Exxon to expand Rotterdam refinery hydrocracker
11/2/2015 12:00:00 AM
ExxonMobil announced that it will expand the hydrocracker unit at its Rotterdam refinery to upgrade heavier byproducts into cleaner, higher-value finished products, including EHC Group II base stocks and ultra-low sulfur diesel, to meet growing global market demand.
The refinery, operated by Esso Nederland, will use ExxonMobils proprietary hydrocracking technology and be the first to produce EHC Group II base stocks in Europe. Base stocks are the primary ingredients used in the production of high-quality lubricating oils and greases.
Group II base stocks are higher in performance, resulting in advantages in many lubricant and process oil applications, the company explains.
This investment demonstrates ExxonMobils long-term view and disciplined investment approach, said Jerry Wascom, president of ExxonMobil Refining & Supply Co. Despite a challenging industry environment, we are committed to our long-term strategy of investing in projects in advantaged locations where we can continue to increase competitiveness and profitability.
ExxonMobils Rotterdam refinery, one of the most energy efficient in Europe, currently has a throughput of 190,000 bpd. The site plays a key role in the region and marketplace as a manufacturer of low-sulfur petroleum products and chemical feedstocks.
Following the expansion, the hydrocracking process will use proprietary catalysts applied in a unique refinery process configuration to efficiently produce both high-quality base stocks and ultra-low sulfur diesel.
The base stocks that will be produced at Rotterdam are designed to help lubricant blenders achieve greater formulation flexibility and simplify global qualification testing. ExxonMobil says its EHC product line will enable customers to cost-effectively blend a broad range of finished lubricants to meet evolving industry requirements.
This investment underscores our commitment to provide high-quality base stocks in Europe and follows previously announced expansions at ExxonMobils Baytown, Texas and Jurong Singapore refineries this past year, said Loic Vivier, vice president of wholesale and specialties for ExxonMobil Fuels & Lubricants. Combined with ExxonMobils existing manufacturing capabilities, this project will enable us to offer a global EHC Group II base stocks product offering to meet current and future customer needs.
The Rotterdam hydrocracker project, coupled with the refinerys advantageous location in an integrated petrochemical cluster, will strengthen the refinerys position as a leader in the global refining industry.
The projects environmental impact assessment has been approved and the site-permitting process is being finalized. Permits are expected in early 2016. Pending receipt of permits, construction is scheduled to begin in 2016 and unit startup is targeted for 2018.
Exxon spokesman Richard Scrase said the investment would be at least $1 billion, and the company would add 600 workers to the 650 currently at the refinery during a three-year construction phase.
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