TY - JOUR
T1 - Strategic planning optimization for natural gas to liquid transportation fuel (GTL) systems
AU - Elia, Josephine A
AU - Li, Jie
AU - Floudas, Christodoulos A
N1 - A Tribute to Ignacio E. Grossmann
PY - 2015
Y1 - 2015
N2 - Abstract A strategic planning optimization model is proposed for a network of natural gas to liquids (GTL) systems, and it is solved using a rolling horizon strategy. The model formulation determines the strategic and tactical decisions of the \{GTL\} supply chain over a long time horizon. The decisions to build new \{GTL\} refineries may be made over the span of 30 years and their operations cover the span of 60 years. Multiple capacities of \{GTL\} refineries (i.e., 1, 5, 10, 50, and 200 thousand barrels per day) that produce gasoline, diesel, and kerosene commensurate to the United States demand ratio may exist in the network. The parameter inputs include the locations, availabilities, and prices of natural gas in the United States discretized by county, the delivery locations of fuel products, and the transportation costs of every input and output of the refinery, defined for each time period. Formulated as a large-scale mixed-integer linear optimization (MILP) model, the problem is solved using a rolling horizon strategy for tractability. Case studies on the state of Pennsylvania are presented for different planning schemes and their impact on the economic performance of the \{GTL\} network is discussed.
AB - Abstract A strategic planning optimization model is proposed for a network of natural gas to liquids (GTL) systems, and it is solved using a rolling horizon strategy. The model formulation determines the strategic and tactical decisions of the \{GTL\} supply chain over a long time horizon. The decisions to build new \{GTL\} refineries may be made over the span of 30 years and their operations cover the span of 60 years. Multiple capacities of \{GTL\} refineries (i.e., 1, 5, 10, 50, and 200 thousand barrels per day) that produce gasoline, diesel, and kerosene commensurate to the United States demand ratio may exist in the network. The parameter inputs include the locations, availabilities, and prices of natural gas in the United States discretized by county, the delivery locations of fuel products, and the transportation costs of every input and output of the refinery, defined for each time period. Formulated as a large-scale mixed-integer linear optimization (MILP) model, the problem is solved using a rolling horizon strategy for tractability. Case studies on the state of Pennsylvania are presented for different planning schemes and their impact on the economic performance of the \{GTL\} network is discussed.
KW - Energy supply chain
KW - Strategic planning
KW - MILP
KW - GTL
KW - Transportation fuels
U2 - 10.1016/j.compchemeng.2014.04.010
DO - 10.1016/j.compchemeng.2014.04.010
M3 - Article
SN - 0098-1354
VL - 72
SP - 109
EP - 125
JO - COMPUTERS & CHEMICAL ENGINEERING
JF - COMPUTERS & CHEMICAL ENGINEERING
ER -