Aden Refinery Company Plans $4.25-Billion Expansion

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Researched by Industrial Info Resources India (Delhi, India)--Aden Refinery Company (ARC) (Aden, Yemen) has planned a $4.25-billion expansion to its 175,000-Barrels-Per-Day (BBL/d) Aden Refinery in Yemen. Scheduled to be kicked-off by the end of 2016, the $4.25-billion expansion program involves upgrade and modernization of the existing facilities by transforming the Aden Refinery into a full conversion refinery to produce clean transportation fuels as well as high-quality petrochemical intermediates.

The refinery upgrade project also involves setting up of a new refinery with all major units and utilities within the existing refinery complex while utilizing the existing storage, piping and jetty facilities. The new refinery would use either the indigenous Masila or Kuwait crude. The refinery units would include Atmospheric Distillation unit, Naphtha Hydrotreater, Isomerisation unit, Continuous Catalytic Cracker unit, Residual Fluid Catalytic Cracking unit, Gasoline Hydrotreater, Hydrogen generation unit and other associated units like Sulfur Recovery unit and Amine Generation unit and Atmospheric Residue Desulfurization unit.

Aden Refinery Company expects to get sanctions for the release of Bid Documents for Front End Engineering Design (FEED) within two to three months. The expansion and upgrade project will take approximately two years to complete and the new refinery is likely to be operational by the end of 2017. The refinery on completion would produce clean fuels including unleaded gasoline, mixed xylene and benzene for petrochemical industries.

Aden Refinery Company, previously owned by British Petroleum (BP) (LSE: BP) (London), was established in November 1952, while the Aden refinery was commissioned in July 1954. In May 1977 BP handed over the refinery to the government of Yemen. The refinery consists of Crude Distillation Units, Vacuum Distillation unit, Liquefied Petroleum Gas unit and a Platformer unit. Yemen also has other simple oil refinery in the Marib province with a capacity of 10,000 (BBL/d). It was established in 1986 and is currently being operated by Yemen Oil Refinery Company (YORC).

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