Production Cost Report | Chemicals

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Acetic Acid Production Cost Breakup from Butane

Details: Germany - based plant Q1 2024  | From $ USD

This report revolves around the production of acetic acid using butane. Butane is oxidized using air as an oxygen source in the presence of metal catalysts such as cobalt acetate, at a temperature of 110–120 °C and a pressure of 60 atm. First, peroxides are produced in the reaction which further decompose to generate acetic acid. By-products include butanone, ethyl acetate, formic acid, and propionic acid. Although commercially valuable, the separation of these by-products from acetic acid adds to the cost of production.

The project economic analysis provided in the report discusses a Germany-based plant:

  • Manufacturing Process
    • Process Flow
    • Material Flow
    • Material Balance
  • Raw Material and Product's Specifications
    • Raw Material Consumption
    • Product and Co-Product Generation
    • Capital Investment
  • Land and Site Cost
    • Offsites/Civil Works
    • Equipment Cost
    • Auxiliary Equipment Cost
    • Contingency
    • Engineering and Consulting Charges
    • Working Capital
  • Variable Cost
    • Raw Material
    • Utilities
  • Fixed Cost
    • Labor Requirement & Wages
    • Overhead Expenses
    • Maintenance Charges
  • Financing Costs
    • Interest on Working Capital
    • Interest on Loans
  • Depreciation Charges
  • General Sales and Admin Costs
  • Production Cost Summary
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Report Content

Key Process Information

Evaluation of significant technical parameters along with process descriptions such as:

  • Consumption of Raw Material
  • Product Creation
  • Block Flow Diagram
  • Description of the Manufacturing Facility

Utilities Consumption

Evaluation of utilities consumed during the entire process based on:

  • Consumption per unit of product generated
  • Utility cost split and share of each utility in the total cost

Process Flow Diagram

Representation of various operations involved including:

  • Step-wise process
  • Utility consumption in each operation

Capital Cost Analysis

In-depth analysis of costs involved in setting up a new manufacturing unit, including:

  • Cost of Building a Process Unit
  • Cost of Setting Up the Infrastructure
  • Working Capital
  • Commissioning & Start-Up of the Plant

Implementation Schedule

Time frame of the project design, which includes:

  • Plant Start-Up
  • Plant Construction
  • Engineering Fundamentals
  • Raw Material Procurement

Construction Cost Details

Detailed analysis of costs involved in the operation of various functional units in the process unit and infrastructure.

Operating Cost Analysis

Evaluation of costs associated with the production of the final product, namely:

  • Procurement of Raw Materials
  • Consumption of Utilities
  • Fixed Costs
  • Depreciation

Economic Analysis

Analysis of the way in which process economics are impacted by plant capacity.

  • Construction Cost
  • Working Capital
  • Fixed and Variable Operating Costs
  • Corporate Overhead
  • Depreciation

Customized Analyses

Detailed cost estimates of any industrial plant depending on your requirements, including plant capacity and location as per the need.

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