ExxonMobil Baton Rouge Chemicals: Energy Optimization in a Turndown Environment

1. ExxonMobil Baton Rouge Chemicals:Energy Optimization in a Turndown Environment 2010 Industrial Energy Technology Conference New Orleans, Louisiana May 21, 2010

2. Overview • Scene Set • 2009 ExxonMobil Baton Rouge Chemicals ACC Awards • Exceptional Merit 1: Elastomers Block Operations • Exceptional Merit 2: BELA-5 Dynamic Matrix Control • Conclusion

3. Scene Set • The current chemicals market is constantly changing… • Improve energy efficiency = reduce Greenhouse Gas emissions • Maintain stability in all market environments • ExxonMobil energy program • Foundation = “Global Energy Management Systems” (G-EMS) • Resource and support improve projects by business • Set and steward continual improvement targets • Importance of structured program • Inherent system to sustain progress • Ownership by business teams to demonstrate progress • Plan developed regardless of business environment

4. 2009 BRCP ACC Awards • Elastomers Block Operation • Butadiene DMC • Steam system efficiency improvements • Aromatics SWAT / Energy Initiatives • Intermediates KEV Implementation • Energy Critical Heat Exchanger Program • TLE Chemical Cleaning • Refinery Gas Recovery G-EMS projects • Phthalic Anhydride Incinerators • Plasticizer Batch Reactor Delay • Isopropyl Alcohol Vat Reboiler • TOTAL SITE CONTRIBUTIONS 11 Awards, including 2 exceptional merit Exceptional Merit Foundational G-EMS Activities Business Improve Projects

5. Elastomers Block Operations • Background • Elastomers unit is energy intensive and has little energy conserving turn-down capability • 2009 supply surpassed demand resulting in lower production volumes • Business wanted to maintain originally forecasted efficiencies and maintain a steady supply of product to customers • Team challenged existing paradigm of turndown vs. block operations • Theory: Block Operation is more efficient than production at reduced rates • Data analysis: Energy intensity per pound of production at different rates • Definition of Block Operation • Running the unit at its most energy efficient rate regardless of market conditions and completely shutting down once all of demand has been met.

6. Elastomers Block Operations • Why Block Operation? • Regardless of market conditions, units must remain at maximum efficiency to be competitive • Outcome of analysis • Elastomers similar to pink line, not blue • Gap becomes block operations credits • Challenges with Block Operation • Manufacturing unit start ups & shut downs • Equipment must be monitored for reliability impacts • Critical factor: accurate demand forecast to eliminate early start-up/loss of efficiencies • Who should consider Block Operations? • Units that do not have a linear efficiency vs production curve • Units with refrigeration requirements, compressors, solvents, etc. • Any high base energy requirement compared to incremental increase associated with rate Energy consumed per pound product

7. Elastomers Block Operations • Results: • Delivered a 24% improvement over operating at reduced rates • Realized 850,000 MBtu/yr savings, 51 kT CO2 reduction • Keys to Successful Block Operation • Determining if Block Operation is an option • Does the unit have good turndown capabilities? • Determining how long unit must be down to see positive impact • Determining energy losses associated with start up and shut downs • Communication between all sides of the organization • Marketing / Sales – manage inventories during downtime • Technical / Engineering – determining credits & potential losses • Process – Safely managing unit s/u and s/d

8. Predict Optimize Move Butadiene Dynamic Matrix Control • Background on Dynamic Matrix Control (DMC) • Multivariable, predictive process control • Based on model of the plant • On-line control and optimization every minute • Benefit of DMC on butadiene unit • Process optimization • Maximization of heat recovery • Other production optimizations achieved • Console operator tool • Quicker reaction time to changing parameters • Teaching tool for new operators Operations Variable

9. Butadiene Dynamic Matrix Control • Team Composition: • 2 process control engineers • 2 DMC experts • Several supporting technical disciplines • Step Process: • Scoping study – 1 day • Pre-test – 2 weeks • Plant test and commissioning, AspenTech SmartStepTM software – 3 weeks • Post-project “tuning” and improvements – 4 weeks • Continual upkeep and maintenance to deliver results • Results: • Annual savings – 112,000 MBtu/yr • Approximate annual emissions reduction - 6,500 Tons CO2 Matrix Grid

10. Conclusions • Success factors • Sustainable activities through changing environments • Continual development of business ideas • Foundational program to support base site work • Management support of energy projects and programs • Path forward • Continue to set and meet efficiency targets • Learn from project successes – “don’t reinvent the wheel” • Stay the course – continual funding and support Thank you to ACC for the recognition and opportunity to present