Global Supply and Demand of Petrochemical

Products relied on LPG as Feedstock

・Global Supply and Demand of Petrochemical Products relied on LPG as Feedstock
・Petrochemical products from various Feedstock
・Light Olefins Production Process Flow
・Steam Cracker Process Flow
・Propane Dehydrogenation Process Flow (UOP Oleflex process)
・Global Ethylene Supply & Demand
・Ethylene Production by Region, Country
・World Ethylene Production by Feedstock
・2016 Ethylene Production by Feedstock and Region
・Global Propylene Supply & Demand
・Propylene Production by Region, Country
・World Propylene Production by Feedstock
・2016 Propylene Production by Feedstock and Region
・Global Consumption of Propane & Butane as Petrochemical Feedstock
・China Propane & Butane Consumption as Petrochemical Feedstock
・Propane & Butane Consumption as Petrochemical Feedstock by Region, Country (1)
・Propane & Butane Consumption as Petrochemical Feedstock by Region, Country (2)

Mitsubishi Chemical Techno-Research

7th March 2017

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 Petrochemical products from various Feedstock
SynGas
Coal Gasification
Methanol

Natural Gas NGL Separator MTO/MTP plant Plastics

Ethane, Propane, Ethylene

Gas Separator Synthetic fiber
Butane, NGL,
Purification
Natural Gasoline
Propylene

Butylene
Gas Steam Synthetic rubber
Gasoline Cracker
Crude Oil
Butadiene

Naphtha Steam
Naphtha
Cracker Aromatics
Coating, Solvent

Refinery Kerosene

Fluid Catalytic
Gas Oil
Cracking Others

Heavy Gas Oil

・Light olefins (Ethylene, Propylene, Butylene, Butadiene) and aromatics products are produced by steam
cracking process from gas (Ethane, Propane, Butane) and/or naphtha.
・Light olefins are produced by CTO/MTO/MTP process from coal.
・Propylene are produced from FCC off gas.
・Propylene are produced from propane by dehydrogenation process.
・Light olefins and aromatics products are converted to various plastics, chemical products, synthetic fiber, etc. 2
 Light Olefins Production Process Flow

MTO
Coal SynGas Methanol Ethylene
MTP

Methane

PDH Propylene

Natural Gas Ethane

Steam
Propane Cracker

Butane

Naphtha
Crude Oil
Refinery C4 Olefins
Gas Oil FCC

Crude Oil →Naphtha →Steam Cracker →Ethylene/Propylene

Main flow
Natural Gas →Ethane →Stearm Cracker→ Ethylene

from Propane, Butane to Light Olefins via Steam Cracker

from Propane to Propylene via Propane Dehydrogenation
2016 Global Ethylene Production by Feedstock
(Million Metric Tons)
Propane Butane Ethane Naphtha Gas Oil Coal Other Total
Production 13 7 52 63 5 3 2 146
Share 9% 5% 36% 43% 3% 2% 1% 100%
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 Steam Cracker Process Flow

Ethylene

Natural Gas Propylene

Ethane Methane/Hydrogen
Gas Separation Propane Steam
Unit Butanes Cracker Crude C4
Field Condensate Butadiene
and Mixed Butylenes
Butane & Lighter
Light Naphtha Fractionation PyGas
Refinery
Heavy Naphtha Units Benzene
Gas Oil Toluenes
Xylenes
Crude Oil C5/C6 Non Aromatics
Fuel Oil Heavy Aromatics

・Ethylene is generated commercially by the pyrolysis (cracking) of paraffinic

hydrocarbon feedstocks, including ethane, propane, butane, and the virgin crude oil
fraction of naphtha and atmospheric gas oil.
・Propylene, Butadiene, Pyrolysis Gasoline are produced as by products.
・Cracking furnace outlet temperature : 850 ℃
・Ethylene yield : 0.78 (Ethane cracking), 0.31 (Naphtha cracking)

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Propane Dehydrogenation Process Flow (UOP Oleflex process)
H2
C2+ Propylene
H2 Off gas
PSA
PP Splitter
C3 Cold Box Acetyl ene
Hydrogenation

Propane Propane Recycle

Propylene, Propane, Hydrogen, Off Gas

Reactor Compressor Dechlorination Drying

C4+
Catalyst
Regeneration

・Propane Dehydrogenation Process (PDH) is a catalytic process that converts propane

into propylene
・Reaction temperature : 600-660 ℃, Reaction pressure 1.7-2.8 kg/cm2a, Continuous
catalyst regeneration
・Commercial process technologies : UOP's Oleflex, CB&I/Lummus's CATOFIN, Uhde's
STAR 5
 Global Ethylene Supply & Demand

Y-2016
・Production Capacity of Ethylene : 170 Million Metric Tons
・Global Demand of Ethylene : 150 Million Metric Tons

Y-2025
・Production Capacity of Ethylene : 230 Million Metric Tons
・Global Demand of Ethylene : 200 Million Metric Tons
・Demand growth rate (2016-2025) : 3.6%/year

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 Ethylene Production by Region, Country

2016 Ethylene/Propylene Production by Region, Country

(Million Metric Tons)
Middle West
Region/Country USA China SEA Japan Others World
East Europe
Ethylene 26 28 22 19 11 6 34 146
Propylene 14 9 26 13 7 6 24 99
Total 40 37 47 33 18 12 59 245

・United States, Middle East and China are the world's largest ethylene producing
regions.
・United States, Middle East and China's production share of Ethylene are 18%, 19%
and 15% in 2016.
・Ethylene production is forecast to grow at an average annual rate of 4.5% in United
States, 3.4% in Middle East, 5.7% in China over the next ten years .
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 World Ethylene Production by Feedstock

2016 Global Ethylene Production by Feedstock

(Million Metric Tons)
Propane Butane Ethane Naphtha Gas Oil Coal Other Total
Production 13 7 52 63 5 3 2 146
Share 9.0% 5.1% 35.8% 43.5% 3.3% 2.1% 1.3% 100%

・Naphtha and ethane are major sources of Ethylene production

・2016 World Ethylene Production = 146 Million Metric Tons
・2016 Propane based Ethylene Production = 13 Million Metric Tons (9%)
・2016 Butane based Ethylene Production = 7 Million Metric Tons (5%)

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 2016 Ethylene Production by Feedstock and Region

2016 Ethylene Production from Butane and Propane

(Million Metric Tons)
Middle West
Feedstock USA China SEA Japan Others World Share
East Europe
Propane 4.4 3.9 2.4 0.6 0.3 0.1 1.4 13 9%
Butane 2.2 1.2 2.1 0.6 0.1 0.2 1.0 7 5%
Total 6.6 5.1 4.5 1.2 0.5 0.3 2.3 21 14%

・The predominant feedstock for Ethylene production within the region of Middle East,
United States is Ethane.
・The predominant feedstock for Ethylene production within the region of China, West
Europe, Japan is Naphtha.
・USA, West Europe, Middle East are major Propane & Butane consuming regions as
feedstock for Ethylene in world.
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 Global Propylene Supply & Demand

Y-2016
・Production Capacity of Propylene : 120 Million Metric Tons
・Global Demand of Propylene : 100 Million Metric Tons

Y-2025
・Production Capacity of Propylene: 160 Million Metric Tons
・Global Demand of Propylene : 140 Million Metric Tons
・Demand growth rate (2016-2025) : 4.0%/year

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 Propylene Production by Region, Country

2016 Ethylene/Propylene Production by Region, Country

(Million Metric Tons)
Middle West
Region/Country USA China SEA Japan Others World
East Europe
Ethylene 26 28 22 19 11 6 34 146
Propylene 14 9 26 13 7 6 24 99
Total 40 37 47 33 18 12 59 245

・China is the world's largest Propylene producing country.

・Propylene production is forecast to grow at an average annual rate of 6.9% in China
over the next ten years.
・China, United States, Middle East and West Europe's production share of Propylene
are 26%, 14%, 9% and 13% in 2016.
・Propylene production is forecast to grow at 2.3%, 4.2% per year in United States and
Middle East over the next ten years. 11
 World Propylene Production by Feedstock

2016 Global Propylene Production by Feedstock

(Million Metric Tons)
Steam Refinery Propane Coal to Total
Metathesis Others
Cracker FCC Dehydro. Olefins Production
Production 49 32 9 4 5 1 99
Share 49% 32% 9% 4% 5% 1% 100%

・A majority of propylene is manufactured as a by-products from either

Steam Crackers or Fluid Catalytic Crackers
・Propylene supply from propane dehydrogenation is projected to grow by
about 8.9% per year over the next ten years
・2016 World Propylene Production = 100 Million Metric Tons
・2016 Propylene Production from Propane Dehydrogenation Unit = 9 Million
Metric Tons (Share : 9%)
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 2016 Propylene Production by Feedstock and Region

2016 Propylene Production by Propane Dehydrogenation

(Million Metric Tons)
Middle West
Feedstock China USA Japan SEA Others World Share
East Europe
Propane Dehydro 3.1 1.3 1.4 0.6 0.0 0.6 1.9 9 9%

・A majority of propylene is manufactured as a by-products from Steam Crackers and

Fluid Catalytic Crackers
・Steam Cracker is major supply source of propylene in West Europe, Southeast Asia,
Japan
・Steam cracker, FCC and Coal to Olefin are 3 major sources of Propylene supply in China
・China, United States and Middle East are major Propylene producing region by Propane
Dehydrogenation
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 Global Consumption of Propane & Butane as Petrochemical Feedstock

Global Consumption of Propane & Butane as Petrochemical Feedstock

Million Metric Tons
2011 2015 2016 2017 2018 2019 2020 2025
Propane Steam Cracker 26 32 31 32 32 32 33 35
Propane Dehydro. 4 8 10 13 15 16 18 22
Butane Steam Cracker 14 18 18 17 17 17 18 24
Propane+Butane Total 44 57 59 62 64 65 68 81

Y-2016
・Consumption of Propane for Steam Cracker : 31 Million Metric Tons
・Consumption of Propane for Propane Dehydrogenation : 10 Million Metric Tons
・Consumption of Butane for Steam Cracker : 18 Million Metric Tons
・Total consumption of Propane & Butane for Petrochemical products : 59 Million Metric Tons
Y-2025
・Consumption of Propane for Steam Cracker : 35 Million Metric Tons
・Consumption of Propane for Propane Dehydrogenation : 22 Million Metric Tons
・Consumption of Butane for Steam Cracker : 24 Million Metric Tons
・Total consumption of Propane & Butane for Petrochemical products : 81 Million Metric Tons 14
 China Propane & Butane Consumption as Petrochemical Feedstock

China Propane & Butane Consumption

Million Metric Tons Growth
2011 2015 2016 2017 2018 2019 2020 2025 2016-2025
Propane Steam Cracker 1 1 1 3 4 4 5 1 0%
Propane Dehydro. 0 2 4 5 7 7 8 10 12%
Butane Steam Cracker 1 1 1 1 1 2 2 2 4%
Propane+Butane Total 2 5 6 10 12 13 14 13 8%

・Propane & Butane consumption for Petrochemical Products are expected to increase
from 6 to 13 metric million tons per year between 2016 and 2025 in China.
・Propane consumption for Propane dehydrogenation is expected to grow annually by
12% in China over the next ten years
・Propane & Butane consumption for Steam Cracker is forecast to be stable in China

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Propane & Butane Consumption as Petrochemical Feedstock
by Region, Country (1)

・2016 World Propane & Butane

Consumption as Petrochemical
Feedstock = 59 Million Metric Tons

・2025 World Propane & Butane

Consumption as Petrochemical
Feedstock = 81 Million Metric Tons

・United States, Middle East, China,

West Europe are the world's largest
Propane & Butane consuming regions
for Petrochemical feedstock

・Propane & Butane consumption for

Petrochemical feedstock is forecast to
grow at an average rate of 8% in
China over the next ten years

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 Propane & Butane Consumption as Petrochemical Feedstock
by Region, Country (2)

2016 Propan & Butane consumption as Petrochemical Feedstock by region

(Million Metric Tons)
Middle West
Feedstock USA China SEA Japan Others World Share
East Europe
Propane Steam Cracker 10 9 1 6 0.8 0.2 3 31 52%
Propane Dehydro. 1 2 4 1 0.8 0.0 2 10 17%
Butane Steam Cracker 5 3 1 5 0.4 0.5 2 18 31%
Propane+Butane Total 17 14 6 12 1.9 0.8 8 59 100%

2025 Propan & Butane consumption as Petrochemical Feedstock by region

(Million Metric Tons)
Middle West
Feedstock USA China SEA Japan Others World Share
East Europe
Propane Steam Cracker 8 11 1 4 1.2 0.2 8 35 43%
Propane Dehydro. 5 2 10 1 1.1 0.0 4 22 27%
Butane Steam Cracker 4 5 2 4 0.7 0.5 7 24 30%
Propane+Butane Total 18 19 13 9 3.0 0.7 19 81 100%

・USA, Middle East , West Europe, China are major Propane & Butane consuming region
as Petrochemical Feedstock in world.
・Propane & Butane consumption is forecast to stagnate in USA, to grow in Middle East
and China in the next ten years
・Propane & Butane consumption is forecast to decrease West Europe and Japan in the
next ten years

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