Chapter 7: Product Blending &

Optimization of Product Blending

Operations
 References
[1] Mohamed A. Fahim, 2010. Fundamentals of Petroleum Refining.
Elsevier B.V., The Netherlands
[2] Y. A. Liu, Ai-Fu Chang, and Kiran Pashikanti, 2018. Petroleum
Refinery Process Modeling~ Integrated Optimization Tools and
Applications. Wiley-VCH Verlag & Co, Germany
[3] Chang Samuel Hsu, Paul R. Robinson (Eds.), 2017, Springer
Handbook of Petroleum Technology, Springer International
Publishing
Part 1: Product Blending
Generally, a final product (like
motor gasoline) is originated
from many refining processes
in the refinery. For example,
the constituent components of
gasoline: Light naphtha “2”
and Heavy naphtha “3” can be
produced from many refining
processes (Distillation unit,
Catalytic reforming,
Isomerization,
Hydrocracking,…) which are
then blended with certain
additives to form the motor
gasoline that is required to
meet the product specifications

Ref: Springer
Handbook of
Petroleum (2017)
Generally, a final product (like motor gasoline) is originated
from many refining processes in the refinery

Ref: Modern Petrochemical Technology (2021)

The intermediate gasoline
fractions from refining
processes (Distillation unit,
Catalytic reforming,
Isomerization,
Hydrocracking,…) will have
to meet certain specifications
(e.g. boiling point range,
Octane number), but only the
final product (Gasoline / Petro)
will have to meet all the
required product specifications
of the gasoline product that
will be sold on the market

Ref: Springer
Handbook of
Petroleum (2017)
The gasoline fractions from refining processes (Distillation unit, Catalytic
reforming, Isomerization, Hydrocracking,…) will have to meet certain
specifications (e.g. boiling point range, Octane number), but only the
final product (Gasoline / Petro) will have to meet all the required product
specifications of the gasoline product that will be sold on the market

Ref: Springer Handbook of Petroleum (2017)

Product Blending: producing finished products from
intermediate refinery oil fractions
 Product Blending: producing finished products from
intermediate refinery oil fractions

▪ Almost all products from a fuels refinery are blended, even

asphalt. On-line blending process is used (illustrated in next
slide)
▪ Increased operating flexibility and profits result when refinery
operations produce basic intermediate streams that can be
blended to produce a variety of on-specification finished
products. For example, naphthas can be blended into either
gasoline or jet fuel, depending upon the product demand.
▪ Aside from lubricating oils, the major refinery products
produced by blending are gasolines, jet fuels, heating oils, and
diesel fuels. The objective of product blending is to allocate the
available blending components in such a way as to meet
product demands and specifications at the lowest cost and to
produce incremental products that maximize overall profit.
Product Blending: On-line blending process
Product Blending: On-line blending process
The main purpose of product blending is to find the best way of mixing
different intermediate products available from the refinery and some
additives in order to adjust the product specifications. For example,
gasoline is produced by blending a number of components that include
alkylate, reformate, FCC gasoline and an oxygenated additive such as
methyl tertiary butyl ether (MTBE) to increase the octane number.
The final quality of the finished products is always checked by laboratory
tests before market distribution. Gasolines are tested for octane number,
Reid vapour pressure (RVP) and volatility. Kerosenes are tested for flash
point and volatility. Gas oils are tested for diesel index, flash point, pour
point and viscosity
o Students are referred to Chapter Nine “Product Blending” in
book Mohamed A. Fahim, 2010. Fundamentals of Petroleum
Refining. Elsevier B.V., The Netherlands for the detailed
instructions on calculations of product properties from blending
operation (students need to print out this chapter to prepare for
the final exam)
o As an illustrated example, the example E9.3 (page 241) is
solved in the next slides
The flash point of a blend is determined using the following
equation:
We now perform our own calculations using Excel and SI units
(density is in kg/m3 and mass flowrate is in ton/day, the
temperature scale of oF is kept intact)
Unit conversion:
▪ 1 bbl (oil) = 0.159 m3
Standard density of water = 1000 kg/ m3
The calculations are detailed in the accompanied Excel file
The calculated flash point is less than 130 oF therefore, component D
(whose flash point blending index = 12.414) needs to be added (such
that the targeted flash point blending index of the mixture is 218.94)
Let FD as mass flowrate (ton/day) of component, then the
blending relationship for flash point property is as follows:

Where Fi & BIFPi are mass flowrate (ton/day) and flash point
blending index of component i, respectively

FD = 1024.83 (ton/day) => FD,V = 1024830 (kg/day) / 950 (kg/ m3)

FD,V = 1078.77 (m3 /day) = 1078.77 / 0.159 = 6784.72 (bbl /day)

The other approach: Use Excel Solver to find FD such that the
targeted flash point blending index of the mixture is 218.94
Part 2: LP Optimization of Product

Blending Operations
Design objective and objective function
Problem formulation
Illustration
Examples
EXAMPLE: Gas Processing Problem
(Chemical/Petroleum Engineering Problem)

• Company receives a fixed amount of raw gas each week.

• Processes it to produce two grades of heating gas, regular and premium quality.
• Each yields different profits, and involves different time and on-site storage constraints.
• Objective: maximize profit without violating the material, time, and storage constraints

Solve using:
1. Graphical Method
2. Simplex Method
3. Excel solver (Simplex LP)
Graphical Solution
Excel Solution
Gas Processing Problem
*Write down the equations on the Excel Sheet.
*Demonstrate how to use the solver in Excel (DATA 🡺 Solver) (file🡺options🡺add-ins)
Excel Solution
Chapter 7

x1
x3
x4
x5
x6
x2

Refinery input and output schematic.

Chapter 7
 Solution

Let x1 = crude #1 (bbl/day)

x2 = crude #2 (bbl/day)

Maximize profit (minimize cost):

y = income – raw mat’l cost – proc.cost

Chapter 7

Calculate amounts of each product

Produced (yield matrix):

gasoline x3 = 0.80 x1 + 0.44 x2

kerosene x4 = 0.05 x1 + 0.10 x2
fuel oil x5 = 0.10 x1 + 0.36 x2
residual x6 = 0.05 x1 + 0.10 x2

Income

gasoline (36)(0.80 x1 + 0.44 x2)

kerosene (24)(0.05 x1 + 0.10 x2)
fuel oil (21)(0.10 x1 + 0.36 x2)
residual (10)(0.05 x1 + 0.10 x2)
 So,

Income = 32.6 x1 + 26.8 x2

Raw mat’l cost = 24 x1 + 15 x2

Processing cost = 0.5 x1 + x2

Chapter 7

Then, the objective function is

Profit = f = 8.1 x1 + 10.8 x2

Constraints

Maximum allowable production:

0.80 x1 + 0.44 x2 < 24,000 (gasoline)

0.05 x1 + 0.10 x2 < 2,000 (kerosene)

0.10 x1 + 0.36 x2 < 6,000 (fuel oil)

and, of course, x1 > 0, x2 > 0

Example 3. Blending Problem, the data

Raw OcR Available amount Cost/barrel Sale price

oil (barrels/day)
1 68 4000 31.02 36.85
2 86 5050 33.15 36.85
3 91 7100 36.35 38.95
4 99 4300 38.75 38.95

Petrol Type Min OcR Selling Price Demand

(barrels/day)
1 (Premium) 95 45.15 ≤ 10,000

2 (Super) 90 42.95 No limit

3 (Regular) 85 40.99 ≥ 15,000

Blending Problem: Modeling

Step 1. The decision variables

xij = barrels/day of oil i ( i = 1, 2, 3, or 4)

to make petrol j (j = 1, 2, or 3)

Total premium petrol per day = x11 + x21 + x31 + x41

68x11 + 86x21 + 91x31 + 99x41

Its Octane Rating: ≥ 95,
x11 + x21 + x31 + x41

68x11 + 86x21 + 91x31 + 99x41 - 95(x11 + x21 + x31 + x41) ≥ 0.

Blending Problem: Modeling..

Step 2. The objective function

Maximize profit 🡺🡺 Maximize revenue

45.15(x11 + x21 + x31 + x41) + premium

42.95(x12 + x22 + x32 + x42) + super

40.99(x13 + x23 + x33 + x43) + regular

36.85 (4000 – (x11 + x12 + x13)) + Oil 1

36.85 (5050 – (x21 + x22 + x23)) + Oil 2
38.95 (7100 –(x31 + x32 + x33)) +
Oil 3
38.95 (4300 – (x41 + x42 + x43))
Oil 4
Blending Problem: Modeling...

Step 3. The constraints

(a) The OcR constraints:

68x11 + 86x21 + 91x31 + 99x41 - 95(x11 + x21 + x31 + x41) ≥ 0

68x12 + 86x22 + 91x32 + 99x42 - 90(x12 + x22 + x32 + x42) ≥ 0

68x13 + 86x23 + 91x33 + 99x43 - 85(x13 + x23 + x33 + x43) ≥ 0

Blending Problem: Modeling....

Step 3. The constraints..

(b) Can’t use more oil than we have:

x11 + x12 + x13 ≤ 4000
x21 + x22 + x23 ≤ 5050
x31 + x32 + x33 ≤ 7100
x41 + x42 + x43 ≤ 4300
Blending Problem: Modeling…..

Step 3. The constraints...

(c) The demand constraints:

x11 + x21 + x31 + x41 ≤ 10,000
x13 + x23 + x33 + x43 ≥ 15,000

(d) Allowed values of variables

xij ≥ 0 for i = 1, 2, 3, 4, and j = 1, 2, 3.
 Blending Problem: complete model
Maximize:
45.15(x11 + x21 + x31 + x41) + 42.95(x12 + x22 + x32 + x42) + 40.99(x13 + x23 + x33 + x43) +
36.85(4000 – (x11 + x12 + x13)) + 36.85 (5050 – (x21 + x22 + x23)) +
38.95 (7100 –(x31 + x32 + x33)) + 38.95 (4300 – (x41 + x42 + x43))
Subject to:
68x11 + 86x21 + 91x31 + 99x41 - 95(x11 + x21 + x31 + x41) ≥ 0
68x12 + 86x22 + 91x32 + 99x42 - 90(x12 + x22 + x32 + x42) ≥ 0 Octane

68x13 + 86x23 + 91x33 + 99x43 - 85(x13 + x23 + x33 + x43) ≥ 0 rating

x11 + x12 + x13 ≤ 4000
x21 + x22 + x23 ≤ 5050
x31 + x32 + x33 ≤ 7100 Supply

x41 + x42 + x43 ≤ 4300

x11 + x21 + x31 + x41 ≤ 10,000
x13 + x23 + x33 + x43 ≥ 15,000
Demand
xij ≥ 0 for I = 1, 2, 3, 4, and j = 1, 2, 3.
Example - Refinery Operation
Example - Refinery Operation
Example - Refinery Operation
Example - Refinery Operation
Example - Refinery Operation
Example - Refinery Operation
Example - Refinery Operation
Example - Refinery Operation