Sibneft plans to ramp up investment in the Omsk refinery by almost five times next year to $52 million (Fig. 1).
This investment will increase throughput to 262,000 b/d (13.25 million tonnes/ day) from an expected 246,000 b/d in 2000. The facility has a total capacity of 385,000 b/d with a refining depth of 83.5% (sum of products less fuel oil, dry gas, and liquid fuels).
"The increase in refinery runs will come on the back of an expected 11% rise in Sibneft's oil production," said Sibneft President Eugene Shvidler.
The investment blueprint focuses on two key projects-completion of a new alkylation unit and replacement of the catalytic reforming unit.
High octane A-98
With completion of the alkylation unit in September 2001, the Omsk refinery will become the first in Russia to begin commercial production of A-98 grade gasoline (see box above), with an expected output of 2,000 tonnes in the first few months.
The premium gasoline will be marketed in Sibneft's core markets of Western Siberia and in Moscow where demand for premium gasoline is greatest.
"When we begin marketing A-98, we expect to price it slightly below the price of imported material," said Alexander Korsik, CEO of Sibneft. Currently, A-98 costs 9.30 rubles/l. ($1.26/gal) at Moscow gasoline stations.
The alkylation unit will also cut atmospheric emissions by enabling the refinery to process a higher proportion of the gases generated in the refining process. The French engineering group Francaise d'Etudes et de Construction Technip SA is supplying equipment for the new facility at a total cost of $60 million.
Catalytic reforming unit
The catalytic reforming unit, due for completion in 2003, will also help boost high-octane gasoline production. The unit is being built with equipment supplied by Italy's Eurotecnica Contractors & Engineers for $67 million.
"When we bring the new reforming unit on stream, it will allow us to raise the output of A-95 from 50,000 tonnes to 250,000 tonnes, and A-92 from 1.2 million tonnes to 2.5 million tonnes," Korsik added.
In early December, A-92 cost consumers 7.80 rubles/l. ($1.06/gal).
