OEGEW Conference presentation Challenges in Oil Movements in a globalising world

Transcription

1 OEGEW Conference presentation Challenges in Oil Movements in a globalising world Peter de Kleine Global Manager Oil Movements, Crude, Product Quality and Residual Fuel Oil Shell Global Solutions International b.v. The Hague, The Netherlands

2 What are Oil Movements Challenges in a globalising world? = Storage and handling of refinery feedstock and products Some important challenges: -Safety incidents in the industry -Environment (US California) -Risk to your Product Quality reputation (improved global communication) -Bio fuels implementation (not standardised and many countries mandating introduction) -Etc. 2

3 A note on Globalisation Competition gets stronger Communication tools get better Refinery knowledge is available Therefore Need to Organise Standardise Share information 3

4 Globalisation cont d We are building groups of Shell companies in global networks We share information on - Safety incidents, learnings, near misses - Product Quality incidents, learnings, near misses - How to measure performance of Oil Movements - Product Quality Giveaway management 4

5 Globalisation cont d How do we do this? Global Coordination R&D US network EU network East network 5

6 Risk to your Product Quality The challenge is to meet customers expectation while not giving away margin How can you manage/assess Product Quality? - Refinery processing unit Product Quality assessments - Refinery Oil Movements Product Quality assessments (as part of Oil Movements Master Planning) - Lab performance mgt/reviews - Blending optimisers - Product release strategy/ NIR release - Supply chain Product Quality assessment - Product Quality giveaway mgt - Training UOM Selection Blend Rule Selection - Default (1) is recommended Distillation Sheet User Quality OR Calculated Values Product Specification Selection - Library or Custom Price (Calc & Over ride) Demand Navigator Toolbar Weight or Volume Unit of Sales (UoS) 6

7 Refinery processing unit Product Quality assessments Assessment of risks in various processing steps in the refinery with the aim to manage Product Quality risks in the final product/components Example of assessment of process unit 7

8 Oil Movements Master Planning History: What has been done? What has changed? Future: What has to be done? What will change? Developing the MP Performance Assessment Benchmarks KPIs Other Audits TOR Feed Import and Handling System Product Delivery Systems Product R/D and Blending System PQ Mgt Environment Metering/Loss Autom/Control Validate Implementation EXECUTE - prioritise - resource - time plan REVIEW AND UPDATE 8

9 Product release policy to specify gaps 1, 2, 3 National Spec. Customer Spec Release Spec. Actual Average Quality Distribution of possible test results over a period of time. Gap1Gap2 Gap3 9

10 Margin setting Gap 1: Specification margin (Customer - National spec) set by Retail or Commercial considerations? Gap 2: Release margin set as a Constant * Reproducibility of the test method Gap 3: Blend margin (Actual Average Release) Blend target: Usually between Actual Average and Release spec. Takes into account a certain confidence that product will be on spec, operating variability and acceptable reblend rate (target may vary depending on stock / demand situation) 10

11 Benefit of Quality Measurement Instrumentation (QMI) Release QMI release multi lab ref sample testing single lab analysis inaccuracy: possible deviation between measured and "true" value spec QMI release lower inaccuracy lower safety margin at the same risk less quality give-away risk lab release 11

12 NIR system Components + Improvement loop Data base Calibrator Specification Performance targets Models Product Quality Management team NIR focal point Quality Assurance Quality Control NIR system Measurements Product Product Certification Certification 12

13 Product Quality Giveaway management Blend Performance spec blend target Octane

14 Octane Quality giveaway in engineering units (asterisk * indicates RON, others MON) Loss of operational attention Implementation QMI release Improved focus * 1 2* 2 3 4* * 7 8* 9 10* Q03 2Q03 Max. allowable give-away target lab release Max. allowable give-away target QMI release 14

15 Supply chain Product Quality assessment Assessment of risks of delivering product to customers not meeting the Quality expectations - Over various steps in the supply chain - By competence element in each step Refinery Process Viscocity@ 40deg C Cloud Pt CFPP Sulphur Conventional Analyser Density Distillation Cetane Number Flash Pt QMI NIR Measurement Static Mixer REFINERY Diesel Diesel Diesel 10ppm 10ppm 10ppm Q Q Q Diesel 10ppm Q Q : Full test Q : Contamination test Diesel 10ppm Q Pipeline EU3 : Refinery to Depot : Diesel Supply Chain Refining Shore Tank Loading at refinery Ship Loading Refinery Ship VoyageShip Discharge Receipt and (Jetty to Depot Handling at Tank Farm) Depot Units Manual Sampling once/day Conductivity Improver Injection CFPP Improver Injection Lubricity Additives Refinery Laboratory DEPOT Pipeline Additivation Q Q Q Q Diesel Diesel Diesel Diesel 10ppm 10ppm 10ppm 10ppm Barge Truck Heating Oil from Tank Farm Gasoline Storage Tanks Heating Oil Storage Tanks from Tank Farm Additive Injection (End Point) Road Truck Composite sample from each compartment tested for Density. BARGE VOYAGE THROUGH RIVER RHINE To a traffic light overview per supply chain 1 Hardware 2Operational Procedures 3Sampling & Testing 4 Training 5 Competence 6Documentation Diesel Road Truck 10ppm RME Injection (5% max) only during RMR transfer Q Rail Tanker Barge Truck Line clearance after product discharge Samples are taken from 3 compartments of barge and composited for testing Flash Pt, Density and Appearance before product discharge. 15

16 Conclusion Product Quality management can provide a competitive edge on: Reputation in the market Margin giveaway The tools to ensure good performance are not complex 16

17 The future The challenges one faces in Oil Movements will only increase (Safety, Environment, Product Quality and Bio Fuels) Be prepared for those challenges 17