An optimization-based approach is presented that determines how plant
feedstocks should be allocated to storage when there are fewer storage
vessels than feedstocks. It is assumed here that material from the st
orage vessels will be subsequently blended for processing in downstrea
m processes. The objective of the feedstock allocation strategy is cho
sen to ensure maximum flexibility for downstream process operation. Gi
ven the stated objective for feedstock allocation and the physical con
straints, the feedstock storage allocation problem is posed in optimiz
ation form. The solution of the resulting singular-value optimization
problem is discussed in terms of semidefinite programming techniques.
The ideas presented are illustrated using a crude-oil storage case stu
dy. Finally, a number of observations regarding useful extensions to t
he proposed methods are presented.