Development of a Preliminary Engineering Design for the ... · PDF fileBusiness Divisions of...

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Transcript of Development of a Preliminary Engineering Design for the ... · PDF fileBusiness Divisions of...

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Presentation Overview

Market forces for use of high quality base oils

Demand drives for use of high quality base oils

Next generation Group III base stock,

YUBASE plus

Physical-chemical properties of YUBASE plus

Blending study results with YUBASE plus

Bench test and Engine test results

Summary

Introduction of SK Energy

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SK Group Overview

Energy

&

Chemicals

Telecom

Trading

&

Services

Holding

Company• SK Corporation

• SK Energy

• SK E&S

• SK Chemicals

• SKC

• Dopco

• K-Power

• SK Telecom

• SK C&C

• SK Telink

• SK Telesys

• Helio

• SK Networks

• SK Engineering & Construction

• SK Shipping

• Sheraton Walkerhill

• SK Securities

• Sales : 73.7 billion USD

• Total Assets : 63.3 billion USD

• Employees : About 30,000

Sales Ratio

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SK Energy Overview

History

Established in 1962 as Korea’s first domestic oil refining company.

Acquired by SK Group in 1982, and called YUKONG.

Name changed to SK Corporation in 1997.

Split into SK Holdings and SK Energy on July 1, 2007

Leading Energy & Petrochemical player in Korea

Largest refiner in Korea’s oil industry, holding over 1/3 of market

share, and leading Petrochemical, Lubricant player in Korea.

Globalization

SK Energy is in a transition phase, increasingly penetrating into

overseas markets with a view to becoming a major player in the

Asia-Pacific region.

SK Corporation (predecessor of SK Energy) has been ranked 98th

on Fortune Global 500 company list, 2007

1997- 2007

YUKONG

1982-1997

Korea Oil Company

1962-1982

Present

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Business Divisions of SK Energy

Ethylene: 830,000 Ton/Yr

Propylene: 540,000 Ton/Yr

BTX: 3,600,000 Ton/Yr

Engaged in 24 blocks

in 14 countries

Oil equivalent reserves

: 510 million Bbl

Production(E) : 25,000 B/D

Lubricant: 200,000 MT/Y

Base Oil: 1,000,000 MT/Y

Grease: 6,000 MT/Y

Domestic market share: 34%

CDU capacity: 1,115 Mil B/D

Gas stations: 4,185

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SK’s Base Oil Production History

1st

2nd

3rd

World largest Group III base oil manufacturer

Hydro-Cracked / CDW / All Hydro Processing Route

Total Group 3 Production Capacity is 750,000 MT/Y

350,000 MT/Y New Capacity from mid 2008

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High Quality Base Oils

Low Volatility

Excellent Oxidation Stability

Excellent Low Temperature Fluidity

Inherent VI is above 120

4 main options of high quality base oils

- PAOs

- Di-esters

- Wax Isomerized Base Oils

- Severely Hydrocracked Base Oils

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Global Base Oil Demand

Group III

Group II

Group I

4%2%

7~8%10~%

25,000

20,000

15,000

10,000

5,000

30,000

[KMT]

2000 2005 2010 2015

Source : SK Energy

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Market Forces for Use of High Quality Base Oils

Legislation Consumers

OEMs

Lubricant

Manufacturers

Global

Economy

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• Set Emission Target

• Reduce PM/NOx/SAPS

• Increase Fuel Economy

Demand Drives for Use of High Quality Base Oils

Legislation

Source: Lubrizol

OEMs

Euro 3

Euro 4

Euro 5

US Tier 2 bin 5

NOx (g/km)

PM

(g/km) Emissions Standards - Passenger Car Diesel -

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• Set Emission Target

• Reduce PM/NOx/SAPS

• Increase Fuel Economy

Demand Drives for Use of High Quality Base Oils

Legislation

Source: Lubrizol

OEMs

ILSAC : Phosphorus Content Limit

GF-1:

0.12 max

1990 1995 2000 2005

P content

in oil

(wt%)

0.12

0.10

0.08

0.06

0.04

GF-2:

0.10 max

GF-3:

0.10 max

GF-4

0.08 max

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• Set Emission Target

• Reduce PM/NOx/SAPS

• Increase Fuel Economy

Demand Drives for Use of High Quality Base Oils

Legislation

Source: Lubrizol

OEMs

ILSAC : Fuel Efficiency Requirement

Seq.VI F/E

improvement

%(vs.20W30)

SG

1990 1995 2000 2005

5

4

3

2

1

1

0

2

3

Seq.VIB F/E

improvement

%(vs.5W-30)

GF-1

GF-2

GF-3

5W-20 & 0W-20

5W-30 & 0W-30

10W-30

GF-4

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• Set Emission Target

• Reduce PM/NOx/SAPS

• Increase Fuel Economy

Demand Drives for Use of High Quality Base Oils

• Newly Designed Engines

• Severer Operating Condition

• After-treatment Devices

Legislation

OEMs LubricantManufacturers

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Demand Drives for Use of High Quality Base Oils

• Longer Drain Intervals

• Better Fuel Economy

• Price Efficiency

Consumer

LubricantManufacturers

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Demand Drives for Use of High Quality Base Oils

Formulation

Cost Efficiency

‘Synthetic’ Claims

Product Differentiation

Operational Conveniences LubricantManufacturers

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Refining Trends in Base Oil Composition

Chemical Type Structure VI Pour Oxidation Toxicity

Very High

~175

High

~150

Good

~130

Good

~130

Poor

~60

Poor

~60

Very Poor

<0

Solid

@50°C

Good

Good

Good

Good

Good

Good

Excellent

Excellent

Excellent

Good

Medium

Medium

Very Poor

Low

Low

Low

Low

Low

Medium

Very High

n-Paraffin (Wax)

iso-Paraffins with

Branched chains

iso-Paraffins with

highly branched

chains (PAO's)

cyclo-Paraffin-

single ring with

long chains

Naphthenes, poly

condensed

Monoaromatics, l

ong chains

Polyaromatics

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Technical Issues in the Manufacture of Base Oils

Base oil properties are controlled through feedstock selections and

manufacturing processes.

Refiners continuously search for innovative ways to maximize

iso-paraffins and small-ring naphthenes:

- Increasing hydrocracker severity

- Waxy feeds

SAE 0W-20 and 0W-30 formulated fully with Group III base oils

tend to be borderline in terms of meeting both low temperature

viscometrics and volatility requirements so PAO is needed.

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The most cost effective in high quality base oils

Provide the best overall performance in lubricant products

Classified as API Group III base oil

Limited to getting higher VI Group III base oils at practical yield in existing Hydrocracking routes

High Quality Base Oils from Fuels Hydrocracker Residues

Technical Issues in the Manufacture of Base Oils

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Higher VI Group III Base Oils from Fuels hydrocracker residues

Atmospheric

ResidueFuels

Hydrocracker

VGO

Vacuum

Distillation

Vacuum Stripping

Hydrocracker

Residues

Hydro-

treating

70D

100D

180D

250D

YUBASE plus

Hydrocracker

Residues

Hydro-finishing

Vacuum

Distillation

Vacuum stripping

Catalytic

Dewaxing

Fuels

Next Generation of Group III Base Stock

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Next Generation of Group III Base Stock

SK’s No.3 LBO Plant in

Dumai on Sumatra Island,

Indonesia

Adopted same technology,

SK UCO lube process

Higher VI Group III base

stocks from fuels

hydrocracker residues

Annual Production :

About 350k Metric Tons

YUBASE plus

Dumai

Ulsan

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Physical - Chemical Properties of YUBASE plus

Physical properties, YUBASE slate

YU-4 plus YU-4 YU-6 plus YU-6

Vis. @40℃, cSt 18.4 19.5 35.4 36.9

Vis. @100℃, cSt 4.20 4.22 6.65 6.48

Viscosity Index 136 122 146 130

Pour Point, ℃ -18 -15 -12 -12

CCS @-25℃, cP - - 2420 2920

CCS @-30℃, cP 1190 1590 4160 5200

Noack (A), wt% 13.5 15.2 4.1 7.5

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Comparison of CCS and volatility, 4cSt

[CCS Vis. @-30℃, cP]

1000 1100 1200 1300 1400 1500 1600 1700 1800

PAO

GTL

YUBASE plus

Group Ⅲ d

Group Ⅲ c

Group Ⅲ b

Group Ⅲ a

[Noack Volatility, wt%]

10

11

12

13

14

15

16

17

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Physical - Chemical Properties of YUBASE plus

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Chemical properties, Composition

■ 3-Ring + Naph.

■ 1&2-Ring Naph.

■ Paraffins

2005

100

80

60

40

20

[wt%]

YU-4 plus YU-6 plus SWI-5 Test Method:

GC-Mass Spectroscopy

Physical - Chemical Properties of YUBASE plus

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Low temperature properties, MRV

- LTLS Property, MRV (Base Oils with 0.3 wt% PPD)

[cP]

20,000

16,000

12,000

8,000

4,000

0

1,737

4,707

16,800

1,235 2,824

8,969

1,633

5,468

17,210

1,170

3,816

14,118

4,295

YU-4

YU-4 plus

YU-6

YU-6 plus

SWI-5

-25 -30 -35 -40

[℃]

Physical - Chemical Properties of YUBASE plus

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Solvency properties

Storage stability in

finished engine oils

54℃

- No haze

- No precipitation

- No separation

15℃

0℃

-18℃

YUBASE

YUBASE plus

[PS

N

um

be

r, m

l]

13.5

13.0

12.5

14.5

15.5

14.0

15.0

16.0

4 cSt 6 cSt

Physical - Chemical Properties of YUBASE plus

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Blending Study Results with YUBASE plus

SAE 0W-20, API SM / ILSAC GF-4 PCMO

Formula [wt%]

YUBASE 4

YUBASE 4 plus

100N (Group II)

PAO-4

YUBASE 6

VII

Additives

Properties

Vis. @40℃, cSt

Vis. @100℃, cSt

Viscosity Index

CCS @-35℃, cP

Noack (A), wt%

HTHS Viscosity, cP

72.75

-

-

10.00

-

7.00

balance

-

82.75

-

-

-

7.00

balance

-

63.75

20.00

-

-

7.00

balance

-

63.75

-

-

20.00

6.00

balance

43.0

8.33

174

5,760

13.2

2.63

40.9

8.21

181

4,560

12.3

-

43.5

8.38

173

5,830

11.5

2.69

43.4

8.40

173

5,390

14.6

2.68

B C D E

< 6200

< 15.0

> 2.60

A

82.75

-

-

-

-

7.00

balance

43.5

8.41

173

6,250

14.4

-

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Blending Study Results with YUBASE plus

SAE 0W-30, API SM/ ILSAC GF-4 PCMO

Formula [wt%] A B

YUBASE 4 67.70 -

YUBASE 4 plus - 77.70

PAO-4 10.00 -

VII 10.00 10.00

Additives balance balance

Vis. @40℃, cSt 57.6 56.0

Vis. @100℃, cSt 10.64 10.52 9.3 ~ <12.5

Viscosity Index 178 181

CCS @-35℃, cP 5,980 5,770 Max. 6,200

Noack (A), wt% 12.3 11.5 Max. 15.0

HTHS Viscosity, cP 3.09 3.08 Min. 2.9

Properties

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Blending Study Results with YUBASE plus

SAE 5W-30, API SM/CF, ACEA A5/B5-04 PCDO

Formula [wt%] A B

YUBASE 4 78.30 -

YUBASE 4 plus - 54.40

YUBASE 6 - 25.00

VII 9.10 8.00

Additives balance balance

Vis. @40℃, cSt 58.5 58.4 -

Vis. @100℃, cSt 10.49 10.50 9.3~<12.5

Viscosity Index 171 172 -

CCS @-30℃, cP 4,110 4,130 Max. 6,600

Noack (A), wt% 12.8 10.1 Max. 13.0

HTHS, cP 3.09 3.13 2.9~3.5

Properties

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Blending Study Results with YUBASE plus

SAE 5W-40, API SM/CF, ACEA A3/B3/B4/C3-04 PCDO

Formula [wt%] A B C

YUBASE 4 55.60 - 38.90

YUBASE 4 plus - 38.40 16.70

YUBASE 6 19.20 37.20 19.20

VII 12.60 11.80 12.60

Additives balance balance balance

Vis. @40℃, cSt 82.1 81.8 81.0

Vis. @100℃, cSt 13.84 13.79 13.81 12.5~<16.3

Viscosity Index 174 174 176

CCS @-30℃, cP 5,600 5,570 5,180 Max. 6,600

MRV @-35℃, cP 35,500 32,540 30,610 Max. 60,000

Noack (A), wt% 11.1 9.5 9.7 Max. 13.0

HTHS, cP 3.71 3.72 3.72 Min. 3.5

Properties

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Bench Test Results

Friction property, HFRR charts in 5W-40 PCDO

0

0.05

0.1

0.15

0.2

0.25

0.3

0.35

0.4

0.45

0.5

0 300 600 900 1200 1500 1800

Time (secs)

Fri

cti

on

0

20

40

60

80

100

120

140

Tem

p

0

0.05

0.1

0.15

0.2

0.25

0.3

0.35

0.4

0.45

0.5

0 300 600 900 1200 1500 1800

Time (secs)

Fri

cti

on

0

20

40

60

80

100

120

140

Tem

p

In essence, both oils performed

similarly, including the wear scar

average

YUBASE plus based oil sample

shows marginally thicker oil film

and lower friction coefficient

YU-4 Step1 Step2 Step3 Step4 Step5 Step6

Friction 0.123 0.126 0.128 0.148 0.155 0.158

Film, μ 77.7 50.6 28.3 17.3 19.1 18.5

Temp. 40 60 80 100 120 140

YU-4 + Step1 Step2 Step3 Step4 Step5 Step6

Friction 0.119 0.112 0.120 0.146 0.148 0.152

Film, μ 73.4 77.6 34.7 22.4 18.8 17.8

Temp. 40 60 80 100 120 140

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Bench Test Results

EHD oil film thickness in 5W-40 PCDO

40 oC

60 oC

80 oC

100 oC

YUBASE plus based oil sample

shows thicker oil film at low

rolling speeds at all temperatures

21nm

24.6nm

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Bench Test Results

Soot dispersancy in 5W-40 PCDO

5W-40 with

YUBASE 4

5W-40 with

YUBASE 4 plus

[1/s]

0.01 0.1 1 10

[Paּs]

70

60

50

40

30

20

10

0

YUBASE plus based oil sample

shows better soot dispersancy

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Bench Test Results

Seal compatibility in 5W-40 PCDO

YUBASE 4 plus based 5W-40 PCDO

Seal Type Results Limits

■ NBR 34, Nitrile Butadiene

- Hardness change, point -1 -8/+2

- Tensile strength, % -8.8 -20 max.

- Elongation at break, % -33 -35 max.

- Volume change, % 0.4 0/+10

■ AK 6, Viton

- Hardness change, point -1 ± 5

- Tensile strength, % -20 -50 max.

- Elongation at break, % -23 -55 max.

- Volume change, % 0.2 0/+5

■ ACM E7503, Acrylate pass

■ EAM D8948-200, Vamac pass

■ CEC L-39-T-96, Silicone (RE3-04) pass

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Bench Test Results

Other bench test results in 5W-40 PCDO

High Temperature Deposit ILSAC GF-4 Limit

High Temperature Corrosion API CI-4 Limits

TEOST (MHT-4), mg 26.3 Max. 35

Copper Increase, ppm 7.0 Max. 20

Lead Increase, ppm 12.0 Max. 120

Tin Increase, ppm 0 Max. 50

Copper strip rating (D 130) 1b Max. 3

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Base Oil Interchangeability

Base Oil Interchange Guideline for API SM/ ILSAC GF-4

From/To GP I GP II GP III GP IV

GP I

≤30%d, VIB>30% and ≤50%d

All except IVAc, VG, VIII>50%d, All except IVAcj, VGj VIII

GP II

≤30%d, VIB>30% and ≤50%d

All except IVAc, VG, VIII>50%d, All except IVAcj, VGj, VIII

GP IIIAll except

VIBh,i, IVAc, VIIIAll except

VIBh,i, IVAc, VIIIAll except

IVAcj , VGj, VIIIj, VIBh,i,j,k

≤30%d, IVAc, VG, VIB

>30%d, All

GP IV≤30%d, IVAc, VG, VIB

>30%d, All

BRT (O, all)

IIIG (O, all)

IVA (X,c)

VG (X)

VIB (O, k)

VIII (X)

c Test not required provided the new candidate oil’s base oil blend viscosity at 100°C is greater than or equal to

the base oil viscosity of the original candidate oil, within the precision of the test.

d Represents mass percentage of the PCMO formulation.

h Test not required provided the CCS viscosity of the new candidate oil is less than or equal to the CCS

viscosity of the original candidate oil, within the precision of the test.

I Test not required provided the HTHS viscosity of the new candidate oil is less than or equal to the HTHS

viscosity of the original candidate oil, within the precision of the test.

j Data set used to establish the BOI guidelines is based on a base oil VI range up to 126 VI, within the

precision of the test.

k VI of the base oil blend must be less than or equal to the VI of the base oil blend of the original candidate oil,

within the precision of the test.

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Base Oil Interchangeability

Sequence IIIG Test Results for BOI of API SM/GF-4

Seq. IIIG Results

YUBASE 4 65.86 - -

YUBASE 4 plus - 65.86 46.31

YUBASE 6 15.09 15.09 36.38

VII 9.25 9.25 7.50

Additives balance balance balance

Viscosity Incr. @%40C 76.4 50.8 47.3 150 max

Average Cam+Lifter wear 32.4 22.2 32.6 60 max

Weight Piston Deposits 3.24 (*) 4.01 3.77 3.5 min

Oil Consumption 3.21 2.91 2.81 4.65 max

Formula [wt%] A B C

Physical Characteristics

Viscosity @100℃, cSt 10.84 10.33 10.01

CCS @-30℃, cP 4820 3310 4090

CCS @-35℃, cP 9290 6050 8010

(*) Formulation A was passed in original program. But showed different result in this study due to different severity between testing laboratories and testing time,

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Base Oil Interchangeability

Sequence VIB Test Results for BOI of API SM/GF-4

Seq.VIB Results

YUBASE4 65.86 - -

YUBASE 4 plus - 65.86 60.65

YUBASE 6 14.51 14.51 20.21

VII 9.25 9.25 8.75

Additives balance balance balance

FEI 1, % 1.7 (*) 2.0 2.0 1.8 min

FEI 2, % 1.2 (*) 1.3 1.5 1.5 min

Formula [wt%] A B C

Physical Characteristics

Viscosity @100℃, cSt 10.73 10.01 9.93

CCS @-30℃, cP 4750 3120 3410

CCS @-35℃, cP 9230 5810 6457

(*) Formulation A was passed in original program. But showed different result in this study due to different severity between testing laboratories and testing time,

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Base Oil Interchangeability

Ball Rust Test Result for BOI of API SM/GF-4

Seq.VIB Results

YUBASE4 65.86 - -

YUBASE 4 plus - 65.86 60.65

YUBASE 6 14.51 14.51 20.21

VII 9.25 9.25 8.75

Additives balance balance balance

Avg. Gray Value 131 126 137 100 min

Formula [wt%] A(5W-30) B (0W-30) C (5W-30)

Physical Characteristics

Viscosity @100℃, cSt 10.73 10.01 9.93

CCS @-30℃, cP 4750 3120 3410

CCS @-35℃, cP 9230 5810 6457

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Base Oil Interchangeability

Demonstration Test Plan for ACEA Base Oil Interchange

ACEA A3/B3/B4/C3

ACEA A5/B5

SAE 5W-30

SAE 5W-40

TU5JP

Seq VG

TU3MS

M111SL

DV4 (or XUD11)

M111 FE

OM646LA (or OM 602A)

VW Tdi

Test Items

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Summary

Base oil manufacturers continue to search for innovative ways to

maximize iso-paraffins and small-ring naphthenes in base oils

Higher VI Group III base stock, YUBASE plus

YUBASE plus is a higher VI Group III base stock from fuels

hydrocracker residues

YUBASE plus has superior properties in low temperature fluidity

and volatility

YUBASE plus can cut down PAO dosage in PCMO/ PCDO formulations

In API engine tests, YUBASE plus based oils showed better results,

and ACEA engine tests will be conducted to demonstrate Base Oil

Interchangeability between existing YUBASE and YUBASE plus

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