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15 May: global downstream update

Hydrocarbon Engineering,


A government official has said that the Indian oil refining industry will have to invest US$ 13.4 billion in upgrades to produce cleaner fuels. This announcement has been made as the country strives to curb air pollution in major cities. A World Trade Organisation study has recently said that air pollution in New Delhi is the worst anywhere in the world.


Iran has announced that the 1500 km West Ethylene Pipeline will be operational by the end of this Iranian calendar year which ends on 20th March 2015. The pipeline is an integral part of Iran’s National Petrochemical Company’s petrochemical project expansion plans.


Surgutneftegas has announced that it will begin exporting diesel from the Baltic port of Ust Luga in June. The exports will begin following extensive modernisation to Russian refineries which have allowed a surplus of high grade fuels to accumulate. Initial export levels are expected to be around the 60 000 t/month level.

Saudi Arabia

The expansion of the petrochemical complex jointly owned by Saudi Aramco and Sumitomo Chemical is expected to cost US$ 8.5 billion more than originally planned. The project, which aims to increase output from the plant and spur higher margins was originally estimated to cost US$ 7 billion. The plant is still scheduled to come online in 2016.


Repsol is to test Canadian crude oil at its Spanish refineries later this month. The company is taking advantage of a provision that allows Canadian crude to be reexported through US ports. These will be the first shipments received by Repsol and 600 000 bbls is expected to be imported.


The Michigan Department of Environmental Quality has approved the proposed modifications to the Marathon Petroleum owned refineries in Detroit and Melvindale. The modifications will reportedly result in a small reduction in pollution levels.

The Phillips 66 owned Billings refinery has made a donation of US$ 8000 to the Volunteers of America Northern Rockies Camp POSTCARD. The company has said that this donation demonstrates their commitment to youth programs in the Montana region.

Pensacola Energy and Emerald Coast Utilities Authority has unveiled Pensacola’s third compressed natural gas (CNG) fuelling station. The station is located in Ellyson Industrial Park at 3320 Copter Road and features two fast fill houses for public use. It is also equipped with 10 time fill houses, used exclusively by ECUA, a private customer, which can refuel vehicles overnight. 

Edited from various sources by Claira Lloyd

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