Recipe determination and scheduling of gasoline blending operations

Gasoline is a major contributor to the profit of a refinery. Scheduling gasoline‐blending operations is a critical and complex routine task involving tank allocation, component mixing, blending, product storage, and order delivery. Optimized schedules can maximize profit by avoiding ship demurrage, improving order delivery, minimizing quality give‐aways, avoiding costly transitions and slop generation, and reducing inventory costs. However, the blending recipe and scheduling decisions make this problem a nonconvex mixed‐integer nonlinear program (MINLP). In this article, we develop a slot‐based MILP formulation for an integrated treatment of recipe, specifications, blending, and storage and incorporate many real‐life features such as multipurpose product tanks, parallel nonidentical blenders, minimum run lengths, changeovers, piecewise constant profiles for blend component qualities and feed rates, etc. To ensure constant blending rates during a run, we develop a novel and efficient procedure that solves successive MILPs instead of a nonconvex MINLP. We use 14 examples with varying sizes and features to illustrate the superiority and effectiveness of our formulation and solution approach. The results show that our solution approach is superior to commercial solvers (BARON and DICOPT). © 2009 American Institute of Chemical Engineers AIChE J, 2010     

Continuous‐time modeling and global optimization approach for scheduling of crude oil operations

Scheduling of crude oil operations is a critical and complicated component of overall refinery operations, because crude oil costs account for about 80% of the refinery turnover. Moreover, blending with less expensive crudes can significantly increase profit margins. The mathematical modeling of blending different crudes in storage tanks results in many bilinear terms, which transforms the problem into a challenging, nonconvex, and mixed‐integer nonlinear programming (MINLP) optimization model. Two primary contributions have been made. First, the authors developed a novel unit‐specific event‐based continuous‐time MINLP formulation for this problem. Then they incorporated realistic operational features such as single buoy mooring (SBM), multiple jetties, multiparcel vessels, single‐parcel vessels, crude blending, brine settling, crude segregation, and multiple tanks feeding one crude distillation unit at one time and vice versa. In addition, 15 important volume‐based or weight‐based crude property indices are also considered. Second, they exploited recent advances in piecewise‐linear underestimation of bilinear terms within a branch‐and‐bound algorithm to globally optimize the MINLP problem. It is shown that the continuous‐time model results in substantially fewer bilinear terms. Several examples taken from the work of Li et al. are used to illustrate that (1) better solutions are obtained and (2) ε‐global optimality can be attained using the proposed branch‐and‐bound global optimization algorithm with piecewise‐linear underestimations of the bilinear terms. © 2011 American Institute of Chemical Engineers AIChE J, 2012     

Scheduling of crude oil operations under demand uncertainty: A robust optimization framework coupled with global optimization

Scheduling of crude oil operations is an important component of overall refinery operations, because crude oil costs account for about 80% of the refinery turnover. The mathematical modeling of blending different crudes in storage tanks results in many bilinear terms, which transform the problem into a challenging, nonconvex, mixed‐integer nonlinear programming (MINLP) optimization model. In practice, uncertainties are unavoidable and include demand fluctuations, ship arrival delays, equipment malfunction, and tank unavailability. In the presence of these uncertainties, an optimal schedule generated using nominal parameter values may often be suboptimal or even become infeasible. In this article, the robust optimization framework proposed by Lin et al. and Janak et al. is extended to develop a deterministic robust counterpart optimization model for demand uncertainty. The recently proposed branch and bound global optimization algorithm with piecewise‐linear underestimation of bilinear terms by Li et al. is also extended to solve the nonconvex MINLP deterministic robust counterpart optimization model and generate robust schedules. Two examples are used to illustrate the capability of the proposed robust optimization approach, and the extended branch and bound global optimization algorithm for demand uncertainty. The computational results demonstrate that the obtained schedules are robust in the presence of demand uncertainty. © 2011 American Institute of Chemical Engineers AIChE J, 58: 2373–2396, 2012     

Integration of scheduling and control for batch processes using multi‐parametric model predictive control

Integration of scheduling and control results in Mixed Integer Nonlinear Programming (MINLP) which is computationally expensive. The online implementation of integrated scheduling and control requires repetitively solving the resulting MINLP at each time interval. (Zhuge and Ierapetritou, Ind Eng Chem Res. 2012;51:8550–8565) To address the online computation burden, we incorporare multi‐parametric Model Predictive Control (mp‐MPC) in the integration of scheduling and control. The proposed methodology involves the development of an integrated model using continuous‐time event‐point formulation for the scheduling level and the derived constraints from explicit MPC for the control level. Results of case studies of batch processes prove that the proposed approach guarantees efficient computation and thus facilitates the online implementation. © 2014 American Institute of Chemical Engineers AIChE J, 60: 3169–3183, 2014     

A multi‐objective optimization approach to polygeneration energy systems design

Polygeneration, typically involving co‐production of methanol and electricity, is a promising energy conversion technology which provides opportunities for high energy utilization efficiency and low/zero emissions. The optimal design of such a complex, large‐scale and highly nonlinear process system poses significant challenges. In this article, we present a multiobjective optimization model for the optimal design of a methanol/electricity polygeneration plant. Economic and environmental criteria are simultaneously optimized over a superstructure capturing a number of possible combinations of technologies and types of equipment. Aggregated models are considered, including a detailed methanol synthesis step with chemical kinetics and phase equilibrium considerations. The resulting model is formulated as a non‐convex mixed‐integer nonlinear programming problem. Global optimization and parallel computation techniques are employed to generate an optimal Pareto frontier. © 2009 American Institute of Chemical Engineers AIChE J, 2010     

A cost‐effective model for the gasoline blend optimization problem

Gasoline blending is a critical process with a significant impact on the total revenues of oil refineries. It consists of mixing several feedstocks coming from various upstream processes and small amounts of additives to make different blends with some specified quality properties. The major goal is to minimize operating costs by optimizing blend recipes, while meeting product demands on time and quality specifications. This work introduces a novel continuous‐time mixed‐integer linear programming (MILP) formulation based on floating time slots to simultaneously optimize blend recipes and the scheduling of blending and distribution operations. The model can handle non‐identical blenders, multipurpose product tanks, sequence‐dependent changeover costs, limited amounts of gasoline components, and multi‐period scenarios. Because it features an integrality gap close to zero, the proposed MILP approach is able to find optimal solutions at much lower computational cost than previous contributions when applied to large gasoline blend problems. © 2016 American Institute of Chemical Engineers AIChE J, 62: 3002–3019, 2016     

Using short‐term resource scheduling for assessing effectiveness of CCS within electricity generation subsector

A new methodology for assessing the effectiveness of carbon capture and storage (CCS) that does explicitly consider the detailed operation of the target electricity system is proposed. The electricity system simulation consists of three phases, each one using a modified version of an economic dispatch problem that seeks to maximize the producers’ and consumers’ surplus while satisfying the technical constraints of the system. The economic dispatch is formulated as a dynamic mixed‐integer nonlinear programming problem and implemented in general algebraic modelling system (GAMS). The generating unit with CCS is designed and simulated using Aspen Plus®. In the first case study, the operation of the IEEE RTS ’96 (Institute of Electrical and Electronics Engineers One‐Area Reliability Test System—1996) is simulated with greenhouse gas (GHG) regulation implemented in the form of CO₂ permits that generators need to acquire for every unit of CO₂ that it is emitted. In the second case study, CCS is added at one of the buses and the operation of the modified IEEE RTS ’96 is again simulated with and without GHG regulation. The results suggest that the detailed operation of the target electricity system should be considered in future assessments of CCS and a general procedure for undertaking this for any GHG mitigation option is proposed. Future work will use the novel methodology for assessing the effectiveness of generating units with flexible CO₂ capture. © 2015 American Institute of Chemical Engineers AIChE J, 61: 4210–4234, 2015     

Global optimization of large‐scale mixed‐integer linear fractional programming problems: A reformulation‐linearization method and process scheduling applications

Mixed‐integer linear fractional program (MILFP) is a class of mixed‐integer nonlinear programs (MINLP) where the objective function is the ratio of two linear functions and all constraints are linear. Global optimization of large‐scale MILFPs can be computationally intractable due to the presence of discrete variables and the pseudoconvex/pseudoconcave objective function. We propose a novel and efficient reformulation–linearization method, which integrates Charnes–Cooper transformation and Glover's linearization scheme, to transform general MILFPs into their equivalent mixed‐integer linear programs (MILP), allowing MILFPs to be globally optimized effectively with MILP methods. Extensive computational studies are performed to demonstrate the efficiency of this method. To illustrate its applications, we consider two batch scheduling problems, which are modeled as MILFPs based on the continuous‐time formulations. Computational results show that the proposed approach requires significantly shorter CPU times than various general‐purpose MINLP methods and shows similar performance than the tailored parametric algorithm for solving large‐scale MILFP problems. Specifically, it performs with respect to the CPU time roughly a half of the parametric algorithm for the scheduling applications. © 2013 American Institute of Chemical Engineers AIChE J, 59: 4255–4272, 2013     

Multi‐period planning,design, and strategic models for long‐term,quality‐sensitive shale gas development

In this work we address the long‐term, quality‐sensitive shale gas development problem. This problem involves planning, design, and strategic decisions such as where, when, and how many shale gas wells to drill, where to lay out gathering pipelines, as well as which delivery agreements to arrange. Our objective is to use computational models to identify the most profitable shale gas development strategies. For this purpose we propose a large‐scale, nonconvex, mixed‐integer nonlinear programming model. We rely on generalized disjunctive programming to systematically derive the building blocks of this model. Based on a tailor‐designed solution strategy we identify near‐global solutions to the resulting large‐scale problems. Finally, we apply the proposed modeling framework to two case studies based on real data to quantify the value of optimization models for shale gas development. Our results suggest that the proposed models can increase upstream operators’ profitability by several million U.S. dollars. © 2016 American Institute of Chemical Engineers AIChE J, 62: 2296–2323, 2016     

Operational strategy and planning for raw natural gas refining complexes: Process modeling and global optimization

Optimal operational strategy and planning of a raw natural gas refining complex (RNGRC) is very challenging since it involves highly nonlinear processes, complex thermodynamics, blending, and utility systems. In this article, we first propose a superstructure integrating a utility system for the RNGRC, involving multiple gas feedstocks, and different product specifications. Then, we develop a large‐scale nonconvex mixed‐integer nonlinear programming (MINLP) optimization model. The model incorporates rigorous process models for input and output relations based on fundamentals of thermodynamics and unit operations and accurate models for utility systems. To reduce the noncovex items in the proposed MINLP model, equivalent reformulation techniques are introduced. Finally, the reformulated nonconvex MINLP model is solved to global optimality using state of the art deterministic global optimization approaches. The computational results demonstrate that a significant profit increase is achieved using the proposed approach compared to that from the real operation. © 2016 American Institute of Chemical Engineers AIChE J, 63: 652–668, 2017     

Data‐driven mathematical modeling and global optimization framework for entire petrochemical planning operations

In this work we develop a novel modeling and global optimization‐based planning formulation, which predicts product yields and properties for all of the production units within a highly integrated refinery‐petrochemical complex. Distillation is modeled using swing‐cut theory, while data‐based nonlinear models are developed for other processing units. The parameters of the postulated models are globally optimized based on a large data set of daily production. Property indices in blending units are linearly additive and they are calculated on a weight or volume basis. Binary variables are introduced to denote unit and operation modes selection. The planning model is a large‐scale non‐convex mixed integer nonlinear optimization model, which is solved to ε‐global optimality. Computational results for multiple case studies indicate that we achieve a significant profit increase (37–65%) using the proposed data‐driven global optimization framework. Finally, a user‐friendly interface is presented which enables automated updating of demand, specification, and cost parameters. © 2016 American Institute of Chemical Engineers AIChE J, 62: 3020–3040, 2016     

Energy optimization of water supply system scheduling: Novel MINLP model and efficient global optimization algorithm

This article is concerned with global optimization of water supply system scheduling with pump operations to minimize total energy cost. The scheduling problem is first formulated as a non‐convex mixed‐integer nonlinear programming (MINLP) problem, accounting for flow rates in pipes, operation profiles of pumps, water levels of tanks, and customer demand. Binary variables denote on–off switch operations for pumps and flow directions in pipes, and nonlinear terms originate from characteristic functions for pumps and hydraulic functions for pipes. The proposed MINLP model is verified with EPANET, which is a leading software package for water distribution system modeling. We further develop a novel global optimization algorithm for solving the non‐convex MINLP problem. To demonstrate the applicability of the proposed model and the efficiency of the tailored global optimization algorithm, we present results of two case studies with up to 4 tanks, 5 pumps, 5 check valves, and 21 pipes. © 2016 American Institute of Chemical Engineers AIChE J, 62: 4277–4296, 2016     

Production of benzene,toluene, and xylenes from natural gas via methanol: Process synthesis and global optimization

A systematic global optimization‐based process synthesis framework is presented to determine the most profitable processes to produce aromatics from natural gas. Several novel, commercial, and/or competing technologies are modeled within the framework, including methanol‐to‐aromatics, toluene alkylation with methanol, selective toluene disproportionation, and toluene disproportionation and transalkylation with heavy aromatics, among others. We propose a stand‐alone chemicals facility: the main products are aromatics with allowable by‐products of gasoline, liquefied petroleum gas, and electricity. Several case studies are discussed that produce varying ratios of para‐, ortho‐, and meta‐xylene across multiple refinery capacities. The results indicate that utilizing natural gas for the production of aromatics is profitable with net present values as high as $3800 MM dollars and payback periods as low as 6 years. The required investment for these refineries represents as much as a 65% decrease compared to published estimates of similar coal‐based capacity plants. © 2016 American Institute of Chemical Engineers AIChE J, 62: 1531–1556, 2016     

Macro‐economic multi‐objective input–output model for minimizing CO2 emissions: Application to the U.S. economy

Designing effective environmental policies for mitigating global warming is a very challenging task that requires detailed knowledge of the international channels through which goods are traded. This work presents a decision‐support tool that minimizes the environmental impact at a global macroeconomic scale by performing changes in the economic sectors of an economy. Our tool combines multi‐objective optimization, environmentally extended input–output tables and life cycle assessment within a unified framework. Our results on the U.S. economy to minimize CO₂ emissions identify sectors that should be regulated first to reach a given environmental target while maximizing the demand satisfaction. The impact of shale gas on our results is also studied. Our findings show that the application of process systems engineering tools at a macroeconomic level can provide valuable insight for public policy makers into problems of general interest. © 2016 American Institute of Chemical Engineers AIChE J, 62: 3639–3656, 2016     

Optimal supply chain design and operations under multi‐scale uncertainties: Nested stochastic robust optimization modeling framework and solution algorithm

Although strategic and operational uncertainties differ in their significance of impact, a “one‐size‐fits‐all” approach has been typically used to tackle all types of uncertainty in the optimal design and operations of supply chains. In this work, we propose a stochastic robust optimization model that handles multi‐scale uncertainties in a holistic framework, aiming to optimize the expected economic performance while ensuring the robustness of operations. Stochastic programming and robust optimization approaches are integrated in a nested manner to reflect the decision maker's different levels of conservativeness toward strategic and operational uncertainties. The resulting multi‐level mixed‐integer linear programming model is solved by a decomposition‐based column‐and‐constraint generation algorithm. To illustrate the application, a county‐level case study on optimal design and operations of a spatially‐explicit biofuel supply chain in Illinois is presented, which demonstrates the advantages and flexibility of the proposed modeling framework and efficiency of the solution algorithm. © 2016 American Institute of Chemical Engineers AIChE J, 62: 3041–3055, 2016     

Superstructure optimization of integrated fast pyrolysis‐gasification for production of liquid fuels and propylene

Motivated by the apparent advantages of fast pyrolysis and gasification, a novel integrated biorefinery plant is systematically synthesized for coproducing premium quality liquid fuels and propylene. The required heat and fluidization promotion of the fast pyrolyzer are provided by hot syngas from the gasifier. Light gas and syngas from the fast pyrolyzer are finally converted to hydrocarbons via Fischer‐Tropsch synthesis. Multiple syngas production technologies, hydrocarbon production and downstream upgrading routes are incorporated within a superstructure optimization based process synthesis framework. This is the first article to investigate the benefits associated with the introduction of conventional catalytic cracking and dewaxing from a systems engineering perspective. Surrogate models describing the gasifiers and rigorous equations for Fischer‐Tropsch effluents validated by our experimental collaborator are introduced. Through investigation of five scenarios the primary parameters affecting overall economic performance are identified through ranking of the relevant candidates. Comparisons of the hybrid conversion route and stand‐alone routes are made. © 2016 American Institute of Chemical Engineers AIChE J, 62: 3155–3176, 2016     

A computational framework and solution algorithms for two‐stage adaptive robust scheduling of batch manufacturing processes under uncertainty

A novel two‐stage adaptive robust optimization (ARO) approach to production scheduling of batch processes under uncertainty is proposed. We first reformulate the deterministic mixed‐integer linear programming model of batch scheduling into a two‐stage optimization problem. Symmetric uncertainty sets are then introduced to confine the uncertain parameters, and budgets of uncertainty are used to adjust the degree of conservatism. We then apply both the Benders decomposition algorithm and the column‐and‐constraint generation (C&CG) algorithm to efficiently solve the resulting two‐stage ARO problem, which cannot be tackled directly by any existing optimization solvers. Two case studies are considered to demonstrate the applicability of the proposed modeling framework and solution algorithms. The results show that the C&CG algorithm is more computationally efficient than the Benders decomposition algorithm, and the proposed two‐stage ARO approach returns 9% higher profits than the conventional robust optimization approach for batch scheduling. © 2015 American Institute of Chemical Engineers AIChE J, 62: 687–703, 2016     

Optimal processing network design under uncertainty for producing fuels and value‐added bioproducts from microalgae: Two‐stage adaptive robust mixed integer fractional programming model and computationally efficient solution algorithm

Fractional metrics, such as return on investment (ROI), are widely used for performance evaluation, but uncertainty in the real market may unfortunately diminish the results that are based on nominal parameters. This article addresses the optimal design of a large‐scale processing network for producing a variety of algae‐based fuels and value‐added bioproducts under uncertainty. We develop by far the most comprehensive processing network with 46,704 alternative processing pathways. Based on the superstructure, a two‐stage adaptive robust mixed integer fractional programming model is proposed to tackle the uncertainty and select the robust optimal processing pathway with the highest ROI. Since the proposed problem cannot be solved directly by any off‐the‐shelf solver, we develop an efficient tailored solution method that integrates a parametric algorithm with a column‐and‐constraint generation algorithm. The resulting robust optimal processing pathway selects biodiesel and poly‐3‐hydroxybutyrate as the final fuel and bioproduct, respectively. © 2016 American Institute of Chemical Engineers AIChE J, 63: 582–600, 2017     

Simultaneous model selection and parameter estimation for lithium‐ion batteries: A sequential MINLP solution approach

Equivalent circuit model (ECM) is a practical and commonly used tool not only in state of charge (SOC) estimation but also in state of health (SOH) monitoring for lithium‐ion batteries (LIBs). The functional forms of circuit parameters with respect to SOC in ECM are usually empirical determined, which cannot guarantee to obtain a compact and simple model. A systematical solution framework for simultaneous functional form selection and parameter estimation is proposed. A bi‐objective mixed‐integer nonlinear programming (MINLP) model is first constructed. Two solution approaches, namely the explicit and implicit methods, are then developed to balance model accuracy and model complexity. The former explicitly treats the model complexity as a constraint and the latter implicitly embeds the model complexity into the objective as a penalty. Both approaches require sequential solution of the transformed MINLP model and an ideal and nadir ideal solutions‐based criterion is utilized to terminate the solution procedure for determining the optimal functional forms, in which ideal solution and nadir ideal solution represent the best and worst of each objective, respectively. Both explicit and implicit approaches are thoroughly evaluated and compared through experimental pulse current discharge test and hybrid pulse power characterization test of a commercial LIB. The fitting and prediction results illustrate that the proposed methods can effectively construct an optimal ECM with minimum complexity and prescribed precision requirement. It is thus indicated that the proposed MINLP‐based solution framework, which could automatically guide the optimal ECM construction procedure, can be greatly helpful to both SOC estimation and SOH monitoring for LIBs. © 2015 American Institute of Chemical Engineers AIChE J, 62: 78–89, 2016