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johncrane.com John Crane Gas Seal Technology Cuts Costs, Emissions and Downtime CUSTOMER NEED The company’s publicized commitment to the environment and meeting potential emission regulations were priorities. The upgrade needed to lower operating costs with short-term payback. Downtime from oil seal maintenance and replacements hurt production. Oil seal methane leaks cut deep into profits. BACKGROUND Industry: Natural gas processing Site: Single compressor operation, process gas owned by equipment operator Location: United States End Product: Natural gas 85% methane Equipment Utilization: 355 days a year HYPOTHETICAL CASE STUDY: NATURAL GAS INDUSTRY SERVICE OFFERING: TURNKEY UPGRADE SERVICE FOR CENTRIFUGAL COMPRESSOR SHAFT SEALS HIGHLIGHTS Customer compared the three viable options to reduce methane emissions using John Crane’s Lifecycle Cost Calculator (LCC). (See lifecycle cost graph) Results from LCC showed gas processor could immediately beginsaving millions of dollars by upgrading from shaft oil seal to time-tested gas seal technology. These calculated savings are the result of reduced methane emissions, downtime and maintenance costs. Company confident of full compliance with potential environmental regulations regarding compressor emissions. 5 MONTHS Gas seal upgrade payback

John Crane Gas Seal Technology Cuts Costs, Emissions and

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Page 1: John Crane Gas Seal Technology Cuts Costs, Emissions and

johncrane.com

John Crane Gas Seal TechnologyCuts Costs, Emissions and Downtime

CUSTOMER NEED

• The company’s publicized commitment to the environment and meeting potential emission regulations were priorities.

• The upgrade needed to lower operating costs with short-term payback.

• Downtime from oil seal maintenance and replacements hurt production.

• Oil seal methane leaks cut deep into profits.

BACKGROUND

Industry: Natural gas processing

Site: Single compressor operation, process gas owned by equipment operator

Location: United States

End Product: Natural gas 85% methane

Equipment Utilization: 355 days a year

H Y P O T H E T I C A L C A S E S T U D Y : N A T U R A L G A S I N D U S T R Y S E R V I C E O F F E R I N G : T U R N K E Y U P G R A D E S E R V I C E F O R C E N T R I F U G A L

C O M P R E S S O R S H A F T S E A L S

HIGHLIGHTS

• Customer compared the three viable options to reduce methane emissions using John Crane’s Lifecycle Cost Calculator (LCC). (See lifecycle cost graph)

• Results from LCC showed gas processor could immediately beginsaving millions of dollars by upgrading from shaft oil seal to time-tested gas seal technology.

• These calculated savings are the result of reduced methane emissions, downtime and maintenance costs.

• Company confident of full compliance with potential environmental regulations regarding compressor emissions.

5 MONTHSScenario 1

Scenario 2

Scenario 4

Gas seal upgradepayback

11 MONTHSGas seal upgrade

ROI

7 MONTHSGas seal upgradepayback

Page 2: John Crane Gas Seal Technology Cuts Costs, Emissions and

johncrane.com

PROJECTED LCC ECONOMIC RESULTS

Calculated over 15 years, the total lifecycle cost of…

• Capturing the uncontrolled, vented methane and routing to a flare device is projected to be $20M.

• Capturing the uncontrolled, vented methane and routing for another purpose is projected to be $13M.

• Upgrading the oil seal to a gas seal is only $2M.

• Annual operating costs drop to just $73,000 compared to $1.4M with oil seals, representing more than $1.3M in savings.

• Product loss due to leakage estimated to drop to $31,000 — a $470,000 cost reduction from oil seals.

• Maintenance and downtime annual expenses are estimated to reduce to $30,000 — down $792,000 compared to oil seal.

• Methane leaked into atmosphere nearly eliminated, preparing the way for compliance with potential environmental and greenhouse gas legislation.

H Y P O T H E T I C A L C A S E S T U D Y : N A T U R A L G A S I N D U S T R Y

NATURAL GAS PROCESSING

• Assumes 1 compressor running approximately 100% utilization with the equipment operator owning the natural gas flowing through the compressor

• Centrifugal compressor with 2 seals running on a 5.52 shaft at 9,440 rpm and 470 psi

• Assumes methane content of 85% with a natural gas value of $2.86 per thousand cubic ft

• Assumes oil seal mean time between repair of 12 months

• Lost production due to oil seal maintenance estimated to be 200 hours per year

TECHNICAL SOLUTION

• Turnkey Upgrade Service for Centrifugal Compressor Shaft Seals, including as standard:

- Equipment audit and emissions baseline measurement

- Oil seal and system removal and disposal

- Custom gas seal solution (including rotor dynamics optimization and compressor modification if required)

- Installation and commissioning of narrow section gas seal, separation seals and gas seal system

- Emissions reduction monitoring

• Optional services include:

- Coupling change

- Bearing service

- Thermoplastic inter-stage labyrinth upgrade

$1.3 MILLION REDUCTION

ANNUAL OPERATING COSTS

- Replacement filters

- Dry gas seal management

0

Oil Seal Routed to Atmosphere

Oil Seal Routed to Flare

Oil Seal Routed to Capture/Use

Time (Years)

LIFECYCLE COST VERSUS TIME

Tota

l Est

imat

ed L

ifecy

cle

Cost

(SM

)

Gas Seal

0

5

0

15

20

25

30

35

5 10 15 20 25