PRE-FEASIBILITY | |||||
You produce crude oil, but
need oil products for local production area consumption? You are importing and distributing final expensive oil products and would prefer to refine them on spot? But a coventional "grass-roots refinery" is really too heavy an investment? Your existing infrastructure looks ready for the addition of refining capacity? Then, as shown above, you may cut about 70% of the required "grass-roots refinery" financial investment! Now remains to check if your infrastructure is in line with your project. . |
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FIRST STEP: | |||||
Your part: |
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Our part : |
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PRODUCTION AREA |
REFERENCE PLACE |
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Assumptions:
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crude transport # 2 $ / bbl | |||||
At Reference Place, crude is paid : ( P - 2 ) $ / bbl | |||||
refining # 3 $ / bbl | |||||
products transport # 2 $ / bbl | |||||
At Production Area, "products" cost : ( P + 3 + 2 ) $ / bbl (of crude necessary) | |||||
Exporting crude and importing
corresponding oil products show an extra cost of : ( P + 3 + 2 ) - ( P - 2 ) = 7 $ / bbl If local oil products demand can be obtained refining 10.000 bpd, extra cost will be: 7 $ / bbl * 10.000 * 330 # 21.000.000 $ / year
With such a short predictable pay-out time, it seems worth to evaluate the various crudes and infrastructure available on the production area! |
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