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Conclusions
Published in Eberhard Lucke, Edgar Amaro Ronces, Leveraging Synergies Between Refining and Petrochemical Processes, 2020
Eberhard Lucke, Edgar Amaro Ronces
The dominant theme for the refining industry is defining its role in the decarbonization of the energy and fuel sector. There is no doubt that refineries will still be needed in 2035 and far beyond that point to support the manufacturing of the large number of products that require molecules derived from petroleum. But there is also no doubt that the energy sector must make the shift from fossil fuels with high carbon intensity (mainly coal and petroleum) via a lower carbon intensity source such as natural gas to a zero-carbon or carbon-neutral future. This will be the main driver for a change in orientation and the need to increase the level of integration between refining and petrochemicals. Other measures to bridge the transition time to develop and implement carbon-neutral technologies and help in achieving emission targets include Electrification of short-range transportationElectrification of heating demand (residential and industrial)Carbon capture, utilization and storage (CCUS)Continued improvements in fuel quality and usage efficiency.
Evaluating the Impact of Sustainability and Pipeline Quality on the Global Crude Oil Supply Chain
Published in Erick C. Jones, Supply Chain Engineering and Logistics Handbook, 2020
Erick C. Jones, Sunny Paraskumar Jain
Crude oil is unprocessed oil, which comes out of a ground. Refineries process crude oil into many different petroleum products. These products include gasoline, diesel fuel, jet fuel, and asphalt. The most basic refining process separates crude oil into its various components. The various components of crude oil have different sizes, weights, and boiling temperatures. The process is very complex and involves both chemical reactions and physical separations. Crude oil is composed of thousands of different molecules. It would be nearly impossible to isolate every molecule and make finished products from each molecule. Chemists and engineers deal with this problem by isolating mixtures of molecules according to the mixture’s boiling point range. Crude oil is heated and put into a distillation tower (a still) where different hydrocarbon components are boiled off and recovered as they condense at different temperatures (see Figure 3.5).
Feedstock Integration in the Refinery
Published in James G. Speight, Refinery Feedstocks, 2020
In the long term, new desulfurization technologies or evolution of the older technologies will reduce the need for hydrogen. At the same time, refineries are constantly faced with challenges to reduce air pollution and other energy-related issues. Thus, traditional end-of-pipe air emission-control technologies will lead to increased energy use and decreasing energy efficiency in the refinery. The crude oil refining industry will face many other challenges – climate change, new developments in automotive technology, and biotechnology – which are poised to affect the future structure of refineries.
Review of mathematical models for production planning under uncertainty due to lack of homogeneity: proposal of a conceptual model
Published in International Journal of Production Research, 2019
Isabel Mundi, M. M. E. Alemany, Raúl Poler, Vicente S. Fuertes-Miquel
Petroleum refinery is one of the most important industries, which comprises many different and complicated processes. Conversion of crude oil into more valuable products involves many processes, each of which is very complex. Crude oil can be blended with a wide range of other crude oils and it can be processed differently depending on the refinery configuration for a given product demand (Gupta and Nan 2006). Crude oil can be purchased anywhere in the world and it is possible to acquire a broad variety of grades of crude oil (S.) in different quantities (S. Qty), which are differentiated according to the following attributes: compositions, yields and characteristics. Depending on sort of crude oil, refineries produce different quotas of products like gasoline, diesel, heating oil, kerosene, liquid gas, as well as bitumen or petrochemical products like ethylene and propylene. On the other hand, the oil market is a global market. The prices for raw materials (crude and semi-finished products) are highly volatile and are strongly driven by the market and its environment, but the local price fixing is possible based on its properties (S. Value) (Roitsch and Meyr 2008). Thus in the petroleum sector, the appearance of subtypes (S.) comes about by the occurrence of different crude qualities (in supply and process) due to their compositions or characteristics, which are manifested in different quantities or yields (S. Qty), and which can also take a different value (S. Value).
Price discovery in Brazil: causal relations among prices for crude oil, ethanol, and gasoline
Published in Energy Sources, Part B: Economics, Planning, and Policy, 2020
Larissa Nogueira Hallack, Robert Kaufmann, Alexandre Salem Szklo
The price of liquid fuels in Brazil depends on producer/importer prices, domestic taxes, operating costs, the quantity of biofuel added to diesel and gasoline, and wholesalers and retailers’ margins. Here, we focus on the first, the second, and the fourth steps in the supply chain (Figure 5). The first step consists of inputs to refineries, which is represented by the price of crude oil, because it is the most important input. Refineries convert crude oil (and other inputs) to products, such as gasoline. This second step is represented by the price of gasoline at the refinery gate (i.e., gasoline ex-refinery price). This price includes the cost of feedstocks free on board (FOB) ‒ without freight and taxes ‒ plus the margin of the producer/importer, and taxes (federal and state) levied on the producer/importer of gasoline. In the third step, the producer/importer sells its products to wholesalers, who mix the ‘pure gasoline’ (gasoline A) with anhydrous ethanol (the ethanol blending mandate is currently set at 27% in volume basis) to produce gasohol (gasoline C). Retailers (service stations) add their margins to the wholesalers’ price to form the price at the pump paid by final consumers, which represents the fourth step. Because flex-fuel vehicles can be powered by hydrated ethanol, gasohol, or a mixture of both, consumers choose among these fuels in the fifth step. Ethanol producers choose between producing anhydrous or hydrated ethanol. Both biofuels are sold to wholesalers, but service stations sell only hydrated ethanol. ANP (2018f) reports prices from the producer/importer to the final consumer, which we use to measure the price of gasohol at the pump (Figure 2).
A sustainable integrated crude oil supply chain network design with consideration of social performance and environmental laws in a case study
Published in Petroleum Science and Technology, 2023
Hadi Sahebi, Jalal Ashayeri, S. Sajjad Mousakazemi, Sadegh Rahiminejad
This article presents a multi-product, multi-transportation mode, multi-level, single-period model for the design and optimization of the upstream oil industry SC considering its economic, social, and environmental performances. Accordingly, the Iran oil SC network with six different-capacity domestic oilfields and six potential points to construct refineries has been considered for this study. Crude oil is transferred, through pipelines, from oilfields to refineries, where it is processed and turned into such derivatives as gas oil (diesel oil), jet fuel, gasoline, and liquid gas. These are sent to domestic refineries storage units to supply their raw materials or to SBM terminals to be sold to foreign customers.