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Al Shaheen Refinery, Mesaieed Industrial Metropolis

Qatar Petroleum was to construct a further grass roots refinery at Mesaieed Industrial City, Qatar, to process crude oil from the Al Shaheen field situated about 180km north of Doha and operated by Maersk Oil Qatar AS. Nonetheless, in Might 2010 Qatar Petroleum announced that the project was to be postponed indefinitely. The choice got here after the challenge prices increased to more than $6bn.

The Al Shaheen discipline, which was discovered in 1992 and developed in 1994, produces over 260,000bpd, but has the potential for 400,000bpd over the following 5 years should demand and processing capacity allow (over $2.5bn has already been invested in the field).

The field’s crude oil manufacturing is currently taken by prospects from a floating manufacturing storage and offloading vessel in the block 5 field. The sector also produces gasoline, which is piped to be used west texas intermediate crude oil price charts stocks site in Mesaieed-based mostly facilities.

Part of the new refinery venture was to contain the development of an offshore west texas intermediate crude oil price charts stocks site and onshore pipeline to supply the new refinery. Qatar Petroleum mentioned that the refinery was a part of a plan ‘to enhance crude oil manufacturing capability from 850,000 to a million barrels Orifice ripple a day’. In Could 2010, however, Qatar Petroleum announced the postponement of the project indefinitely. The decision came after the undertaking prices increased to greater than $6bn.

Qatar Petroleum is as a substitute planning to double the installed capacity at its 146,000bpd Ras Laffan, which was launched in September 2009. It may also focus on awarding contracts for a new refinery that can be just like the Ras Laffan refinery by the top of 2010.

Qatar refinery
The Al Shaheen project was to be executed in two phases. The first part was to involve the development and operations of a hydrocracker and a crude distillation unit (CDU). The second phase included a fluidised catalytic cracking unit (FCCU).

Jacobs Engineering, along with Beicip of France, have been the 2 corporations that undertook the pre-front-end engineering and design (FEED) work on the Al Shaheen refinery project. In August 2007 Technip was awarded a lump sum FEED and project management contract for the refinery.

The contract, which was worth an estimated west texas intermediate crude oil price charts stocks site $60m, was undertaken by Technip’s Paris and Abu Dhabi design places of work and completed by the third quarter of 2008.

The work involved a refinery with a capability of 250,000bpd of crude oil from the Al Shaheen field. The refinery products would have included excessive-grade gas products similar to petrol, diesel oil, gas oil and jet fuel.

A crude oil transport pipeline from the Al Shaheen subject to Mesaieed Industrial City was also deliberate, together with a 90km offshore section, a 110km onshore part and also different required import / export infrastructure at Mesaieed.

Know-how for the refinery was to include special conversion units for the upgrading of backside-of-barrel products to extend the production of marketable gasoline distillates. The refinery was also anticipated to produce inexperienced coke and bitumen. The units have been deliberate for operations by the end of 2011.

Al Shaheen refinery models
Development was scheduled to start out by the tip of 2008. The decision for bid tenders for the engineering procurement and development (EPC) contract was made in early January 2008 and expressions of curiosity had been made by mid-January.

The full cost of the project, including the refinery and pipeline, was estimated at $5bn. Qatar Petroleum was to finalise the prequalification and invite bids for the lump sum EPC construction contract by November 2008 and finalise the contract in November 2008. This was, nonetheless, postponed to March 2010, however did not occur as a result of the announcement of indefinite postponement was made in May 2010.