February 2006

Trends and Resources

HP Impact: HPImpact: More investment needed to meet European Union 2010 fuel mandates

Refiners in the European Union (EU) are being pressed to meet product requirements for lower-sulfur fuels. Yet, what will the cost be to attain these very tight product specifications for transportati..

Weirauch, Wendy, Hydrocarbon Processing Staff

Refiners in the European Union (EU) are being pressed to meet product requirements for lower-sulfur fuels. Yet, what will the cost be to attain these very tight product specifications for transportation fuels? Sulfur (S) reductions for transportation fuels beyond 2000 specifications will require an estimated capital investment of €2.9 to €3.5 billion to meet 50-ppm S levels and €6.7 to €7.5 billion to meet 10-ppm S, according to an updated study from CONCAWE. Gasoline and diesel equally share the difference of €4 billion between the two targets for fuel specifications. These estimated costs are in addition to the €7.3 billion investment required to meet the

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