Abstract
Economics is the engine that drives industry. For complete understanding of project economics four major items must be discussed; capital requirements, operating expenses, cash flow and profitability measures.Petrochemicals in general are compounds and polymers derived directly or indirectly from petroleum. C6–C8 aromatics are petrochemical intermediates that include benzene, toluene and xylenes.This research work aims to execute a financial model template using MICROSOFT EXCEL PROGRAM which can be applied on any industry to check its profitability.Two configurations for aromatics production had been considered as a case study for model application, Configuration I for the production of benzene, toluene and xylenes and Configuration II for the production of benzene and para xylene only based on 3 million tons of straight run naphtha feedstock. In addition, the economic effect of the integration between Configuration II and MIDOR refinery had been studied.The designed and initiated financial model performed in this paper is applied on a real and existing petrochemical project to check its validation. The economic indicators calculated using the initiated financial model were found to match with the actual status of the project.The research resulted in; Configuration I and II are not profitable under the mentioned basis. The integration between Configuration II and MIDOR refinery is more profitable than the standalone one.Configurations I and II shall be feasible if the quantity of naphtha feedstock increases to 70,000 and 5500 thousand tons per year respectively. Configurations I and II shall be feasible if the discount in naphtha feedstock price reaches to 9% and 4.5% respectively.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.