Feasibility study for installation of a condensate fractionation plant at Kailashtila gas field

Abstract

This project was designed to analyze the feasibility for installation of a Condensate fractionation plant at Kailashtila field to fractionate Condensate produced from Jalalabad gas field into petroleum products like Octane, Kerosene and Diesel. After the cessation of the feed stock of Jalalabad gas field, this plant may be used to fractionate the surplus Condensate of Kailashtila field and Bibiyana field. This Report deals basically with the feasibility study and evaluation of the project: Installation of a Condensate Fractionation Plant at Kailashtila Gas Field. The main objective of the study focuses on feasibility analysis using both financial and economic appraisal including BCR(F), BCR(E), IRR(F), IRR(E), Discounted Pay Back Period to check the viability of the project. Feasibility of proposed plant location is evaluated on the basis of site selection criteria. Plant Capacity is determined on the basis of raw materials supply and profitability. Products to be produced are Octane, Diesel and Kerosene is selected depending upon the property of raw materials and market demand. Fixed Capital Investment cost is determined by ‘Ratio of plant capacities Power Factor’ method on the basis of the cost of 2500 bbl/day capacity Rashidpur Condensate Fractionation Plant (RCFP) of SGFL in 2006. Plant operating costs, overheads and selling expenses are also taken from the similar costs of RCFP under operation from 2009. Economic and Financial evaluation are performed on plant capacities of 750 bbl/day, 1250 bbl/day and 1500 bbl/day for most likely cases. Another option of 750 bbl/day capacity and pessimistic assumption are also evaluated. Recommendations are made on conclusions and the findings of above mentioned evaluations.