Design S1 - Revision history

Jian: /* Appendix 10 */

2015-02-28T22:44:46Z

Appendix 10

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	Process Flow Diagram		Process Flow Diagram

	[[File: PFDFinal.jpg]]		[[File: PFDFinal.jpg\|1200px]]

	==References==		==References==

Jian: /* References */

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References

Jian: /* References */

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References

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	==References==		==References==
	[1] ~~"AIChE - Proceedings - Hydrogenation of Succinic Acid Using Ruthenium Nanoparticles Embedded Catalysts (2012 Annual Meeting)~~.~~" AIChE~~ - ~~Proceedings - Hydrogenation of Succinic Acid Using Ruthenium Nanoparticles Embedded Catalysts (2012 Annual Meeting). N.p., n.d. Web. 07 Feb.~~ 2014.		:Alibaba.com [Internet]. Hangzhou: Alibaba.com; c1999-2015 [cited 2014 Mar 3].

	~~[2] Besson~~, ~~Michele~~, ~~et al~~. ~~“Aqueous-Phase Hydrogenation of Biomass-Based Succinic Acid~~ to 1,4-~~Butanediol Over Supported Bimetallic Catalysts~~.~~” Published online: Springer Science+Business Media, LLC~~. 28 May ~~2010~~.		:Bhattacharyya A, Manila MD, inventor; ISP Investments Inc., assignee. Catalysts for maleic acid hydrogenation to 1,4-butanediol. United States Patent US 7935834 B2. 2011 May 3.

	~~[3] CATALYSTS FOR MALEIC ACID HYDROGENATION T0 1~~,~~4-BUTANEDIOL. ISP Investments Inc.~~, ~~Wilmington~~, ~~DE (US)~~, assignee. Patent US ~~7,935,834 B2. 3 May 2011~~. ~~Print~~.		:Budge JR, Attig TG, Pedersen SE, inventor; The Standard Oil Co., assignee. United States Patent US 6486367 B1. 2002 Nov 26.

	~~[4] Deshpande~~, R.M. ~~et al. “Tailoring~~ of ~~activity and selectivity using bimetallic catalyst in hydrogenation of succinic acid.” DuPont Company, Central Research and Development, Wilmington, DE~~, USA. ~~8 May 2002~~		:Chung SH, Kim MS, Eom HJ, Lee KY. Hydrogenation of Succinic Acid Using Ruthenium Nanoparticles Embedded Catalysts. Proceedings of 2013 AIChE Annual Meeting; 2013 Nov 6; San Francisco, USA.

	~~[5] "Gas Liquid Induction Reactor \| Gas Liquid Induction Reactors & Hydrogenators." Gas Liquid Induction Reactors Hydrogenators. N.p.~~, ~~n.d~~. ~~Web~~. ~~07 Feb~~. ~~2014~~.		:Deshpandea RM, Buwaa VV, Rodea CV, Chaudharia RV, Millsb PL. Tailoring of activity and selectivity using bimetallic catalyst in hydrogenation of succinic acid. Catal Commun. 2002 July;3(7):269–74.

	~~[6] Sigma~~-~~Aldrich~~, ~~United States~~. ~~Various Products~~. ~~Web. www.sigmaaldrich.com/united~~-~~states~~. ~~3 Mar 2014~~		:Ly BK et al. Effect of Addition Mode of Re in Bimetallic Pd-Re/TiO2 Catalysts Upon the Selective Aqueous-Phase Hydrogenation of Succinic Acid to 1,4 Butanediol. Top Catal. 2012 July;55:466-73.

	~~[7] Alibaba~~: ~~Manufacturers~~, ~~Suppliers~~, ~~Exporters & Importers~~. ~~Various Products~~. ~~Web~~. ~~www.alibaba.com~~. ~~3 Mar 2014~~		:Minh DP, Besson M, Pinel C, Fuertes P, Petitjean C. Aqueous-Phase Hydrogenation of Biomass-Based Succinic Acid to 1,4-Butanediol Over Supported Bimetallic Catalysts. Top Catal. 2010 Sep;53:1270-3.

	~~[8] Pinel, Catherine, et al~~. ~~“Effect of Addition Mode of Re in Bimetallic Pd-Re/TiO2 Catalysts Upon the Selective Aqueous-Phase Hydrogenation of Succinic Acid to 1,4 Butanediol~~.~~” Published online; Springer Science+Business Media~~, ~~LLC. 15 June~~, ~~2012~~		:Newmultifabengineers.com. Hydrogenator, Grease Kettle Manufacturers India–New Multifab Engineers Pvt Ltd–Hydrogenator, Grease Kettle Manufacturers from India [Internet]. Maharashtra: New Multifab Engineers Pvt Ltd.; c2015 [cited 2015 Feb 26]. Available from: http://www.newmultifabengineers.com/hydrogenator/.
	[9] ~~PROCESS FOR THE HYDROGENATION OF MALEIC ACID T0 1,4-BUTANEDIOL~~. ~~The Standard Oil Company, Chicago, IL (US), assignee~~. ~~Patent US 6,486,367 B1~~. ~~26 Nov~~. ~~2002~~. ~~Print~~.

	~~[10] Smith, R~~.~~, Varbanov, P~~. ~~“The Price of Steam”. Centre for Process Integration~~, ~~University of Manchester~~. ~~July 2005~~. www.~~cepmagazine.org~~. ~~Web~~. ~~3 Mar 2014~~.		:Orbichem.com. Chemical Market Insight & Foresight-On A Single Page 1,4-Butanediol [Internet]. Tecnon OrbiChem; c2004-15 [cited 2015 Feb 26]. Available from: http://www.orbichem.com/userfiles/CNF%20Samples/bdo_13_11.pdf.

	[11] ~~“Biobased Products: Succinic Acid” Biorefining Process Source~~. ~~Wisconsin Biorefining Development Initiative~~. ~~www~~.~~wisbiorefine.org. Web~~. 3 ~~Mar 2014~~.		:Sigmaaldrich.com [Internet]. St. Louis: Sigma-Aldrich Co. LLC.; c2015 [cited 2014 Mar 3].

	~~[12] “1~~,~~4-Butanediol”~~ Chem-~~Net Facts, Chemical Market Insight and Foresight~~. ~~Tecnon OrbiChem~~. www.~~orbiochem.com~~. ~~Web~~. ~~3 Mar 2014~~.		:Smith R, Varbanov P. What's the price of steam? Chem Eng Prog. 2005 July:29-33.

			:Wisbiorefine.org. Biobased Products: Succinic Acid [Internet]. Wisconsin Biorefining Development Initiative; c2004-10 [cited 2015 Feb 26]. Available from: http://www.wisbiorefine.org/prod/sacid.pdf.

Michaelgleeson2014: /* References */

2014-03-15T00:07:13Z

References

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	[8] Pinel, Catherine, et al. “Effect of Addition Mode of Re in Bimetallic Pd-Re/TiO2 Catalysts Upon the Selective Aqueous-Phase Hydrogenation of Succinic Acid to 1,4 Butanediol.” Published online; Springer Science+Business Media, LLC. 15 June, 2012		[8] Pinel, Catherine, et al. “Effect of Addition Mode of Re in Bimetallic Pd-Re/TiO2 Catalysts Upon the Selective Aqueous-Phase Hydrogenation of Succinic Acid to 1,4 Butanediol.” Published online; Springer Science+Business Media, LLC. 15 June, 2012
	[9] PROCESS FOR THE HYDROGENATION OF MALEIC ACID T0 1,4-BUTANEDIOL. The Standard Oil Company, Chicago, IL (US), assignee. Patent US 6,486,367 B1. 26 Nov. 2002. Print.		[9] PROCESS FOR THE HYDROGENATION OF MALEIC ACID T0 1,4-BUTANEDIOL. The Standard Oil Company, Chicago, IL (US), assignee. Patent US 6,486,367 B1. 26 Nov. 2002. Print.

	[10] Smith, R., Varbanov, P. “The Price of Steam”. Centre for Process Integration, University of Manchester. July 2005. www.cepmagazine.org. Web. 3 Mar 2014.		[10] Smith, R., Varbanov, P. “The Price of Steam”. Centre for Process Integration, University of Manchester. July 2005. www.cepmagazine.org. Web. 3 Mar 2014.

	[11] “Biobased Products: Succinic Acid” Biorefining Process Source. Wisconsin Biorefining Development Initiative. www.wisbiorefine.org. Web. 3 Mar 2014.		[11] “Biobased Products: Succinic Acid” Biorefining Process Source. Wisconsin Biorefining Development Initiative. www.wisbiorefine.org. Web. 3 Mar 2014.

	[12] “1,4-Butanediol” Chem-Net Facts, Chemical Market Insight and Foresight. Tecnon OrbiChem. www.orbiochem.com. Web. 3 Mar 2014.		[12] “1,4-Butanediol” Chem-Net Facts, Chemical Market Insight and Foresight. Tecnon OrbiChem. www.orbiochem.com. Web. 3 Mar 2014.

Michaelgleeson2014: /* References */

2014-03-15T00:06:47Z

References

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	==References==		==References==
			[1] "AIChE - Proceedings - Hydrogenation of Succinic Acid Using Ruthenium Nanoparticles Embedded Catalysts (2012 Annual Meeting)." AIChE - Proceedings - Hydrogenation of Succinic Acid Using Ruthenium Nanoparticles Embedded Catalysts (2012 Annual Meeting). N.p., n.d. Web. 07 Feb. 2014.

			[2] Besson, Michele, et al. “Aqueous-Phase Hydrogenation of Biomass-Based Succinic Acid to 1,4-Butanediol Over Supported Bimetallic Catalysts.” Published online: Springer Science+Business Media, LLC. 28 May 2010.

			[3] CATALYSTS FOR MALEIC ACID HYDROGENATION T0 1,4-BUTANEDIOL. ISP Investments Inc., Wilmington, DE (US), assignee. Patent US 7,935,834 B2. 3 May 2011. Print.

			[4] Deshpande, R.M. et al. “Tailoring of activity and selectivity using bimetallic catalyst in hydrogenation of succinic acid.” DuPont Company, Central Research and Development, Wilmington, DE, USA. 8 May 2002

			[5] "Gas Liquid Induction Reactor \| Gas Liquid Induction Reactors & Hydrogenators." Gas Liquid Induction Reactors Hydrogenators. N.p., n.d. Web. 07 Feb. 2014.

			[6] Sigma-Aldrich, United States. Various Products. Web. www.sigmaaldrich.com/united-states. 3 Mar 2014

			[7] Alibaba: Manufacturers, Suppliers, Exporters & Importers. Various Products. Web. www.alibaba.com. 3 Mar 2014

			[8] Pinel, Catherine, et al. “Effect of Addition Mode of Re in Bimetallic Pd-Re/TiO2 Catalysts Upon the Selective Aqueous-Phase Hydrogenation of Succinic Acid to 1,4 Butanediol.” Published online; Springer Science+Business Media, LLC. 15 June, 2012
			[9] PROCESS FOR THE HYDROGENATION OF MALEIC ACID T0 1,4-BUTANEDIOL. The Standard Oil Company, Chicago, IL (US), assignee. Patent US 6,486,367 B1. 26 Nov. 2002. Print.
			[10] Smith, R., Varbanov, P. “The Price of Steam”. Centre for Process Integration, University of Manchester. July 2005. www.cepmagazine.org. Web. 3 Mar 2014.
			[11] “Biobased Products: Succinic Acid” Biorefining Process Source. Wisconsin Biorefining Development Initiative. www.wisbiorefine.org. Web. 3 Mar 2014.
			[12] “1,4-Butanediol” Chem-Net Facts, Chemical Market Insight and Foresight. Tecnon OrbiChem. www.orbiochem.com. Web. 3 Mar 2014.

Michaelgleeson2014 at 00:06, 15 March 2014

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	[[File: PFDFinal.jpg]]		[[File: PFDFinal.jpg]]

			==References==

Sean Kelton: /* Technical Approach */

2014-03-14T20:27:19Z

Technical Approach

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	As mentioned above, this plant will produce technical grade BDO and GBL, but the THF stream will be treated as waste. Originally, attempts were made to purify the THF stream in order to sell it; this process produces approximately 5M kg/yr, and at a selling point of ~$3.00/kg, this would generate an additional $15M/yr in revenue. However, the stream containing THF also contains water and n-butanol. As shown in Appendix XX, THF and water have a pressure dependent azeotrope; Figures XX1 and XX2 show that the azeotrope can be broken by pressurizing the stream after initial separation and atmospheric pressure. However, the presence of n-butanol makes separation of THF and water impossible; butanol and water have a tight azeotrope that cannot be broken simply by pressurizing the stream. Instead, absorption or ion exchange must be used to purify the stream. After extensive efforts were made to purify the THF, it was decided that the undertaking would not be profitable. In future iterations of this project, redoubled efforts would be made to force separation of THF to generate large revenues.		As mentioned above, this plant will produce technical grade BDO and GBL, but the THF stream will be treated as waste. Originally, attempts were made to purify the THF stream in order to sell it; this process produces approximately 5M kg/yr, and at a selling point of ~$3.00/kg, this would generate an additional $15M/yr in revenue. However, the stream containing THF also contains water and n-butanol. As shown in Appendix XX, THF and water have a pressure dependent azeotrope; Figures XX1 and XX2 show that the azeotrope can be broken by pressurizing the stream after initial separation and atmospheric pressure. However, the presence of n-butanol makes separation of THF and water impossible; butanol and water have a tight azeotrope that cannot be broken simply by pressurizing the stream. Instead, absorption or ion exchange must be used to purify the stream. After extensive efforts were made to purify the THF, it was decided that the undertaking would not be profitable. In future iterations of this project, redoubled efforts would be made to force separation of THF to generate large revenues.

			===Process Description===

			There are three main component of our process: pre-treatment, reaction and separation. See Appendix 15 for a detailed PFD of the process to reference.

			===Pre-treatment Phase===

			In the pretreatment phase of our process we bring all of the components to the correct conditions in order to be fed into the reactor. For example the 50% succinic acid in water feed in pumped to a pressure of 3250 psia and then heated to about 160oC, which are the operating conditions of the gas-liquid induction reactor used in the process. The operating temperature is relatively low in order to promote selectivity toward BDO and prevent other side reactions. At higher temperatures the hydrogenation of succinic acid continues past BDO and creates unwanted products. See Appendix 14 for the full reaction scheme of this process. At this point the feed can be mixed with a recycled steam coming off of our second gas-liquid separator, which is composed of water, BDO and BGL. It was advantageous to combine these two steams entering the reactor because the recycle stream saves excess water that was separated out before the final product and further dilutes the succinic acid concentration, for stabilization purposes, within the feed stream. Furthermore, the excess BDO that is filtered out and would be lost is recycled back into the system to improve the system recovery. Finally the GBL can be further reacted in the presence of hydrogen in order to form BDO, or once again recovered at the end of the process to be purified and sold rather than wasted. Of course the recycled stream must be pressurized and heated to the correct conditions as well, however, we first cool the recycle stream to form a liquid so that it can be pumped to the correct pressure of 3250 psia (rather than compressed as a gas, since compressors are much more expensive) and finally heated back to a temperature of 160oC.
			On the other side of the GLIR the hydrogen feed enters the process. Hydrogen purchased at 3000 psia is compressed to 3250 psia and then mixed with recycled hydrogen coming off the top of our first gas-liquid separator. The hydrogen from the top of the separator is split so that some is purged while the rest is recycled (still at high pressure) and mixed with the newly purchased hydrogen. It was necessary to recycle hydrogen because it is such an expensive input, and used in major excess to simply sending all of it out in the purge to a flare would be very wasteful. In future iterations of the project, the energy created from hydrogen burned off at a flare should be captured and used in the heat exchange network (explained later). The mixed streams, still at high pressure, are then heated to 160oC and fed into the reactor.

			===Reaction Phase===

			The reaction is to take place in a gas-liquid induction reactor, GLIR for short. The GLIR was chosen because it is best suited for multi-phase gas-liquid reactions. In particular the GLIR has special safety features to ensure worker’s safety under intense operating conditions, such as the high pressure used in our reactor, or when the reactant gas is highly combustible, as hydrogen is in our case. Additionally, GLIR’s are known for their complete utilization of the gas feed and great recovery specs with few losses, which is important for an expensive input feed. In our case, hydrogen can cost upwards of $7/kg and so this is a worthwhile investment. The GLIR will be a sort of fluidized bed reactor holding the catalyst with the liquid feed being pumped through downward as the gas bubbles through the liquid upward while an impeller stirs the mixture to increase contact times. Using a catalyst composed of a combination of Pd/Re/Ag/Na, typical for a hydrogenation process, high conversion of succinic acid and selectivity toward BDO can be achieved. Adding Fe to the catalyst has been shown to further increase conversion of succinic acid and selectivity toward BDO and so that will be done as well. Using a 0.4% Fe, 1.9% Na, 2.66% Ag, 2.66% Pd, 10% Re catalyst with the balance of the 1.5mm diameter carbon support, we are able to achieve 99.7% conversion of succinic acid with 85.5% selectivity to BDO, 2.04% selectivity to GBL, 9.3% selectivity to THF and the balance to other side products but namely butanol (but also possibly propanol and methane, etc.). The reactor operates isothermally and isobarically at 160oC and 3250 psia. Since the reaction is exothermic a cooling jacket will be placed on the GLIR in order to remove the excess heat generated. The jacket will contain a high heat capacity oil, namely Dowtherm A, that will then be put through a heat exchanger in order to maintain the oil at about 160oC at all times.

			===Separation Phase===

			The separation of the reactor effluent is the final part of our process. Since the effluent contains so many different components, many different reflux drums (gas-liquid separators) and fractionation columns are necessary. First, the effluent is cooled in a heat exchanger in order to allow for better separation of the hydrogen and liquid products in the reflux drum that follows where the hydrogen is taken out of the effluent mixture and either burned or recycled as described above. Next the remaining products and sent to a let-down valve to depressurize them and then reheated to promote better separation in the distillation column that follows which will separate out the main wastes (THF, water, butanol) from the main products (GBL, BDO). The first waste stream coming off of the top of this column is cooled and then sent to a waste tank as it is highly concentrated with butanol and THF. The other stream is further depressurized and sent to a distillation column to separate a stream highly concentrated in butanol and THF (as above) out, to be put into a waste container, from a stream that is >99% water which will be let out into the Mississippi River. The bottoms stream from the first fractionation column containing the main products is once again depressurized and heated to promote a better separation and then put into a new reflux drum. Here a stream high in water content is separated and recycled from a stream highly concentrated with the desired products. The non-recycled stream is sent to, yet another, distillation column which separates out our major product, 99.7% BDO in the bottoms from the GBL and water. The distillate stream is, once again, heated for better separation and sent to our last distillation column which separates out our other major product, >99% GBL, out of the bottoms from a water waste stream in the distillate which will also be let out into the Mississippi. Further iterations of the project could look at better ways to separate our products (using less columns/drums) or isolating other side-products to be resold (like THF). Additionally, other ways to handle side-product waste should be explored. Please see Appendix 6 for a closer look at our modeled HYSYS simulation.

			===Heat Exchange Network (HEN)===

			Since there are 9 streams that must be heated or cooled in our plant as well as a stream from the reactor jacket, a heat exchange network is necessary to minimize our total plant utilities in a heat exchange network (HEN). Using pinch point analysis it was determined that the best network contained 12 total heat exchangers with one stream split using a total of 3.87 x 107 kJ/h of hot utility and 3.99 x 106 kJ/h of total cold utility. These were necessary due to the complex nature of optimizing 10 different process streams needing temperature adjustment while avoiding temperature crosses, etc. Most of the streams exchange energy between different process streams while only one uses a cooling water and five use small amounts of high pressure steam, which account for the utilities needed. For more details of the HEN see Appendix 13. Further iterations of the project should consider adding the duties of the four reboilers and four condensers used on our distillation columns to the heat exchange network. As is, the network only considers the heat exchangers needed for process streams in order to minimize total utilities used within the process, however, a significant portion of our utilities is used in our distillation columns and thus future iterations could further reduce this number and make the plant more profitable by incorporating them into the network.

	==Process Flow Diagram & Flow Sheets==		==Process Flow Diagram & Flow Sheets==

Sean Kelton: /* Appendices */

2014-03-14T20:23:22Z

Appendices

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	===Appendix 2===		===Appendix 2===
	Equipment Costs		Equipment Costs

	[[File:Equipment Costs.JPG]]		[[File:Equipment Costs.JPG]]

	===Appendix 3===		===Appendix 3===
	Economic Summary		Economic Summary

	[[File:Assorted Economic Data.JPG]]		[[File:Assorted Economic Data.JPG]]

	===Appendix 4===		===Appendix 4===
	Energy Stream Summary		Energy Stream Summary

	[[File:Energy Stream Table.JPG]]		[[File:Energy Stream Table.JPG]]

	===Appendix 5===		===Appendix 5===
	HYSYS Simulation		HYSYS Simulation

	[[File:HYSYS Simulation.JPG]]		[[File:HYSYS Simulation.JPG]]

	===Appendix 6===		===Appendix 6===
	Stream Summary Table		Stream Summary Table

	[[File:Stream Summary Table.JPG]]		[[File:Stream Summary Table.JPG]]

	===Appendix 7===		===Appendix 7===
	Summary of HYSYS stream compositions.		Summary of HYSYS stream compositions.

	[[File:Stream Composition Table.JPG]]		[[File:Stream Composition Table.JPG]]

	===Appendix 8===		===Appendix 8===
	Heat exchanger network.		Heat exchanger network.

	[[File:Heat Exchanger Network.jpg]]		[[File:Heat Exchanger Network.jpg]]

	===Appendix 9===		===Appendix 9===
	Reaction mechanism summary		Reaction mechanism summary

	[[File:Reaction Mechanism.jpg]]		[[File:Reaction Mechanism.jpg]]

	===Appendix 10===		===Appendix 10===
	Process Flow Diagram		Process Flow Diagram

	[[File: PFDFinal.jpg]]		[[File: PFDFinal.jpg]]

Sean Kelton: /* Economic Analysis */

2014-03-14T20:22:40Z

Economic Analysis

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	[[File:Econ2.JPG]]		[[File:Econ2.JPG]]

	As shown clearly in Table 3, this plant has extremely encouraging economic potential, with an average yearly cash flow of $40.8M, a simple payback period of less than 6 months, and a breakeven point of approximately 9 months. These capital projections assume a 2 year construction time, 38% tax rate, 50% capacity in the first year of production, and a 7 year MACRS depreciation method.		As shown clearly in Table 4, this plant has extremely encouraging economic potential, with an average yearly cash flow of $40.8M, a simple payback period of less than 6 months, and a breakeven point of approximately 9 months. These capital projections assume a 2 year construction time, 38% tax rate, 50% capacity in the first year of production, and a 7 year MACRS depreciation method.
	Revenue is split into two streams; main product (BDO) and by-product (GBL). The main product revenue is approximately $150M/yr, while the by-product revenue is $40M/yr, despite producing nearly 50 times less GBL than BDO. In future iterations of this design, it may be worthwhile to examine if it is more profitable to convert all of the succinic acid directly to GBL instead of producing the intermediary, BDO.		Revenue is split into two streams; main product (BDO) and by-product (GBL). The main product revenue is approximately $150M/yr, while the by-product revenue is $40M/yr, despite producing nearly 50 times less GBL than BDO. In future iterations of this design, it may be worthwhile to examine if it is more profitable to convert all of the succinic acid directly to GBL instead of producing the intermediary, BDO.
	If the economic returns seem astronomical, it is because they are; no economic investment actually produces these kinds of returns. The extremely favorable prediction could stem from several sources of error; supply and demand, bulk pricing, waste removal, and side reactions. The yearly supply of BDO is approximately 1M metric tons, meaning that this plant would produce 5% of the world’s supply. If the supply of BDO outpaced the demand, the selling price would fall, cutting into main product revenues. Additionally, the estimate of GBL selling price was based off a per kg price; if bulk pricing were used, the selling price of GBL would be between 40-50% lower than the price used. In addition to economic discontinuities, the problem of waste removal was never fully solved. Based on past estimates, waste removal could cost as must as $10M/year, further reducing the profitability of this plant. Lastly, the process of BDO synthesis was simplified for modelling purposes. In actual production, many side reactions would occur; driving down conversion and increasing separation costs.		If the economic returns seem astronomical, it is because they are; no economic investment actually produces these kinds of returns. The extremely favorable prediction could stem from several sources of error; supply and demand, bulk pricing, waste removal, and side reactions. The yearly supply of BDO is approximately 1M metric tons, meaning that this plant would produce 5% of the world’s supply. If the supply of BDO outpaced the demand, the selling price would fall, cutting into main product revenues. Additionally, the estimate of GBL selling price was based off a per kg price; if bulk pricing were used, the selling price of GBL would be between 40-50% lower than the price used. In addition to economic discontinuities, the problem of waste removal was never fully solved. Based on past estimates, waste removal could cost as must as $10M/year, further reducing the profitability of this plant. Lastly, the process of BDO synthesis was simplified for modelling purposes. In actual production, many side reactions would occur; driving down conversion and increasing separation costs.

	A sensitivity analysis was performed on all important variables.		A sensitivity analysis was performed on all important variables.

	[[File:Sensitivity.JPG]]		[[File:Sensitivity.JPG]]

	Figure 1: Sensitivity analysis		Figure 1: Sensitivity analysis

	Figure 1 shows that the profitability of the plant (based on the 10 year NPV), is most sensitive to the selling price of BDO and GLB, the cost of raw materials, and the construction time. It is least sensitive to changes in the utilities cost and fixed capital costs. It is clear from the figure that this undertaking is profitable in the face of any singular change. However, if several of these variables react unfavorably to the coming economic climate, the plant could potentially make very little money. For example, if the construction time doubles (which happens frequently) and the selling prices of BDO and GBL are driven down by market saturation, the plant could have a 10 year NPV falls to approximately 0.		Figure 1 shows that the profitability of the plant (based on the 10 year NPV), is most sensitive to the selling price of BDO and GLB, the cost of raw materials, and the construction time. It is least sensitive to changes in the utilities cost and fixed capital costs. It is clear from the figure that this undertaking is profitable in the face of any singular change. However, if several of these variables react unfavorably to the coming economic climate, the plant could potentially make very little money. For example, if the construction time doubles (which happens frequently) and the selling prices of BDO and GBL are driven down by market saturation, the plant could have a 10 year NPV falls to approximately 0.

Sean Kelton: /* Economic Analysis */

2014-03-14T20:20:13Z

Economic Analysis

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	==Economic Analysis==		==Economic Analysis==
	Table 3		Table 3

	[[File:Econ.JPG]]		[[File:Econ.JPG]]

	Table 3 is a summary of the capital and operating costs required for the production of BDO and GBL. The expenditure on succinic acid clearly stands out; it makes up roughly 80% of the annual operating costs of this plant. The production plant consumes approximately 75.6M kg/yr of succinic acid, and at $1.47/kg, the costs add up quickly. Some other things to note from Table XX; the reactor is the most expensive singular piece of equipment; because it operates at exceedingly high pressure, it has extremely thick walls and is made of a high strength steel alloy. Additionally, the total cost of the heat exchangers is more than $3M; however, the production plant uses twelve heat exchangers, so the average individual cost comes out to a more reasonable $280,000. Lastly, this plant has a high annual utilities cost, mainly because of the 4 distillation columns and the large amount of cooling water necessary to keep the process running at the correct temperature.		Table 3 is a summary of the capital and operating costs required for the production of BDO and GBL. The expenditure on succinic acid clearly stands out; it makes up roughly 80% of the annual operating costs of this plant. The production plant consumes approximately 75.6M kg/yr of succinic acid, and at $1.47/kg, the costs add up quickly. Some other things to note from Table XX; the reactor is the most expensive singular piece of equipment; because it operates at exceedingly high pressure, it has extremely thick walls and is made of a high strength steel alloy. Additionally, the total cost of the heat exchangers is more than $3M; however, the production plant uses twelve heat exchangers, so the average individual cost comes out to a more reasonable $280,000. Lastly, this plant has a high annual utilities cost, mainly because of the 4 distillation columns and the large amount of cooling water necessary to keep the process running at the correct temperature.
	Below in Table 4 is a summary of the economic measures of return of this process.		Below in Table 4 is a summary of the economic measures of return of this process.

			Table 4

	[[File:Econ2.JPG]]		[[File:Econ2.JPG]]

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	==References==		==References==
	:Alibaba.com [Internet]. Hangzhou: Alibaba.com; c1999-2015 [cited 2014 Mar 3].		Alibaba.com [Internet]. Hangzhou: Alibaba.com; c1999-2015 [cited 2014 Mar 3].

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