The complex is scheduled for startup in 2021.
The FID announcement follows Lukoil’s previous award of a contract to
CB&I, Houston, to provide detailed
engineering, procurement, and supply of process equipment for the project, including two of its proprietary
delayed coking heaters for the units,
which will be equipped with delayed
coking technology licensed by Chevron Lummus Global (CLG), a joint
venture of CB&I and Chevron Corp.
(OGJ Online, Nov. 2, 2017).
Lukoil has signed a contract with
Maire Tecnimont SPA, Milan, subsidiary KT-Kinetics Technology SPA (KT)
to deliver five unidentified processing
units for the residue upgrading project, KT said.
The proposed delayed coking
complex follows Lukoil-Nizhegoro-dnefteorgsintez’s startup of a second
2 million-tpy catalytic cracking (CC)
complex for vacuum gas oil (VGO)
at the refinery in 2015 as part of Lukoil’s broader program to boost overall processing capacities and production qualities of its refining assets (OGJ
Online, July 9, 2015).
Alongside installation of VGO-CC
Unit 2, the project included the addition of the 327,500-tpy hydrofluoric
alkylation Unit 2 as well as a 1 million-tpy gasoline hydrotreater to remove
sulfur from gasoline feedstock from
VGO-CC Unit 2.
The Lukoil subsidiary also is considering the addition of a hydrocracking complex for heavy residues at the
refinery in line with the company’s
goal of increasing refining depth of
the Kstovo manufacturing site to 90%
from its current 73.7%.
(EFP), which will replace all existing
EFPs at the site.
According to the latest project in-
formation available from HPCL and
general contractor Engineers India
Ltd., major processing units at the re-
finery are scheduled for revamp as fol-
• A 30% capacity expansion of the
naphtha hydrotreater in the refinery’s
Motor Spirit (MS) block to 1.5 million
• A 35% capacity expansion of the
continuous catalytic reforming unit in
the MS block to 1.04 million tpy.
• A 30% capacity expansion of the
diesel hydrotreating unit to 2.86 million tpy.
• An upgrade of the naphtha hydrotreater downstream of the refinery’s
fluid catalytic cracker to enable output
of BS V and BS VI-grade (equivalent to
Euro 5 and Euro 6-quality) fuels.
The VRMP currently scheduled for
mechanical completion in July 2020,
according to HPCL’s web site.
Downstream Technology Editor
PJSC Lukoil has reached final investment
decision to add a delayed coking complex
at subsidiary LLC Lukoil-Nizhegorod-nefteorgsintez’s 17 million-tonne/year
Kstovo refinery in central Russia’s Nizhny
In addition to the delayed coker,
the complex will include a diesel hydrotreater, gas fractionation unit, sulfur and hydrogen production units,
and associated systems, Lukoil said.
Alongside other planned optimization projects, the 2.1 million-tonne/
year delayed coking complex will improve the refinery’s light product yield
by more than 10% while reducing the
Climate target gives
way in German effort
to form government
by Bob Tippee, Editor
Climate sanctimony yields to economics as
Germany’s political leaders struggle to form
a government (OGJ, Dec. 4, 2017, p. 86).
After exploratory meetings that started
Jan. 7 and ended with a 23-hr session,
Chancellor Angela Merkel’s Christian
Democratic Union and the Social Democratic Party on Dec. 12 recommended
formal coalition talks.
The meetings produced a 28-page
paper said to be heavy with compromises
on contentious issues like taxation and
If the Social Democrats approve a new
coalition-building effort, the paper will
A coalition is necessary because neither
the Christian Democrats nor the Social
Democrats won a clear majority of Bundestag seats in elections last September.
The parties had been in coalition before
then, but both lost ground as the populist
Alternative for Germany Party leapt to third
place in seats won.
Alarmed by the losses, the Social
Democrats initially refused to renew ties
to the Christian Democrats, which then
tried to form a government with the Free
Democrats and Greens.
That effort collapsed in November,
requiring Merkel to work something out
with the Social Democrats or face a choice
she didn’t want to make between trying to
govern solo and calling another election.
Just this first step toward political
reconstruction required environmental
Early in the exploratory negotiations,
the parties were reported to have agreed
to scrap the government’s 2020 target for
carbon dioxide emissions—a 40% reduction from 1990 levels.
For Merkel, whose high-mindedness on
climate helps explain the surge of German
populism, this represents major retreat. It
also is a political expression of the economic pain felt by Germans forced to pay
too much for energy.
At this stage, reprieve is partial. Negotiators are reported to have agreed to pursue
the 40% emissions cut later in the 2020s,
to retain a 55% emissions-cut target for
2030, and to pursue a 65% market share
for renewable energy by 2030.
But give politics time. It always yields to
economics. The only question is how fast.
(From the subscription area of www.ogj.com,
posted Jan. 12, 2018; author’s e-mail: bobt@
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