Maximize Diesel Production via Operational or Revamp Options

The Gulf Coast refiners are increasingly interested in capitalizing on the premium for Diesel margin over Gasoline. The technical approaches for achieving this goal can be grouped into these three general categories:

1. Operation adjustment. – This is the most directive approach with very low or no capital requirement. Although the benefits are limited, the economic return can be realized immediately.

2. Existing processing unit modification and/or catalyst system change out. This requires low to medium level capital investment, with profit realization to be in 6 months to 1 year time frame.

3. New process technology or new processing unit addition. This approach demands major capital investment, with multi-year implementation schedule. In general, this approach could yield significant benefits. It also provides refiners additional flexibility in meeting future motor fuels specifications.

The paper discusses the process options, technologies and economic opportunities in all three levels of investment. It provides a basic road map for searching cost effective solutions. The paper will also briefly examine how these alternatives impact to the existing refining process operations.