The Institute for Operations Research and Management Sciences (INFORMS) holds its semi-annual meeting and exposition at the George R. Brown Convention Center, Houston, Texas, October 22 – 25, 2017. At the Lindo Systems Inc booth, I see that their optimization software is capable of doing linear, integer, and nonlinear programming. I ask Linus Schrage, Lindo President, how his company is helping businesses in the oil refining, petrochemical, and oil/gas industries. Here is what he has to say.
“Sulfur is an acid rain pollutant, and optimized blending is used to mitigate this problem. For example, one of the byproducts of refining heavy crude from tar sands is a material called petroleum coke, or pet coke for short. Pet coke is of use in places such as aluminum processing facilities. An important quality measure is sulfur. Different customers may have different requirements on the amount of sulfur allowed. Different crude oil sources produce different levels of sulfur in the pet coke byproduct, so optimization is useful in determining just how much of the various sources can be blended to satisfy each particular customer.”
“Optimization has also been applied in the design of refineries. An important problem is heat management. Many of the processes either generate a lot of heat or need a lot of heat. Heat exchangers are used to capture heat from one facility and reuse it in another facility. Matching these hot streams with cold streams, and choosing the appropriate size of heat exchangers is a combinatorial problem that makes use of two types of optimization techniques: integer programming and nonlinear programming.”
Check out Lindo Systems at www.lindo.com . Here is a list of companies they have helped.
• Accenture: Production planning. LINDO API, What’sBest!.
• Air Liquide: General planning, What’sBest!.
• AlixPartners: Production planning. LINGO.
• Arauco: Forest products production planning. What’sBest!.
• Avista: Week-ahead and year-ahead planning of hydro-electricity generation What’sBest!.
• BP: General Planning. LINGO, What’sBest!.
• Chevron: General Planning. LINGO, What’sBest!.
• CityWest: Water usage planning, LINGO.
• Conoco-Phillips: Refinery planning. LINGO, What’sBest!, LINDO API.
• Duke Power: Reservoir based hydro-electric production planning. What’sBest!.
• EIRgrid: Optimal Power Flow planning. LINDO API.
• Emerson Process Management: Gas-lift optimization. What’sBest!, LINGO.
• Enersight – 3ES: Energy planning in oil and tar sands production. What’sBest!, LINDO API.
• ERCOT (Energy Reliability Council Texas): Market clearing of transmission line capacity.
• Exxon/Mobil: General planning. LINGO, What’sBest!.
• GDF Suez-Engie: General planning. LINGO.
• Glencore: General planning.
• Greenergy: Fuel supply planning. What’sBest!.\
• Hexagon Mining: Precious metals mining. LINDO API.
• Husky Energy: Multi-period refinery planning. What’sBest!.
• Idaho Power: Energy generation unit commitment planning.
• MineSight: Precious metals mining. LINDO API.
• Mosaic Company: General planning.
• Newmont Mining: General planning.
• Ontario Power: Electrical generation. LINGO
• Peoples Gas: Natural gas purchasing under uncertainty. LINDO API, What’sBest!
• Petrobras: General planning.
• PetroChina: General planning. LINGO.
• Phillips 66: General planning.
• Portfolio Decisions: Petroleum/Gas exploration planning, What’sBest!.
• Reliance Industries: General planning.
• Rio Tinto: General planning.
• Saudi Aramco: Long range planning, e.g., 50 years. LINGO.
• Shell / Royal Dutch Shell: General planning.
• Vale, SA: General planning.