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•The Dow Chemical Company Fundamentals of Petrochemical Industry Akil Sahiwala Marketing Manager Dow Polyurethanes
•The Dow Chemical Company
Fundamentals of Petrochemical Industry
Akil SahiwalaMarketing ManagerDow Polyurethanes
2
AGENDA
Petrochemical Value Chain Overview
Feedstocks to the Industry
Chemical Value Chains
Impact on the Region
3
World of Chemicals
Raw Materials
Petrochemicals
Fertilizers
Basic Inorganic
Industrial gasses
Specialty
Chemicals
Consumer Care
Products
Life Sciences
Basic + Intermediates
4
Petrochemical Value Chain
UpstreamFeedstock Processing
Monomers/ Base Chem
Derivatives /Intermediates
Specialties / Conversion
Retail
Ethylene
Propylene
Benzene
Toluene
Xylene
Methanol
C4s
Olefins
Aromatics
Oil
Gas
Coal
5
Refining
Petchem
Feedstock
CrudeGasoline
Kerosene
LPG
Fuel Oil
Diesel
Separation
Conversion Treatment
Blending
Feedstock Processing – Crude Oil
Naphtha
Associated Gas Gas Processing
6
Oil
SeparatorWater
SeparatorSulfur/
CO2
Separator
Fractionator
Propane
Butane
Light Naphtha
Sulfur/ Carbon Dioxide
Water
Dry Gas (Methane) Industry,
Residential, Electricity
NGL
Separator
Ethane
Oil/Condensate
Wet Gas ~90%
~10%
Feedstock Processing – Gas
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• Horizontal drilling in low permeability source rock
• Multi-stage hydraulic fracturing with proppants
• Multiple wells from one well pad
What’s Different?
Shale Gas
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Methanol
Ethylene
PropyleneCoal
Methanol Reactor Methanol to Olefins Plant
Ammonia
DME
Methanol to
Propylene
UreaSyngas
AcetyleneCoke Calcium CarbideVAM
PVC
Acrylic Acid
Coal to Chemicals
9
DehydrationEthanol is broken into
ethylene & water
PolymerizationTransformation of ethylene to LLDPESugarcane
320 KTA 350 KTA
Biofuels
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Crude Oil
Natural Gas
Refinery
Gas Separation
Unit
Naptha
Ethane
Propane
Butane
Condensates
Ethylene
Propylene
Methane/Hydrogen
Crude C4s
Pygas
• BTX
• Heavy Aromatics
• C5/C6 Non Aromatics
Fuel Oil
Olefins Flow
Olefins
C
C
HH
‘Unsaturated’ straight chains with a double carbon bond
EthyleneHH
C
C
H
H
PropyleneH
HH C
H
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Natural Gas
Feedstocks
Refinery
Feedstocks
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Ethane Propane Light Naphtha
Ethylene Propylene C4s Methane/Hydrogen BTX Other Pygas Fuel Oil
Steam Cracking Product Mix By Feedstock
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Petrochemical Value Chain
UpstreamFeedstock Processing
Monomers/ Base Chem
Derivatives /Intermediates
Specialties / Conversion
Retail
Ethylene Polyethylene
Ethylene Oxide
EDC / PVC
Styrene
Ethane
Propane/Butane
Naphtha
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Propylene - Sources
14
Propylene Value Chain
UpstreamFeedstock Processing
Monomers/ Base Chem
Derivatives /Intermediates
Specialties / Conversion
Retail
Propylene Polypropylene
Propylene Oxide
Acrylic Acid
Phenol
Ethane
Propane/Butane
Naphtha
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Other Value Chains
UpstreamFeedstock Processing
Monomers/ Base Chem
Derivatives /Intermediates
Specialties / Conversion
Retail
Formaldehyde
Acetic
Methanol
Gasoline
Methane
Coal
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Aromatics
Key Facts
Aromatics are based around a common cyclical structure
of 6 carbon atoms which are connected by alternating
single and double bonds
The three most commercially important aromatics are:
– Benzene
– Toluene
– Mixed Xylenes
Benzene is the largest and most diverse of the aromatic
markets
Toluene’s main chemical use is in the production of TDI
(toluene di-isocyanate), an intermediate in the production
of flexible polyurethanes, commonly used for foam
seating
Mixed Xylenes are used extensively in gasoline blending,
but also can be used to produce polyester resins
Aromatics Structure
Benzene:
C6H6
Toluene:
C7H8
Para Xylene:
C8H10
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Benzene Value Chain
UpstreamFeedstock Processing
Monomers/ Base Chem
Derivatives /Intermediates
Specialties / Conversion
Retail
Benzene MDI
Nylon
Styrene
Phenol
Propane/Butane
Naphtha
Propylene
Ethylene
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Impact on the Region
Value Generator
Employment
Diversification
Innovation
Refinery
Petrochemicals
Val
ue
Direct Indirect
150,000 450,000
Crude oil/ gas
Move towards Downstream
Upstream
Feedstock Processing
Monomers/ Base Chem
Derivatives /Intermediat
es
Specialties / Conversion
Retail
Patents
Thank You
