Scheduling, Logistics, Planning, and Supply Chain ... · TK-44114 (q=2) Schedule of diluents in the...
Transcript of Scheduling, Logistics, Planning, and Supply Chain ... · TK-44114 (q=2) Schedule of diluents in the...
José M. Pinto
Feb 07, 2008
Scheduling, Logistics, Planning, and Supply Chain Management for Oil
Refineries
OUTLINE
• Introduction • Scheduling models
– crude oil scheduling– fuel oil / asphalt scheduling
• Logistics– oil supply model– pipeline distribution
• Planning Models– refinery diesel production
• Supply Chain Management Models• Conclusions
MOTIVATION
Economical TargetsProfitability Maximization (Pelham and Pharris, 1996; Ramage, 1998)
Minimization of Operational Costs (Bodington and Shobrys, 1996)
Maximization of supply chain value (Chopra and Meindl, 2003)
Decision Support Tools
Maximization of integrated margins (Thijssen and Lasschuit, 2003)
ADVANCESAvailability of more powerful and less expensive computers;Mathematical Developments:
Time representation; (Moro and Pinto, 1998)
Combinatorics in MIP;(Raman and Grossmann, 1994)
Non-convexities in MINLP;(Viswanathan and Grossmann, 1990)
Consequences for the Petroleum and Chemical Industry: (Ramage, 1998)
Unit LevelOptimization
Plant-wideOptimization
1980’s 2000’s
Supply ChainOptimization
1990’s
ROADMAP OIL OPERATIONS
Planning of oil exploration(Carvalho)
Oil supply scheduling(Más)
Refinery planning(Moro)
Refinery SchedulingDistillation (Smania)
Fuel Oil / Asphalt area (Joly)LPG scheduling (Moro)
Utility systems (Micheletto)Paraffins (Casas-Liza)
Pipeline scheduling(Rejowski Jr.,Hassimotto)
Pipeline network planning (Assis)
Supply chain management (Neiro, Chen)
OUTLINE
• Introduction • Scheduling Models
– crude oil scheduling– fuel oil / asphalt scheduling
• Logistics– oil supply model– pipeline distribution
• Planning Models– refinery diesel production
• Supply Chain Management Models• Conclusions
SHORT TERM CRUDE OIL SCHEDULING Crude Oil System
OBJECTIVES
Maximize operating profitrevenue provided by oil processing cost of operating the tanks
Generate a schedule for crude oil operations receiving oil from pipelinewaiting for brine settlingfeeding the distillation units
TIME SLOT REPRESENTATION
MILP OPTIMIZATION MODEL
Max total operating profitsubject to:
Timing constraintsPipeline material balance equationsPipeline operating rules
Pipeline always connected to a tank
Material balance equations for the tanksVolumetric equationsComponent volumetric balance
Tank operating rulesMinimum settling time
Rules for feeding the distillation unit
DECISION VARIABLES
slot k
Ypj,kYdf,j,k
fraction f
REAL-WORLD EXAMPLE
Oil parcel Volume
(m3)
Start time
(h)
End Time
(h)
Composition
1 60,000 8 20 100% Bonito
2 50,000 48 58 100% Marlin
3 1,000 58 58.2 100% Marlin
4 60,000 100 112 100% RGN
Tank initial conditions
Distillation target flowrate = 1500 m3/h
RESULTS
MODEL SOLUTION
• GAMS / OSL
• CPU time2.80 hrs (Pentium II 266 MHz 128 MB RAM)
• Variable size time slot model912 discrete variables
3237 continuous variables
5599 equations
• Fixed size time slot model
21504 discrete variables !
OUTLINE
• Introduction • Scheduling Models
– crude oil scheduling– fuel oil / asphalt scheduling
• Logistics– oil supply model– pipeline distribution
• Planning Models– refinery diesel production
• Supply Chain Management Models• Conclusions
FUEL OIL/ASPHALT PRODUCTION SCHEDULING PROBLEM
•The plant produces ≅ 80% of Brazilian fuel oil;
•The plant has significant storage limitations;
•Complex distribution operations;
Product Base Diluent usedFO1FO2FO3FO4UVO1UVO2CAP07CAP20
OCC+LCO or OCC or LCOOCC+LCO or OCC or LCOOCC+LCO or OCC or LCOOCC+LCO or OCC or LCOpure LCOpure LCOpure HGpure HG
RASF RASF RASF RASF RASF RASF RASF RASF
major specification:viscosity
MATHEMATICAL MODELS
non-convex MINLP (viscosity constraints);
Uniform Discretization of Scheduling Horizon;
Objective Function: Minimize Operational Cost.
First Approach:
MILP;
Second Approach:
Linear Transformation
COST = Raw-Material Costs + Inventory Costs + + Pumping Costs + Transition Costs
MINLP MODELMinimize:
Material Balance Constraints
Subject to:
Plant Operating Rules
Demand Supply of Plant Products
at each t, the plant production must be stored in one single tank
simultaneous tank loading and unloading is not allowed (exception: HG storage tank)
UVO / Asphalt may be sent to truck terminals only between 6:00 a.m. and 6:00 p.m.
while asphalt is produced, the RASF diluent must be HG
while asphalt is produced, the OCC stream from UFCC must be directed to storage in TK-42208
Material Flow Constraintsflowrates to oil-pipelines must obey pump limitations flowrates to truck terminals must obey pump limitations
Viscosity Specification Constraints
REAL-WORLD EXAMPLE
instanceevaluated
Scheduling horizon: 3 days
Time span: 2 hours
Nominal production: 200,000 m3/month
PRODUCTION SCHEDULE AND STORAGE INFORMATION
0
1
TK-4
4113
TK-4
3307
TK-4
3301
TK-4
3301
TK-4
3307
TK-4
3301
TK-4
3302
TK-4
4108
TK-4
3302
TK-4
4108
TK-4
3301
TK-4
4108
TK-4
3301
TK-4
4108
TK-4
3302
TK-4
3307
TK-4
3301
TK-4
4113
TK-4
3301
TK-4
3301
TK-4
3307
TK-4
3307
TK-4
3301
TK-4
4108
TK-4
4108
TK-4
3307
TK-4
3301
TK-4
3301
TK-4
3301
TK-4
3303
TK-4
3302
TK-4
3307
TK-4
3301
TK-4
3301
TK-4
3301
TK-4
3301
START END
UVO1 UVO2 CAP07 CAP20 FO1 FO2 FO3 FO4
020406080
100120140160180
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35
Each
inte
rval
= 20
m3 /h
diluent from TK-42221 (HG) diluent from TK-42208 (OCC+LCO)pure OCC from UFCC pure LCO from UFCC
FO1 (p=1)
02468
10
1 4 7 10 13 16 19 22 25 28 31 34 37
TK-43301 (i=1)
TK-43302 (i=2)
FO2 (p=2)
02468
1012
1 36
TK-43303 (i=3)TK-43304 (i=4)
FO3 (p=3)
02468
10
1 36
TK-43305 (i=5)TK-43306 (i=6)
FO4 (p=4)TK-43307(i=7)
02468
10
1 36
CAP-20 (v=4)
0
2
4
1 36
TK-44110 (q=6)TK-44115 (q=7)TK-44116 (q=8)
CAP-07 (v=3)TK-44108 (q=5)
0
2
4
1 36
UVO2 (v=2)
0
2
4
1 36
TK-44111 (q=3)TK-44112 (q=4)
UVO1 (v=1)
0
2
4
1 36
TK-44113 (q=1)TK-44114 (q=2)
Schedule of diluents in the mixer
Volume (x 10-3 m3) in product storage tanks
4514
6890
15121512
4465
2629
MINLP model MILP model
number of 0-1 variablesnumber of constraintsnumber of continuous variables
68907985
1512 19684465
6733
WITHOUT TRANS.CONSTRAINTS
WITH TRANS.CONSTRAINTS
number of 0-1 variablesnumber of constraintsnumber of continuous variables
case MIP model nodes iterations CPU time (s) objectiveMILP 937 15674 570.46 969.61A MINLP - 13815 335.36 966.99MILP 1296 16626 711.01 965.72B MINLP - 15508 391.45 961.14MILP 764 13086 490.86 954.99C MINLP - 23792 531.98 956.99MILP 1197 23080 851.78 950.65D MINLP - 12845 299.30 959.49
OIL-PIPELINE TO SÃO PAULO(WITH TRANSITION MODELING)
0
100
200
300
400
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35
(m3/h) FO1FO2FO3FO4
LOCAL OIL-PIPELINE(WITH TRANSITION MODELING)
0
100
200
300
400
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35
(m3/h) FO1FO2FO3FO4
MILP models
OUTLINE
• Introduction • Scheduling Models
– crude oil scheduling– fuel oil / asphalt scheduling
• Logistics– oil supply model– pipeline distribution
• Planning Models– refinery diesel production
• Supply Chain Management Models• Conclusions
CRUDE OIL SUPPLY PROBLEM
crude oil terminals oil refineries
MOTIVATION
• Increasing utilization of the system– Larger demand for crude oil in refineries– Outsourcing of transportation
• Potential economic impact– No systematic scheduling– Operations involve high costs and aggregated values
• Petrobras distribution complex– 4 integrated refineries
PETROBRAS DISTRIBUTION COMPLEX
Types of crude oil
PROBLEM SPECIFICATION
iDetermined by the petroleum origin
iApproximately 42 types of crude oil may be processed
Types ofcrude oil
Classes of crude oil
iSets of crude oil types with similar properties
iNecessary due to limited amount of tanks
i7 classes
PROBLEM SPECIFICATION
Types of crude oil
Classes of crude oil
Tankers
iTransport types of crude oil
iOverstay incurs in additional costs- US$ 10 k to US$ 20 k per day
PROBLEM SPECIFICATION
Types of crude oil
Classes of crude oil
Tankers
Piers
iDifferent capacities
PROBLEM SPECIFICATION
TanksPiersiStore classes of crude
oil
iMinimum storage levels
iSettling time between loading and unloading operations
Types of crude oil
Classes of crude oil
Tankers
PROBLEM SPECIFICATION
Tanks
Pipe-lines
Classes of crude oil
Tankers
Piers
iFlow rate at each pipeline limited by the density of the heaviest crude oil class
iPossible to connect to at most one tank at every timeTypes of
crude oil
PROBLEM SPECIFICATION
Tanks
Pipe-lines
Sub-stations
Types of crude oil
Classes of crude oil
Tankers
Piers
iBuffer operations between terminal and refineries
iStore difference in flow rate between inlet and outlet pipelines
PROBLEM SPECIFICATION
Pipelines
Substations
Refineries
Full scale model unsolvable
PROPOSED STRATEGY
Terminal
Decomposition of the problem in three
formulations
MATHEMATICAL FORMULATION
• MILP model formulation• Time representation
– Continuous– Based on events
time
Vi Vi+1 Vi+2 Vi+3
Qi Qi+1 Qi+2 Qi+3
Xi Xi+1 Xi+2 Xi+3
Inventory level (cont. variable)
Amount generated (cont. variable)
Decision to produce (disc. variable)
Ti Ti+1 Ti+2 Ti+3Time events (cont. variable)
PROPOSED MODEL - VARIABLES
• Binary variables – Decisions– Assignment of ship n to pier p: – Unloading of ship n to tank t: – Unloading of tank t to oil pipeline o:
• Continuous variables– Timing– Inventory– Flowrates– Operating profit
pnA ,
etnLT ,,
eotUT ,,
PORT MODEL - CONSTRAINTS
• Decisions
– Assignment of tanker n:
– Operation of tank t:
– Operation of tanker n:
– Operation of oil pipeline o:
1, =∑∈ nPp
pnA
1,,,, ≤+ ∑∑∈∈ tt Oo
eotNn
etn UTLT
1,, ≤∑∈ oTt
eotUT
1,, ≤∑∈ nTt
etnLT
PROPOSED MODEL - TIMING
• Ships, tanks and pipelines– Timing variables in each time event
• Initial• Final
• Matching of the timing variables– Unloading from ship n to tank t
– Unloading from tank t to pipeline o
fet
fen TTTN ,, =s
ets
en TTTN ,, =
seo
set TDTT ,, = f
eofet TDTT ,, =
PROPOSED MODEL – CONSTRAINTS
• Matching of timing variables– Ships ↔ Tanks
– Tanks ↔ Pipelines
)1.()1.( ,,,,,,, etns
ensetetn
sen LTHTNTTLTHTN −+≤≤−−
)1.()1.( ,,,,,,, etnfen
fetetn
fen LTHTNTTLTHTN −+≤≤−−
)1.()1.( ,,,,,,, eotset
seoeot
set UTHTTTDUTHTT −+≤≤−−
)1.()1.( ,,,,,,, eotfet
feoeot
fet UTHTTTDUTHTT −+≤≤−−
PROPOSED MODEL – OBJECTIVE FUNCTION
( )
( )
( )
cost) (interface .
tankers)oil theofcost (overstay .
cost)n utilizatio(pier .
tanks)in thecost (oil .
port) in the revenue oil initial - (final .
)refineries the torevenue (oil .max
1
1,,,,
,,
,
0,
1
1'',,,
∑ ∑ ∑ ∑
∑
∑ ∑
∑ ∑
∑ ∑
∑ ∑ ∑ ∑ ∑
∈≠′
∈′
−
=′′
∈
∈
∈
∈ ∈ ∩∈
−
=
−
−
⎥⎥⎦
⎤
⎢⎢⎣
⎡−−
⎟⎟⎠
⎞⎜⎜⎝
⎛−
−+
⎥⎥⎦
⎤
⎢⎢⎣
⎡=
o CLOclcllc
CLOlc
E
eeolccl
facelccl
sen
n
sen
p Nn
startpn
endpn
pierp
c Nncn
crudec
cl Ttt
TEt
classcl
r CLRcl Oo TTt
E
eeot
classrcl
o o
p
c
cl
r r ocl
INTCOST
TCOST
COST
CCOST
VVREVP
QutREVR profit
ττ
REAL-WORLD PROBLEMREPLAN
RECAP
SEBATRPBC
GEBAST
SEGUA
REVAP
OSBAT III
OSBAT II
OSVAT I
OSVAT II
OSvAT III
OSVAT IV
OSBAT IV
P4
P2
P3
P1
São Sebastião
São José dosCampos
Paulínia
Guararema
Capuava
Cubatão
• Problem 1– Port Model
• Problem 2– Substation
Model
Problem 3– Substation
Model
• Problem 4– Substation
Model
COMPUTATIONAL RESULTS
• Smaller optimality gaps for the Port Model
• Large variation on computational times
Problem 1 Problem 2 Problem 3 Problem 4
Number of continuous variables 1996 4954 712 703Number of binary variables 1039 759 66 123Number of constraints 7203 10337 1158 1682Relaxed LP solution 21,768.32 23.00 11.00 11.39Best Integer Objective 20,073.96 42.00 21.00 15.00Optimality gap 7.78% 82.61% 90.91% 31.74%Nodes 1118 3784 3921 422Iterations 62313 74410 19321 5244CPU time (Pentium III 450MHz) 1,457.51 s 602.07 s 134.69 s 28.28 s
Port Model Substation Models
PROBLEM 1 – TANKERS AND TANKSPEDREIRAS
08
27
01020304050
30 35 40 45TBN01
B
0
20
40
60
60 62 64 66 68 70
FRONT BREA
05
0
30
60
90
120
10 15 20 25 30
REBOUÇAS
38
0
10
20
30
40
40 45 50
MURIAÉ
01a
01b
0
20
40
60
80
45 55 65 75 85
120
TBN02
C
0
5
10
15
20
85 86 87 88 89 90
RAVEN
D
0
20
40
60
90 95 100 105
TBN03
B
0
10
20
30
139 141 143 145
VERGINA II
38
0
30
60
90
85 90 95 100
NORTH STAR
26
0
50
100
150
95 100 105 110 115TBN04
E
0
20
40
60
154 161 168
PRESIDENTE
29a29b
0
20
40
60
80
90 100 110 120
CANTAGALO
A
0
5
10
15
20
0 1 2 3 4 5
TQ3210
Vmin
Vmax
07
14212835
0 24 48 72 96 120 144 168
TQ3208
Vmin
Vmax
07
14212835
0 24 48 72 96 120 144 168
TQ3214
Vmin
Vmax
020406080
0 24 48 72 96 120 144 168
TQ3219
Vmin
Vmax
020406080
0 24 48 72 96 120 144 168
TQ3237
Vmin
Vmax
02040
6080
0 24 48 72 96 120 144 168
TQ3241
Vmin
Vmax
02040
6080
0 24 48 72 96 120 144 168
TQ3215
Vmin
Vmax
02040
6080
0 24 48 72 96 120 144 168
TQ3233
Vmin
Vmax
020406080
0 24 48 72 96 120 144 168
TQ3238
Vmin
Vmax
07
14212835
0 24 48 72 96 120 144 168
TQ3242
Vmin
Vmax
020
4060
80
0 24 48 72 96 120 144 168
TQ3217
Vmin
Vmax
020406080
0 24 48 72 96 120 144 168
TQ3234
Vmin
Vmax
020406080
0 24 48 72 96 120 144 168
TQ3239
Vmin
Vmax
020
4060
80
0 24 48 72 96 120 144 168
TQ3243
Vmin
Vmax
02040
6080
0 24 48 72 96 120 144 168
TQ3218
Vmin
Vmax
020406080
0 24 48 72 96 120 144 168
TQ3235
Vmin
Vmax
020406080
0 24 48 72 96 120 144 168
TQ3240
Vmin
Vmax
020
4060
80
0 24 48 72 96 120 144 168
TQ3244
Vmin
Vmax
020
4060
80
0 24 48 72 96 120 144 168
17.4
58.2
58.2
17.4
35
16.9
38.0 (P4)
27.8
3.7 (P4)
11.9 (P4)
0.6 (P4)
25.4 4.7 (P4)
15 (P4)
5.3 (P3)
24.7 (P3)
37.8 (P2)
19.6
CANTAGALO
PRESIDENTE
FRONT_BREA NORTH_STAR
48.8
2.2
28.06.1 (P4)
28.0
25.4
53.3
24 Hrs
12.2 (P2)
42.4 (P2)
63.6 (P2)
26.0 (P2)
2.2
19.6
29.4 (P4)
1.4 (P2)
51.1 (P3)
30L (P-4)
2.8
19.6
55.5 (P4)
60.4
PEDREIRAS
MURIAE
6.2 (P2)
24.3 Hrs
26.0 Hrs 66.0 (P2)
50.3Hrs
27.8
34.4
24 Hrs
60.0 (P4)
11.5 (P4)
42.4
63.6
61.8
2.8
28.9 (P3)
24 Hrs
43.2 Hrs
REBOUCAS
VERGINA II
67.7
55.7 (P1)
62.4 (P2)
48.8
34.8
11.0
58.7
11.5
24 Hrs 60.0 (P4)
42.4
19.6
TBN01
16.9 (P1)
62.4
24 Hrs
63.6
11.5
28.0
2.8
4.5 (P4)
24 Hrs
62.4 (P1)
60.0
58.7
2.2
TBN02
16.9
46.4 Hrs
67.7
60.4
27.8
33.9
14.1
62.4
RAVEN
48.8
16.9
41
TBN03
60
19.6
61.8
65
TBN04
62.4
70.2
65.1 2.6
26.5
62.4 16.9 60 59.1
0 24 48 72 96 120 144 168
P-1
P-2
P-3
P-4
TQ3208
TQ3210
TQ3214
TQ3215
TQ3217
TQ3218
TQ3219
TQ3233
TQ3234
TQ3235
TQ3237
TQ3238
TQ3239
TQ3240
TQ3241
TQ3242
TQ3243
TQ3244
OSVAT
OSBAT
SEGUA/E
OSBATII/S
Tempo (horas)
PROBLEM 1 – GANTT CHART
OUTLINE
• Introduction • Scheduling Models
– crude oil scheduling– fuel oil / asphalt scheduling
• Logistics– oil supply model– pipeline distribution
• Planning Models– refinery diesel production
• Supply Chain Management Models• Conclusions
SCHEDULING OF A MULTIPRODUCT PIPELINE SYSTEM
• Pipelines transport large amounts of products in the fastest and safest mode.
• Development of a systematic approach for such operation.• amounts of products sent to all depots and operational
sequencing at the refinery, pipeline and at depots;
• inventory levels for each product at all locations.
• Oil company that operates with a refinery and depots in several locations.
DISTRIBUTION SYSTEM
1
p
P-1
P
REPLAN
.
.
.
.
.
.
1 p P-1 P
… ...Rib. Preto
Consumer Market
1 p P-1 P
… ...
Uberaba
Consumer Market
1 p P-1 P
… ...
Uberlândia
Consumer Market
1 p P-1 P
… ...Goiânia Consumer Market
1 p P-1 P
… ...Brasília Consumer Market
Petrobras OSBRA complex
PROBLEM DESCRIPTION
Distribution problem
• a refinery must distribute P products through a single pipeline;
• Set of D depots which are connected to consumer markets.
Subject to the following constraints
• upper and lower bounds for inventory levels for each product at all locations;
• flow rate bounds for the entire system;• arrival times for products sent by the refinery to their destination; • demands for all products established by each local consumer market
PIPELINE MODELING
Interface between two different products
Segment d
VOTp,d,k
Pack L-1 Pack L
VODp,d,k
VOTp,d+1,kPack 1 Pack 2
Feed (VOTp,d,k)
• Displacement of products;• Product contained in L;
• Sent to depot d (VODp,d,k);
No Feed VOTp,d,k=0
• Products remain in the same pack;
• Sent to segment d+1 (VOTp,d+1,k)
V p,d,l,k
Pack l
SYSTEM WITH D SEGMENTS
kdpkdpdpkdp VOMVODVDZEROVD ,,,,,,, −+= ∀p ,d, k=1
kdpkdpkdpkdp VOMVODVDVD ,,,,1,,,, −+= − ∀p, d, k=2,…,K
Constraints at Depots
kdpkdpkdp VDMAXVDVDMIN ,,,,,, ≤≤ ∀p, d, k
Refinaria
Consumer Market 1 Consumer Market d Consumer Market D
Depot 1 Depot d Depot D
Segmento 1 Segmento d... Segmento D...
Refinery
Segment 1 Segment d... Segment D...
∑∑∑∑∑∑∑
∑∑ ∑∑∑
= = = == = =
= = = = =
×+×+
×⎥⎥⎦
⎤
⎢⎢⎣
⎡×+×=
P
p
P
p
D
d
K
k
kdppppP
p
D
d
K
k
kdpkdp
P
p
K
k
P
p
D
d
K
k
kdpkdpkpkp
TYCONTACTVODCP
VDCEDVRCERC
1 1' 1 1
,,',',
1 1 1
,,,,
1 1 1 1 1
,,,,,, δ
Inventory Costs - RefineryInventory Costs - Depots
Pumping Costs Interface Costs
REAL-WORLD DISTRIBUTION SYSTEM
1
p
P-1
P
REPLAN
.
.
.
.
.
.
1 p P-1 P
… ...Rib. Preto
Consumer Market
1 p P-1 P
… ...
Uberaba
Consumer Market
1 p P-1 P
… ...
Uberlândia
Consumer Market
1 p P-1 P
… ...Goiânia Consumer Market
1 p P-1 P
… ...Brasília Consumer Market
COMPUTATIONAL RESULTS
OSBRA Example
Relaxed Solution [$ x 10-2 ] 27,277.89Solution [$ x 10-2 ] 30,245.97
CPU Time [s ] 1,775Nodes Visited 5,007
Continuous Variables 6,316Binary Variables 420
Equations 9,393
PIPELINE
k=0
k=1
k=2
k=3
k=4
k=5
k=6
k=7
k=8
k=9
k=10
k=11
k=12
k=13
k=14
k=15
0 400Segment REPLAN-Rib.Preto [x 10-2m3] 0 250Segment Rib.Preto-Uberaba [x 10-2 m3] 0 250Segment Uberaba-Uberlândia [x 10-2m3]
600k=0
k=1
k=2
k=3
k=4
k=5
k=6
k=7
k=8
k=9
k=10
k=11
k=12
k=13
k=14
k=15
0Segment Uberlândia-Goiânia [x 10-2 m3] 0 135Segment Goiânia-DF [x 10-2m3]
GASOLINE
JET FUEL.
LPG
DIESEL
STORAGE LEVELS
Diesel Oil
0
100
200
300
400
500
0 10 20 30 40 50 60 70
Time [h]
Inve
ntor
y Le
vel [
m3 ]
0
500
1000
1500
2000
LPG
0
50
100
150
200
0 10 20 30 40 50 60 70
Time [h]
Inve
ntor
y Le
vel [
m3 ] Aviation Fuel
50
100
150
200
250
0 10 20 30 40 50 60 70
Time [h]
Inve
ntor
y Le
vel [
m3 ]
0
200
400
600
800
Gasoline
0
50
100
150
0 10 20 30 40 50 60 70
Time [h]
Inve
ntor
y Le
vel [
m3 ]
500
1000
1500
Rib. PretoUberabaUberlândiaGoiâniaBrasíliaREF
OUTLINE
• Introduction • Scheduling Models
– crude oil scheduling– fuel oil / asphalt scheduling
• Logistics– oil supply model– pipeline distribution
• Planning Models– refinery diesel production
• Supply Chain Management Models• Conclusions
• To develop a general representation for refinery units
– streams with multiple inputs and destinations
– nonlinear mixing and process equations
– bounds on unit variables
• To apply to the production planning of a real world refinery
– diesel production
– to satisfy multiple specifications
– extension to supply chain systems
PLANNING MODEL FOR REFINERIES
TYPICAL PROCESS UNIT
UNIT EQUATIONS
- Feed flowrate:
- Feed Properties:
Pu,F,j = fj ( Qu’,s,u , Pu’,s,j ) u’ Uu, s Su’,u, j Js
- Total flowrate of each product stream:
Qu,s = f ( Qu,F , Pu,F,j , Vu ) j JF, s SU
- Unit product stream properties:
Pu,s,j = fj ( Pu,F,j , Vu ) j Js, s SU
- Product streams flowrates (splitter):
s SU
Qu F Qu s us Su uu Uu
, ' , ,,
=∈ ′′∈∑∑
Q Qu s u s u, , ,= ′u Us,u′∈∑
∈∈
∈
∈∈
∈∈∈
REAL-WORLD APPLICATION
Planning of diesel productionPetrobras RPBC refinery in Cubatão (SP, Brazil).
Three types of diesel oil:
Metropolitan Diesel. Low sulfur levelsMetropolitan areas
Regular Diesel. Higher sulfur levels
Maritime Diesel. High flashing point.
DIESEL SPECIFICATIONS
PropertyREGULAR
DIESELMETROPOLITAN MARITIME
DENSITYmin / max
0.82/0.88
0.82/0.88
0.82/0.88
FLASH POINTmin (°C)
- - 60.0
ASTM 50%min / max (°C)
245.0/310.0
245.0/310.0
245.0/310.0
ASTM 85%max (°C)
370.0 360.0 370.0
CETANE NUMBER min 40.0 42.0 40.0SULFUR CONTENT max
(% WEIGHT)0.5 0.2 1.0
MAIN RESULTS
Potential Improvement US$ 23,000 / day or US$ 8,000,000 / yrImplemented with on-line data acquisition
OUTLINE
• Introduction • Scheduling Models
– crude oil scheduling– fuel oil / asphalt scheduling
• Logistics– oil supply model– pipeline distribution
• Planning Models– refinery diesel production
• Supply Chain Management Models• Conclusions
GENERAL PETROLEUM SUPPLY CHAIN
Development of an optimization model
that is able to represent
a petroleum supply chain to support the
decision making planning process of
supply, production and distribution
OBJECTIVE
REFINERY - PROCESSING UNIT MODEL
SUPPLY, DISTRIBUTION – STORAGE MODEL
SUPPLY CHAIN MODEL
subject to:
• processing units
• tank
• pipeline
units that compose refinery topologyrefineries that compose the supply chain
•⎧⎨•⎩
petroleum and product tanks that compose refineries petroleum and product tanks that compose terminals refineries and terminals that compose the supply chain
•⎧⎪•⎨⎪•⎩
pipeline network for petroleum supply pipeline network for product distribution•⎧⎨•⎩
Max Profit = Revenues – Crude Oil Costs – Operating Costs –Inventory Costs – Transition Costs
Large Scale MINLP
INTEGRATED SUPPLY CHAIN
GENERAL CONSTRAINTS:Planning horizon: one / two time periods
Supply of 20 oil types
Generation of 32 products (6 transported with pipelines)
SCENARIOS:
1: Base Case model2: Pre-selection of some crude oil supplies3: Interruption of pipeline segment SG-RV
SUPPLY CHAIN EXAMPLE
SUPPLY CHAIN EXAMPLE – REVAP10905114047551
169451648911400
176419331001
600600660
SUPPLY CHAIN EXAMPLE – RPBC
138914081389
9824100759924544951775449
SUPPLY CHAIN EXAMPLE – OIL SUPPLY
542005420054200
360003600025992
902009020080192
850085008500 35500
3550035500
SUPPLY CHAIN EXAMPLE –PRODUCT TRANSFER
1764218311
362
33452889
10800
2454025208
0
4400440011660
177001770017700
640364036403
65456089
11000200182001920018
Case Case 1 Case 2 Case 3
Number of time periods 1 2 1 2 1 2
Constraints 2304 4607 2306 4611 2304 4607
Variables 2544 5087 2544 5087 2544 5087
Discrete variables 195 390 195 390 195 390
Solution time (CPU s) 116.8 656.2 152 915.6 157.8 2301
Objective Value ($ x106) 20.4 41.3 20.3 41.1 18.0 36.3
COMPUTATIONAL RESULTS
DECOMPOSITION STRATEGIESStrategy Primal subproblem Dual subproblems Multipliers update
1 Fixed assigment Lagrangean Subgradient
2 Fixed inventory Lagrangean Subgradient
3 Fixed inventory Surrogate Subgradient
4 Fixed inventory Lagrangean Modified Subgradient
0
100
200
300
400
500
600
700
0 10 20 30 40 50 60Number of time periods.
CPU
seco
nds
Problem RMP Strategy 1
Strategy 2 Strategy3
Strategy4
OUTLINE
• Introduction • Scheduling Models
– crude oil scheduling– fuel oil / asphalt scheduling
• Logistics– oil supply model– pipeline distribution
• Planning Models– refinery diesel production
• Supply Chain Management Models• Conclusions
CONCLUSIONS
The LP based Branch and Bound Method• is satisfactory to generate “good” feasible solutions• no guarantee of global optimum solutions for all instances
Modeling Issues• time representation• blending/pooling • transitions
Problems can be modeled as large scale MILPs / non-convex MINLP• flexibility in representing general topologies• complex logical decisions and operating rules can be modeled• representation of realistic financial objectives
The OA/ER/AP Method • is efficient to circumvent the non-convexity problem• is satisfactory to generate feasible solutions• has computational performance similar to MILP model
CHALLENGES
The understanding of the problem itself can constitute the major difficulty
Main theoretical difficulties
The cooperation between the modeler and the practitioner is essential and remains as a major challenge
Continuous update necessary due to the dynamic nature of problems.
Complex problems with high combinatorial features;
NP-Complete Problems
Main practical difficulties
Exponential computational times
Multiple systems and interfaces
ModelingHorizontal Integration (e.g. Upstream-Downstream-Final customer) Vertical Integration (e.g. planning and scheduling operations)Multi country supply chains (royalties, tariffs)Modeling of uncertaintiesInventory design and management
Demand planning models (including forecasting)
Efficient solution methodsDecomposition (spatial, temporal, functional)Techniques (Lagrangean Relaxation, Cross Decomposition, Metaheuristics, Hybrid Methods)
RESEARCH NEEDS
RESEARCHERSM. Joly R. MásL. MoroR. RejowskiP. Smania Fo.
S. NeiroM. C. A. CarvalhoM. K. Hassimotto
FINANCIAL SUPPORT
ENGINEERSC.A. GrattiM. F. LehnerM.V. MagalhãesA.C. ZaninE. Almeida Neto
CENPES
ACKNOWLEDGMENTS