Petroleum refineries and industry

1. Petroleum refineries and industry Presented by:- ANKITA BHATIYA -03 & TRISHA SHAH-025

2. INTRODUCTION • The Indian petroleum industry started in the Fiscal year 1890 in the north east portion of India called Digboi. • There were restrictions up to 1970’s on the production and exploration of petroleum products. • But by the discovery of BOMBAY HIGH the situations were changed.

3. Definition of Petroleum:- A liquid mixture of hydrocarbons which is present in suitable rock strata and can be extracted and refined to produce fuels including petrol, paraffin, and diesel oil. Definition of Crude oil :-A naturally occurring, unrefined petroleum product composed of hydrocarbon deposits. Crude oil can be refined to produce usable products such as gasoline, diesel and various forms of petrochemicals.

4. Petroleum = Petra(Rock) +Oleum (oil) • Indian petroleum Industry has expanded a lot in between the phase of 1990-2005. • From the generation of energy from 51.27 million tonne it increased to 128.8 million tonne. • Whereas production increased fom 95.61 million tonne in 2000-01 to 119.75 million tonne in 2005-06.

5. Crude oil is a produced mainly in Russia, Saudi Arabia, united States, Iran, China, Canada, Mexico, United Arab Emirates and Kuwait. • Compared to them India produces a very small amount of crude oil or even can say null amount of oil. • Petroleum products are prepared from this oil.

6. Products made from crude oil are • PETROLEUM • LIQUIFIED PERTOLEUM GAS • DIESEL FUEL • MOTOR OIL • KEROSENE • SULPHUR • ASPHALT

7. As India is not able to fulfill its demand of petroleum products from the supply of produced petroleum in India it self, it IMPORTS petroleum from different countries. IRAN (11%)SAUDI ARABIA(18%)AFRICA(22%)MIDDLE EAST(34%)other countries (15%)are the countries from where India imports.

8. From the petroleum products imported only 7% of it is consumed as petrol. • 8% as kerosene • 9% as LPG • 36% of it is consumed as DIESEL • Whereas 40% is used in other products. • This shows that though the production is too low, India consumes a lot of Petroleum as well as its products

9. REFINERIES IN INDIA

14. Companies in Different Areas • Exploration & Production : Oil & Gas Corporation Ltd. ,Oil India Ltd. , Reliance, Cairn ,Energy, HOEC, Premier oil. • Refining, marketing & Pipelines : Indian Oil Corporation Ltd., Hindustan Petroleum Corporation Ltd. , Bharat Petroleum Corporation Ltd., Reliance Industries./Essar Oil Ltd./Shell • Gas Transport & Distribution: GAIL (India) Ltd.

15. In 2014 it is assumed RAJASTHAN would produce 40% of the total oil production. • It may be observed that both production and consumption of petroleum products have marked upward trend since 2004-05. • During April-December 2011, the import of crude oil was 125.59 valued at Rs.4,69,999crore.While during the same period in 2010-11, the imports were 121.49 valued at Rs. 3,16,443 crore, thus an increase of about 4% in terms of quantity and 48.5% in value terms during 2011-12 over the same period in the preceding year. • The quantity of petroleum products importeduptoDecember 2011 was 11.26 valued at Rs. 35,131 crore. While during the same period in 2010-11imports of these products were 12.95 valued at Rs. 39.275 crore, which shows during 2011-2012 imports of petroleum products decreased by 13.06% in terms of quantity and 10.55% in terms of value as compared to the same period during the previous year. • During 2011-12 a total of 46,220 of petroleum products, valued at Rs. 1,99,932 crore were exported. Increased by 6.8% in terms of quantity & 50.06% terms of value as compared to previous year.

16. Steps Towards Conservation • Use of solar energy, if facility and time permit • In the rural sector, use of gobar gas plants, would be an excellent fuel conserving technique. • If feasible, the use of electric hot plates could be fuel-saving tip. • Use of methanol/ethanol along with MS/HSD transport vehicles as a conservation measure. • Use of battery operated vehicles. • Awareness of conservation of petroleum products. • Regular use of lubricants that make fuel efficient and long drain.

17. Strengths • India is the world’s 5th biggest energy consumer and continues to grow rapidly. • Major natural gas discoveries by a number of domestic companies hold significant medium to long term potential. • Demand for petroleum products. • Increase in demand for oil and gas. • High exploration portolio.

18. Weakness • The oil and gas sector is dominated by state-controlled enterprises, although the government the government has taken steps in recent years to deregulate the industry and encourage greater foreign participation. • Increase in oil prices • Inadequate & slow developing infrastructure • Lack of awareness in safety issues • Environmental issues

19. Opportunities • Liquefied natural gas imports are still set to grow rapidly over the longer term as domestic consumption expands • India has freed gasoline retail price controls • Untapped domestic oil and gas potential • Strong domestic energy demand growth • High recovery rates from existing projects

20. Threats • Increased competition with in government and private players. • Continuing governing interference • Changes in national energy policies

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