February 4th, 2009 mhitchings
Qatar Airways officials (left to right) Ali Al Rais, Executive Vice President, Commercial; Akbar Al Baker, Chief Executive Officer; and Fathi Al Shehab, Senior Vice President Commercial Operations, Qatar announce the Houston to Qatar non-stop route. (Photo by Monique A. Hitchings)
With a quickly growing number of commercial airlines watching the economy, the environment and research and development of cleaner, more efficient jet fuel, Qatar Airways aims to be the first to use a high mixture of gas-based synthetic fuel by the end of 2009.
The Middle Eastern airline recently hosted a press conference in Qatar, during which time, airline officials presented plans to add Houston as a non-stop route to the already-established U.S. flight paths from New York and Washington, D.C., into Doha. In addition, Chief Executive Officer Akbar Al Baker discussed gas-to-liquids (GTL) fuel usage with a high ratio to kerosene and no engine modification requirements to help increase fuel efficiency, reduce emissions and increase environmental stewardship.
Why Houston?
“Qatar Airways looks forward to welcoming you onboard our flight, which will be the longest nonstop flight [17 hours] linking the energy capitals of the Middle East and the USA — Doha and Houston — connecting these two worlds’ energy capitals and which will, of course, feed into the important cities within the Middle East and the United States,” Al Baker said.
Why Qatar Airways and GTL-kerosene 50-50 blend?
“We are pioneers with the research of GTL-kerosene [the jet fuel will be 50/50] mix, which gives the airline an advantage over others others in the sense that we will emit less carbon dioxide, and at the same time, as GTL has higher volume, we will be able to fly [further], because GTL has a higher density as a fuel than the normal kerosene. With the same amount of GTL-kerosene mix, we will be able to fly 15% longer distance with the same amount of fuel,” Al Baker said.
In addition, Qatar is home to the third-largest global gas reserves with 400 Tcf, behind Russia and Iran with 1,695 Tcf and 929 Tcf, respectively. Qatar also is working its way up the ladder to become a significant player in gas exportation. In late December 2008, The Gas Exporting Countries Forum — a group of the world’s largest natural gas suppliers — established a charter and picked Doha (over Russia, Iran and Algeria) as the home for its permanent secretariat, signaling Qatar’s growing importance in the natural gas market.
The future?
All that’s left to do before the synthetic jet fuel can officially be used, Al Baker said, are further tests and certifications. “As soon as all this is achieved, we hope that by the end of this year, we will be able to fuel our airplanes with a GTL-kerosene mix,” he noted. He sees Qatar Airways as the “bright spot in the gloom of the aviation industry.” As cutbacks, plane groundings and reductions are occurring seemingly left and right, Qatar Airways is keeping its figurative head down and moving forward, appearing unscathed, making it unique in the industry.
“We will have more destinations, more frequencies, expansion of fleet, more capacity, larger airplanes …” Al Baker said. “To say simply, we will be receiving just over one airplane every month this year. We have a solid, locked down growth strategy. We are committed to expansion; we are first-class on our geographical location being in the heart of the GCC [Gulf Cooperation Council in the Middle East].”
Why the extended outlook?
The answer to the burning question of why Qatar Airways is on the forefront of its industry with high-tech in-flight entertainment systems that go as far as to have live TV broadcasts, coming soon; the extensive research into GTL use for jet fuel; the expansions; a new Doha international airport scheduled to open in the middle of 2011; the luxuries and more is “very simple,” Al Baker said.
“We want to be the airline that has the youngest team in the world so the aircraft work order will not exceed 5 years,” he said. “So the oldest airplane in our fleet in Qatar Airways will be 5 years old. We will replace those with modern, state-of-the-art, fuel efficient airplanes. Qatar Airways is a global network carrier and will continue to tap into opportunities in key business cities around the world. Therefore, Houston is the launch in March.”
The airline is preparing festivities around the launch date of March 30, but is keeping the specific events close to its chest.
On a side note, according to an excerpt by Dan Reed today from Today in the Sky, an online component of USA Today:
The U.S. government, environmentalists and even the big oil companies are working together to develop alternative fuels from these and other sources. Their goal: to replace a significant portion of the 19 billion gal of kerosene that U.S. carriers burn in their planes each year and to do it by the end of the next decade. If they succeed, airlines will reduce their carbon footprint — and save big money that could possibly help hold down fares.
The U.S. Air Force also is pushing development. By next year, it wants all of its planes certified to operate on a 50/50 mix of conventional jet fuel, known as Jet A, and alternative fuel. Air Force generals don’t want their planes grounded by a geopolitical event that pushes oil prices through the stratosphere or stops the flow of foreign oil.
The alternative fuel industry only now is beginning to move beyond the research-and-development stage into commercialization. Yet, enough progress is being made that it’s safe to say it won’t be long before Air Force pilots and commercial travelers will be flying in planes powered, in part or entirely, by synthetic or biofuels.
“We’re looking at 5-year time horizons, not 20-year time horizons,” said Continental Airlines Chief Executive Officer Larry Kellner. “This isn’t going to happen in 2010, but it needs to happen before 2020.”
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January 23rd, 2009 mhitchings
Abon'go Malik Obama, U.S. President Barack Obama's half brother, gets comfortable on a Qatar Airways flight out of Washington, D.C. (Photo by Monique A. Hitchings)
Earlier this week, I was in Washington, D.C., and attended the Environmental and Clean Energy Inaugural Ball on Tuesday night. While there were no
Daryl Hannah or
Glenn Close sightings — two celebrities scheduled to attend – there were a few folks who are “famous” in the energy advocacy circles and part of the administration, including General Wesley Clark; Director, Office of Transportation and Air Quality, Environmental Protection Agency (EPA), Margaret Oge; and EPA Director Lisa Jackson. However, on the second part of my two-city, two-continent, two-country business trip this week, I met U.S. President Barack Obama’s half brother
Abon’go Malik Obama, owner of RockStone of Afrika Siaya Electricals, who was sitting at the end of my row on
Qatar Airways to Doha.
Gracious, warm and confidently soft spoken, Obama shared his ideas for a sustainable irrigation system in Kenya, as part of The Barack H. Obama Foundation, which he founded in memory of his father, who passed away in 1982. With solar panels and battery packs, we should be able to do something, Obama told me, as flight attendants patiently waited for us to finish chatting before closing the plane doors and finalizing security checks.
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January 21st, 2009 mhitchings
“The world has changed, and we must change with it,” said U.S. President Barack Obama after his swearing-in ceremony in Washington, D.C., yesterday.
The message was like the morning weather — crisp, clear and hopeful. While nearly 1.5 million people from all corners of the nation converged in the almost-freezing temperatures of the Mall, Obama delivered his 35-word oath almost flawlessly. The newly-elected president became as calm, cool, collected and confident as he did the day he accepted the presidential nomination and delivered his campaign speech.
Among the myriad of important topics Obama mentioned that the nation must address, plans for defense, security, climate change, energy and jobs were among the priorities. The emphasis was placed on “we” and universal team work, not only at home but globally. “Honesty, hard work, loyalty, patriotism …” Obama said. We have been a “quiet force of progress throughout history. What is required of us now is a new era of responsibility.”
General Wesley Clark addresses Environmental & Clean Energy Inaugural Ball attendees. (Photo by Monique A. Hitchings)
Many organizations during the past two days have held dozens of inaugural balls in honor of the administration changes and important issues Obama has pledged to address. Among the organizational events was the Environmental and Clean Energy Ball 2009 last night held at the Sequoia Restaurant in the Washington Harbor in Georgetown. Organizing committee members included representatives from Clean Fuels Foundation, Clinton Climate Initiative and Environmental and Energy Study Institute. Among the honored guests were General Wesley Clark; Administrator-Designate, U.S. Environmental Protection Agency (EPA), Lisa Jackson; and Director, Office of Transportation and Air Quality, EPA, Margaret Oge.
The message throughout the evening from the new administration, honored guests and special guests supported and echoed those Obama had passed along to the world just hours before hand — renewables, climate change, energy, jobs, security, reducing the environmental footprint — with the themed message “working together to build a better tomorrow.”
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November 5th, 2008 mhitchings
Test track of an early Morgan Motor Co. vehicle (Photos by Monique A. Hitchings, courtesy of Morgan Motor Co.)
The vehicle has continued to evolve to meet consumer, industry and world needs. Every 30 years, a change is inevitable, said Charles Morgan, director of design with
Morgan Motor Co.
At Morgan, it’s about the vehicle and the consumer, pride in the creation and building of each vehicle, which, he noted, takes about 16 hours and is completely built by hand, no robots, no artificial means of compilation.
“I think it’s important to be open about what you do,” Morgan said. “I think it’s important for people to want to visit the factory and know that real people build the cars…new technology is great and we all need it, but there is an element of craftsmanship at Morgan that is important.” That being said, the company recognizes the need to keep up with energy efficiencies and listen to their customers. In an effort to reduce its environmental footprint, Morgan cars are about 30% lighter than those that are mass produced, he noted.
Evolution of Morgan Motor Co. vehicles (Photo courtesy of Morgan Motor Co.)
Morgan was one of three members of the production and supply chain innovation session starting this morning’s second day of the
Altermobile Europe 2008 conference in Munich.
Phil Barker, chief engineer of hybrid and electric vehicle technologies with Lotus Engineering, discussed four key themes within the topic of production and supply chain innovation — developing new business models, innovation and design as a core business process, collaboration and cooperation, and internationalizing supply and production.
“The basic problem we are looking at is trying to run a country without oil,” said Amit Yudan, Europe Business Development with Better Place. One of the conference themes was to reduce, if not nullify, dependence on oil and conventional fuels and think more out of the box.
(left to right) Charles Morgan, Morgan Motor Co.; Amit Yudan, Europe Business Development, Better Place; Phil Barker, Chief Engineer, Hybrid and Electric Vehicle Technologies, Lotus Engineering; and Moderator Robert Evans, CEO, Cenex
“The real market response is volatile,” said Andre Metzner with
Roland Berger Strategy during his portion of the presentation,
Cooperative Constellations in the New Auto Innovation Game. “No doubt there is a need to cooperate.”
Metzner discussed a variety of “cooperation,” noting most people are familiar with the “marriage” concept, which is planned for the longer time horizon, is formalized and usually has a low flexibility. He also noted a few other important types: club, syndicate, commune, party, forum and expedition.
“These types are not legal/business categories — they can serve more as conceptual reference points for designing or understanding cooperative constellations,” Metzner said in his presentation white paper. “From my experience, cooperative projects need both, a conceptual foundation and cooperative cultural embedding. The culture part should not be underestimated, especially in situations where fierce competitors cooperate or new ground needs to be (jointly) explored.”
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November 4th, 2008 mhitchings
Altermobile Europe 2008 kicked off today with about 100 representatives from the transportation industry. (Photo by Monique A. Hitchings)
Can the oil and automotive industry continue to live quasi-harmoniously with the direction of the global economy, global warming and fuel costs?
The overall opinion is no, according to many of the speakers this morning during day one of the Altermobile Europe 2008 conference in Munich.
Iain Carson, business writer with The Economist and co-author of Zoom the Global Race to Fuel the Car of the Future, set the scene with the oil and car industries — neither of which, he noted, would be able to exist without the other, but that neither can continue to operate at current levels.
“We are potentially heading for a divorce,” Carson noted of the marriage between the oil and car industries. “We can’t go on the way we have before. Why are we all here today? It’s the two words of the conference — we need to find alternatives for vehicles. We can’t do without cars, we desperately need them. The conclusion we came to is that cars aren’t the problem, it’s the oil,” he said, noting the thoughts of he and his co-author.
Global warming, energy security, safety and the debate of fuel and energy for automotive power were key topics among speakers. Nearly 100 representatives from car and design industries, financiers and investors as well as industry publications gathered to learn from each other how infrastructure and design will lead to automobile technology of the future.
Carson discussed peak oil and the thoughts of some pessimists that oil reserves in areas such as the North Slope are decreasing. On the flip side, he said, there are optimists who say we’re not really running out of oil, there’s plenty to go around. There are other sources to tap, such as tar sands, but Carson said these areas pose challenges because the oil is heavy, it’s tough to get out of the ground and its expensive.
“I think at the end of the day we will end up having more [oil] than we thought,” he said. “I think this concept of peak oil is like counting angels on a pinhead.”
Energy security, he said, is an obsession in America, because “not only is there a worry about scarcity of oil, it is concentrated in difficult and unstable parts of the world.” Carson noted that during the past 20 years, there have been two major wars in which the United States has been involved that revolve around oil.
Noting that about one-quarter of the man-made global emissions come from surface transportation, Carson said about 8% to 9% of that comes from private vehicles.
“We have this problem with global warming, and the only way industry can deal with it is with technology,” he said.
Christopher Borroni-Bird, director of advanced technology vehicle concepts for General Motors, noted that “vehicles of the future need to become a lot more intelligent and a lot more agile” — meaning they need to adapt to the way we live.
During his presentation, Borroni-Bird analyzed various regions and the way vehicle use impacts its residents. “In congested urban areas, 30% to 40% of total gasoline is used by cars looking for parking, and the average search time is about eight minutes,” he said. “Clearly there is much room for improvements to the customer’s parking…
“Cities are beginning to act like nation states driven by rapidly growing congestion, a broad resistance to urban highway construction and public financing of mass transport, and a desire to compete for business by marketing quality of life.”
Professor Julia King, Vice Chancellor, Aston University, Birmingham, U.K.
Global transportation is the third-largest contributor to
carbon dioxide emissions and global warming, and the second largest annually is land use, said
Professor Julia King, vice chancellor with
Aston University in Birmingham, U.K.
“The climate change challenge is to have a reasonable chance of restricting average global increases to close to two degrees and to avoid a significant probability of as much as four degrees. The developed world will need to reduce emissions by 80% by 2050,” King said.
Although King said she doesn’t believe the world is on track to meet these reductions within the given timeframe, she does believe the technology is there and that governments and policy holders can help.
“In the next 10 years, increased vehicle efficiency offers the largest opportunity for reducing CO2 — both through us as consumers, choosing more efficient vehicles and through improved technology,” she wrote in her white paper presentation. “Within 10 years, we could be driving equivalent cars to those we choose today, but emitting 30% less CO2. The technology is available. Moreover, the cost of the technology, likely to be reflected in increased car prices, is offset several times over by the fuel cost.
Traffic congestion in some places is increasing, even though many cars are becoming cleaner, Carson said. “It’s like pushing a pea up a hill…,” he said.
Climate change is not an issue that will easily be solved; it will take some time to get all parties aligned and address the challenges in the most productive manner with the most information available.
“…Climate change is a global problem, and effective solutions and policies must also, ultimately, be global. But we all have an individual role to play, which makes a difference, as citizens in electing governments and supporting legislation, and as consumers in the cars we choose and when and how we use them,” King said. “With strong, early action by governments, industry and individuals, car ownership and use can continue to drive economic growth and enhance quality of life around the world without destroying the planet.”
The world as we know it today is not the world of tomorrow.
“The world is changing, and in response to this there is a clear shift to electric drive. Electric drive could take vehicles out of the energy and environmental debate, but to solve all the personal urban mobility issues it will be necessary to tackle the network of vehicles, and this can only be addressed through connectivity: the goal is zero emissions and zero accidents,” Borroni-Bird said.
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October 8th, 2008 mhitchings
It’s a different world from the one most of our colleagues entered and in which some are looking to retire. Technology is playing an increasingly significant role in giving all industries the tools to do their jobs more efficiently, more effectively and with a smaller margin of error.
Communication is important in all industries, and in days past, refiners and their providers depended on spreadsheets and phones and person-to-person communication to review what all the paperwork meant and how it translated to plant operations. And what to do in a crisis — when hurricanes are barreling down, or floods are infringing on facilities or a hard freeze is under way? There’s no time to haul spreadsheets from office to office, and having a large meeting where everyone has them sprawled on the conference table just makes it messy and even more complicated. And, as we all know, time is money, so this kind of archaic methodology is particularly inefficient because it slows productivity and thus reduces potential revenue.
Plant Automation & Decision Support: Real-time Value Chain Management and Optimization is important, and thus was a topic discussed yesterday afternoon at the National Petrochemical and Refiners Association Q&A Technology Forum in Orlando, Florida. I must express my apologies and insert a disclaimer here that I tried several times to post this yesterday, but ironically, I was having technological challenges, which appear to have been amended this morning. Technology, like everything else isn’t perfect — it’s great when it works, but when it doesn’t, we often find ourselves scrambling to remember what it was like before such advancements and improvising on the fly.
(Left to right) Stan DeVries, Invensys Process Systems; Dean Trierwiler, Haverly Systems Inc.; Robert Hutchings, M3 Technology; and Pete Sharpe, Emerson Process Management discuss the importance of plant automation and real-time optimization. (Photo by Monique A. Hitchings)
Speakers during yesterday’s session emphasized across the board the importance of planning and scheduling, which are operations basics. If you don’t know where a delivery is, when it’s supposed to come in, how you’re going to store it and what resources you need, what are you going to do when the material shows up on a dock or at a facility unexpected?
Robert Hutchings with M3 Technology laid out the challenges as he sees them — aging workforce, new processes and the inability for mistakes, among them. “We are faced with new challenges, and innovative systems are required,” he said. People who developed codes 10 to 15 years ago for state of the art technology, for instance, are retired or will be soon. “Consequently, refiners are searching for or developing new solutions,” Hutchings said.
Stan DeVries with Invensys Process Systems suggested ways to address the challenges. “Reflect the strategy in the models, expand business processes to exploit fact-based analysis and establish the right data structure (not more data). Use these three as enablers for culture change (remember the people challenge),” he said.
Pete Sharpe with Emerson Process Management discussed specific tools to help refiners, including those for terminal planning, order preparation, execution and product accounting. “We’re going to try to prevent, ‘oh-oh, I didn’t mean to do that,’” he said.
Dean Trierwiler with Haverly Systems Inc. discussed a project in which his company assisted Suncor Energy in developing a project program, named Cornerstone, to help increase communications and provide trusted information, which was another problem of previous interactions when verifying information from person to person, “no one trusted anyone,” the speakers said.
Cornerstone’s mission statement is: “We will build a strong foundation to achieve Suncor’s sustainable growth strategy by putting the right information in the hands of the right people at the right time to maxinize business performance. This will be accomplished through efficient, effective integrated processes and supporting technology.” The project is still ongoing between the two companies, but Trierwiler, with Suncor’s support, presented the information completely from his perspective.
Trierwiler noted improved operations after the project had been implemented (while emphasizing it is still a work in progress). “Since Cornerstone has been implemented at Suncor –- and this is an ongoing process — there has definitely been some improvement in their decision-making,” he said. “But with some of these goals, as people get used to new technologies and new way of doing things, much of these improvements will come about.”
Before the project’s implementation, Trierwiler noted, information was being “manhandled through many manual processes, time was spent trying to figure out how things worked, much double-checking was needed and decision-making was slow,” just to name a few. Afterward, “lower costs have led to increased profitability and productivity, asset utilization has improved, supply chains are reaching optimum conditions and projects are better managed, reducing overall costs,” again, just to name a few.
In summary, Sharpe noted in a presentation slide, “terminal operations can affect the entire hydrocarbon supply chain and disruptions are expensive; terminals are where products (and money) change hands; measurements, automation and control are important, but only part of the equation; terminal automation projects integrate business processes from sales orders to customer invoices; and automation has big benefits, particularly in over-stressed infrastructures.”
So let’s ‘talk’ to one another more, let’s communicate better, let’s share information and let’s collaborate — at the end of the day, having more efficient, effective and reduced error margins helps make our jobs, business and industry run more smoothly and cost-effectively. In addition, the time saved spinning wheels on cumbersome processes should allow us to enjoy a bit more free time; and who couldn’t use some of that?
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October 7th, 2008 mhitchings
And the winners are ……
One of the biggest compliments one can receive is recognition from one’s peers - the accolades that come from those with whom you work. Those who typically receive them are humble, unassuming, and passionate about their work and the industry in which they are involved. They do what they do not for the recognition but for the love of the job, the company for which they work, the people with whom they work and the industry they serve.
This morning the National Petrochemical and Refiners Association (NPRA) during the Q&A Technology Forum in Orlando, Florida, recognized who it believes are the best of the best for 2008, and those in attendance agreed.
Lawrence Lew of Chevron, Glenn Liolios of DuPont Stratco and Elizabeth Mettee of Grace Davison were called out for years of service to the organization as well as the industry itself. These individuals each received a Peter G. Andrews Lifetime Service Award, which began in 2003 to “honor members who have made long-lasting contributions to the value and vitality of the NPRA Q&A Meeting. Recipients of this award have served as Q&A panelists, screening committee members and active participants in the dialogue that is fundamental to the meeting.” These recipients, throughout their career, have “demonstrated a willingness to pass on their knowledge and expertise to future generations in this forum, have made significant contributions to the meeting’s quality and have emphasized the importance of sharing knowledge in making continuous improvements.”
In discussing this event with a friend of mine afterward, he said, “I would feel odd about getting a lifetime achievement award. Doesn’t that basically mean that people believe that you are of absolutely no value once you get that award?”
Lew alluded to a similar thought during his acceptance speech (much more eloquently put than my friend’s response) in which he said, “A lifetime award? I didn’t even know I was sick.”
Lew noted the changes of the industry and organization during his tenure, in which he’s seen companies disappear, new companies arise and “even small nations have merged, such as Exxon and Mobil.” He noted the evolution of NPRA along with the industry, to more accurately reflect the needs of the industry. NPRA, he said, used to have large panel sessions in which 10 to 12 people sat at long tables trying to talk about and answer everything in the industry. This became cumbersome, and with some people filling in and giving presentations for others — some without the same knowledge — questions were met with answers, including “there will be more information in the transcript,” Lew said, “which usually meant, ‘I don’t know the answer to that, but I’ll find out,’” which could take a few months, he admitted.
So one change has been the reduction of panel members and more concise topics that ensures “the answer is more clean and crisp and when you ask a question, you’re going to get an answer then and there.”
Liolios noted the passion he feels for what he does, and believes that is the key to longevity and happiness in the industry. And we all know one of the biggest challenges this — as well as almost every other — industry faces is knowledge transfer and the need for new bodies to replace those who are moving on.
“I think it really comes down to, do you have a passion for what you do, and are you willing to share that knowledge? I really appreciate being acknowledged here because my passion is this industry. I am in the scouting industry, and one of my sayings is, ‘leave a place better than you found it,’ and I really believe I’ve done that with NPRA,” Liolios said after receiving the award.
Elizabeth Mettee, Grace Davison
Mettee, who started with Grace Davison in 1974, shared a medley of “historical” photos with the audience from past NPRA shows as well as Grace Davison events. One of the most interesting sets of slides included Grace coffee mugs from NPRA shows dating from 1970 through today. These were interspersed among photos of events passed, and attendees laughed as they saw themselves or peers in pictures dating 20 or more years.
The event was lively, the mood was light, the reflections were sincere and the messages were the same: “We fully believe in your mission and everything you guys do; we’re tremendously supportive of you,” Mettee said of NPRA.
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October 7th, 2008 mhitchings
The financial industry is tanking (for the moment), there is a heavy dependence on foreign crude imports, gasoline growth is becoming weaker, people aren’t traveling and consuming fuel at the same pace as years past, the future of the energy industry is significantly dependent on the new U.S. Administration and the environment’s instability is in our hands to strengthen — no pressure, and no reason to be pessimistic.
Although we received about 50 returned emails to National Petrochemical & Refiners Association (NPRA) “usual suspect” attendees to whom we reached out — eager to see them again or perhaps to meet for the first time — there was still a significant crowd at the first day of this year’s event. Twenty-two companies sponsored themed hospitality suites open to all attendees and two held private invitation-only events. Some companies had live music or other forms of entertainment and all had great food and open bars. Many suites were decorated according to the particular theme, and some even had interactive video games where attendees could match wits with one another.
Yet, the absence of some company attendance was noted. One industry representative with whom I spoke said there were a number of large companies who did not send employees for reasons ranging from dealings with the aftermath of Hurricane Ike, which struck the U.S. Gulf Coast last month, causing preemptive refinery shut-ins (although most are operational at this point); to “company X won’t be there, so I’m not going;” to basic travel budget cutbacks.
However, this year’s attendee number (815) was not far off from those in the past, with the exception of last year’s 979, which NPRA attributed to a high ratio of one-day registrants. Registrant numbers typically hover in the 800s, according to NPRA, which recorded 898 registrants in 2006 and 822 in 2005. Based on the trends of registration during the past few weeks, NPRA said it was expecting about 800 this year.
Despite all this as well as the fact that the industry is in turmoil and refiners are faced with a number of challenges, today’s overall message of the 2008 NPRA Q&A in Orlando, Florida, was that there is hope (short term at least). We just need to think differently.
“Refining capacity is expanding worldwide,” said NPRA keynote speaker Blake Eskew, vice president of Purvin and Gertz Inc.
Refinery projects are occurring globally, and announced crude distillation projects from now through 2016 have been divided into three categories (representing millions of barrels per day in production).
Total global crude capacity additions most likely to occur account for 4.8 million b/d; those with high probability of occurring account for 4 million b/d; and those that are speculative account for 27.6 million b/d — all for a total of 36.4 million b/d, Eskew said.
The Energy Management: Principles & Practices session was aimed to show attendees — a good portion of the turnout representing refineries — ways in which they could easily cut costs by becoming more energy efficient. A lot has to do with just being aware.
“Push energy accountability to operators,” said LyondellBasell’s Lee Wells.
The company participated in an energy study with KBC, and his final presentation slide noted the “path forward” with this study: discovery and benchmarking — modeling, gap analysis, pinch study; identifying and evaluating opportunities; rank and select these opportunities; and implement them.
LyondellBasell’s corporate goal is to have 10% savings during five years.
Automation, said Emerson Process Management’s Doug White, can help reduce energy usage by reducing costs in a number of areas. To reduce overall refinery energy costs, process energy demand and energy supply costs must be reduced. To reduce those costs, internal utility production efficiency must increase while in turn, external purchase costs should be reduced. And there you have it — overall reduced energy costs.
White noted key takeaways for control system improvements, heater controls, fractionization energy savings and site energy supply optimization.
He summarized his portion of the presentation by noting that energy is the largest controllable cost in refinery process operation and that its efficient production and use are keys to refinery profitability. White also pointed out that automation and advanced automation are keys to effective energy use and management in the refinery. And his final point: implementation of a program to save energy requires a disciplined approach to evaluation and analysis.
Fernando Oliveira with Petrobras, who discussed the company’s corporate energy management process, noted that climate change discussions are nowadays in the top agenda of petroleum companies.
It seems simple enough, in theory, that one of the easiest places to begin cutting costs is in energy use — after all, to paraphrase how one speaker today put it: there are a lot of costs that are out of our control, but the one thing we can control is energy usage.
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August 19th, 2008 mhitchings
During Indonesia's recent celebration of independence at the Houston Consulate General of the Republic of Indonesia, dancers perform the "fan" dance native to Sulawesi. (Photo by Monique A. Hitchings)
Amid native dances from the islands of
Java and
Sulawesi, eating, drinking and delegate presentations, two nations came together tonight — one in celebration of the other’s independence. Although not occurring on the official anniversary date (but close enough) dignitaries from
Houston City Council representing
Mayor Bill White’s office, and the
state of Texas (with U.S. Congressional representation) gathered at
Houston’s Consulate General of the Republic of Indonesia amid country officials, neighboring consulate members and invitation-only attendees to help celebrate
63 years of freedom.
On August 17, 1945, Indonesia, a country comprised of more than 17,000 islands and today more than 240 million people, declared independence from The Netherlands after nearly 130 years.
The United States and Indonesia have a close relationship, one Consul General Kria F. Pasaribu tonight called that of friendship, noting a mutual respect and recognition of freedom. He talked about the growing economy and population as well as the positive political influences in the nation.
The country is unified through diversity — a multitude of people with various cultures, languages, beliefs and backgrounds that stand together to celebrate the one thing each and every person has in common: independence; a philosophy very much the same as that of those in the United States.
Opening ceremonies included welcoming remarks from U.S. Congressman Al Green and representatives from the offices of White and U.S. Congresswoman Sheila Jackson Lee, each of whom concluded their accolades of the country’s accomplishments with Congressional certificate presentations. Houston City Councilwoman Jolanda Jones, speaking on behalf of White’s office, noted the official declaration that Aug. 17 is now known citywide as Republic of Indonesia Day — I wonder if this will become a city holiday where offices, schools and and federal businesses shut down in recognition.
So, congratulations, Indonesia, and happy Independence Day.
Semoga Indonesia akan terus terusan lebih kehadapan lagi
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