Document em2ojOZBvK5brn37NnRB8Ne1y

Solutia Steam Project Workshop Outline Date: December 22, 1997 In attendance: Solutia/Rich Fleschner Solutia/Dave Richardson Solutia/Gerry Walther Solutia-Magnum/John Saufhauer Solutia-Tom Flynn Sachs/Chris Garofalo Sachs/Myron Bernard Paric Corporation/Eric Uhlenhop Paric Corporation/Charlie Buescher Paric Corporation/Tim Muse EMC/Bob Goeltz Murphy/Dick Prahl Murphy/Kevin Cook Murphy/Matt Schumacher Rogers-Schmidt/Eric Schmidt Gateway/Ted Vehige Bums & McDonnell/John Woodson Bums & McDonnell/Todd Sweeney A. Introduction of all Team Members and Roles Introduction of all team members by Ted Vehige/Gateway Energy. Financially, Legal issue were discussed by Gerry Walther. Things are moving along well in that area. Anyone with any plans or action items please give to Ted or Rich, who will distribute to the other team members. Meeting was turned over to Charlie. Who encouraged open discussion, anyone with questions feel free to ask questions. The intent of this workshop is to gather everyone's idea and input, overview of design build process, working on sixty days to optimize cost, and find ways to decrease the operating cost. Also, focus on long lead items. Overview of agenda by Bob Goeltz. Ground rules are to respect each other and come up with the best solutions. 4 phase program. See attached agenda. 1 DSW 134442 STLCOPCB4034400 B. Phase 1 Information Phase Goals Cost Savings Showcase Facility Pollution Reductions Service and Reliable Schedule is critical Establish a long term partnership Life cycle cost (lowest lifecycle cost, decrease total annual operating cost). Design safety for long term Utility capacity/efficiency Plant Flexibility Future plant load increases will be controlled by: 1. Management of peak requirements 2. Conservation - Reduce loads 3. New equipment as required C. The latest and greatest utilities volumes: Cond. 1 Cond. 2 Cond. 1 Average Average Peak K-lbVhr K-lb./hr K-lb./hr 635 psig steam 44 12 65 210 psig steam 76 66 155 85 psig steam 17 43 52 137 121 272 Cond. 2 Peak K-lb./hr 13 155 98 266 Annual Total K-lb. 385,440 665,760 148,900 Compressed Air 1860 SCFM Average 2175 SCFM Peak 977,600 KCF total annual use Softened Water 30 gpm average 120 gpm peak 15,770 K-Gal total annual use Boiler Feedwater 20 gpm average 40 gpm peak 10,500 K-Gal total annual use DSW 134443 STLCOPCB4034401 D. Basic Flow Diagram Boilers All boilers in existing plant operate at 635 psig. To minimize costs, new boilers will be; one @ 635 psig and the remainder @ 210 psig. All boilers will be superheated steam. Boilers are gas fired with backup No 2 oil. Water supply 0 Condensate return, water supply coming from the city, all of the water through softeners and 635 psig water will also be treated with a reverse osmosis system. Cool air compressor from softened water. 3 Feed water pumps at 50 percent peak capacity each for 210 psig. 2 Feed water pumps at 100 percent peak capacity each for 635 psig. Oil Storage 24 hour oil storage capacity at peak requirements. Air compressor 2 units can handle flow requirements, one installed spare. E. Plant General Arrangement Drawing Original layout with individual boiler stacks. Alternate layout with single stack. F. Project Constraints Plant Location. IEPA-NSPS Permit/credits (3 months to a year for permits) sub-committee needs to be established-report due on January 20. Stack Monitoring. Soils - Chlorine plant was preexisting for the last 25 years. 3 DSW 134444 . ... STLCOPCB4034402 G. Action Item - Environmental 1. Environmental-Eric Schmidt - Team Leader. 2. Make sure ofNox off sets . 3. Make sure it is a minor not a major permit. 4. Eliminate C.E.M. requirements. 5. Determine schedule for permit process. 6. Determine cost for permitting. H. Criteria for Site Survey needed for selected site for legal description. Soils - cost of cleanup. ' Construction. -Distance to process connects. Existing Structures. Gas/utility/sewer. Water by Solutia or City (Illinois-American). Easements/R.O.W./Constraints. FAA/Stack Location (Eric to write Kansas City for new map, should have new plans in two to three weeks). Labor Union Jurisdiction. Access-separate gate entrance. Financing - TIF. Safety. Power supply (switching power from the existing facility to the new facility, there is plenty ofpower, how to use the switch gear). I. Site Selection . Discussion was held on which site to plan the plant. The only issue stopping us from planning on Site D is the Labor Union Cost. More research is needed. Solutia feels that an annual cost savings report is needed on both sites before a concrete decision can be made. Cost analysis group for site selection was formed, which will be headed by Eric Uhlenhop. A vote was taken to use Site D as the potential plant site for the rest of the day. 4 DSW 134445 STLCOPCB4034403 Pros Good Access Clean Site Off-site Labor Site available RESIDENTIAL SITE "G Cons Railroad Crossing Zoning (formality) Single Power feed FAA Easements (road-Rail) Gas Cost Construction Schedule impacts (permits) Hydrogen plant site/liabilities Unknown utilities ON-SITE "D" Pros Power Availability & Redundancy Feeder available from Solutia/Union Electric Utility Flexibility $500,000 + savings Reduced water rates Waste water plant capacity available (currently below minimum flow fixed costs) Cons Soil Contamination Site/building limitations Labor dollars J. Gas Issues # sales points from MRT Meter upgrades required? New tap on MRT line Cost for taps and upgrades Spot vs. long term Amount of firm gas vs. oil storage DSW 134446 STLCOPCB4034404  Amount of oil/year MRT firm capacity - sold out now - expansion status Subcommittee for gas issues: - Ted Vehige - Dave Richardson - Gary Kajander K. Building Issues Assumptions on the Building 20,000 SQ. Foot building. Completely enclosed building. . Precast Concrete Construction. B.U.R. system. Additional fill required for Site "D". Sound Attenuation (Dave will provide noise requirements @ fence). Dike System - industry standards. 10,000 gallon tank is available if needed. Chain link fence needed for security. Fire protection not included. Solutia wants to follow industry standards and code requirements. L. Demolition Demolition-$ 1,2M (Paric to establish cost). Environmental - Asbestos removal by Solutia after shutdown of power plant. Lead paint expected on all steel, part of demolition Utilities disconnect and reroute. -Power. -Water Pressure Monitoring. *. -Nitrogen Monitoring. -Process (Chemical Transfer). -Power Switching (Included in Header S1.6M). -Fire Alarm Relocation (Included in Header $1.6M). 6 DSW 13444? STLCOPCB4034405  Salvage. -Copper Cable. -Outside Vendor for surplus equipment. Sequence. -Pre-Work (headers tie ins) requires plant shutdown in fall 1998. -Isolation - scheduled shutdown in summer 1999. -Demolition (2-3 months asbestos removal) after new plant operating. Final Site. -Sub Station Building to remain. -Limestone over entire area. Re-Use. -Air compressors (Dave to provide information). Ethyl Steam Backup (future consideration). Not Addressed in Demolition. -Sewer. -Water. -Gas. -Power. John Saufhauer provided written scope for demolition and preliminary pricing. PHASE 3 - EVALUATION OR ANALYTICAL PHASE M. Brief description of engineering responsibilities. Rogers-Schmidt Engineering Co. -Major Mechanical Equipment - Specifications. -Inside Boiler House. -Heat Balances. -General Arrangement Drawing. -P & ID. DSW 134448 STLCOPCB4034406 -Electrical one line. -Air permits. Murphy. -D/B Routing - Tie in. -HVAC. -Plumbing Sachs. -D/B Electrical. -Routing - feeder - Air Conditioning. B&M. -Architect /Civil/Structural to Paric. -Site Utilities. Process Issues. Boiler Criteria. -Saturated Steam. -Superheated Steam. -635 # Boiler 1 vs. 2. -Redundancy/Flexibility. -210# 2 vs. 3 (2 at 150,000 pph or 3 at 100,000 pph). -Environment Considerations. -Maintenance. -Guarantees - 99.5 percent Reliability. -Rental Tie-ins? -`D' or `O' type boilers preferred. -Confined Entry - Safety. -Sound. -Intake Air From Exterior. 8 CSW 134449 STLCOPCB4034407  Boiler Stack Criteria. -1 vs. Individual Unless environmental impact. -Cost Impact. -Safety. -Fans. -Isolation dampers in ductwork. Saturated vs. Superheat Superheat steam is a requirement. De superheat from 635 to 210 and from 210 to 85. Saturated not feasible due to existing plant improvements required ($). Review of superheated steam temperature requirements for Solutia (Dave Richardson). 635 # Boiler Discussion One Boiler Two Boilers Pros $ Initially Cons No Redundancy Potential Outages Pros Redundancy Cons Add R.O. increased equip cost D/A increases Feedwater Pumps Higher operating costs Consensus. Will stay with the one boiler concept for 635 #. 210 # Boiler Discussion 2 @ 150,000 pph Pros Lower initial $ Cons Winter concerns Reliability problems 3 @ 100,000 pph Pro peak + freeze prot Cons 9 DSW STLCOPCB4034408 What is Load? 146,000 Winter Average (1-150,000 pph boiler would be too marginal). Freeze Protection criteria (Dave Richardson will review). 600 # System? Solutia Criteria? Volume Required? Consensus is 3 @ 100,000 pph (unless environmental permitting favors 4-75,000 pph boilers). Miscellaneous Cost Saving Options Condensing economizer. PRV locations. Single meter (210/85). Compressor pressure (reduce). D/A heater reduce to 1. Steam Turbine - existing reuse/add. Cost savings in header modification estimates. 1 Jtiiitv Plant 1. Condensing economizers. CHX equip, $ initial, fuel savings, operating cost, reliability. (Ted to investigate in more detail). 2 D/A Heater (Qty) 2 vs. 1 (Ted & Murphy to price out savings). 3. Condensate return - cost savings potential, no apparent opportunity now. -Future savings may be possible. 4. Steam Turbine Drives. -Potential savings. -Determine with heat balance requirements. . 5. Back-up utilities (electric, others). -Generator #6 re-use (425 kw induction)? * -No help with loss of power from U.E. 10 DSW 134451 STLCOPCB4034409 6. Treated Water. -Softeners cold vs. hot (check on heat balance). 7. Oil Storage - use new 10,000 gallon tank if wanted. 8. Equipment re-use -Air compressor 1750 cubic feet per minute (cftn). -Feedwater Pumps. 9. PRV 85# - 1 vs. 2. -Noise concerns. 10. Control System compatibility. D/A Heater 1 vs. 2 Cons of 1 Inspection Maintenance Insurance requirements Investigate 1 D/A heater more closely. Utilities - backup. Single feed - Union Electric. General service or primary. *Solutia can provide (site "D"). 2-13.8kv feeds or second feed back-up only. Gateway to Review Electric. Back-up for reliability. Water-Site "D". Tie into Solutia Water. Firemain - Site `D' 2-600,000 gallon storage tanks. Compressor Back-up emergency cooling potential. 11 Pros of 1 Cost Rental available Use chemicals during outage QSW 134452 STLCOPCB4034410 Phase #4 Evaluation Investigative Phase Teams Fuel Supply Site Selection(soils & survey) Demo/Header Price Verif. Environmental (air) Finance Labor (Operations) Gas Supply Gateway/Solutia Bums & McD/Paric/Murphy/Sachs/Solutia Paric/Murphy/Sachs/Solutia R/S/Solutia/Gateway Evets/Gateway/Solutia EMC/Solutia Gateway/Solutia Next workshop review meeting will be held January 13, 1998. 12 DSW 134453 STLCOPCB4034411