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Desulphurization challenge: Indian refineries will need to face it head on
Apr 24:
Indian public sector refineries are under challenge by the move towards use of desulphurized fuel.
8But the economics of desulphurization are tight. And many refineries will continue to look for markets for dirty fuels
8Since the market for sour products still exists, price spreads between sour and clean are still small
8Whether to go for deeper conversion or just desulfurization is often a dilemma: operating hydrocrackers in high severity can secure ultra-low sulfur quality and an increased middle-distillate yield, which leverages the economics if supplying a distillate-deficit market.
8However capex may be a deal-breaker when compared to current refinery value for these kinds of units.
Click on Reports to know more
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8But the economics of desulphurization are tight. And many refineries will continue to look for markets for dirty fuels
8Since the market for sour products still exists, price spreads between sour and clean are still small
8Whether to go for deeper conversion or just desulfurization is often a dilemma: operating hydrocrackers in high severity can secure ultra-low sulfur quality and an increased middle-distillate yield, which leverages the economics if supplying a distillate-deficit market.
8However capex may be a deal-breaker when compared to current refinery value for these kinds of units.
Click on Reports to know more
