Thursday, January 17, 2008

Markets - Refining SCO

The bitumen portion of the synthetic crude oil is like tar. Both gravity and viscosity are high. It contains significant aromatic and asphaltene compounds. It is high in sulfur, nitrogen, and metals and contains highly corrosive organic acids. It must be diluted or upgraded in order to ship.

Bitumen is not a good fit with refineries designed for light sweet crudes. There is significant hydroprocessing of converted material because it is H2 deficient. Bitumen also produces alot of coke and sulphur. Synthetic crude oil only works well in refineries designed for synthetic crude oil (SCO). In order to be SCO friendly, refineries need the following:
  • Serious hydroprocessing capability.
  • Metallurgy upgrades.
  • Ability treat for air, water pollution and manage byproduct disposal
  • Conversion capability for bitumen blends or SCO.

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