Middle East DownStream Weak May 2013 ABU DHABI, UAE

Transcription

1 Middle East DownStream Weak May 2013 ABU DHABI, UAE

2 Libyan Oil Refineries and Petrochemical plants: Present and Future Plans

3 AZZAWIYA TRIPOLI BANGHAZI TOBRUK RASLANUF BREGA SARIR SABHA REFINERIES 3 LOCATIONS

4 Libyan refineries Capacities and Types Refinery Capacity Starting Type bbl/day Date RASLANUF 220, Topping AZZAWIYA 120, Hydro skimming TOBRUK 20, Topping SARIR 10, Hydro skimming BREGA 8, Hydro skimming Total Capacity = 378,000 bbl/day

5 Production / Demand Comparison k t/y Product Production Domestic / Demand Surplus/ Deficit(-) LPG (140*) SRN 2, ** 1,430 Gasoline 585 3,043 (2,458) Jet 1, ,261 Diesel 4,278 5,221 (943) HFO 7,103 2, Total Production = 16,426 k t/y *Covered by gas processing plants ** To Ethylene cracker 5

6 Certain Libyan and EU Gasoline Specifications Parameter Libyan Spec. EU Spec. RON 95 min 95 min Sulphur, ppm 150 max 10 max Olefins, vol. % - 18 max Aromatics, vol. % - 35 % max Benzene, vol.% 4 % max 1 % max Oxygen, wt % 2.7 max 2.7 max

7 Certain Libyan and EU Diesel Specifications Parameter Libyan Spec. EU Spec. Cetane index 50 min 46 min Sulphur, ppm 1000 max 10 max Flash point, 0 C 60 min 55 min Aromatic, wt % 11% max 11% max 15 0 C kg/m 3 Reported

8 Challenges Facing Libyan Oil Refineries 1- Simple Configuration 2- Limited Capacity 3- Products Specification

9 Why do we need to upgrade our refineries? Market Factors. Increase in the production of transportation fuels. Limited demand on Residue with high sulfur. Tighter bunker fuel regulations Economic Incentives. Low price of fuel oil. Increase yields of high value products Environmental. Products Specification. Refinery Emissions

10 What will Happened to Small Refineries? Because of their small size the costs on per liter production would be higher. Therefore the existing small refineries in the country maybe upgraded with limited capital investment in order to satisfy the local demand for the area.

11 Bottom of the Barrel Processing One of the basic problems that refinery face is how to select from among the available bottom of the barrel conversion processes the best residual processing route to meet the needs of refining objectives. Such a decision can be made only after a detailed analysis of the various alternatives. The bottom of the barrel processes can be classified into five groups, as follows: 1. Separation processes - Vacuum Distillation (VD) - Solvent Deasphalting (SDA) 2. Carbon Rejection Processes: Thermal Processing - Visbreaking -Delayed Coking -Combination Visbreaking and thermal Cracking 3. Catalytic Conversion: Residue Catalytic Cracking (RFCC) 4. Hydrogen Addition Processes: Residue Hydrocracking

12 In reality most crude oil process combine carbon rejection and hydrogen addition -Coking followed by hydrotreatment and/or hydrocracking - Residue HT then coking -Residue HT then RFCC -Solvent deasphating then DAO Processing (FCC, Hydrocracking). Residual Conversion Routes should be specially tailored for each refinery depending on considerations including: - Properties of the crude oil to be processed - Marketing requirements - Economics, including operating costs - Environmental control requirements

13 RAS Lanuf Complex 1. Ethylene Plant 2. Polyethylene Plants Petrochemicals Marsa Brega 1. Ammonia Plants 2. Urea Plants (lifeco Company) 3. Methanol Plants

14 Petrochemicals at Raslanuf Feed ( Naphtha ) 1200 KT/ YEAR Product Capacity (KT/Y) Start Date ETHYLENE 330 PROPYLENE 170 April 1987 MIXED C PY.GASOLINE 324 HDPE 80 Aug.1998 LLDPE 80

15 Naphtha Cracker Design Capacity Ethylene 330 Propylene Mixed C4 S Pyrolysis Gasoline 323 Naphtha 1182 Pyrolysis Fuel Oil Fuel gas Hydrogen Quantities in KT/Y

16 Petrochemicals at Mersa Brega Feed ( Natural Gas ) 190 MMSCF/ DAY Product Capacity (T/D) Start Date Ammonia Ammonia Urea Urea Methanol Methanol

17 Disadvantages of the Existing Petrochemical Plants Libyan Petrochemical industries are limited in - Capacity, - Conversion units

18 Obstacles Faced the Execution of the Past Development Plans Refining and petrochemical industry suffered from lack of development. several projects have failed to get off the ground due to the following reasons: 1- Political situation 2-Financial Constraints 3-slump in the global petrochemical business in early 1990s

19 New Strategic Plan for Development and Upgrading the Existing Refineries and Petrochemical Plants Recently, MOG, NOC have established a technical committee to prepare a general strategic plan for the development of refineries, gas and petrochemical sectors.

20 Objectives: The main objectives of the strategic plan are: Enhance and develop the downstream sector (refineries, petrochemical) through upgrading the existing refineries and petrochemical plants and/or building new refineries and petrochemical plants with economic capacity. consider the possibility of integration between refineries and petrochemical industries and, Fulfill the following:

21 - Achieving maximum refining and petrochemical industries margins - securing attained supply of oil products to the local market and export the rest to the international markets - Meeting the international market specifications and environmental regulations. - Developing the human resources skills, and narrowing the tolerance with respect to health, safety and environmental compliance. - Improving cost and operational efficiencies. - Creating investment opportunity in the country. - Creating job opportunities for Libyans. - Facilitating the country s industrialization process.

22 Conclusions 1- The configuration of Libyan refineries are simple and the capacities are limited. As a result of this the processing cost per barrel is higher which affects negatively on the margin of the refineries. In addition, the local demand from fuels can not be met. Also Libyan specification particularly of transportation fuels are away from international specifications. Therefore expansion and upgrading of the existing refineries are necessary. 2- The petrochemical plants in Libya are limited in capacity and producing only primary petrochemical products. So, the expansion of this industry is important. 3- Recently, MOG, NOC has established a technical committee to prepare a general strategic plan for the development of refineries, and petrochemical sectors.

23 Thank you