Q & A > Question Details
Could any one tell me what is the cost of refining a barrel of crude oil or how can i predict it for typical refineries ,as well as the forecast ,thank you in advance
31/03/2020 A: Sridhar Balakrishnan, Bharat Oman Refineries Limited , laksrid@yahoo.com
It relies on refinery capacity , nearby site - port , railway facilities , configuration i.e bottom-of-barrel upgrading, new product types etc , purchase of crude oil type , type and selection of crude oil to be processed (have flexibility to process high acid crude oil , high sulphur crude oils , asphaltic crude oils etc. ) selection of secondary treating facilities, product profile, have flexibility to venture into downstream expansion.
27/03/2020 A: Prakash Pimparkar, Environmental Consulting Services , prakash.pimparkar@yahoo.in
This will depend upon the extent of treatment you need to give to the crude oil. It depends upon the quality or source of crude. Crude oils are broadly classified as light, heavy, sweet or sour. Light crude will give high amount of light fuels such as LPG, Naphtha, Gasoline, Diesel gas oil, and residue( 25 -35 %); heavy crude will have higher amounts of residue ( 35 -45 %). Sour crude will have high sulfur ( > 3 % ) sweat ( < 1 ). AS most countries have adapted stringent Sulfur ( < 10 ppm ) Aromatics ( Benzene < 100 ppm ) ) Olefins ect extensive treatment is needed irrespective of type. Heavy and sour crude need specific treatments such as Hydro Cracking ( to get more diesel ) and FCC ( to get more Gasoline ) and treatment ( to remove sulfur and nitrogen and to increase Diesel/ Gasoline production.A viable refinery would have the following units almost universally: CDU,VDU,LPG wash LPG Merox,Naptha Hydrotreater , Gasoline hydrotreater ,Hydrocraqcker or FCC Gas oil Hydrotreater, Delayed coker or Residue Hydrocracker or Residue gasification. There are other and selective processing units specific to needs.There are utility and offsites. There are Crude receipt. (Port / Jetty/ SPM) storage faciities and product tank farm. So Processing alone would cost you anywhere between $35 to $45 per barrel . To know exactly, you need the exact crude composition and product specifications and overall processing capacity. This is an elaborate excercise and will itself cost you good money . Best of Luck
26/03/2020 A: Eric Vetters, ProCorr Consulting Services, ewvetters@yahoo.com
Totally depends on refinery size, location, configuration, and type of feedstock being processed. Your best shot is to configure some different types of hypothetical refineries processing some benchmark crudes, then build out your operating cost ranges based on totaling up costs of the different individual units in the hypothetical refineries. You could then apply some location factors. For instance gas price for a USGC refinery is going to be a lot less than a refinery in India burning LNG or LPG for fuel. The result will be a very wide range. Not sure how useful the info would be.
26/03/2020 A: Lindsay McRae, Pall Corporation, Lindsay_McRae@pall.com
Typical refinery margin is in the region of say $2 to $6 per barrel depending on the size and complexity of a refinery. More complex refineries tend to be more profitable as they take heavier and cheaper feedstocks and convert them to the market demand for transportation fuels and feedstocks to petrochemicals plants . So if a barrel of crude costs say $50 and there is a $5 overall margin then profit is $5 and cost is $45 in that example.