Mini Oil Refinery Review Rifka Aisyah 1
About Mini Oil Refinery Capacity is about 4000 30 000 BPD. Usually built to fulfill oil demand in remote region. Modular mini oil refinery is used because relatively low capital cost and ease and speed of contruction. Petroleum Product Balances in Indonesia (2015) Demand (thou. BPD) Share Production (thou. BPD) Share Net export (thou. BPD) Product Total 1973 100.0% 1256 100.0% -717 Gasoline 386 19.6% 352 28.0% -34 Naphta 90 4.6% 18 1.4% -72 Kero/Jet 398 20.2% 130 10.4% -268 Gas Oil 795 40.3% 386 30.7% -409 Heavy Fuel 236 12.0% 318 25.3% 82 Fuel oil total 1905 96.6% 1204 95.9% -701 LPG 53 2.7% 27 2.1% -26 Other products 15 0.8% 25 2.0% 10 Current production facilities cannot fullful national petroleum product demand, therefore more oil refineries need to be developed. 2
Economy of Scale Capital cost to refine a litter of crude oil is higher in the case of a mini-refinery. Some conditions that make investment in mini oil refinery workable: o Close access to cheap crude oil o Near to sizable market to decrease distribution cost o An acceptable market for HFO o Project finance on preferential terms for development credit agencies o Gain government incentives to support regional development To minimize capital cost, mini refinery is often supplied only as a simple straight run atmospheric distilation refinery for diesel and/or kerosene production, with naphta and fuel oil as by-product EXPENSIVE lighter + sweeter crude oil less facility upgrading but crude oil source is limited CHEAPER heavier crude oil more facility upgrading crude oil source is increasing 3
Recommended Feed Stock Characteristics for Mini Oil Refinery Salt Content o Maximum salt content 1 kg/1000 barrel o Pre-treatement required if salt content is more than 1 kg/1000 barrel. o Additional desalter is still feasible. Fresh water source & waste water disposing method should be considered. Sulphur Content Crude oil with <1% sulphur will normally refine within the allowable fuel specification without the need for de-sulphuring process. Other Characteristics o High API o High natural diesel fraction in its assay o Low in sulphur, salts, and other contaminant 4
Some Configurations of Mini Oil Refinery Refinery configuration is influenced by product demand. Topping Plant Hydroskimming Cracking Refinery Coking Refinery Facilities Crude distilling unit Crude distilling unit Catalytic reformer (additional) HDS Feedstock Condensates/light sweet crude Process Simple distillation Simple distillation with catalytic reforming & hydrodesulfurization Products Diesel and/or kerosene Naphta and fuel oil (by product) Crude distilling unit Vacuum distilling unit Catalytic cracking unit Crude distilling unit FCCU or Hydrocracker Light sweet crude Processed gas oil Processed residual fuel High octane gasoline Break gas oil using catalyst at high T & P into gasoline and distillates (jet fuel, kerosene, diesel, intermediate fuel oil) Heavy diesel (vacuum gas oil) Heavy residual oil Thermally crack residual fuel into gasoline and diesel oil Diesel Fuel oil Increasing complexity 5
Product Yield using Heavy Crude Oil at Different Refinery Configuration 6
Current Mini Oil Refinery in Indonesia (1/2) PT Tri Wahana Universal (TWU) PT TransPacific Petrochemical Indotama (TPPI) PT Humpuss Pengolahan Minyak (HPM) Location Bojonegoro, East Java Tuban, East Java Cepu, Central Java Year of built 2008 1995 Capacity (bpd) 6000 100 000 10 000 Feed stock source Mobil Cepu Limited (MCL) Pertamina Expected from MCL or from Pertamina-Petrochina (50 km distance) Characteristics of feedstocks Feed stock supply method Facilities Light-medium and waxy grade crude with very low sulfur. Very high kerosene, diesel, and VGO cuts but very low naphtha and resid cuts By 5 km pipeline Atmospheric Distillation Column, Vacuum Distillation Unit Products Naphta/Straight Run Gasoline Solar/High Speed Diesel Marine Diesel Oil (MDO) Residue/Vacuum Tower Bottom 7 Precut column, Condensate Splitter, Distillate Column, Aromatic Plant Naphta Kerosene Diesel Oil Fuel Oil Aromatics (Ortho-xylene, Paraxylene, Mixed-xylene, Benzene, Toluene, Reformate) NA Expected using 28 km pipeline Atmospheric Distillation Column, Naphta Hydrotreated, Catalytic Reformer Naphta HSD IDO MFO
Current Mini Oil Refinery in Indonesia (2/2) PT Pertamina RU VII PT PatraSK PT Kilang Muba Location Kasim, Papua Dumai Musi Banyuasin, South Sumatera Year of built 2008 Capacity (bpd) 10 000 25 000 800 Feed stock source Characteristics of feedstocks Feed stock supply method Facilities Walio (60%) + Salawati (40%) Atmospheric Distillation Column, Naphta Hydrotreating Unit, Catalytic Reforming Unit Products Fuel gas (969 bpd) Premium fuel (1987 bpd) Kerosene (1831 bpd) ADO/solar (2439 bpd) Residue (3390 bpd) Unconverted Oil (UCO) from PT Pertamina RU II Dumai Crude Distillation Unit, High Vacuum Unit, Hydro Cracking Complex Vacuum Distillation Unit Catalytic Dewaxing Unit Crude Distillation Unit Lube base oil Premium Kerosene 8
Future Plant of Mini Oil Refinery Development in Indonesia Company Planned Capacity (BPD) PT Tri Wahana Universal 10 000 Additional Remarks Joint PT Bojonegoro Bangun Sarana & PT Tierra Energi Perkasa 10 000 PT Chandra Asri Petrochemical 100 000 PT Indo Kilang Prima 2 x 3000 On going. Location: Padang Lawas, North Sumatera Expected products: HSD, MFO, kerosene, naphta Start producing in April 2016. Total investment USD 54 million. Crude supply : PT EMP Tonga, possibly additional source from PHE Siak, Pacific Oil PT Indo Kilang Prima 15 000 In Kalimantan and Sumatera PT Nusantara Energy Resources 25 000 30 000 In Banyuwangi, East Java. Feed stock source: Vitol Trader Group (Netherland) PT Pertamina RU VII Kasim 50 000 Improve capacity from 10 000 BPD to 50 000 BPD 9
Mini Oil Refinery Facilities Atmospheric Distilling Unit (ADU) Separate different fractions of the crude oil according to boiling range into naphtha, kerosene, diesel, and residuum products. It operates at less than 15 psig. Vacuum Distilling Unit (VDU) Performs the same function as an ADU, but operates at a pressure of less than zero psig. It produces products like marine fuel oil (MFO) and asphalt from the ADU residuum (heavy fuel oil). Hydrodesulfurization Unit (HDU) Removes sulfur and other impurities from naphtha and distillate fuels. Catalytic Reformer Unit (CRU) Produces high octane gasoline from naphtha. Hydrocracker Unit (HCU) Produces naphtha, kerosene, and diesel from heavy feedstocks like VDU distillates. Desalter Removes salt from crude oil prior to distillation to prevent fouling and corrosion. Splitter/Stabilizer Separates a feedstock into two products. Flare Combusts any excess vapor released by process equipment. 10
Configuration of Mini Oil Refinery at PT Tri Wahana Universal Overhead Accumulator Kerosene 530 BOPD Off gas Naphta 11 BOPD 355 BOPD Max Density = 781.6 kg/m3 (at 60F) Max sulfur content = 0.053 %m/m Max RVP = 5.5 psi (at 100 F) Oil Feed Stock Banyu Urip Field 6000 BOPD 550 psig 140 o F API 32.8 <0.5% BS&W <10 ppm H 2 S A D U High Speed Diesel Atmospheric gas oil 1927 BOPD 2003 BOPD Density = 850.3 kg/m3 (at 60F) Sulfur content = 0.257 %m/m Cetane index = 52 o C 1150 BOPD Off gas 10.5 psia TVP Atmospheric V bottom D Light vacuum gas oil U Heavy vacuum gas oil 19 BOPD 600 BOPD 300 BOPD 11 Vacuum Tower Bottom 946 BOPD Max Density = 925 kg/m3 (at 60F) Max sulfur content = 0.45%m/m
Configuration of Mini Oil Refinery at PT Pertamina RU VII Kasim, Papua Light naphta Fuel gas and flare 969 BPD H 2 Heavy naphta Sweet naphta Naphta Hydrotreater Catalytic Reformer Premium 1987 BPD Oil Feed Stock 10 000 BPD Walio : 60% Salawati : 40% (Local Sorong) A D U Kerosene 1831 BPD Solar 2439BPD Residue 3390 BOPD 12
Configuration of Mini Oil Refinery at PT Humpuss Pengolahan Minyak The facility has been built completely, but not yet commissioned because no crude oil supply. Crude column accumulator Off gas 486 BPD Naphta To flare Hydro desulfurization Catalytic reforming High octane gasoline 1285BPD Kerosene Oil Feed Stock Plan: Banyu Urip Crude 10000 BPD A D U 3461 BPD Diesel 4764 BPD Atmospheric residue 13
Possible Configuration for Mini Oil Refinery Gas Use for distillation H 2 H 2 Naphta Naphta Hydrotreater Catalytic Reformer High octane gasoline H 2 S Oil Feed Stock A D U Kerosene Diesel oil H 2 Diesel Hydrotreater H 2 S Diesel oil Butene/ Pentene Atmospheric gas oil FCC Naphta Off-gas FCC oil Atmospheric bottom V D U LVGO HVGO Hydrocracker Unit Coker naphta Hydrocracked Gasoline VTB Coker Coker gas oil 14 Petroleum coke
Aspects to be Considered Refinery Location o Steam/water availability o Wastewater disposing facility o Required refiniery capacity o Distance to source oil o Distance to pipeline o Distance to sea port Quality of Crude Oil o Crude assay Product Specification o Product specification for naphta, diesel, and fuel oil o Storage capacity o Average selling price 15
Indonesian Oil Product Specification Gasoline 16
Indonesian Oil Product Specification Industrial Diesel Oil (IDO) 17
Indonesian Oil Product Specification Marine Fuel Oil (MFO) 18
Example CDU Simulation using Hysys Assumption: - Capacity = 10 000 BPD - Oil characteristics = Type C Banyu Urip (using assay characteristics) - API 32.6 (60 o F) Products: - Naphta = 895 BPD - Kerosene = 1122 BPD - Diesel = 3860 BPD - Atm residue = 4124 BPD 19
Example Catalytic Reforming Simulation using Hysys Atmospheric residue is further processed in Vacuum Distilling Unit to produce LVGO, HVGO, and Vacuum Resid. Products: - Offgas : 2.94 BPD - LVGO : 975.3 BPD - HVGO : 1057 BPD - Vacuum resid : 2091 BPD 20