Desulphurization

:Vessel fuels – Introduction

With its world fleet of around 90,000 ships, merchant shipping consumes around 370 million t of IFO fuels annually, producing around 20 million t of sulphur dioxides SO2 (13% of global emissions). These IFO’s will have to be heavily desulfurized since 2020 onwards for environmental reasons (MARPOL Treaty of 02.11.1973, with Treaty Annex VI, Rule 14 of 19.05.2005). Depending on the navigated sea area, the permitted upper sulphur limit shall be 0.5% (=5,000 ppm) or 0.1% (=1,000 ppm)

:Requirements

In the first phase, the customer requires 20 turn-key desulfurization plants with a capacity of each of 1,000 MT / day for the supply of MARPOL-compliant marine fuels of the specifications MFO 0.5 (Marine Fuel Oil 0.5% = 5,000 ppm) and MGO 500 (Marine Gasoil 500 ppm), starting from the Bunkering-feedstock of HFO classes IFO-380 (+/- cst) with its average sulphur content of 3.5% (35,000 ppm)

:Solution

The ECO-DESULFOX S-5000/500 desulfurization plant is based on a fixed, highly efficient process technology, which is adaptable to the various product specifications (feedstock and products), thus with different functional modules using hydrogen, amine solutions, catalytic products, corrosion and scaling inhibitors. The various functional modules with a modern process control technology are interconnected via diverse self-contained product cycles at the required interfaces and ultimately lead to the desulfurization of the feedstock, generating as end products the compliant marine fuels (MFO, MGO), some light fractions (C<5 ), Diesel, Naphtha and neutralized by-products

:Planning and preliminary designs

The preliminary engineering design has been completed as per following schemes (3D schematic)

:Operation / Infrastructure

Operation over 3 working shifts with 8 persons, requiring feedstock (about 42 MT/h) to be supplied through a pipeline or from a storage tank installed on site. The required land area is about 10’000 m2. Required are water connection, sewage connection, and power supply 380/400 V with backup generator (with heavy voltage supply 10,000 V nearby). Infrastructure: storage tank for the refined product, fencing, entrance gate, access road, exit road, turning and parking spaces, site lighting, telephone connection with internet, shelter guard, storage hall covered, storage yard uncovered, fully equipped workshop with spare parts, building for crew (dressing, breaks, food), kitchen, first aid room, office, laboratory, waste container with waste separation, cabinets for safety equipment, office and controller container next to the plant, airconditioning systems in buildings where necessary. The equipment parts must all be grounded and comply with the lightning protection requirements

:Plant cost estimation

The price per unit includes the usual up-front costs for initial construction (preliminary preparation and estimation works, construction documentation development, procurement, construction with test runs, calibrations, adaptations, commissioning and approval resp. certification procedures). Core components imported from abroad, additional components manufactured in the target country or in a partner country, and final assembly in the target country, all phases under the supervision of MPE Ltd. engineers and process experts

:Product cost development

Graph: Price development on the markets (MOPS Singapore) of IFO-380 and the various desulfurized products is showing a continuous upward trend since summer 2020. Gross margin depending on the processed product between USD 70 /MT and USD 130 / MT

Operating costs and profitability calculation (OPEX / CAPEX)

Graph: Margins on product processing: • Gross, with processing costs, without interest rate + depreciation • Net, with processing costs, with interest rate + depreciation. The amortization of the plant takes place already in the first year of operation

Financing and proof of financing

Project Realization schedule

a. Preliminary planning & engineering: Completed
b. Contract phase: SEPT 2022
c. Financing (SLBC): MAR 2023
d. Construction design + Implementation planning: 6 Months
e. Ordering parts, Construction: 12 to 24 Months
f. Commissioning: 4 Months
g. Reserve for unforeseen and technical nuances: 4 Month

(On condition of timely provision of the required data by the client – otherwise the schedule shall be reconsidered)

Summary data specifications

Confidentiality

This preliminary description of the ECO-DESULFOX S-5000/500 Technology is strictly confidential and intended only for Dr. Aminpour and his direct business partners. If you receive this document in error, we kindly ask you to inform MPE Ltd. immediately. The document received in error must be irrevocably deleted and the contents must not be made available to any further persons