Page 7 - DMEA Week 09 2021

DMEA REFINING DMEA

2020 despite the coronavirus (COVID-19) addition and central to Iran’s achievement of
pandemic. fuel self-sufficiency. Phase 1 was officially inau-
Speaking to state-run energy sector media gurated in April 2017, with the first shipment of
outlet Shana, Alireza Sadiqabadi, the compa- gasoline delivered for distribution two months
ny’s managing director, said that it was among later. Phase 2 began producing Euro-V gaso-
very few refiners worldwide not to have lowered line shortly after its own official launch in Feb-
throughput levels amid the crisis. ruary 2018 and was running at full capacity by
Meanwhile another state media outlet, IRIB, June that year. The third phase was inaugurated
quoted Nasser Ashouri, secretary-general of in October 2019, although it had already been
Iran’s Oil Refining Industry Companies Associ- operational for several months.
ation (ORICA), as saying that the country’s oil A multi-billion-dollar programme was
refining capacity is currently 2mn bpd. launched in 2016 to expand capacity, which
This is up by around 450,000 bpd since 2017, included the addition of the Anahita, Pars and
an increase that is seen by the authorities as a Bahman Ganou refineries, with $3bn to be spent
major success given the challenges of conducting on the development of the Abadan refinery and
international trade amid US sanctions and Iran’s $10bn to be spent on improving processing at
own domestic economic woes. the Tabriz, Tehran, Bandar Abbas and Isfahan
However, the target set by the company in refineries.
2019 of achieving a refining capacity of 2.4mn Meanwhile, 480,000 bpd of gas condensate
bpd by March 2020 has not been fulfilled. processing capacity was to be added through
Iran’s downstream sector has experienced the Siraf refining project, which consists of 60
significant growth in recent years, though, modular refining units fed by large volumes of
with the flagship 360,000 bpd Persian Gulf condensate from the supergiant offshore South
Star Refinery (PGSR) being the most notable Pars gas field.™

FUELS

Saudi continues making plays

to take hydrogen market mantle

MIDDLE EAST SAUDI Arabia’s Energy Minister this week said successful pilot project with Japan’s Institute of
that the Kingdom would be willing to provide Energy Economics (IEEJ) that gasifies oil resi-
‘green’ hydrogen to Europe by pipeline as Riyadh dues from refineries to generate 40 tonnes of blue
stakes a claim to play a major role in the nascent ammonia for shipment to Japan and captures
sector. 50 tonnes of carbon dioxide (CO2) to be used
Speaking during a virtual meeting between in methanol production at and in enhanced oil
the International Energy Forum and the Euro- recovery (EOR) at the company’s ‘Uthmaniyah
pean Union, Prince Abdulaziz bin Salman said: field.
“If Europe would like to buy more hydrogen, Meanwhile, Saudi is making strides in green
Saudi green hydrogen, we would be more than hydrogen, most notably through the signing
happy, and even, if the economics allow for of a $5bn deal with US-based Air Products to
it, even piping it all the way to somewhere in develop the world’s largest hydrogen production
Europe.” facility at the $500bn Red Sea coast smart city
The comments come as Saudi and neighbour NEOM, integrated with a 4-GW solar, wind and
the UAE, predominantly led by their respective storage project.
state oil firms Saudi Aramco and Abu Dhabi For its part, Abu Dhabi in January prepared
National Oil Co. (ADNOC), are increasingly for the launch of the Abu Dhabi Hydrogen Alli-
looking to establish themselves as leaders in the ance (ADHA), with a memorandum of under-
‘green’ and ‘blue’ hydrogen market, utilising their standing (MoU) signed between ADNOC,
large hydrocarbons operations and world-scale Mubadala Investment Co. and holding company
solar projects to generate the fuel. ADQ.
Last week, Aramco’s chief technical officer This followed an agreement between
Ahmad al-Khowaiter said: “We think Japan and ADNOC and Japan’s Ministry of Economy,
South Korea will be where the first hydrogen Trade and Industry (METI) to collaborate on
trading markets will begin in the end of 2020s, initiatives in fuel ammonia and carbon recycling.
early 2030s,” adding that Aramco continues At present, the state oil firm produces around
to analyse potential demand and pricing for 300,000 tonnes per year of hydrogen and has
hydrogen. plans to expand its total hydrogen capacity to
The company has already carried out a more than 500,000 tpy.

Week 09 04•March•2021 www. NEWSBASE .com P7