The tight propylene market contributed to the rising of new and novel lower-cost chemical processes for on-purpose propylene production technologies, like the Propane Dehydrogenation (PDH) technology. This report analyzes a PDH process similar to the licensed by Lummus CATOFIN®. It is presented a technical and economic evaluation of a unit located in the US Gulf Coast, China and Brazil. While China presented the lowest CAPEX, the USA presented the most advantageous operational margins, due to the rise of shale gas and reduction in propane prices. Although China still depends on imported propane from Middle East, being subjected to shortages of supply, the historical operational margins are high enough to explain the number of PDH planned projects in the country.
About the Publication Program
The Technology Economics Program is a program that provides, by way of periodic reports, in-depth techno-economic assessments covering mature process technologies used by the chemical, polymer, refining and allied industries. Each report presents the following topics:
- process flow diagrams and description
- heat and material balances
- major equipment list
- equipment cost estimates
- bulk material and installation costs
- inside and outside battery limits capital costs
- process yields, raw material and utility consumptions
- fixed costs contributions
- process profitability by location