Petroleum Refining

Petroleum Refining

1. Petroleum refining Ajay Sharma 2015-11-29 1

2. Petroleum Refining Petroleum refining is defined as chemical, thermal and physical separation of crude oil into major fractions. These fractions are further processed through separation and conversion into finished petroleum products. Refinery is the facility where this process takes place. Refinery separates the crude oil into smaller fractions in order to make 2500 separate products. 2015-11-29 2

3. Products of Refining 2015-11-29 3

4. Products of refining Fuels (such as motor gasoline, diesel fuel, aviation fuel, light and heavy fuel oil ) 2) Non-fuel products (such as lubricating oils and greases, asphalt) 3 ) Raw materials for the chemical industry. 2015-11-29 4

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6. Source: www.aip.com 2015-11-29 6

7. Stages of Refining Refining involves following major steps. 1) Distillation and separation 2) Conversion or upgrading 3) Desulphurization or sweetening 2015-11-29 7

8. Distillation The first stage in the crude processing is known as distillation or fractionation. In this process the crude oil which is mixture of many hydrocarbons is boiled and recondensed to separate the crude oil into components based on ranges of boiling points. 2015-11-29 8

9. Distillation Column Components which are heavier are harder to boil and will collect in the lower part of the column. Lighter components are easier to boil and will be collected in the upper part of the column . 2015-11-29 9

10. Distillation Column Very heavy components which are unable to boil will leave from the bottom of the column, in a stream known as residue, while very light components will leave from the top of the column. This stream is known as Liquefied Petroleum Gas, or LPG 2015-11-29 10

11. Hydro processing To meet environmental specifications or to assist is further processing, some components then undergo a process known as hydro processing . The objective of this process is to remove sulphur from the component stream. This process will consume hydrogen to assist in the sulphur removal. The sulphur removed from this process is converted into pure liquid sulphur and is sold to local industry for the production or acid and fertiliser. 2015-11-29 11

12. Reforming/ Platforming This process converts a low value component called 'naphtha' into a product known as reformate or platformate . This reformate has a much higher octane number and is used for gasoline blending. This is achieved using a catalyst that contains platinum. 2015-11-29 12

13. Catalytic Cracking This conversion process involves the breaking up of large hydrocarbon molecules into smaller molecules using a combination of heat and catalytic action. A by-product of this process is Coke (or carbon), which is burnt to generate steam and electricity. 2015-11-29 13

14. History of Petroleum refining in Canada Oil was first discovered in 1700 as bituminous gum when it was flowed out of A thabasca R iver in Alberta. Around 1870, nearly 20 small refineries existed in southern O ntario mainly to produce kerosene. At that time naptha , benzene and gasoline were considered as by product and were discarded. 2015-11-29 14

15. History of Petroleum refining in Canada In 1947, the giant Leduc was discovered near Edmonton, which was the largest oil field of its time. Leduc produced oil continuously until the 1990s. It made Western Canada the centre of the Canadian oil industry and encouraged an exploration surge! 2015-11-29 15

16. Source of crude Canadian petroleum refineries obtain crude from numerous sources including oils fields and oil sands operated by the upstream oil and gas industry, as well as imports from other countries. 2015-11-29 16

17. Crude oil in Canada As of January 2009, Canada had 178 billion barrels of proven oil reserves, second only to Saudi Arabia; 95% of these reserves are in Alberta, the majority in the oil sands of northern Alberta. Refineries are necessary to transform crude oil into a range of petroleum products. Refineries are designed according to the end products they are intended to provide, and the nature and quality of crude oil available for processing. 2015-11-29 17

18. Canadian crude oil production Canadian crude oil production is expected to grow from 2.8 million b /d in 2010 to 4.7 million b/d in 2025.This is about 401,000 b/d higher than previously forecast. 2010 2015 2020 2025 Mb/d 2.8 3.5 4.2 4.7 2015-11-29 18

19. Refineries in C anada Refineries are complex, capital intensive manufacturing facilities that convert crude oil into a variety of valuable products. The refining process uses chemistry to break, reshape and recombine the molecules of crude oil into value-added products like gasoline, diesel and aviation fuel. 2015-11-29 19

20. Refineries in Canada In the 1970s there were 59 refineries in Canada, by the early 1980s this number had dropped to 40. The decline was about 20% to a total of about 80 billion litres per year. Currently there are 19 refineries operating within Canada. These 19 refineries have a combined capacity that is double the capacity of the 40 refineries in operation in Canada in the early 1970s. 2015-11-29 20

21. Refineries in Canada Since 1990 refining capacity is stable but demand is increasing steadily. In order to supply petroleum products in dispersed C anadian market , refineries are situated across the country with major refining centres in Edmonton, S arnia and Montreal. 2015-11-29 21

22. Refineries in Canada Currently there are 12 companies operating refineries in Canada. Only Imperial oil, Shell and Petro Canada operate more than one refinery. Other refiners generally operate single refinery and market product in particular region. 2015-11-29 22

23. Refineries in Canada There are three main refining centres in Canada (Edmonton, Sarnia and Montreal), but most provinces have at least one refinery. Manitoba and Prince Edward Island are the only provinces with no refining capacity and there are no refineries in the territories . Of the 19 refineries in Canada, there are 16 that manufacture the full range of petroleum products. 2015-11-29 23

24. Refineries in Canada 2015-11-29 24

25. Regional Refineries Regional refiners include North Atlantic Refining, Irving Oil and Ultramar in the east, Suncor in Ontario and Federated Co-op, Husky and Chevron in the west. 98 primary fuel distribution centers 12,710 retail outlets 2015-11-29 25

26. Refineries & Environment The increased efficiency of refining operations has been accompanied by significant gains in refinery environmental performance. For example, from 1993 to 2008, atmospheric emissions of nine of the ten most commonly emitted substances declined by amounts ranging from 61 per cent to 89 per cent. This was achieved at the same time that product output from refineries grew by 20 per cent. Total CO2 emissions from refineries were reduced by 15 per cent between 1990 and 2009. In the past 10 years, refineries have invested $8 billion in total environmental expenditures. 2015-11-29 26

27. Workforce in Refineries The Canadian refineries directly employed about 17,800 highly skilled Canadians in 2009. Twenty nine thousand were employed in wholesaling, marketing and distribution of refined oil products. Sixty thousand worked in retail outlets for petroleum products. 2015-11-29 27

28. Characteristics of Labour Workers over 45 make up 47 percent in the industry. Most of the workers are in 45-54 group. Calculations based on current retirement age suggests that up to quarter of those workers will retire in next decade. 2015-11-29 28

29. Wages The refining industry pays above-average wages and salaries. In 2009, average weekly earnings in the sector , including overtime, were $1,371. That compares with $824 for all industries. In 1991, a worker in the industry earned about 50 per cent more than the Canadian average. Now a worker in this industry earns two-thirds more than the average worker . 2015-11-29 29

30. Thank You 2015-11-29 30

31. References www.cppi.ca www.nrcan.gc.ca www.capp.ca www.ec.gc.ca 2015-11-29 31