Oil & Gas Fundamentals Class_PRES_Day_2

8/10/2019 Oil & Gas Fundamentals Class_PRES_Day_2

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Exercise:Calculate the permeability of a core plug

from the following test: Flow rate =2.10-6 [m3s-1], Inlet pressure = 5 [bar],Outlet pressure = 1 [bar], Length of core= 0.1 [m], Area = 1.10-4[m2], Viscosity

= 0.002 [Pa.s]


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A cylindrical core having a radius 2.54 10-2 [m]

and length of 0.3 [m], was flooded with

brine at a steady rate of 1.10-6 [m3s-1], thedifferential pressure across the core was 10

[bar]. Calculate the absolute permeability of

the core. Assume brine viscosity 0.001

[Pa.s].


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Pictures of some components

Drilling: Phases and Components

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Pictures of some components


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Hoisting system includes thedraw works

Rotary system- includes therotary table or the top drive

Circulation system- includes mudpumps, suction/storage tanksand mud shakers

Circulation system- includes mudpumps, suction/storage tanksand mud shakers,

Power system- usually consistsof diesel generators Blow out prevention & safety

system- consists of hydraulicallyoperated rams

All the operations related to the well delivery process are formed ona drilling rig


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Screens

Mud pump

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Focus on the drilling mud cycle



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Then, steelcasing is run andcemented on theoutside to keepthe hole fromcollapsing

Next, a smaller bitis run inside thefirst casing.This bit drills outthe bottom of thecasing, and drillsnew hole

First, a large drillbit is used todrill a shortsection of a hole

Drilling processes

Drilling: How to drill a hole

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Then, this newhole is also

cased off andcemented

Again, asmaller hole is

drilled out

A smaller casingis run to keep

the hole fromfalling in


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Differences between onshore and offshore drilling

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Inland BargeFor drilling in water

depths from 8 to 30 ft

Jackup RigFor drilling in waterdepths from 15 ft to +/-

350 ft

Drill ShipFor drilling in waterdepths from 100 to5000+ ft

Semi-Submersible RigFor drilling in waterdepths from 100 to5000+ ft

Samples of offshore drilling rigs

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Drilling a well not onlyprovides an opportunity toproduce oil or gas, it is also

an opportunity to collectinformation about the

formations being penetrated

How do geologists tell if the reservoir has

oil or gas?

They run the logs across the zone. Logsare tools run on electric cable (wireline)which record the physical properties inthe rock such as resistivity, porosity,density, radioactivity, and pore pressure

Well logging


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Sand

Shale

Siltstone

Shale

Siltstone

Dolomite

Shale

Heres an example of how a log looks like


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Geologists look at logs to decide whether or not to complete a well orabandon it


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GammaRadiation

200

500

3000

ElectricalResistivity Porosity

Lookslikegoodsandquality

goodresistivity

poor resistivity

good porosity

poorporosity

good porosity

poorresistivity poor porosity

good porosity

good porosity

poor porosity

and they choose where to complete the well



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Electric wireline cable

Wireline gun carryingexplosivesSteel casing

Cement

Hydrocarbon bearingformation

Explosives detonatedcausing perforations in thecasing- that will allowhydrocarbons to flow from

the formation, into thewell bore and to thesurface

Explosive chargesused by the oilindustry must havea very high level ofheat resistance

After the well is drilled, perforation is carried out against the hydrocarbonbearing zones to enable production to begin

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If the well looks good onthe logs, it is possible torun a final string of casingacross the productionzone, and cement it inplace

Then, we run perforatingguns in the hole andperforate (shoot holes )in the casing across theproductive zone

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Finally, a production tubing is run into the hole


Tubing

Packer

Production tubing isrun, with a packer to

isolate the producedzone from the casingabove

Finally, the well is

produced into a pipeline,which takes it toproduction facilities onsurface

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Well Testing Well testing involves producing a sample

of the hydrocarbons from the reservoirand analysing it to determine thefollowing:- Grade (quality)- Formation pressure- Flow rates

There are three main methods of welltesting:

- Wireline formation interval testing- Surface testing- Down hole drill stem testing (DST)

After testing and completing the well, it ishooked up to the production networkand brought on-line

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Well testing is the final conclusive step that confirms the presence andgrade of the hydrocarbons



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Well completion and production

Production

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Well head

Production

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Underwater well head

Production

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Production

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A schematic representation of a typical crude oil processing facility| 23

The production facility processes the hydrocarbon fluids and separatesoil, gas and water

Production


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A schematic representation of a typical crude oil processing facility| 24


Production


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Production


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Upstream DownstreamMidstream

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The oil and gas industry comprises of three parts

Introduction


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There is a significant distance between places where major quantity of oiland gas is extracted and places where it is consumed

As a result, for several decades now, enormous quantities of oil and gashave been transported all over the world by sea and on land

Whether oil is transported by maritime or terrestrial routes, safety, securityand environmental issues should always be the main focus

Transportation

For several decades, oil and gas have been transported all over the world

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Transportation: Introduction


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Map showingprincipalmovements of oilworldwide in2003 (millions oftones)

The main routes for the transport of crude oil are from the Middle East towards Europe and the United States viathe Cape of Good Hope to the south of Africa, or via the Suez canal, depending on the size of the vessel

Other routes exist in the direction of the Far East (Japan, China, South Korea) via the Malacca straight (betweenSumatra and Malaysia)

Oil routes

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Transportation: Oil and Gas

Production f aci l i t ies

Refinery facil i t ies


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Maritime transport as it was in the 19th century and the present day has seen a tremendous improvement incapacity and also safety

In the 19thcentury transportation of oil by sea was about few hundreds of barrels of oil, but technology permit usto transport up to 2 million barrels in a single tanker

Modern tankers are now equipped with navigational aids (ACAS), electronic control systems, automated powerplants, satellite communications and radar equipments that allow for maximum security and minimum crew

From Pennsylvania Historical & Museum Commission,

Drake Well Museum Collection, Titusville, PA (1864)

The transportation of oil by sea

Oil tanker in the Bosporus, Richard Seaman (2004)

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Overland transport, although not asimportant as maritime, still remainsvery common in particular vastcountries such as Russia. It is alsonecessary to delivery oil destined fortransport by ship, to a port.

Moreover, in the industrializedcountries, there are major pipelinenetworks transporting crude torefineries situated inland and alsohandling the finished products comingout of the refineries and destined formajor centers of consumption.

Oil pipelines are large diameter tubes

that can transport enormous quantitiesof oil, up to several tens of millions oftons per year. The oil circulates bymeans of pressure maintained bypumping stations located every 60 to100 km. The oil travels in the pipelinesat speeds of around 2m/sec (7km/h)

The transportation of oil by land

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G17BK railway internal heating heavy oil tank wagon

Finnish oil pipeline



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Map showingprincipalmovements ofgas worldwide in2003 (millions ofcubic meters)

Overall, the problems of transport and storage of gas are the same as for oil: producer and consumer countrieshave a significant distance from each other. Unlike oil, the gas is in a gaseous state at normal pressures andtemperatures. This means that, for the same quantity of energy, it occupies a volume 600 times greater than thatof oil.

The most usual method of transportation is therefore by gas pipelines both underwater and overland

Gas routes

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There are underwater gas pipelines, linking Norwegian gas fields to European terminals or linking NorthAfrica to Sicily and of course, overland gas pipelines like those that bring Russian gas to the European

Union

These gas pipelines are not visible: for safety reasons and security they are buried underground West African Gas Pipeline runs offshore for about 620 km from Badagry in Lagos, Nigeria to Aboadzi in

Sekondi, Ghana with laterals to Cotonou, Lome and Tema

Underwater pipelines

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Transportation of gas by land has transformed from the use of bamboos by Chinese to the modern steelpipelines. This also brought increase in capacity and safety.

The amount of gas transported by Russian gas pipeline to Europe is about 120 bcm per year, supplying 80% ofEurope demand (2009)

Overland pipelines

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The compressed gas circulates at high speed in a gas pipeline, with the aid of compression plants positioned atregular intervals along the network

In certain cases the construction of gas pipelines is technically impossible or too expensive, for example to bringNigerian gas to Europe, or to take gas from Qatar to Japan. To resolve this problem, a method of maritime

transport based on the liquefaction of the gas (LNG, liquefied natural gas) has been introduced

LNG tanker

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Quiz:

1.How are the different properties of hydrocarboncompounds determined?

2.How does geologist tell if the reservoir has hydrocarbon?List four methods to achieving that.

3.What is the essence of doing well testing?

4.How many type of wells do we have? Name them5.What are the factors that rate of flow depends on?6.List the rig systems and give one example of the

component of each system.7.Explain extensively why it is necessary to treat oil and

gas?8.Define four physical properties of hydrocarbon9.Explain gravity-magnetic interpretation and seismic

prospecting.10.Why is drilling mud/fluids important.


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A distinction must be made between the owner of the ship on the one hand and the owner of the petroleumcargo on the other. The two are rarely the same

Owner of transportation is not the only one responsible for the safety conditions. The country where the ship isregistered must also verify safety conditions.

However, certain countries have low taxes for vessels registration which decreases the cost of it, on the otherhand they do not ensure serious technical controls. These countries are consequently accused of makingavailable flags of convenience

The individual or company who provides the vessel (who is often also the owner) has the responsibility for itssafety and security, as well as for its certification and regularly inspection

The same person or company providing the vessel has the responsibility for the crew ensuring its competenceand motivation

How is maritime transport organized?

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Agenda Day 2

1 Drilling

Phases and components How to drill a hole

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2 Production

Introduction Oil and Gas Challenges Storage Spill

4 Refining

3 Transportation


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The Sirius Star is the biggest tanker ever to be hijacked, with a cargo of 2m barrels - a quarter ofSaudi Arabia's daily output - worth more than $100m

Pirating

Transportation: Challenges

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Icebergs

Transportation: Challenges

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Icebergs can be found in the ArcticOcean, the Baltic Sea and other

ice-laden seas

Tankers are designed with doublehulls. Finland is noted for having

this kind of tankers, e.g. Wartsila

Shipbuilding Division in Helsinki


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Agenda Day 2

1 Drilling


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2 Production


4 Refining

3 Transportation


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Floating Production Storage and Offloading (FPSO)

Transportation: Storage

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The crude oil that arrives at its destination is not always immediately treated in a refinery. In addition, somecountries have realized for a long time the strategic importance of oil. They are committed to holding stocks of

petroleum products (crude and finished products) equivalent to 3 months of import quantities

Depending on the country, the strategic stocks are managed by state or private organizations (or both) Petroleum products are stocked in tanks of varying size that can often be buried underground The main concern of the managers of these centers is safety and security. Fire safety certainly; but also prevention

of the risk of pollution of land areas and water tables in the case of a leak. There are regular inspections of the

condition of the tanks and their resistance to corrosion

Oil storage


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Salt cavern

Gas consumption is notregular throughout the year.

In France, for example,

seasonal variations go from

1 in summer to 8 in winter.

Storage of gas is therefore

essential to enable matching

of supply and demand

But the gas can be stored innatural underground

reservoirs, as if one created

an artificial gas deposit.

Suitable geological sitesmust possess good reservoir

and cap rock conditions andbe located at a sufficiently

shallow depth (around

500m), so that injection of

the gas is not too expensive

in energy terms.

Gas storage


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LNG storage tanks

Gas storage


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Very serious situation that can lead to losses of revenue and environmental pollution. The major causesof oil spill are bad weather, collusions with other tankers or icebergs.

Oil spill

Transportation: Spill

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T i S ill


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Skimming

Absorb ing

Control of spill

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Vacuum cleaner, that absorbs the oilwhich floats from the top of the water. It

works only in calm waters.

Oil is absorbed by an absorbent materialor it can be done manually by using

buckets or shovels


T t ti S ill


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Burn ing

Boom

Control of spill

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The boom is used to prevent the oil spill forspreading further to the shore and it is used

when the waves are not more than 3 feet and

the wind speed not more than 20 knots

Burning will remove about 50% to 90% of oilspill, but it can only be used when it has not

formed mousse (emulsion of crude and

water)


T t ti S ill


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Hazards of oil spill workers


Face masks and protective clothing areimportant items that clean up oil workers

may need to be safe from hazards

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Agenda Day 2

1 Drilling


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2 Production


4 Refining

3 Transportation

Refining


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Upstream DownstreamMidstream

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The oil and gas industry comprises of three parts

Refining

Refining


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REFINING

Initial material

Highly variable crude oil is named crude thanks to its extremevariability

End product

End products should meet particular requirements according to theirpurposes e.g. gasoline to power cars or fuel oil to heat homes adfeedstocks for chemicals, plastics and by-products

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In order to be used, crude oils need to be refined

Refining

Refining


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Sour Refineries

Refineries that can handle sulphurous or non-sulphurous crude

1

2

Sour crude contains 2,5% or moresulphur, whereas sweet crudecontains 0,5% or less sulphur

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There are two types of refineries

Refining

Sweet Refineries

Refineries that can handle only non-sulphurous crude

Refining


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Market conditions Market analysis Refineries activity

Refineries adjust theiractivity to marketconditions

Refineries are generallynot designed for a specificcrude oil. Thanks to thisflexibility, they can focuson the most profitablefeedstock at any giventime

Market conditions arevariable.

E.g., a momentary

tightness in the localgasoline market, resultingin a price rise forgasoline. It wouldtemporarily increase thevalue of light (highgasoline yields) crudescompare to the value of

the heavier crudes.

To select the mostprofitable feedstock atany given time, process

engineers developcomputer models of thespecific processingcapabilities at the refinery.Using detailed crudeanalyses and currentprices, sequentialcomputer simulates therefinerys yield andresulting revenues foreach crude

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Market conditions influence refineries activity

Refining

Refining


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For industriealpurposes fuel musthave known burningcharacteristics so thatit can be matched withan appropriate burnersystem

Volatility and viscosityare the importantcharacteristics indesigning burnersystems

Smaller molecules in ahydrocarbon increase

volatility and reduceviscosity and color.Conversely, largermolecules reducevolatility and increaseviscosity and color

Crude oil can not be used as a fuel itself because it contains too broadspectrum of molecular size

Splitting crude into severalfractions

Several fractions are obtained, each has a concentration of a particularrange of molecular sizes.

E.g.: one of the fractions might be light gases known as butanes and aheavier fractions known as kerosene

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Taking fractions out of crude is the first step in a refinery

Refining

Refining


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The highest valuedpetroleum productsare the whiteproducts, whichinclude gasoline,diesel, jet fuel and

heating oil

Altering molecules

Production of high-valued petroleum products is maximised followingthe conversion of the lesser-valued gases and the heavier bottom ofthe barrel materials to white products

In the initial feedstock, several types of molecules are present

Altering molecules includes following steps

POLYMERIZATION: combination of the small gas molecules into larger and middle of the

barrel, molecules

CRACKING: break up of the large, bottom of the barrel, molecules into smaller ones

ISOMERIZATION: alter the arrangement of atoms in a molecule without adding orremoving any the atoms

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Altering molecules is the process that allows the conversion of the lesser-valued gases into the highest valued petroleum products

Refining

Refining


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ATMOSPHERICDISTILLATION

It is the initial process in a refinery. Its fractionatingtowera large diameter vertical vessel withmultiple internal contractor traysthe largest inthe refinery. The crude is heated, vaporizing mostof it, then it is injected into the base of the tower.Vapours rising through ports in the trays come intocontact with condensed liquids working downwardthrough the column. This interchange continuallyvaporizes some liquid and condenses some gas,establishing an equilibrium throughout the columnwith heavier material toward the base and lightermaterial toward the top. Product cuts arecontinuously removed from the tower through sidedraws spaced along its vertical length

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Here are some examples of processes used in refineries, in order to drivethe light and heavy ends further toward the middle of the barrel (1/4)

Refining

Refining


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VACUUM FLASHING

Feedstock for this process is the residue fromdistillation. The purpose is to extract additionallighter material. Residue is heated and vacuumpulled to induce boiling. Flashing extends thedistillation process to the bottom of the barrel.If done with heat alone, the high temperaturerequired would induce cracking into lesservalued gases. By utilizing vacuum, lowertemperatures are adequate and cracking isavoided.

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Refining

Refining


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THERMAL CRACKING

It involves the residue from the flasher. The process aims to split large moleculesinto gasoline-range molecules. Heat varies from 493C to 549C. A full range of

products including coke is yielded by the process.

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Refining

Refining


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CATALYTICCRACKING

It converts heavy gas oils from distillation and flasher to gasoline. It requires heat pluscatalyst (beads or powder)

GAS PLANT

It separates gas streams from distillation and other processes for particular uses. It consistsof distillation under pressure and absorption. Methane, ethane, propane, butane andisobutene are yielded. The products are all saturated (having a full complement ofhydrogen atoms). Olefin gases from crackers are separated similarly, but in a different gas

plant

ALKYLATION

Feedstock is constituted by olefins (propylene and butylenes) from cracker plus isobutenefrom gas plant. The purpose of the process is to create heavier, gasoline range moleculesfrom lighter ends. It consists of polymerization by pressure and cooling in presence of acatalyst (sulphuric or hydrofluoric acid). Alkylate and gases are the final product

HYDRO-CRACKING

It is a catalytic cracking process assisted by the presence of an elevated partial pressure ofhydrogen gas. The function of hydrogen is the purification of the hydrocarbon stream from

sulphur and nitrogen hetero-atoms. Hydro-cracking is normally facilitated by a bi-functionalcatalyst that is capable of rearranging and breaking hydrocarbon chains as well as addinghydrogen to aromatics and olefins to produce naphthenes and alkenes


g

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Refining


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1

2

The dehydrogenation of naphthenes to convert theminto aromatics as exemplified in the conversionmethylcyclohexane (a naphthene) to toluene (anaromatic)

The isomerization of normal paraffins to isoparaffinsas exemplified in the conversion of normal octane to2,5-Dimethylhexane (an isoparaffin)

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Focus on the reaction chemistry: the four major catalytic reformingreactions (1/2)

g

Refining
http://en.wikipedia.org/wiki/File:CatReformerEq3.PNGhttp://en.wikipedia.org/wiki/File:CatReformerEq1.png


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3

4

The dehydrogenation and aromatization of paraffinsto aromatics (commonly called dehydrocyclization)as exemplified in the conversion of normal heptaneto toluene

The hydro cracking of paraffin into smallermolecules as exemplified by the cracking of normalheptane into isopentane and ethane

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Focus on the reaction chemistry: the four major catalytic reformingreactions (2/2)

g

Refining
http://en.wikipedia.org/wiki/File:CatReformerEq4.pnghttp://en.wikipedia.org/wiki/File:CatReformerEq2.png


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Blending in petroleum refining is the physical mixture of a number of different liquid hydrocarbonsto produce a finished product with certain desired characteristics

Products can be blended in-line through a manifold system, or batch blended in tanks and vessels

In-line blending of gasoline, distillates, jet fuel, and kerosene is accomplished by injectingproportionate amounts of each component into the main stream where turbulence promotesthorough mixing. Additives including octane enhancers, metal deactivators, anti-oxidants, anti-knock agents, gum and rust inhibitors, detergents, etc. are added during and/or after blending toprovide specific properties not inherent in hydrocarbons

Blending

The blending operationhas a major impact onmanaging the refinery:it determines whatfeedstocks and runvolumes are needed so

each of the variousprocesses will yield therequired volumes andspecifications ofproducts

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Blending operations are the final step of the process that takes placewithin a refinery

g

Refining


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Product End market %final demand

LPG Cooking fuel 5-10%

Naphtha Petrochemical feedstock 5-15%

Gasoline Passenger vehicles 20-30%

Diesel Passenger vehicles,commercial vehicles,emergency power generators

20-30%

Kerosene, heating oil Aviation, domestic andcommercial heating, cooking

10-15%

Lubricants Passenger and commercialvehicles

0-5%

Heavy fuel oil Bunker fuel, power generation 10-15%

Asphalt Road surfacing 0-5%

Petcoke Power generation, industrialfuel

0-5%

Lightproducts

Heavy

products

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End markets for finished oil products (1/2)

Refining


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The gaseous products can be for instance reprocessed into high-quality gasoline components, sold as

heating or transportation fuels, upgraded into higher value petrochemical products, or simply burned as arefinery fuel source

Propane and butane are both termed liquefied petroleum gas (LPG), and can also be produced fromreforming and cracking. Once distilled, LPGs are liquefied and either sold in bottles for cooking fuel, usedfor gasoline blending or as ethylene steam cracker feedstock to manufacture base chemicals

Although only about 10% of the refined products of crude oil are used as chemical feedstock, it is still themost significant source of organic chemicals

Heavier products such as naphtha (essentially untreated gasoline) are primary feedstock for thepetrochemical industry in Europe and parts of Asia. In the US and Middle East petrochemical units usenatural gas as a feedstock

The output of finished products at the lightest end of the distillation rangecan vary greatly, depending on the sophistication of the refinery

End markets for finished oil products (2/2)

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