Energy comsumption preview and energy efficiency propopsals

Energy consumption preview

and energy efficiency proposals

Guidelines for preparation of Energy Audit Reports

Structure of the Energy Audit Report
Each report should include:
1. Title Page
• Report title: Energy consumption preview and energy efficiency proposals
• Client name: FENI INDUSTRIES
• Location of the facility: Kavadarci, MACEDONIA
• Date of Report: 01/08/2012
• Audit name: Aleksandar TEFOV
 Energy comsumption preview and energy efficiency propopsals

2. Table of Contents
GENERAL POINTS ON REPORT WRITING.............................................................................................................9
Inflation Calculator................................................................................................................................................10

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 Energy comsumption preview and energy efficiency propopsals

3. Executive Summary
All information in the Executive Summary should be drawn from the more detailed information in
the full report. The Executive Summary should contain a brief description of the audit including:
• Name, plant(s), location(s) and industry of the company audited
- FENI INDUSTRIES, Kavadarci, Macedonia; base metal non-ferrous alloy industry
• Scope of the audit
- The scope of this audit is previewing of energy consumption and examination of
profitability of existing projects at present situation, taking in mind the annual inflation
rates of the US$. In addition, in the scope of this report is examining the possibilities of
other projects for increasing energy efficiency, such as Switching from heavy fuel oil to
natural gas, Heat exchanger from Electro furnace gasses, Introducing ISO 50.001.
• Date the audit took place

- The audit took place from July 01, 2012 to August 18, 2012.
• Summary of baseline energy consumption presented in table form. Baseline energy
consumption refers to the energy used annually by the facility/system audited.

• Results:
- Assessment of energy-consuming systems
- Identification of EMOs(Energy Management Opportunity) and the estimated energy,
greenhouse gas (GHG), and cost savings associated with each option along with the
related cost of implementing the measures and the expected payback period. This
material should be presented in table form. In the event that an audit covers more than
one facility, the statistics for each fac ility should be reported on an individual basis to
the extent possible.
• Recommendations summarized in table form.

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 Energy comsumption preview and energy efficiency propopsals

4. Introduction
The Introduction should include:
4.1 Audit Objectives: a clear statement that defines the scope of the energy audit in clear and
measurable terms - example, space(s), systems and/or process(es) to be audited
-Audit Objectives are to analyze energy consumption and energy losses from the most
significant energy consumers as listed below and to propose directions for further
feasibility projects:

 S.1 Water losses  water taps

 water streams
Symbolic losses
 S.2 Lights  industrial lighting

 office lighting

 projector light

 S.3 Office power management

………………………………………………………………………………………………….....

 B.1 Compressed air station

 B.2 Electric furnace  phase compensation

 B.3 Holding furnace  AC or DC???

 B.4 Fans  Electro-static filter

 Fan -soft start, speed control

Big losses
 B.5 Rotary kiln burner  Changing burners to natural gas

 B.6 Slag heat recovery  Russian project and one else

 B.7 Belts  GTS (Main Conveyor Belt Transport System)

 inside belts

 B.8 Steam plant  Boiler

 Mazut pump station

………………………………………………………………………………………………………...

 F.1 Introducing natural gas  rotary kiln

 central heating

 F.2 Heat exchanger from Electro furnace gasses

Future energy projects
 F.3 Introducing ISO 50.001

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 Energy comsumption preview and energy efficiency propopsals

Electricity Lignite Mazout Rubber Total Energy Power

Quantity Power Quantity Cal. value Energy Power Quantity Cal. value Energy Power Quantity Cal. value Energy Power Quantity
Instalations Unit MWh MW ton MJ/kg MWh MW ton MJ/kg MWh MW ton MJ/kg MWh MW MWh MW

Mine and Transport System 3.482 0,4 3.482 0,4

Steam Plant 3.245 0,4 3.280 40,6 36.991 4,2 40.236 4,6

Crushing (Steam Plant) 3.246 0,4 3.246 0,4

Crushing (Stock pile) 2.646 0,3 2.646 0,3

Milling, Mill 1 15.904 1,8 15.904 1,8

Milling, Mill 2 13.056 1,5 13.056 1,5

Dryer old 2.741 0,3 4.848 40,6 54.672 6,2 57.413 6,6

Bernardi 1 1.000 0,1 2.940 40,6 33.156 3,8 34.156 3,9

Bernardi 2 500 0,1 3.288 40,6 37.076 4,2 37.576 4,3

Bernardi 3 1.000 0,1 4.701 40,6 53.015 6,1 54.015 6,2

Mixers, water supply 5.316 0,6 5.316 0,6

Mixers, Separation 1.589 0,2 1.589 0,2

Ore Preparation 46.998 5,4 15.776 40,6 177.919 20,3 224.916 25,7

Air compressor station (Pelletization) 8.500 1,0 8.500 1,0

ESF-1, Pelletizers 3.355 0,4 3.355 0,4

ESF-2, Pelletizers 11.271 1,3 11.271 1,3

Rotary kiln 1 17.152 2,0 70306 16,0 314.895 35,9 24.884 40,6 280.636 32,0 6.078 33,5 56.542 6,5 669.225 76,4

Rotary kiln 2 17.008 1,9 101240 16,0 448.808 51,2 24.885 40,6 280.648 32,0 6.078 33,5 56.542 6,5 803.005 91,7

Pelletization and Prereduction 57.286 6,5 171546 16,0 763.703 87,2 49.769 40,6 561.284 64,1 12.156 33,5 113.084 12,9 1.495.356 170,7

Electro furnace 1 260.660 29,8 260.660 29,8

Electro furnace 2 280.000 32,0 280.000 32,0

Smelting Line 1 5.280 0,6 5.280 0,6

Smelting Line 2 2.617 0,3 2.617 0,3

Smelter 548.557 62,6 548.557 62,6

Holding furnace 8.220 0,9 8.220 0,9

Rafination crane 4.220 0,5 4.220 0,5

Rafination 2.400 0,3 2.400 0,3

Refination 14.840 1,7 14.840 1,7

Administration 1.780 0,2 1.780 0,2
Power station 430 0,0 430 0,0
Lignite crane 686 0,1 686 0,1
Others 2.896 0,3 2.896 0,3
Total 677.303 77,3 171546 16,0 763.703 87,2 68.825 40,6 776.194 88,6 12.156 33,5 113.084 12,9 2.330.283 266,0

Table 1. Spent energy in FENI Industries for 2011

 Energy comsumption preview and energy efficiency propopsals

4.2 Background Information: a description of the location of the facility where the audit will
be conducted, as well as information regarding facility layout, products/services
produced/distributed, operating hours including seasonal variations, number of employees
and relevant results of previous energy initiatives.

FENI INDUSTRIES facility is located near the town of Kavadarci, Republic of Macedonia. It’s a
Ferro-nickel smelting facility spread over 2 km2, with about 1000 employees. The FENI Industries
plant is a two-line, rotary kiln electric furnace facility with the biggest rectangular electric furnaces
of their kind in the world. The plant has been in operation since 1982 under the name FENI
Industries and it was acquired by Cunico in 2005.

At the time of its acquisition, only one of FENI Industries’ two lines was operational and annual
nickel production was approximately 5,000 tonnes. Following technical additions and capital
investment by the group, the plant is now fully operational, with both lines running simultaneously.
As a result, production at the Feni Industries plant is steadily increasing to 16,000 tonnes per year
and through ongoing refurbishments will increase even further, allowing us to produce more than
22,000 tonnes per year from this year.

A portion of FENI Industries’ nickel ore comes by conveyor from the open-pit R’zhanovo mine,
located close to the production facility and with ore reserves of 22 million tons. The ore is
conveyed from the mine into the plant by a conveyor belt 36.5 km long, which is considered the
longest conveyor belt in the world. In order to optimize production, the R’zhanovo ore is then
blended with higher-grade ores imported from Indonesia, The Philippines, Greece, Turkey and
Albania.

On each line, the plant operates a rotary dryer that feeds into a rotary kiln where the nickel ore is
dried and reduced, and then fed into an electric furnace for complete reduction into a molten
nickel/iron alloy. The nickel/iron alloy is then placed into an oxygen converter and blown with
oxygen to reduce the iron content, thereby increasing the nickel content. The ferronickel is then
transported to a holding furnace where the temperature is raised to cast the metal, as either granules
or ingots.
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 Energy comsumption preview and energy efficiency propopsals

5. Audit Activity and Results

This section should make reference to:
• Description of the audit methodology (techniques - e.g. inspection, measurements,
calculations, analyses and assumptions)
• Observations on the general condition of the facility and equipment
• Identification / verification of an energy consumption baseline in terms of energy types, units,
costs and greenhouse gas (GHG) emissions for the facility/system being assessed
• Results of the audit including identification of EMOs and the estimated energy, GHG, and
cost savings associated with each measure as well as the required investment and payback
period associated with each of the EMOs identified.

S.1 Water losses  water taps

 water streams

S.2 Lights  industrial lighting

 office lighting

 projector light

S.3 Office power management

B.1 Compressed air station

B.2 Electric furnace  phase compensation

B.3 Holding furnace  AC or DC???

B.4 Fans

B.5 Rotary kiln burner

SWITCHING FROM NEAVY FUEL OIL TO NATURAL GAS

The calorific value of a fuel is the quantity of heat produced by its combustion - at constant
pressure and under "normal" conditions (i.e. to 0oC and under a pressure of 1,013 mbar).

The combustion process generates water vapor and certain techniques may be used to recover
the quantity of heat contained in this water vapor by condensing it.

ENERGETIC VALUE OF HEAVY FUEL OIL - 40 600 kJ/kg (1)

-68.825t are spent in 2011

1, 2
Прв акционен план за енергетска ефикасност на Република Македонија до 2018 година
-Анекс I – Енергетска вредност на избраните енергенси за крајна потрошувачка – табела на конверзија
3
http://www.erc.org.mk/Uploads/PG-C-2012.06.15-%20ODLUKA%20CENA%20MAKPETROL%20%20PROM-GAS%20JUNI%202012.pdf
4
Temperature and Pressure (273 K, 1 atm) http://www.roymech.co.uk/Useful_Tables/Matter/Prop_Gas.htm
5
http://www.erc.org.mk/NovostiDetal.asp?novID=517

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 Energy comsumption preview and energy efficiency propopsals

40.600 кЈ/кг * 68.825.000 kg = 2.794.295.000.000 кЈ

42,460 ден/кг (5) * 68.825.000 kg = 2.922.309.500 den / 61.5 denars/euro = 47.517.230 EUR
approx.

ENERGETIC VALUE OF NATURAL GAS - 45 190 kJ/kg (2)

2.794.295.000.000 кЈ / 45 190 kJ/kg = 61.834.366 kg = 61.835 tons

Natural Gas Density 0,862 kg/m3 (4)

61.834.366 kg * 0,862 kg/m3 (NTP) (4) = 53.301.223,492 Nm3 * 39.883den/Nm3 =

2.125.812.700 den / 61.5 denars/euro = 34.566.060 EUR approx.

(LPG price from June 2012 is 39,8830 den/Nm3) (3)

CONCLUSION:

The final price is an approximation that depends of the fuel price at the moment.

Even in that case, the deference in the price is still way too big (over 10 millions Euro per year).
The price for one rotary kiln burner is up to 1 million USD depending to the power capacity.
Therefore, this means that, introducing/switching to natural gas is an extraordinary and a lot of
money saving option.

B.6 Slag heat recovery

As a base for estimation is used the “Investment study for granulation of the slag”. This study
examines the financial profitability of the technical solutions suggested by “INTERCVETMET”
from Sankt Petersburg, Russia.

Investment in equipment and buildings 1.050.000 US$ (in 1997)

Incomes per year from the project alone 4.84.900 US$ (in 1997)

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 Energy comsumption preview and energy efficiency propopsals

Nickel price per month

US$/t
60.000,00
50.000,00
40.000,00
30.000,00
20.000,00
10.000,00
0,00
97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12
n- n- n- n- n- n- n- n- n- n- n- n- n- n- n- n-
Ju Ju Ju Ju Ju Ju Ju Ju Ju Ju Ju Ju Ju Ju Ju Ju

* http://www.indexmundi.com/commodities/?commodity=nickel&months=180

B.7 Belts  GTS (Main Conveyor Belt Transport System)

 inside belts

B.8 Steam plant  Boiler

 Mazut pump station

F.1 Introducing natural gas  rotary kiln

 central heating

F.2 Heat exchanger from Electro furnace gasses

F.3 Introducing ISO 50.001

6. Recommendations
This section should list and describe the recommendations that flow from the identification of
EMOs and may include details concerning implementation. An explanation should be provided for
recommending or not recommending each EMO identified in the results.
7. Appendices
Appendices include background material that is essential for understanding the calculations and
recommendations and may include:
• Facility layout diagrams
• Process diagrams
• Reference graphs used in calculations, such as motor efficiency curves
• Data sets that are large enough to clutter the text of the report.

General Points on Report Writing

• Grammar and Style: The report should be grammatically correct. The language should be clear,
concise and understandable by all readers. The writer should avoid jargon.

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 Energy comsumption preview and energy efficiency propopsals

• Documentation: All numbers related to the results should be supported by information indicating
how they were derived. This includes all savings, investment and payback information.
• Mathematical Accuracy: All calculations should be checked for mathematical accuracy. Where,
for example, a table showing the breakdown and total of energy use or costs is included in the
report, the total of the num bers in the breakdown should equal the amount shown as the total. If,
for some reason, this is not the case, there should be a note explaining why the discrepancy is
appropriate. Similarly, if numbers used in the full report differ from corresponding numbers shown
in the Executive Summary, the report should contain a note or notes explaining why the
discrepancy is appropriate.
• Logical Consistency: The results should be logically consistent. For example, separate
summaries in the report may use different bases for calculating energy savings. One summary
might be based on energy savings related to the recommended measures while a second summary
might be based on energy savings related to both recommended and non-recommended measures.
If such a logical inconsistency is considered necessary by the auditor, it should be explained in a
note and in the example above, both tables should be referenced to the note.
• Illustrations: Graphs and charts may be used to spark interest in the report and implementation
of the recommendations but should not be used as a substitute for numerical data.

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 Energy comsumption preview and energy efficiency propopsals

Notes:

Inflation Calculator2
    If in (enter year)

    I purchased an item for $

    then in (enter year*)

    that same item would cost:

    Annual rate of inflation change:

        
 

2
http://www.usinflationcalculator.com/

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