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Oil Refineries Limited

Contact Information
Oil Refineries Limited
PO Box 4
Haifa 31000, Israel
Tel. +972-4-878-8111
Fax +972-4-878-8850

Type: Government-owned
On the web: http://www.orl.co.il

Oil Refineries is the only company in Israel that refines crude oil, processes petroleum products (gasoline, naphtha, kerosene, fuel oil, and more), and supplies feedstock products to the petrochemical industry. The company's Haifa refinery (the largest in Israel) has a capacity of producing 9 million tons of crude oil per year. Oil Refineries was formerly controlled by the government of Israel. Ofer Bros.' subsidiary Israel Corporation now owns 45% of the company. Oil Refineries was established in the mid-1930s as Consolidated Refineries Ltd.

Officers:
Chairman: Yossi Rosen
General Manager: Yashar Ben Mordechai
CFO: Jacob Hirsch

Competitors:
Ampal-American Israel
Delek Group
Koor Industries

 
 
WordNet: oil refinery
Note: click on a word meaning below to see its connections and related words.

The noun has one meaning:

Meaning #1: a refinery for petroleum
  Synonym: petroleum refinery


 
Wikipedia: oil refinery
View of Shell Oil Refinery in Martinez, California.
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View of Shell Oil Refinery in Martinez, California.

An oil refinery is an industrial process plant where crude oil is processed and refined into more useful petroleum products, such as gasoline, diesel fuel, asphalt base, heating oil, kerosene, and liquefied petroleum gas.[1][2] Oil refineries are typically large sprawling industrial complexes with extensive piping running throughout, carrying streams of fluids between large chemical processing units.

Operation

Crude oil is separated into fractions  by fractional distillation. The fractionating column is cooler at the top than at the bottom because the fractions at the top have lower boiling points than the fractions at the bottom. The heavier fractions that emerge from the bottom of the fractionating column are often broken up (cracked) to make more useful products. All of the fractions are subsequently routed to other refining units for further processing.
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Crude oil is separated into fractions by fractional distillation. The fractionating column is cooler at the top than at the bottom because the fractions at the top have lower boiling points than the fractions at the bottom. The heavier fractions that emerge from the bottom of the fractionating column are often broken up (cracked) to make more useful products. All of the fractions are subsequently routed to other refining units for further processing.

Raw oil or unprocessed ("crude") oil is not useful in the form it comes in out of the ground. Although "light, sweet" (low viscosity, low sulfur) oil has been used directly as a burner fuel for steam vessel propulsion, the lighter elements form explosive vapors in the fuel tanks and so it is quite dangerous, especially so in warships. For this and many other uses, the oil needs to be separated into parts and refined before use in fuels and lubricants, and before some of the byproducts could be used in petrochemical processes to form materials such as plastics, and foams. Petroleum fossil fuels are used in ship, automobile and aircraft engines. These different hydrocarbons have different boiling points, which means they can be separated by distillation. Since the lighter liquid elements are in great demand for use in internal combustion engines, a modern refinery will convert heavy hydrocarbons and lighter gaseous elements into these higher value products using complex and energy intensive processes.

Oil can be used in so many various ways because it contains hydrocarbons of varying molecular masses, forms and lengths such as paraffins, aromatics, naphthenes (or cycloalkanes), alkenes, dienes, and alkynes. Hydrocarbons are molecules of varying length and complexity made of only hydrogen and carbon atoms. Their various structures give them their differing properties and thereby uses. The trick in the oil refinement process is separating and purifying these.

Once separated and purified of any contaminants and impurities, the fuel or lubricant can be sold without any further processing. Smaller molecules such as isobutane and propylene or butylenes can be recombined to meet specific octane requirements of fuels by processes such as alkylation or less commonly, dimerization. Octane grade of gasoline can also be improved by catalytic reforming, which strips hydrogen out of hydrocarbons to produce aromatics, which have much higher octane ratings. Intermediate products such as gasoils can even be reprocessed to break a heavy, long-chained oil into a lighter short-chained one, by various forms of cracking such as Fluid Catalytic Cracking, Thermal Cracking, and Hydrocracking. The final step in gasoline production is the blending of fuels with different octane ratings, vapor pressures, and other properties to meet product specifications.

Oil refineries are large scale plants, processing from about a hundred thousand to several hundred thousand barrels of crude oil per day. Because of the high capacity, many of the units are operated continuously (as opposed to processing in batches) at steady state or approximately steady state for long periods of time (months to years). This high capacity also makes process optimization and advanced process control very desirable.

Major products of oil refineries

Most products of oil processing are usually grouped into three categories: light distillates (LPG, gasoline, naptha), middle distillates (kerosene, diesel), heavy distillates and residuum (fuel oil, lubricating oils, wax, tar). This classification is based on the way crude oil is distilled and separated into fractions (called distillates and residuum) as can be seen in the above drawing.[2]

Common process units found in a refinery

  • Desalter unit washes out salt from the crude oil before it enters the atmospheric distillation unit.
  • Atmospheric Distillation unit distills crude oil into fractions. See Continuous distillation.
  • Vacuum Distillation unit further distills residual bottoms after atmospheric distillation.
  • Naphtha Hydrotreater unit uses hydrogen to desulfurize naphtha from atmospheric distillation. Must hydrotreat the naphtha before sending to a Catalytic Reformer unit.
  • Catalytic Reformer unit is used to convert the naphtha-boiling range molecules into higher octane reformate (reformer product). The reformate has higher content of aromatics, olefins, and cyclic hydrocarbons). An important byproduct of a reformer is hydrogen released during the catalyst reaction. The hydrogen is used either in the hydrotreaters and hydrocracker.
  • Distillate Hydrotreater unit desulfurizes distillates (such as diesel) after atmospheric distillation.
  • Fluid Catalytic Cracking (FCC) unit upgrades heavier fractions into lighter, more valuable products.
  • Hydrocracker unit uses hydrogen to upgrade heavier fractions into lighter, more valuable products.
  • Visbreaking unit upgrades heavy residual oils by thermally cracking them into lighter, more valuable reduced viscosity products.
  • Merox unit treats LPG, kerosene or jet fuel by oxidizing mercaptans to organic disulfides.
  • Coking unit processes very heavy residual oils into gasoline and diesel fuel, leaving petroleum coke as a residual product.
  • Alkylation unit produces high-octane component for gasoline blending.
  • Dimerization unit converts olefins into higher-octane gasoline blending components. For example, butenes can be dimerized into isooctene which may subsequently be hydrogenated to form isooctane. There are also other uses for dimerization.
  • Isomerization unit converts linear molecules to higher-octane branched molecules for blending into gasoline or feed to alkylation units.
  • Steam reforming unit produces hydrogen for the hydrotreaters or hydrocracker.
  • Liquified gas storage units for propane and similar gaseous fuels at pressure sufficient to maintain in liquid form. These are usually spherical vessels or bullets (horizontal vessels with rounded ends.
  • Storage tanks for crude oil and finished products, usually cylindrical, with some sort of vapor emission control and surrounded by an earthen berm to contain spills.
  • Amine gas treater, Claus unit, and tail gas treatment for converting hydrogen sulfide from hydrodesulfurization into elemental sulfur.
  • Utility units such as cooling towers for circulating cooling water, boiler plants for steam generation, instrument air systems for pneumatically operated control valves and an electrical substation.
  • Wastewater collection and treating systems consisting of API separators, dissolved air flotation (DAF) units and some type of further treatment (such as an activated sludge biotreater) to make such water suitable for reuse or for disposal.[3]

Flow diagram of typical refinery

The image below is a schematic flow diagram of a typical oil refinery that depicts the various unit processes and the flow of intermediate product streams that occurs between the inlet crude oil feedstock and the final end products. The diagram depicts only one of the literally hundreds of different oil refinery configurations. The diagram also does not include any of the usual refinery facilities providing utilities such as steam, cooling water, and electric power as well as storage tanks for crude oil feedstock and for intermediate products and end products.[1][4][5][6]

Schematic flow diagram of a typical oil refinery
Schematic flow diagram of a typical oil refinery

Specialty end products

These will blend various feedstocks, mix appropriate additives, provide short term storage, and prepare for bulk loading to trucks, barges, product ships, and railcars.

  • Gaseous fuels such as propane, stored and shipped in liquid form under pressure in specialized railcars to distributors.
  • Liquid fuels blending (producing automotive and aviation grades of gasoline, kerosene, various aviation turbine fuels, and diesel fuels, adding dyes, detergents, antiknock additives, oxygenates, and anti-fungal compounds as required). Shipped by barge, rail, and tanker ship. May be shipped regionally in dedicated pipelines to point consumers, particularly aviation jet fuel to major airports, or piped to distributors in multi-product pipelines using product separators called pipeline inspection gauges ("pigs").
  • Lubricants (produces light machine oils, motor oils, and greases, adding viscosity stabilizers as required), usually shipped in bulk to an offsite packaging plant.
  • Wax (paraffin), used in the packaging of frozen foods, among others. May be shipped in bulk to a site to prepare as packaged blocks.
  • Sulfur (or sulfuric acid), byproducts of sulfur removal from petroleum which may have up to a couple percent sulfur as organic sulfur-containing compounds. Sulfur and sulfuric acid are useful industrial materials. Sulfuric acid is usually prepared and shipped as the acid precursor oleum.
  • Bulk tar shipping for offsite unit packaging for use in tar-and-gravel roofing.
  • Asphalt unit. Prepares bulk asphalt for shipment.
  • Petroleum coke, used in specialty carbon products or as solid fuel.
  • Petrochemicals or petrochemical feedstocks, which are often sent to petrochemical plants for further processing in a variety of ways. The petrochemicals may be olefins or their precursors, or various types of aromatic petrochemicals.

Co-plant siting

Frequently a chemical plant will be sited adjacent to a refinery, utilizing intermediate products as feedstocks for the production of specialized materials such as plastics or agrichemicals.

Safety and environmental concerns

MiRO refinery at Karlsruhe
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MiRO refinery at Karlsruhe

The refining process releases numerous different chemicals into the atmosphere; consequently, there are substantial air pollution emissions[7] and a notable odor normally accompanies the presence of a refinery. Aside from air pollution impacts there are also wastewater concerns,[3] risks of industrial accidents such as fire and explosion, and noise health effects due to industrial noise.

The public has demanded that many governments place restrictions on contaminants that refineries release, and most refineries have installed the equipment needed to comply with the requirements of the pertinent environmental protection regulatory agencies. In the United States, there is strong pressure to prevent the development of new refineries, and no major refinery has been built in the country since Marathon's Garyville, Louisiana facility in 1976. However, many existing refineries have been expanded during that time. Environmental restrictions and pressure to prevent construction of new refineries may have also contributed to rising fuel prices in the United States[8]. Additionally, many refineries (over 100 since the 1980s) have closed due to obsolescence and/or merger activity within the industry itself. This activity has been reported to Congress and in specialized studies not widely publicised.

Environmental and safety concerns mean that oil refineries are sometimes located some distance away from major urban areas. Nevertheless, there are many instances where refinery operations are close to populated areas and pose health risks such as in the Campo de Gibraltar, a Spanish state owned refinery near the towns of Gibraltar, Algeciras, La Linea, San Roque and Los Barrios with a combined population of over 300,000 residents within a 5 mile radius and the CEPSA refinery in Santa Cruz on the island of Tenerife, Spain[9] which is sited in a densely-populated city center and next to the only two major evacuation routes in and out of the city. In California's Contra Costa County and Solano County, a shoreline necklace of refineries and associated chemical plants are adjacent to urban areas in Richmond, Martinez, Pacheco, Concord, Pittsburg, Vallejo and Benicia, with occasional accidental events that require "shelter in place" orders to the adjacent populations.

History

The world's first oil refineries were set up by Ignacy Łukasiewicz near Jaslo, Austrian Empire (now in Poland) in the years 1854-56[10][11] but they were initially small as there was no real demand for refined fuel. As Łukasiewicz's kerosene lamp gained popularity the refining industry grew in the area.

The first large oil refinery opened at Ploieşti, Romania in 1856.[12] Several other refineries were built at that location with investment from United States companies before being taken over by Nazi Germany during World War II. Most of these refineries were bombarded by US Army Air Forces in Operation Tidal Wave, August 1, 1943. Since then they have been rebuilt, and currently pose somewhat of an environmental concern.

Another early example is Oljeön, now preserved as a museum at the UNESCO world heritage site Engelsberg. It started operation in 1875 and is part of the Ecomuseum Bergslagen.

At one time, the world's largest oil refinery was claimed to be Ras Tanura, Saudi Arabia, owned by Saudi Aramco. For most of the 20th century, the largest refinery of the world was the Abadan refinery in Iran. This refinery suffered extensive damage during the war Iran-Iraq war. The world's largest refinery complex is the "Centro de Refinación de Paraguaná" (CRP) operated by PDVSA in Venezuela with a production capacity of 956,000 barrels per day (Amuay 635,000 bpd, Cardón 305,000 bpd and Bajo Grande 16,000 bpd). SK Corporation's Ulsan refinery in South Korea with a capacity of 840,000 bpd and Reliance Petroleum's refinery in Jamnagar, India with 660,000 bpd are the second and third largest, respectively.

Early US refineries processed crude oil to recover the kerosene. Other products (like gasoline) were considered wastes and were often dumped directly into the nearest river. The invention of the automobile shifted the demand to gasoline and diesel, which remain the primary refined products today. Refineries pre-dating the EPA were very toxic to the environment. Strict legislation has mandated that refineries meet modern air and water cleanliness standards. In fact, obtaining a permit to build even a modern refinery with minimal impact on the environment (other than CO2 emissions) is so difficult and costly that no new refineries have been built (though many have been expanded) in the United States since 1976. As a result, some believe that this may be the reason that the US is becoming more and more dependent on the imports of finished gasoline, as opposed to incremental crude oil. On the other hand, studies have revealed that accelerating merger activity in the refining and production sector has reduced capacity further, resulting in tighter markets in the United States in particular.

See also

A refinery at night.  The gas flare is in the center of the picture.
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A refinery at night. The gas flare is in the center of the picture.

References

  1. ^ a b Gary, J.H. and Handwerk, G.E. (1984). Petroleum Refining Technology and Economics, 2nd Edition, Marcel Dekker, Inc. ISBN 0-8247-7150-8. 
  2. ^ a b Leffler, W.L. (1985). Petroleum refining for the nontechnical person, 2nd Edition, PennWell Books. ISBN 0-87814-280-0. 
  3. ^ a b Beychok, Milton R. (1967). Aqueous Wastes from Petroleum and Petrochemical Plants, 1st Edition, John Wiley & Sons. LCCN 67019834. 
  4. ^ Guide to Refining from Chevron Oil's website
  5. ^ Refinery flowchart from Universal Oil Products' website
  6. ^ An example flowchart of fractions from crude oil at a refinery
  7. ^ AP 42, Compilation of Air Pollutant Emission Factors
  8. ^ Behind high gas prices: The refinery crunch
  9. ^ Smoke, oil spills and now radiation - whatever next?
  10. ^ Frank, Alison Fleig (2005). Oil Empire: Visions of Prosperity in Austrian Galicia (Harvard Historical Studies). Harvard University Press. ISBN 0-674-01887-7. 
  11. ^ Warsaw University timeline
  12. ^ WORLD EVENTS: 1844-1856 www.pbs.org

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