIONThe Systematic Approach to Modernization developed and applied by Technipis a project oriented methodology which enables an in-depth evaluation of thetechnology options and project implementation scenari, leading to the mosteconomical capacity expansion of the existing Ethylene plant. With the applica-tion of the Systematic Approach to Modernization, bottlenecks in an existingplant are identified and prioritized so that a maximum return on a given invest-ment is is the worldleader in completemodernization ofexisting plants,including revamp ofthe cracking section,compression andseparation sections,Technip offers aunique provenapproach, appliedsuccessfully inseveral recentrevamp STEPS INVOLVED IN THE SYSTEMATICAPPROACH TO MODERNIZATION10 ETHYLENEThe successful execution of major projects reinforces Technip's position as a world leader in mega-crackersMAP TA PHUTIn late 2006, Technip was awarded a contract by Map Ta Phut Olefins for theconstruction of the furnace section of a Steam -cracker located in Map Ta Phut,Thailand.