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Featured on the cover and as the lead story in the April 1999 Pipeline & Gas Journal and December 1999 Pipeline & Gas Industry magazines: New system design reduces project costs, shortens project schedule, simplifies operation, and provides local municipal utility with economic peak shaving supply.

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Northstar Industries provides the only cost efficient, premanufactured M & R, LNG, and Inline Heater Replacement Modular Systems on the market today.

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Staffed by professional ex-utility engineers, Northstar offers innovative single and multi-building stations to meet all your growing needs.

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Providing a Modular Systems Approach To The Controls, Systems & Measurement Industry.

What's New

Northstar Completes Innovative LNG Plant In Greenville, NC.

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©1999 Northstar Industries, Inc. Northstar Industries is a registered trademark of Northstar Industries, Inc., Reg. U.S. Pat. and Tm. Off. The American Gas Association is a registered salesmark of The American Gas Association. All other trademarks are the property of their respective owners.

Northstar Industries is a Massachusetts based company specializing in the premanufacturing of city gate stations, LNG facilities, odorization, SCADA and distributed power systems for natural gas, industrial and power clients. Northstar's staff is comprised of gas ex-utility managers and workers teamed with professional engineers and environmental scientists for approvals and permitting (click on photo for detail).

Northstar Industries Provides Modular System Design To Bring LNG Facility On Line.

The Greenville Utilities Commission (GUC) is a municipal gas, water, sewer, and steam company located in Greenville, North Carolina. The Gas Department serves 14,950 customers and has experienced a 130% growth since 1990 due to the positive business environment and the fine quality of life in the region. Historically, GUC's Gas Department has relied on pipeline capacity from its supplier .The price of this capacity is based upon a demand charge and a commodity charge. The load characteristics of GUC's gas system resulted in very expensive peak volumes (click here to learn more about LNG).

Greenville Utilities had begun exploring several options. During the 1996-97 heating season, they conducted a pilot project involving a portable LNG vaporization unit. Based on that project's success, Greenville Utilities decided to move ahead quickly with a project to install a permanent satellite LNG peakshaving facility. To economically meet the peak day requirements of the 1997-98 peaking season, the permanent facility would have to be operational by November 1997.

According to Tom Quine, Northstar's president, several steps needed to occur in order to guarantee project success. A project team was formed by GUC's management to manage an extremely fast track regulatory and insurance approval, finance, siting, long-lead-time equipment definition/procurement, design and construction contractor management process (click on photo for detail).

Also, GUC's Gas Department's Operations personnel played a significant role in the project's actual construction and coordinating the local contractors. Northstar's experiences in obtaining siting permits, regulatory approval and working with contractors experienced in LNG construction proved to be invaluable constructing a satellite LNG facility in eight months that meets all of the regulatory requirements.

In March 1997, GUC developed specifications for the LNG tanks with assistance from various industry experts and received the bids for the two tanks in April. This step was necessary to take in advance of consultant's selection to ensure the tanks would arrive before November 1997. Of course, this put more pressure on the consultant to design and construct a facility with the tank design and bids completed. In April 1997, GUC selected Northstar Industries, Inc. for the project design, procurement and construction management of the project. To meet the deadline, Northstar provided prefabricated skids for various portions of the facility. Essentially it would be an 18-month project condensed into an 8-month time-frame.

The LNG plant designed by Northstar consists of five major modular systems integrated into a total system. The systems are as follows: storage, heating, odorant, emergency and SCADA systems. These systems are integrated to provide a plant that can be operated with a minimum number of people and remotely without compromising the safety of the personnel (click on photo for detail).

Two shop fabricated 55,000-gallon stainless-steel cryogenic storage tanks were provided by Process Engineering Inc., Plaistow, New Hampshire. The majority of existing factory fabricated LNG storage tanks in the United States were manufactured by Process Engineering in Plaistow, NH. Ken Paul of Process Engineering has been a major participant in the LNG industry since the 1960's. A six-sided, precast, concrete building served as the basis for most control equipment, and the boiler system. It was pre-fitted with a major portion of the control system and odorant system, and moved to Greenville for final assembly and connection. Outfitting the building ahead of time reduced travel cost, reduced time on site, and helped achieve an aggressive project schedule.

The vertical, shell-and-tube vaporizer was provided by Henry Bivens of Chicago Power & Process, Inc., and has a peak hourly send-out rate of 500,000 standard cubic feet/hour.

Other components were acquired from Flow Safe, Goddard, ACD, Fisher, Teledyne-Laars and Worcester.

PECO Energy Co., West Conshohoken, PA, was chosen to supply LNG.

Jack B. Kelley, Amarillo, Texas, was selected to provide the overland transportation. Nine deliveries of approximately 90,000 gallons of LNG from Pennsylvania had been received in mid-December for the facility's initial fill. The first vaporization took place one day later.

In the past, every time the gas system exceeded this set limit they were subjected to a penalty by the pipeline supplier. The supplier recently installed a flow controller on GUC's city gate stations that mechanically limit Greenville's firm supply MDQ. Greenville's current limit is 13,500 DT's/day. LNG is making up the difference.

Project Economics

The economics of a peakshaving plant are typically based upon avoided pipeline demand charges along with a component of avoided capital cost for some alternative pipeline solution. Pipeline capacity is commonly purchased for $1,000,000-$4,000,000 per year for each 10,000 dekatherms/day of capacity. Small LNG peakshaving facilities can typically be constructed for a one time capital cost of $1,000,000-$4,000,000. The annual carrying costs for these facilities are derived from ($Financing + $O & M). If a $2,000,000 plant has an annual carrying cost of $300,000 per year, and it can avoid $1,000,000 per year in demand charges from the pipeline, then it is easy to understand the economic justification of peakshaving.

The economics of a base-load facility are somewhat different. The economics of base-load facilities are generally driven by cost of the base-load LNG vapor as compared to alternative fuels available. The facilities can be installed at industrial sites or a stand alone utility system. Many operators are unaware of the great potential at the industrial sites for volumes of sales. An industrial customer running three shifts at 100 dekatherms per hour can use 800,000 dekatherms per year of load. LNG can be produced for prices of $3.00-$4.00 per dekatherm. Transport can commonly cost between $.50-$2.00 depending on travel time. The simplified cost per dekatherm of vaporized LNG is now determined by ($Fuel Cost + $Annual Financing + $Annual O & M + $ Annual Profit) annual load.

Despite the fact that the Greenville Utilities' project was accelerated, Northstar's design has many unique characteristics. The simple process design was based upon the preheating designs utilized by Northstar as well as the extensive vaporizer replacement experience of the design team.

Codes and Standards

All systems have been designed and constructed in accordance with the following codes and standards:

  • 49 CFR Part 193: Liquefied Natural Gas Facilities: Federal Safety Standards
  • NFPA 59A: Standard for the Production, Storage, and Handling of Liquefied Natural Gas (LNG)
  • NCSBC: North Carolina State Building Codes, Volume I, General Construction, 1996 Edition with 1996/1997 Revisions.
  • NCSBC: North Carolina State Building Code, Volume I-A Administration and Enforcement Requirements, 1996 Edition.

System Description

The site plan and process flow diagram illustrate the layout of components, required distances and the input and output of the new facility.

The site has two double wall 55,000 gallon tanks that contain the equivalent of approximately 8,250 dekatherms of storage. These tanks will be normally operated at 85 psig. This pressure sufficiently overcomes the 50 psig distribution pressure downstream without the use of a send-out pump. The tanks were factory fabricated with liquid level indication, pressure indication and the appropriate liquid and vapor nozzles.

The tanks are located within a containment system that is designed to direct an LNG spill away and into a remote concrete impoundment pit. The entire site 6 acre facility is enclosed within a security fence with vapor slats to contain the vapor from a design spill. This arrangement minimizes site size and minimizes the exclusion zones.

The site design was faced with some challenges as well. Much of the area surrounding the site is in a coastal flood plain. Because of this and as a result of requests from Greenville's insurance carrier, Factory Mutual System, the control building, storage tanks, access road and major equipment were raised to be on foot above the 500-year flood elevation. This required significant impact on the site design, particularly regarding LNG spill containment.

An LNG transport unloading skid is provided with vapor and liquid connections and pressure controls for top and bottom fill of the tanks.

Vaporization is located within the impoundment system. This vertical shell and tube heat exchanger is provided with a tube arrangement surrounded by a single shell. The vaporizer is operated based on flow control. The desired flow rate is obtained by operating the LNG flow control valve. Liquid differential is measured using an orifice plate and the liquid flow rate is converted to Mcfh. For example, 100 gpm = 500 MSCFH.

To raise or lower the flow the operator need only change the desired output. Pressure control will still remain as an override. A pressure building heat exchanger mounted on each tank, is designed and utilized to maintain a desired pressure in the vapor space of the tank which allows for transfer of fluid (click on photo for detail).

Heat for the send-out gas is supplied by water/glycol pumped from the water/glycol heater room in the modular control building containing three parallel units. A water/glycol skid is located in the heater area. The prefabricated skid had a stop/start panel as well as valves, strainer, and expansion tank built in. The water/glycol supply and return lines, along with the gas send-out piping, are carried from within the impoundment dike to the building above ground on common pipe supports. The two water/glycol pipes terminate in the water/glycol heater room of the control building and the gas send-out piping outlets into the distribution system after odorization.

The NJEX odorant system (located in the odorant room of the modular control building), injects the requisite levels required for detection in the State of North Carolina. Fuel gas for the water/glycol heaters (domestic gas) is taken from a tap on the distribution system piping which is downstream of the odorizer.

A single 21' x 63 ' monolithic concrete building has been located on site. It is located outside the vapor fence. One nonhazardous room contains the electrical motor control center. Another nonhazardous room contains the personal computer, rest-room, control RTU and SCADA interface. A third room contains the three glycol water heaters, pump skid and pneumatic system for instrument air. A fourth hazardous room contains the odorant injection system and send-out piping.

The boil-off system is designed as a back pressure regulator set for the desired tank pressure which will vent the design boil-off through the vaporizer and into the distribution system.

A stainless steel temperature safety valve is located prior to the transition to carbon steel. This is the required temperature shutdown valve for the plant. The outlet of the vaporizer is all stainless steel, up to the shutdown valve. This arrangement effectively protects the downstream carbon steel piping systems from gas temperatures above or below their design rating which is not expected to occur other than during an upset condition.

An ESD (Emergency Shut Down) 50 foot valve on the outlet of each tank can be operated remotely and locally with local and remote indication of valve position. This valve isolates the tanks from the downstream piping and equipment.

Thermal radiation and vapor dispersion analysis confirm the acceptability of the final configuration.

Pipe supports are constructed of reinforced concrete and stainless steel to provide low maintenance cryogenic supports.

A check valve prevents a back-flow and a manual block on the discharge will allow for total isolation of the vaporization unit.

System control and safety interlocks for the new system are accomplished with a process controller. This interlock logic control resides within the ROC 364, located on-site in the control building, which is programmed to protect the plant according to logic that has been developed in the Interlock Logic Diagram.

In accord with the future of such facilities, the Greenville Utilities satellite facility can be operated either locally, from GUC's Gas Department office via its SCADA (Supervisory Control and Data Acquisition) system. As the project was designed for fail-safe automatic shutdown, the facility only has to be manned for truck unloading. The Greenville facility exceeds both the NFPA 59A codes and the new DOT 193 requirements (click on photo for detail).

Dry Instrument air is provided by electric compression and drying with dry nitrogen gas as a backup.

Pneumatic and electric controls and electrical power conduits are run from the control room and motor control center to the heater and vaporizer areas on above-ground supports.

All electrical equipment is installed in accordance with the area classification in which it operates.

A Factory Mutual Approved fire and gas detection system, complete with the requisite audible and visual alarms, is installed in the vaporizer area, the water/glycol heater area, truck loading, storage, and control areas.

The perimeter security system is comprised of microwave transmitters and receivers connected to the SCADA system.

In summary, the storage tanks receive liquid natural gas from highway transports via the pump skid and store the liquid to give a ready reserve of about eight million cubic feet of natural gas.

When extra gas is needed in the distribution main, liquid natural gas is forced out of the tank toward the main by a tank pressure created and/or maintained by a pressure building coil, which is higher than main pressure. En route to the main, the liquid is evaporated and the resulting gas is warmed and flows to distribution.

If either tank's pressure approaches its safety valve setting, a back-pressure regulator will open to allow a small flow of vapor from the top of the tank to the warming coil, and to the main, thus holding tank pressure at a safe level without discharging gas to the atmosphere. This operation will be automatic at all seasons, manually shut off only if a need for maintenance arises.

Project Impact

Greenville's current MDQ is 13,500 Mdf/day from the pipeline at a premium price. Their system load has grown beyond the pipeline supply. LNG is making up the difference.

With the growth in the customer base, Greenville expects the reliance on LNG to grow. Near term plans call for two more 55,000-gallon storage tanks and an additional vaporization train.

Future planning is being completed for a larger facility with liquefaction.

The increased use of LNG as long-term supply for peakshaving is economically and financially justified above the existing 13,500 dekatherm maximum daily quantity (MDQ) of Greenville's firm gas supply contract, and is projected to provide significant cost savings to GUC's customers in future years.

The true success of the project can be witnessed by the fact that the operators can easily operate the new facility on their own and reduce their cost of gas significantly.

With the completion on the project, ERG and Northstar Energy Corporation continue their relationship with Greenville Utilities in undertaking strategic planning work for the future expansion of the facility and other LNG-related projects.

 

To learn more, or to receive a free Modular Systems Brochure, call Toll Free 877-975-5500.
Or send an e-mail to us at:
info@northstarind.com


126 Merrimack Street, Methuen, MA 01844

Tel: (978)975-5500 Fax: (978)975-9975

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