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Energy Efficiency at Marathon Petroleum

Energy Efficiency at Marathon Petroleum. Wayne Kinnel Catlettsburg Energy Coordinator. Marathon Petroleum Statistics at a Glance. Fortune 50 company Established in 1887 4th largest U.S. refiner Largest in Midwest Employees: approximately 28,000 Headquartered in Findlay, Ohio

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Energy Efficiency at Marathon Petroleum

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  1. Energy Efficiencyat Marathon Petroleum Wayne Kinnel Catlettsburg Energy Coordinator

  2. Marathon Petroleum Statistics at a Glance • Fortune 50 company • Established in 1887 • 4th largest U.S. refiner • Largest in Midwest • Employees: approximately 28,000 • Headquartered in Findlay, Ohio • Approximately 1,460 Speedway convenience stores • Approximately 5,000 Marathon Brand retail outlets • Extensive terminal and pipeline network

  3. Marathon Petroleum Refining System System capacity: 1,699,000 BPCD Garyville (LA)522,000 BPCD Catlettsburg (KY)240,000 BPCD Robinson (IL) 206,000 BPCD Galveston Bay TX 451,000 BPCD Detroit (MI)120,000 BPCD Texas City (TX)80,000 BPCD Canton (OH)80,000 BPCD BPCD = barrels per calendar day Source: Oil & Gas Journal As of 2/1/2013

  4. Catlettsburg Refining • Complex and energy intensive processes • Continuous operation 24/7 • Energy is second largest operating cost • Natural gas – 75% • Electricity – 25% • Managing energy is imperative to remaining competitive/viable • Resources and systems in place to monitor and improve • Daily operational • Medium-term activities • Long-term strategy and projects • Significant investments made and planned

  5. Catlettsburg Refining • Expansive electrical infrastructure required • Refinery footprint is 600+ acres • There are 130 electric substations and approximately 2,000 electric motors • 120-130 MW of demand to operate refinery • Largest Kentucky Power customer • >95% of consumption is for continuously running process equipment • Significant people resources monitor and maintain electricity infrastructure • 13 engineers • 25 electricians • 60-80 electrical contractor personnel onsite daily

  6. Improving Energy Efficiency Part of our standard work practices Short-term – daily operational monitoring Medium-term – maintenance planning activities Long-term – strategic projects Effective energy management is an “all-above” approach

  7. Monitoring Daily Operations Significant benefits from daily attention to process operations Tuning process heaters Optimizing utilization of energy from process operations Monitoring sources and uses of steam Controlling the operation of large electrical users

  8. Monitoring Daily Operations Formal assessment program - Focus On Energy initiative – “FOE” To accomplish – set standards for performance Measure actual performance in real time Communicate deviations from standards

  9. Monitoring Daily Operations Supported by technical, operations, and management personnel Completed process unit reviews and identified 148 individual monitoring points Each point assigned a dollar value, tracked and reported 35% reduction with no investment

  10. Medium-Term Activities Equipment maintained to perform at optimum efficiency Equipment upgrades and major maintenance efforts normally require a unit shutdown Cycle times between shutdowns can be 5-7 years Data from routine equipment monitoring is used to develop shut down work scope

  11. Long-Term Strategy/Projects • On-going efforts to identify and implement energy reduction opportunities • Energy specific projects – Insulation upgrades, steam leak repairs and upgrades, on-line analyzers, exchanger bundle upgrades • Energy assessment for other projects • Crude unit project example • Significant investment currently underway • Process and energy efficiency improvements incorporated into scope • Redesign of heat integration system to reduce consumption • Improvements to fired heater for improved efficiency • Fuel reduction of 720 MMBTU/day • Electricity reduction of 3,000 kwh/day

  12. Long-Term Strategy/Projects • All projects reviewed for energy efficiency improvement opportunities • Standard practice to consider high efficiency motors • Participate in industry benchmarking studies • Identifies opportunities for improvement • Share and implement best practices across all MPC sites

  13. Summary Efficiently using all energy sources is a business imperative Resources employed to manage and maintain energy infrastructure Programs in place to monitor and improve performance Efforts range from daily optimization to large multi-year, multi-million dollar projects

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