Ethane integration project—a study for Egyptian NGLs plants and their economics

Abstract

Abstract For Egypt, ethane is a vital chemical precursor, with the potential to significantly attract financial resources and drive economic growth. Enhancing its added value necessitates efficient recovery of ethane before it enters the national grid without processing. This research investigates the technical and economic feasibility of integrating natural gas liquids (NGLs) from three Egyptian NGLs plants—South Western Desert NGLs (SWD NGLs), North Western Desert NGLs (NWD NGLs), and East Mediterranean NGLs (EMD NGLs)—to improve ethane recovery from natural gas fields. The study focuses on revamping these NGLs plants using various NGLs recovery techniques, conducting a comprehensive comparison to identify the most effective methods for processing rich feed gas. Detailed design of the NGLs recovery processes was developed using HYSYS V.14 simulation software and supplementary calculation sheets. The design criteria encompass both technical and economic parameters to ensure a holistic approach in meeting project requirements. Results indicate a significant increase in ethane recovery: 16% for SWD NGLs, 10% for NWD NGLs (A, B, C), and 85% for EMD NGLs. This improvement will boost ethane feedstock for petrochemical companies from 2000 ton/day to 3500 ton/day, enabling increased polyethylene production. Economic analysis for the base case shows an expected internal rate of return (IRR) of 26%, a net present value (NPV) of USD 73 million, and a payback period of approximately 3 years. Sensitivity analysis on product prices, feed gas prices, and total capital investment confirms the project’s economic viability, with all cases showing feasibility (IRR ≥ 15%) except when product prices fall below USD 225/ton for propane, USD 215/ton for liquefied petroleum gas (LPG), and USD 25/bbl for condensate. This study highlights the potential for enhanced ethane recovery, offering substantial economic benefits and supporting the growth of Egypt’s petrochemical industry.

Keywords

• Ethane recovery
• NGLs extraction
• Natural gas plants
• Petrochemical companies