HP_2012_01

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HPINSIGHT

Global HPI: 90+ years old and still going strong In 2012, Hydrocarbon Processing (HP) will celebrate its 90th anniversary as a publication for the professionals involved in the daily activities of the global hydrocarbon processing industry (HPI). Much has changed since the first edition of The Refiner and Natural Gasoline Manufacturer—the forerunner of HP—in September 1922. And, yet, so many factors continue to remain the same. This early publication was designed by its founders to serve the HPI. In the first issue, the publisher, Ray L. Dudley wrote, “The Refiner and Natural Gasoline Manufacturer will bring to its readers. . . new data on refinery methods, written by men who are in a position to write with authority.” In our 90th year of service to the global HPI, HP’s same mission statement and goals still stand. Our feature editorial content continues to be authored by professional men and women actively working in the HPI. Going forward in 2012, our mission will be to provide data on new methods for the global refining and transportation fuels manufacturing industries. In addition, our focus includes the new HPI sectors that grew over the past 90 years. Of course, this includes the massive petrochemical and the natural gas/liquefied natural gas (LNG) industries. Both segments grew from the newly discovered innovations and in response to changing demands by the HPI and society. The beginning. When did the modern HPI actually begin? There are several dates, depending on which part of the HPI that you focus on. In the case of crude oil and natural gas, the beginning goes back to the mid-1800s. In that century, technology and opportunity were linking up. Crude oil had been around for years, but it had no real value until innovative inventors discovered how to pull the middle fraction (kerosine) from crude oil. At the same time, the “bottom-of-the-barrel” was distilled and stabilized with sulfur to produce asphalt. With asphalt, cities could top-pave streets to handle the newest transportation form—the automobile. Quick note: In the late 1890s in the US, there were more electric automobiles (EVs) than gasoline powered vehicles. EVs developed by Thomas Edison initially outnumbered the internal-combustion engine units.

History has shaped the HPI. Likewise, the HPI has changed the course of history for the global economy. “The more things change, the more they remain the same.” Change is a constant part of the HPI. Hard work and innovation often supply the solutions to the rising needs of society. The modern HPI grew out from the constant demands by the modern societies of the 1900s, and it still continues as developing nations improve the standard of living for their citizens. In 2012, HP will look back and share from our archives many of the major breakthroughs in processing technologies along with catalyst, equipment, instrumentation, analytical and automation developments that have revolutionized the global HPI.

HPI headlines from Hydrocarbon Processing, January 2002: China gains official entry into World Trade Organization (WTO). On Dec. 11, 2001, China became the WTO’s 143rd member. As a result, China has agreed to open and liberalize its regime, offering a more predictable environment for trade and foreign investment. In 2000, China was the world’s seventh leading exporter and eighth largest importer of merchandise trade. For commercial services, China was the 12th leading exporter and 10th largest importer, according to the WTO. Natural gas supplies in US are up; pricing continues downward trend. The Department of Energy analysis of the natural gas (NG) market indicates that prices should continue to decline through next year and that supplies are to increase. NG prices are expected to decline from $4.09/thousand cubic feet (Mcf) in 2001 to $1.96/ Mcf in 2002, while supplies should increase from 22.45 Tcf in 2001

Mobilization of society. Cost was a factor in owning a private car at that time. Early automobiles were very expensive, and only the truly wealthy could afford such a luxury. And then a clever solution arose to meet society’s needs. In this case, a bright, young engineer working for and mentored by Thomas Edison, Henry Ford had his own vision for personal transportation. This keenly bright engineer later discovered the modern assembly line to mass produce his gasoline-powered vehicle. The ability to mass produce quality vehicles dramatically cut entry ownership costs. And soon, more people were more mobile, and commerce grew with an increasingly easy flow of goods, materials and manpower to further build manufacturing capacity and capability. Revolutionary changes. Hydrocarbon-based energy (crude

oil, coal and natural gas) is the lubricant that drives domestic and global economies. Hydrocarbons will remain the primary energy sources for the next 35 years.

Giant cokers at the Great Canadian Oil Sands Ltd. plant near Fort McMurray, Alberta, Canada, will upgrade bitumen into a variety of hydrocarbon products. They will also produce about 2,800 tpd of coke to supply fuel to the power plant. Each of the six drums is 94 ft tall and 26 ft in diameter. Photo courtesy of Sun Oil Co., September 1967. HYDROCARBON PROCESSING JANUARY 2012

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