The Refinery of the Future – Targeted Petrochemical Production

Oil and Energy Companies stock investments

Oil and Energy Companies Stock Investments, Industry Future

According to the February 20, 2019 issue of Chemical & Engineering News, “The Future of oil is in Chemicals, Not Fuels”, Saudi Aramco, BP, and other major oil producers and refineries are forecasting a decrease in the demand for fuel. Their rationale for the decline is that the adoption of electric cars and improved fuel economy cars, will decrease demand for barrels of oil dedicated to transportation fuel.

In an effort to stay competitive some oil producers are evolving their refining processes to target the production of specific chemicals. For example, ExxonMobil has developed a system which allows crude oil instead of naphtha to be processed by a stream cracker.

Steam Cracker

By creating variations in existing locations or processes in the refinery, valuable chemicals can be selectively created, purified, and sold in bulk.

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