News | July 24, 1998

Pemex Chooses Phillips Petroleum Technology for Alkylation

Petroleos Mexicanos (Pemex), Mexico's national petroleum company, has taken major strides in expanding and upgrading its operations at an impressive investment of approximately $5 billion to meet Mexico's growing upstream and downstream opportunities. Pemex refineries currently have combined processing capacities of 1.5 million bbl/d, with a 15 to 20% increase in processing capacity possible when upgrades and new units are complete.

Presently, unleaded gasoline accounts for two-thirds of the Mexican gasoline pool. Pemex's short-term refining goal is to replace 100% of the gasoline pool with unleaded gasoline by the end of the decade. Pemex (Mexico City) is the world's third largest petroleum company in operating income with 1996 revenues of $31 billion and assets of approximately $40 billion. In 1996, capital upgrading expenditures in refining totaled $689 million; similar levels of investment have been planned in 1997 and this year.

Pemex's investment focus reflects consumer demand for cleaner fuels and Mexico's increasingly stringent environmental standards--mandating lead and aromatics reduction, leading to increased demand for alkylation capability. Alkylate is a key fuel ingredient because it displaces olefins and aromatics from the gasoline pool, thereby reducing smog precursors and toxic compounds. Alkylate is sulfur-free and is high octane.

Pemex's Tula refinery, near Mexico City, is part of the company's effort to optimize refinery capacity.

Among the extensive upgrade projects that began in 1995 were four new HF (hydrofluoric acid) Alkylation plants licensed from Phillips Petroleum Co. (Bartlesville, OK). In conjunction with Phillips HF Alkylation technology, Pemex also contracted the construction of Phillips' proprietary Hydrisom technology, a selective diolefin hydrogenation process for feed treatment which produces higher octane. The total capital investment was $120 million.

Technology and cost deciding factors

Pemex Refining division and its financial and investor team for capital improvements insisted on the most cost-effective and safest alkylation technology available on the market.

Pemex reviewed the top alkylation technologies available to determine the best combination of capital cost, utilities consumption, processing yields, operating requirements and safety. The Phillips HF Alkylation Process was selected over sulfuric alkylation after an exhaustive evaluation of all alkylation processes from at least four licensors, conducted by Pemex and the Japan Consulting Institute.

The sulfuric acid-based alkylation process consumes approximately 200 to 300 times more acid than the HF-based process, Transportation and safety issues become very important when bringing such large quantities of sulfuric acid into the refinery. These issues become doubly important when spent sulfuric acid is shipped out of the refinery for regeneration, as is often the case. In contrast, HF Alkylation's hydrofluoric acid is regenerated inside the refinery.

Pemex also selected Phillips Petroleum's HF Alkylation because the technology is well established, is easy to operate and is cost-effective for the production of high-octane gasoline blendstocks.

Pemex's modernization program at its Cadereyta refinery in Nuevo Leon will produce an additional 80,000 barrels per day of high-quality gasolines.

The Phillips Hydrisom Process can be used in conjunction with the HF Alkylation to upgrade the olefin feed. Hydrisom removes butadiene and therefore reduces catalyst consumption. It also isomerizes butene-1 to butene-2, which produces alkylate with a higher octane number.

The advantages of the Phillips HF Alkylation and Hydrisom processes include:

  • Circulation of catalyst without the use of pumps or high pressure
  • On-site catalyst regeneration
  • Very low catalyst consumption
  • Stable process chemistry for maximum alkylate yields
  • Low reaction temperatures which don't require refrigeration
  • Excellent system operability
  • More efficient energy usage
  • Environmental cost reduction from minimized waste-disposal
  • Minimum operating personnel

Since developing the first successful commercial HF Alkylation Process in 1942, Phillips has licensed its technology to more than 110 refineries worldwide. Because Phillips optimizes its technology with an ongoing R&D program, upgraded process designs and other modifications have brought about greater safety, higher productivity and lower operating costs.

  • Five primary safety functions deliver superior prevention and monitoring:
  • Compartmentalized reactor-settler configuration
  • Rapid Acid Transfer catalyst system
  • Enhanced piping and vessel designs for improved system integrity
  • Remote-control shutoff valves
  • Water-spray network for catalyst-release mitigation and control

The growing domestic Mexican economy and increased attention to environmental improvements has heightened demand for a broader array of refined petroleum products and intensified the need for Pemex refining to modernize its refineries and marketing strategies.

For more information: Phillips Petroleum Company, 260 Patent & Library Building Bartlesville, Okla. 74004. Tel: 918-661-064, fax: 918-662-2007.