Tag Archives: technology

Texas refinery unit shut down for ‘several months’ as it investigates major corrosion problem

Motiva Enterprises LLC has announced it is preparing to keep its new crude oil unit shut for “several months” as it investigates major corrosion problems that have crippled the country’s biggest refinery weeks after a massive expansion.

In the first public acknowledgment of a potentially long-term outage at the Port Arthur, Texas, plant, Motiva co-owner Royal Dutch Shell Plc confirmed the 325,000-barrel-per- day (bpd) unit was shut due to “corrosion problems,” as posted on integritythatworks.com earlier this week.

“The outage of the new crude unit may continue for several months, while the causes of the issue are established and rectified,” Shell said in a statement late Wednesday.

Sources said earlier this week the outage, initially estimated at two to five months, could now extend to a year.

Shell, which runs the Motiva joint venture with state oil firm Saudi Aramco, said all secondary units built as part of the five-year, $10 billion project were fully operational, although some were running at reduced throughput.

Separately, sources familiar with operations said one of the new units — a catalytic feed hydrotreater that removes sulfur from feedstock going to the refinery’s gasoline-producing fluidic catalytic cracking unit — was being shut down this week because of a lack of feedstock from the idled crude unit.

The sources also said Motiva was shutting an older catalytic reformer, which creates gasoline additives.

Motiva officials were not immediately available to comment on details of the secondary unit operations.

In the statement, Shell said the refinery’s original 275,000 bpd complex was operating “as per plan.”

Motiva’s Port Arthur refinery is not shutting the refinery’s FCC, but will emphasize production of diesel, which is yielding higher returns for U.S. refiners as an export, the sources said.

The new crude distillation unit, which began production in April and was shut following a June 9 fire, may be idle for up to a year to repair extensive corrosion found in the unit.

SOURCE: http://in.reuters.com/article/2012/06/21/refinery-operations-motiva-portarthur-idINL1E8HL2TI20120621

PG&E Names New Executive to Gas Pipeline Team

PG&E added another executive to its gas operations team to help rebuild the company following the 2010 pipeline explosion in San Bruno.

Jesus Soto Jr., who is currently the vice president of operation services for El Paso Corp.’s pipeline group, will now become PG&E’s senior vice president of gas transmission, operations, engineering and pipeline integrity.

In his new role, Soto Jr. will be responsible for four areas for the company:

  • public safety and integrity management;
  • project engineering, design and management;
  • gas transmission; and
  • gas system operations.

“PG&E and our customers are fortunate to have someone with such a strong background working to make our system the best in the country,” said Nick Stavropoulos, PG&E’s executive vice president of gas operations, who was recently hired himself to help chart a new path for the utility following the San Bruno disaster. “We have already made excellent progress in turning our operations around, and there is still more to do. I have every confidence Jesus will play a major role in meeting this challenge.”

PG&E has been steadily making strides to revamp its pipeline operations by bringing in Stavropoulos and new CEO Anthony Earley and following through on the pipeline safety recommendations the National Transportation Safety Board issued following the explosion.

The utility also is trying to get a $2.2 billion plan approved by the California Public Utilities Commission to modernize its pipeline system throughout the state.

Meanwhile, PG&E has still been beset with problems stemming from its pipeline operations.

The CPUC recently fined PG&E $3 million for failing to comply with the commission’s orders to provide records for its gas transmission pipelines following the explosion. The company has set aside another $200 million for pending fines that are expected for the explosion.

More than 250 people have filed lawsuits against PG&E for the explosion, and the jury trial starts in July. The lawsuits are expected to be costly.

PG&E also just reached a settlement with the city for $70 million as restitution for the fire.

Soto said he hopes to help turn the company’s operations around.

“I look forward to quickly integrating myself into the PG&E Gas Operations organization and reinforcing a team and a culture that are driven to operational excellence anchored in public, employee and contractor safety, facility integrity, regulatory compliance and system reliability,” he said in a statement.

SOURCE: http://sanbruno.patch.com/articles/pg-e-names-new-executive-to-gas-pipeline-team