IHS Chemical

Process Economics Program

Review 2014-12 -1 by -1 Technology

By Mike Kelly

August 2014 ihs.com/chemical

IHS Chemical Process Economics Program | Review 2014-12

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August 2014 ii © 2014 IHS IHS Chemical Process Economics Program | Review 2014-12

PEP Review 2014-12

Octene-1 by Sasol Heptene-1 Hydroformylation Technology

By Mike Kelly

August 2014

Abstract

Most commercial linear alpha-olefin (LAO) plants produce a broad range of even-numbered alpha-olefins based on oligomerization technologies. Although initially targeted for plasticizer and detergent end-uses, LAO processes have become an important source of production for -1, -1, and octene-1, comonomers used in the production of to enhance certain physical properties. As the polyethylene industry has evolved, demand for comonomers has increased, and the growth has led to a supply/demand imbalance in the distribution of LAOs, which serve a broad range of end-use applications. This, in turn, has created opportunities for alternative comonomer production routes through on-purpose technologies, such as ethylene tetramerization, ethylene dimerization, and ethylene trimerization.

Another variation of on-purpose alpha-olefin production can be found at the Sasol Chemical Industries plant in South Africa. The Sasol facility is unique in that C5-C8 alpha-olefins are recovered from a light oil stream generated by coal gasification and Fischer-Tropsch conversion. Sasol commissioned their first octene-1 extraction train in 1999, with a second train following in 2002. With these two trains, Sasol was effectively extracting all the available octene from the light oil stream. In order to keep up with growing demand for octene-1, Sasol commissioned a third train in 2008 using a novel process to convert heptene-1 to octene-1.

This Review presents a techno-economic evaluation of the Sasol heptene-1 to octene-1 technology. The analysis that follows is based on a plant with an annual capacity to produce 225 million pounds (~100 thousand metric tons) of octene-1. In the process, a heptene stream is first separated from a Fischer- Tropsch light oil fraction. The heptene feed then undergoes hydroformylation using synthesis gas in the presence of a rhodium-ligand catalyst complex to produce . The octanal product is subsequently hydrogenated to octanol, with the resulting then dehydrated to octene-1.

While the economic results presented herein are on a US Gulf Coast basis, the accompanying iPEP Navigator Excel-based data module (available with the electronic version of this Review) allows for viewing results for other major regions along with conversion between English and metric units.

August 2014 iii © 2014 IHS IHS Chemical Process Economics Program | Review 2014-12

Table of contents Introduction ...... 1 Review summary ...... 3 Industry status ...... 6 Technology overview ...... 8 Chemistry ...... 9 Hydroformylation ...... 9 ...... 10 Dehydration ...... 10 Process description ...... 11 Section 100—heptene extraction ...... 11 Section 200—hydroformylation ...... 12 Section 300—hydrogenation ...... 13 Section 400—dehydration ...... 14 Section 500—octene purification ...... 14 Process discussion ...... 27 Design conditions ...... 27 Feedstock ...... 28 Reactors ...... 29 Hydroformylation ...... 29 Hydrogenation ...... 31 Dehydration ...... 31 Product purification ...... 32 Design optimization ...... 33 Waste effluents ...... 33 Materials of construction ...... 33 Cost estimates ...... 33 Capital costs ...... 34 Production costs ...... 34 References ...... 40 Patents ...... 41 Process Flow Diagrams ...... 44

August 2014 iv © 2014 IHS IHS Chemical Process Economics Program | Review 2014-12

Tables Table 1: Linear alpha-Olefin Applications by Chain Length ...... 1 Table 2: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Comparison of Process Economics ...... 5 Table 3: World Supply/Demand for Linear alpha-Olefins by Region–2012 (thousands of metric tons) ..... 7 Table 4: Major Producers of Linear alpha-Olefins Annual Capacity as of Mid-2013 (thousands of metric tons) ...... 7 Table 5: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Design Basis ...... 15 Table 6: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Stream Flows ...... 17 Table 7: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Major Equipment ...... 24 Table 8: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Utilities Summary ...... 27 Table 9: Composition of Straight Run Syncrude Naphtha and Distillate from Various Commercial Fischer-Tropsch Processes (mass %) ...... 28 Table 10: Gaseous and Naphtha Streams from HTFT Synthesis at the Sasol Synfuels Facility ...... 29 Table 11: Sasol Solvents Sales Specification, Octene-1 ...... 32 Table 12: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Total Capital Investment ...... 35 Table 13: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Capital Investment by Section ...... 36 Table 14: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Production Costs ...... 38

Figures Figure 1: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Effect of Plant Capacity on Investment Costs ...... 3 Figure 2: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Net Production Cost and Product Value of Octene-1 as a Function Of Crude Heptene Price ...... 4 Figure 3: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Net Production Cost of Octene-1 as a Function of Operating Level and Plant Capacity ...... 4 Figure 4: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Product Value of Octene-1 as a Function of Operating Level and Plant Capacity ...... 5 Figure 5: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Comparison of Production Costs ...... 6 Figure 6: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Block Flow Diagram ...... 9 Figure 7: Octene-1 by Sasol Heptene-1 Hydroformylation Technology Process Flow Diagram ...... 45

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