Russian refineries that purchase crude within the spot market are anticipated to extend their throughput in July month on month on elevated product export flows, market sources mentioned.
Greater refineries are additionally more likely to enhance processing charges with the end-of-season upkeep looming.
A few of the smaller refineries which were working at round 70% beforehand had been aiming at runs of round 80% in July, in keeping with sources.
Russian refineries minimize runs following the invasion of Ukraine amid tumbling product exports, however runs began climbing in Might and continued rising in June.
General, oil refining in Russia could fall by 10% 12 months on 12 months in 2022, the Tass information company reported, citing Deputy Prime Minister Alexander Novak. “This 12 months we may have a discount of 10%. Possibly there shall be 250 [million]-260 million mt [refined],” Novak mentioned.
In the meantime, operations on the Novoshakhtinsky refinery in Southern Russia will absolutely resume by end-July, media reviews mentioned, citing Rostov regional Governor Vasily Golubev. One of many items remains to be working and producing merchandise. Operations had been suspended after a hearth broke out June 22. Rostov regional governor mentioned that the hearth was attributable to a drone strike.
Uzbekistan’s new gas-to-liquids plant has began producing artificial oil. The oil is saved whereas awaiting additional processing into diesel, jet gas, kerosene, naphtha, and LPG, that is because of begin shortly. The artificial naphtha shall be provided to the Shurtan Gasoline Chemical Advanced, which shall be expanded. When absolutely operational, the plant will produce over 1.5 million mt/12 months of artificial liquid gas.
Uzbekistan’s Sanoat Energetika Guruhi LLC, or SEG, has acquired the previously state-owned Fergana refinery. SEG mentioned it plans to modernize Fergan and improve it right into a petrochemical advanced. In the meantime, the UAE’s AD Ports Group has signed a three way partnership settlement with SEG to open logistics and freight companies in Uzbekistan, with the purpose of exporting SEG’s refined merchandise, AD Ports mentioned in an announcement July 6.
Close to-term upkeep
New and revised entries
** Russia’s Astrakhan refinery, which predominantly processes gasoline condensate and produces solely mild merchandise, has delayed its restart from upkeep and is now anticipated to be again in October, in keeping with market sources. The plant was beforehand anticipated again round mid-June after beginning seasonal upkeep early Might.
** Russia’s Surgut gasoline processing plant is because of perform works in July. It halted gross sales of premium gasoline on the St. Petersburg change July 1 and can halt common unleaded and diesel gross sales in second-half July.
** Russia’s Kirishi is predicted to hold out partial works this summer season. It carried out some partial works in Might however has deferred most of its deliberate works.
** Manufacturing items and storage tanks at Ukraine’s largest oil refinery, UkrTatNafta, have been destroyed by missiles, Russia’s protection ministry mentioned June 18. No less than six cruise missiles hit the power, which was out of operation as a consequence of earlier strikes, Dmytro Lunin, the pinnacle of the Poltava regional army administration, mentioned. The most recent strike was the fourth since early April. The Kremenchuk refinery stopped operations after being broken in an assault April 2. Since then, its fuel-producing elements have been focused on a number of events by Russia. The brand new strikes make it extremely unlikely that Ukraine will be capable of restore the power by the tip of the 12 months.
Current entries
** Belarus’ two refineries — Mozyr and Naftan — have been compelled to cut back throughput as a consequence of sanction pressures. Naftan processes 11,700 mt/day crude oil and Mozyr about 13,700 mt/day. Mozyr processed 8.99 million mt in 2020, or round 24,000-25,000 mt/day, the report additionally mentioned. Naftan used to export merchandise to Ukraine, however Ukraine halted these after Russia’s invasion.
** Shebelinka GPP, Ukraine’s second-largest producer of diesel and gasoline that operates underneath the Shebel model title, suspended operations Feb. 26.
** Upkeep at Kazakhstan’s Shymkent might be deferred to November and presumably to 2023.
Upgrades
New and revised entries
** Uzbekistan’s SEG mentioned it plans to modernize Fergana and improve it right into a petrochemical advanced. “By September 2023, the plant will produce Euro-5 gasoline and varied trendy forms of oils and different refined merchandise,” Shokir Fayzullaev, chief government officer of SEG, mentioned. SEG took cost of Fergana in 2020 underneath a belief administration and has invested $58 million in varied initiatives, together with alternative of the hydrodesulfurization unit, and commencing development of a brand new unit, begin of Euro 4 and Euro 5 diesel manufacturing.
** Russia’s Gazprom Neft signed an settlement with Neftekhimproekt for the development of a deep processing advanced on the Moscow refinery. Neftekhimproekt will put together the engineering work and documentation for the brand new advanced. The advanced, which incorporates delayed coker, hydrogen and hydrocracker items, is due for completion in 2025. The delayed coker, which may have a 2.4 million mt/12 months capability, will allow the refinery to extend manufacturing of street fuels and begin producing petroleum coke. The two million mt/12 months hydrocracker, a sulfur manufacturing unit and a hydrogen unit are additionally a part of the advanced. The advanced will allow the refinery to achieve nearly 100% depth of processing and halt the manufacturing of gas oil.
Current entries
** Belarus’ Naftan mentioned that the delayed coker is predicted to achieve full capability in Q2.
** Russian oil firm Tatneft mentioned its Taneco refinery continues the development of a second hydrocracker which has a 1.2 million mt/12 months VGO feedstock capability. Its launch will additional enhance the refinery’s depth of processing. Jet gas output will rise by 21,100 mt/month and diesel output by 56,600 mt/month. The refinery has a 2.9 million mt/12 months hydrocracker. Final 12 months, the refinery launched in take a look at mode a gasoline fractionation unit, a second delayed coker and a diesel catalytic dewaxer.
** The Turkmenbashi refining advanced in Turkmenistan is predicted to fee this 12 months a posh together with a delayed coker and a solvent deasphalter. Building began in 2019, and vital progress was reported in 2021.
** Russian oil firm Lukoil mentioned that its Norsi refinery is within the strategy of finishing development of the deep processing advanced, which features a delayed coker. The brand new advanced will permit the refinery to cut back output of gas oil and attain 97% depth of processing. It’ll additionally safe synergy with the already working items of the catalytic cracker. The yield of sunshine merchandise will enhance to 74%. In 2021, the refinery launched a brand new isomerization unit. It’s at the moment engaged on the mission documentation for the propylene advanced.
The deep processing advanced will permit the refinery to cut back gas oil output by 2.6 million mt/12 months and enhance 10 ppm diesel output by 700,000 mt/12 months.
On account of the launch, Lukoil’s refineries’ gas oil output shall be lower than 4% and light-weight merchandise yield 75%. The deep processing advanced features a 2.110 million mt/12 months delayed coker; a diesel and gasoline hydrotreater, with 1.5 million mt/12 months capability; a hydrogen unit, with 50,000 Nm3/hour capability; a gasoline fractionation unit, with 425,000 mt/12 months capability; and a sulfur unit, with 81,000 mt/12 months capability, S&P International reported beforehand.
** Russia’s Novokuybishev goals to finish the development of the hydrocracker and launch it in take a look at mode by the tip of 2022-early 2023, in keeping with native media reviews, citing a refinery supply. Building began in 2021.
** Russia’s Syzran refinery has accomplished assembling the catalytic distillation column at a brand new MTBE unit. The MTBE items together with an FCC advanced underneath development is a part of the refinery’s modernization. As soon as the brand new items are accomplished, the refinery will considerably enhance the output of excessive octane gasoline.
** Russia’s Glavgosexpertiza, the state development and engineering auditor, has authorised the development of a gasoline stabilization unit at Russia’s Afipsky refinery which can produce feedstock for hydrogen manufacturing. The refinery, which is within the strategy of modernization, is engaged on a hydrocracking unit and the sulfur manufacturing unit. The upgrades will elevate the depth of processing to 99.2% from 80.7% and allow the manufacturing of Euro 5 diesel. In keeping with the Krasnodar regional administration, the hydrocracker is due for completion in 2023. Individually, the Afipsky refinery is planning the development of a 1.6 million mt/12 months delayed coker.
Safmar Group has reorganized two of its refineries by merging the Krasnodar refinery to the Afipsky refinery in southern Russia, which retain the title Afipsky refinery. The Krasnodar refinery will focus on main processing and the Afipsky refinery in secondary processing.
** The hydrocracker at Ufaneftekhim, which has been offline as a consequence of a hearth since 2016, is predicted to be again in Might following repairs.
** An growth is taken into account for Kazakhstan’s Shymkent refinery to cowl the nation’s rising merchandise demand, in keeping with a authorities web site. The prevailing land permits for the refinery’s capability to be expanded from 6 million mt/12 months to 12 million mt/12 months. In an effort to present ample feedstock, nonetheless, the Atyrau-Kenkiak pipeline must be expanded as properly, in keeping with the vitality ministry Bolat Akchulakov.
** Russia’s Omsk is within the strategy of launching the newly constructed diesel hydrotreater and dewaxer unit. The brand new unit, with 2.5 million mt/12 months of feedstock capability, will change two outdated items. The diesel produced on the new unit may have chilly properties of as much as minus 40 levels Celsius. Omsk has additionally efficiently accomplished the development of a delayed coker. The delayed coker, together with a hydrocracker, will kind a part of the deep crude oil processing advanced of the Omsk refining advanced. Finalizing of the works within the deep processing advanced will enhance the depth of processing as much as 100%. The two million mt/12 months advanced will allow the refinery to extend the depth of processing and regulate yields of gasoline, jet gas and lubricants feedstock. The corporate has additionally began meeting of electrical energy gear on the catalytic cracker at Omsk as a part of the unit’s improve. Omsk has additionally accomplished the set up of the principle gear on the main CDU-VDU processing advanced. The advanced, with 8.4 million mt/12 months of capability, will permit the refinery to take six outdated items out of service.
Individually, the refinery began a mission to improve the AVT-10 main processing advanced, which has a capability of 8.6 million mt/12 months.
** Socar confirmed that the brand new catalytic cracking unit at Azerbaijan’s Heydar Aliyev is an FCC cracker which can produce dry gasoline, C3 and C4 LPG, stabilized FCC naphtha, LCO and slurry. The refinery has signed license and design agreements with Axens. The Heydar Aliyev refinery is at the moment present process a full reconstruction and modernization, with the addition of recent items. New gasoline flare, steam generator, demineralization and water cooling services shall be commissioned in January and February. Socar plans to start out manufacturing of Euro 5 diesel by mid-2022 and Euro 5 gasoline (Ai-92-95) by mid-2023, each dates having been pushed again as a result of pandemic. The continuing work consists of changing all of the items of the refinery besides one, and within the course of, rising the capability to 7.5 million mt/12 months from 6 million mt/12 months.
** Russia’s Rosneft plans a development of a hydrocracker advanced on the Ryazan refinery. The brand new advanced, with 2.2 million mt/12 months capability, will assist the refinery to extend the depth of processing and obtain greater margins via the conversion of heavy into mild merchandise. It’ll embody a hydrocracker, in addition to hydrogen and sulfur items.
** Russia’s Komsomolsk carries out a large-scale mission involving the development of a hydrocracker and hydrotreater with 3.65 million mt/12 months capability, which can allow it to extend the output of Euro 5 diesel. As soon as launched, the refinery’s depth of processing will enhance to 92%.
** Russia’s Salavat is upgrading the catalytic reformer, which can enhance its feedstock capability from 1 million mt/12 months to 2 million mt/12 months.
** Lukoil plans to construct a brand new built-in MTBE and alkylation plant at its Perm refinery in Russia, in addition to a brand new FCC and Merox items. Lukoil will construct a catalytic cracker advanced on the plant. The advanced may have 1.8 million mt/12 months feedstock capability. It’ll embody a catalytic cracker, in addition to a high-octane gasoline parts unit. The advanced is predicted to be launched in 2026 and can enhance the output of high-octane gasoline.
It’ll additionally permit the refinery to provide propylene for use as petrochemical feedstock.
** Russia’s Novoshakhtinsky has began the development of its gasoline advanced. It goals to provide round 670,000-680,000 mt/12 months and development is because of begin in 2021. The advanced is due for launch in Q1, 2024. It’ll course of as much as 894,000 mt/12 months naphtha. It’ll embody a gasoline hydrotreater, an isomerization unit and a catalytic reformer and can allow the refinery to provide Euro 5 gasoline. Individually, the refinery plans to launch a 1.8 million mt/12 months diesel hydrotreater in Q3 2024. Russia’s Glavgosexpertiza, the state development and engineering auditor, authorised the development of a sulfur unit as a part of the diesel hydrotreater advanced. In Q1, 2027 it expects to launch a deep-processing advanced, which features a hydrocracker and delayed coker. It plans to launch an LPG manufacturing unit in Q1, 2023. Following the completion of the upgrades, that are a part of the third stage of upgrades, the refinery will be capable of produce as much as 3.2 million mt/12 months of diesel and 400,000 mt of petroleum coke.
** Checks are underway on the new hydrocracker at Belarus Mozyr refinery. The hydrocracker, together with a hydrogen and sulfur items, is a part of the H-Oil advanced.
The completion of the hydrocracker H-Oil advanced at Mozyr will minimize gas oil output and enhance mild merchandise. The advanced, with feedstock capability of three million mt/12 months, will enhance its mild merchandise yield to 70% and depth of processing to 90%.
** Russia’s Yaisky refinery is beginning the third section of its improve. By 2026, it plans to finish a dewaxing advanced with 2.6 million mt/12 months capability and a delayed coker with 1.34 million mt/12 months capability. The commissioning of these complexes will enhance its depth of processing to 93% and allow it to provide diesel with improved chilly properties. Earlier this 12 months, it accomplished the second section of its improve, together with a deep processing advanced that enabled it to provide over 700,000 mt/12 months of Euro 5 gasoline. The advanced features a gasoline hydrotreater, isomerization and CCR unit.
** Russia’s Orsk continues with its upgrades, together with the development of the delayed coker advanced. It’s at the moment receiving the gear for the delayed coker advanced. The refinery began constructing the delayed coker in Q3 2020 and plans completion in Q3 2023. Safmar plans to construct new deep processing complexes on the Orsk refinery. They embody a 1.2 million mt/12 months delayed coker and a gasoline dewaxer with 600,000 mt/12 months capability. It additionally plans an improve of the hydrocracker advanced and the isomerization unit which might enhance their productiveness by greater than 15%. The hydrocracker is about for launch in Q3 2022. The refinery’s depth of processing will enhance from 76.7% to 98.1% by 2022-23. Individually, the refinery is constructing a brand new unit for hydrotreatment of distillate merchandise from the delayed coker unit. The unit will also be used for hydrodesulfurization of diesel from the first processing items.
** Russia’s Angarsk has began assembling the principle column on the catalytic cracker advanced. The meeting of the column is a part of the refinery’s improve. The GK-3 unit is aimed to course of 130 mt/hour vacuum gasoil and 520 mt/hour desalted crude oil will produce over 43 parts.
** Russia’s Kirishi plans to improve for “the conversion of heavy oil residues.”
** Russia’s Yanos refinery in Yaroslavl has began constructing a delayed coker advanced. In consequence, it should halt gas oil output. Its depth of processing will exceed 99% and light-weight merchandise yield 70%. Building is scheduled for completion in 2024. The advanced shall be in-built two levels — initially a delayed coker shall be constructed which can allow the processing of greater than 3.4 million mt/12 months of heavy fractions, adopted by a naphtha hydrotreater and light-weight gasoil coker. They’ll present feedstock for gasoline and diesel.
** Russia’s Achinsk refinery will enhance its depth of processing to over 95% and the sunshine merchandise yield to 88% upon completion of its upgrades, which can result in the just about full halt of gas oil output. It’s constructing a hydrocracker with built-in hydrotreater. Its launch will allow it to nearly double the output of motor gas geared toward overlaying home demand predominantly in Siberia and the Far East. Additionally it is constructing a delayed coker advanced.
** Russia’s Ilsky plans to launch a brand new gasoline advanced, together with a 1.5 million mt/12 months CCR and isomerization items, across the second half of 2023 which can allow it to provide high-octane gasoline parts and gasoline assembly Euro 5 requirements, LPG and xylenes. After launching the gasoline advanced, it goals to start out constructing a diesel hydrotreater, with development more likely to be accomplished in 2024.
** Uzbekistan’s Bukhara will use Honeywell UOP know-how to extend crude conversion and produce Euro-5 customary gasoline and diesel. Honeywell will present “licensing and fundamental engineering design providers” for a brand new naphtha hydrotreater, RFCC, SelectFining and Merox items. The prevailing diesel hydrotreater shall be revamped.
** Russia’s Rosneft is working in the direction of launching the hydrocrackers that it has constructed at 4 of its refineries — Achinsk, Komsomolsk, Novokuybishev and Tuapse.
Rosneft is increasing the capability of its current delayed coker at Novokuybishev. Rosneft plans to finish its refinery modernization program by 2025.
This system consists of development and reconstruction of over 50 items, with work on greater than 30 of the items having been completed.
** Kyrgyzneftegaz plans to improve its Jalal-Abad refinery. Its technique includes a unit for secondary processing of gas oil.
** Kazakhstan’s Pavlodar refinery is seeking to construct a unit for the purification of LPG and has chosen a Merox know-how.
** The launch of 4 secondary items on the Mariisky refinery has been delayed. As per plans, after upgrades it expects to extend the AT-2’s capability to 1.4 million mt/12 months from 900,000 mt/12 months and the VDU capability to 1 million mt/12 months from 476,000 mt/12 months.
** The following stage of upgrades on the Antipinsky refinery in Russia includes rising the capability of crude and refined product pipelines. Antipinsky, which might course of 9 million-9.5 million mt/12 months of crude, at the moment receives 7.5 million mt/12 months of crude.
Launches
Current entries
** Russia’s Gazprom mulls the opportunity of constructing a refinery in Russia’s Far East, on the island of Sakhalin, in keeping with media reviews.
The corporate is predicted to organize an funding choice in 2023, in keeping with the native authorities. The brand new refinery, with 4.5 million mt capability, is more likely to course of gasoline condensate and produce gasoline, diesel and kerosene.
** Russia’s Rosneft might launch a deliberate new refinery as a part of its VNHK (East petrochemical advanced) within the Far East in 2029 and a petrochemical plant in 2026.The Far East refinery is deliberate to course of 12 million mt/12 months of crude, whereas the petrochemical plant may have 3.4 million mt/12 months capability. Manufacturing will embody 1.8 million mt/12 months gasoline, 6.3 million mt/12 months diesel and 4.5 million mt/12 months of petrochemical merchandise.
** A brand new refinery is deliberate to be launched in Georgia, on the Black Sea port of Kulevi, in 2024. Building of the 4 million mt/12 months plant is because of begin in 2021. The refinery is predicted to have 98% depth of processing and produce Euro 5 and 6 gasoline and diesel and thus cut back Georgia’s import wants for oil merchandise by 15%-20%.
** Russia’s Khabarovsk refinery plans to construct a second section to the plant near the prevailing website. The second section would double the refinery’s capability to 10 million mt/12 months and goals to cowl gasoline demand within the Far East of Russia. The corporate is in search of an investor within the Asia-Pacific area for the second section, which incorporates an FCC, hydrotreater and delayed coker.
Supply: Platts
