Document zeObDJOgRQqv6aKj3zqZnap3
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J* H. c o o pe r NEWARK
CCS
P* D. Graham, Newport FIX
Newport, Delaware mj 3# 1951
Presented herewith r the detailed coat data to support the conclusions presented in my letter to you 5/1/51* This study was made using Newport forecast cost data for the first quarter of 1952 to determine changes in operating costs, and using Newark cost data
for BPl73- (G) and BL-266-B <27 to compute the magnitude of in
creased earnings* Equipment and installation costs were calculated from data presented in current issues of "Chemical Engineering" and from "Chemical Engineering Costs", by Zimmerman and Lavine (pub lished 1950)*
As pointed out in the original letter, the estimated expansion finished crude capacity will exceed the anticipated solvent milling capacity by an amount equivalent to 340, OCX) pounds of CPC toner per year* In these cost calculations it was assumed that this material, without further processing at Newport would be consumed at Newark exclusively for the manufacture of SL~2$~D and BP-173-D, with no increase in Newark*s manufacturing cost, and no quality degradation or restandardisesion costs*
The two processes covered in the cost study are briefly out lined below;
An entire synthesis charge (930 pounds for LB, and 60 pounds for BO) to he pumped to a glass lined, jacketed and agitated holding tank, to free the synthesis kettle for the next synthesis* From the holding tank the material is to be pumped into the new sul fation tank (installed on expansion project), under the surface of 96% H&SQa present in the quantity 7:1 acid to pigment weight* Bpon completion of the pumping the acid pigment layer is to he run (by gravity) into two jacketed stainless steel scale tanks, to permit weight control to insure against kerosene "carry over", and to split the scale tank (s) the material is pumped into a carbon brick lined, agitated tank containing water in the weight ratio of 10:1, water to acid* The drowned material is to be neutralised, in the same tank,
using 50# NaOH, and the pH raised to 10 or above* Following the pH
2
adjustment, the temperature is raised to 90 C and held for l/Z hour, then the material is filtered in wood plate and frame presses and press washed essentially sulfate free. The press cake is then dumped and ready for subsequent processing,
This process is the same as the HaOH process {see above} up to the point of neutralisation, By the lime process the drowned
material is not neutralised in the drowning tank hut is instead
filtered as a dilute acid slurry. The acid filtrate {approximately 10$ by weight) is collected and neutralised with lime (hence the name of the process) in a new waste disposal unit. Following fil
tration, the press cake is reslurried in a carbon brick lined agitated tank and alkaline extracted with 50% HaOH at a pH of 10,0 or above and at 90C, The extracted material is then filtered, washed, and discharged for further processing*
The following is a cost comparison of the "SSaOH" vs, the process, 411 figures indicated include installation costs.
'JET
Holding Tank ^L500 gftH glass lined jacket- 1
ed and agitated, including a 10 horsepower explosion-proof motor, and gear reducer and electrical starting equipment*
e s t'ir Ml
15,000
1
smj&i 15,000
L Durichlor or JDurimet pump, with explosionproof motor, and electrical starting equipment.
1,500
1
1.500
Measuring Tank stainless clad
jacketed steel tank,
2 3,000
2 3,000
measuring tank)
Platform type scale with gross 2
,000
2
4,000
capacity of 10,000 lbs.
25 G,F,M, Duricblor or Durimet l
1,000
1
1,000
centrifugal pump, including
an explosion-proof motor, and
electrical starting equipment.
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Item
Agitator (for measuring tanks) * iaatelloy C shaft and
agitator for 40x40tt tack, explosion-proof motor and gear reducer, plus electrical start lug equipment
' Drowning Tank (and Extraction Tank) lo,ow gal* pyroflex lined steel tank, including 30 horse*, power exploaion-proof motor* gear reducer, and electrical starting equipment* Also in cludes Hastelloy G agitator and shaft, plus steam lines and tank fittings*
Carbon brick lining for this tank.
Centrifugal Pump 75 0Kr#M* pump, with explosionproof motor, and electrical starting equipment.
** ooe plate and frame presses,
35 cubic feet capacity, with hydraulic closure.
TOTAX.
anq, All process lines, raives and fittings to be stainless steel Other piping and fittings to he steel. TPipiag plus instruments calculated at 70% of equipment cost)
iUv.vw j^uu. per day capacity [10% sulfuric acid), using Dolomite Hydrate
^irectfon of additional build
ing to house added facilities (calculated at $0.65/ft.3), plus cost of rearrangement and dismantling present equipment.
2 2,500 1 22,000
15,000 X 1,500 2 12,000
77,500 54,200
75,000
TAmtk KT^SStXtr
2 2,500
2 44,000
30,000 2 3,000 2 12,000
116,000 31,200
30,000 100,000
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Item
4
mm
m
Lime
ffoT ^oaFTWT
Prorated from Project 9199
10,000
26,000
W,t 15* TOTAL GOST*
32,000
53,000 ii06,$(5i5
*This does not Include the cost of lost production during the shut* down time for equipment installation, etc.
mqpMSAM&SMM
The following costs were calculated us the 1952 production f_o__r_e_c_a_sts of 195,000 ,po__u_nds of crude and 105,000 pounds of finished LB, and 09,000 pounds of crude and 25,000 pounds of finished {solvent
milled) BO.
Item
Sulfa
Sulfation
ggpc M
.....
Mm
Raw mmaterials Operating Costs Distributive
Total
62.13 16,00 11.59
09.72
02.33 17.54 11.59
111.46
93.60
Operating Costs Distributive
Total Cost
97.09 20.79 2AM
139*91
119.03 20.79 14.03
162.65
101.34 20.79 14.03
144.10
_ Costs iributive
Total
life 9.44
02.62
81.39 11.88 *hk
105.71
62.67 34.45
9.44
06.56
Operating Costs Distributive
Total Cost
93*33 32.20 20.70
146.31
117.44 32.20
MM
170.42
V02 )2.20
150.00
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-5-
XXI Using the above figures, the following cost data were developed?
A M-SsasLU
X. 740,000 lbs,/year x
2 # * *x 3. " x
.,626/lb. $1,203,240 AF - NaOH) ,.442/lb. 1*067,080 (AF - Lime)
399/lb. 1,035,260 (present process3
1. 3.56|OQO lbs,/year x 2* 3 * *> ac
>ip: ), 626/lb*
>76,292 (AF - RaOH)
*07,940 (A? - Lime) `34,056 (Present process)
0
.1. 340,000 lbs./year x |l,114/lb. - 6*372*760 ($i?: 821
2 x lo.937/lb. $318,580 {
UF - HaQH, solvent md pins 340,000 lbs. extra etude)
u,^,m .. ,292 (Bi mm icii
61,958,292
aatajJEjMMPlg. Cosfcf (AF - lime, solvent milled, pins 340,000 lbs, extra crude)
81,067,060 (A2) 307,940 B2
~jM*m C2)
$1,693,600
Imi
81,329,316
few
1, (AF * Haem) D-F * 2. (AF - Ume) B-F
h tem8gA..s)EslM
BP-173-D - 187, BL-288-D - 691,
x year x
19,000
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* IfkiteSfeg.
#628,976 (0-1) -5A7..000 (H) # 81,976 Xearly lots - (AF - NaOH)
f&>
#182,716 Xearly Profit - (AT - him)
Gross Profit lost all other expenses
(at i.m
loss Federal taxes
(at 64.62)
Mm * 100
#182,716 (X)
#168,281 M
# 59,571 Not fietura
As reported in the original latter, a project to equip Newport to AF process CPC cannot be justified on an economic basis*
EFl/dl jc
s* f . mmm j e .
CHEMICAL DIFISIOH
*
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