Post on 05-Jun-2018
Advancements in bright stock refining technology
Timothy Langlais Technical Marketing Manager, Specialty Base Oils
Which product below is refined from naphthenic crude?
A. L C. Both B. R D.
Neither
L R
L R
API Classification Group I Group I
Sulfur, ppm ASTM D7220 1400 597
Viscosity-Gravity Constant ASTM D2501 0.809 0.819
Molecular Weight ASTM D2502 690 680
Flash Point, COC, °C/°F ASTM D92 305/581 299/570
Color, ASTM ASTM D6045 4 1.5
Pour Point, °C/°F ASTM D5950 -9/16 -7/20
Aniline Point, °C/°F ASTM D611 122.0/252 122.1/252
Carbon Type Analysis, %Ca ASTM D2140 5 7
Carbon Type Analysis, %Cn ASTM D2140 28 28
Carbon Type Analysis, %Cp ASTM D2140 67 65
Outline
• Group I supply decline & bright stock • Bright stock technology • Economics of viscosity • A few words about Ergon
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5 Source: Kline & Company, 2015
Trends in finished lubricant technologies threaten legacy Group I refineries…
Global Basestock Supply by Product Types, 2014 to 2024
Group I decline
Group II & III Growth
…and associated bright stock production.
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API Classification
Group I
Group II
Group III
Light Neutral
Yes
Yes
Yes
Medium Neutral
Yes
Yes
Yes
Heavy Neutral
Yes
Yes
None
Bright Stock
Yes
Yes*
None
*Group II bright stock remains shorter in supply and lighter in viscosity than traditional bright stock
Hydroprocessing and the Base Oil Industry
• Hydroprocessing introduced in 1980s to expand capability to process poorer quality aromatic crudes into base oils • Chevron (Richmond CA) – Alaska North Slope • Sunoco – Puerto Rico • Gulf - Idemitsu Chiba, Suncor (PetroCanada)
• Hydroprocessing now represents ~43% of global paraffinic base oil
• Technology easily adapted to naphthenic (waxy, non-waxy) crudes • Ergon, PetroChina
Generalized Process Technologies
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Paraffinic Crude Oil
Distillation (VTB)
PDA
Solvent Extraction
Solvent Dewaxing
Hydrofinishing
BS
Traditional bright stock
Naphthenic Crude Oil
Distillation (VTB)
PDA
Hydrotreating
Catalytic Dewaxing
Hydrofinishing
BS
New Generation bright stock
Naphthenic Crude Oil
Distillation (VTB)
Hydrotreating
BS
Heavy Naphthenic
PDA and catalytic dewaxing technologies yield new generation bright stock
Bright stock increases viscosity more cost effectively than substitutes
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Material
Bright Stock
PIB
PAO
Heavy Naphthenic
Relative Price
1x
1.5x
5x
0.75x
Equivalent Bright Stock:
Substitute
1:1
5:1
1:1
0.66:1
General Performance versus Bright
Stock
-
Poor shear stability
Poor Solvency
Low VI, high PP, poor oxidation
stability
New generation bright stock extends formulation capabilities to higher ISO grades…
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Group III
Generalized max viscosity
Group II
Traditional bright stock
New generation bright stock
In summary…
• Traditional bright stock supply trending down with shift away from Group I technology in finished lubricant specifications
• New refining technologies produce a Group I bright stock from naphthenic crude
• New generation bright stock creates formulation and economic value
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Ergon Corporate Profile
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Vicksburg, Mississippi (USA) ISO 14001:2004 / ISO 9001:2008 / REACH Compliant
Naphthenic Refinery Base Oil Capacity: 22,000 barrels per day
Newell, West Virginia (USA) ISO 9001:2008 / REACH Compliant
Paraffinic Refinery Base Oil Capacity: 6,000 barrels per day
• Privately (family) owned • Headquarters: Jackson, Mississippi, USA • Employees: >2,600 • 60+ companies under the Ergon
Umbrella
• Largest naphthenic base oil refiner in the world
• 5th largest base oil refiner in North America • 8th largest base oil refiner in the world • Customer Service available 24 hours a day,
362 ½ days per year
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Available Global Base Oil Storage - 2.1 million barrels - 88.2 million gallons - 286,440 metric tons
Global Distribution of Specialty Oils
Distribution Network
Refineries
Corporate Offices
Contact Information
Jay Coleman Ergon Sales Director, Specialty Base Oils 601-933-3204 | office 800-824-2626 | toll-free jay.coleman@ergon.com
Gerardo Maldonado Ergon Sales Director, Latin America 281-751-8896 | office 800-824-2626 | toll-free gerardo.maldonado@ergon.com
For further questions, technical or commercial, please contact us.
North & South America | Phone: +1 601 933 3000 | ergonnsa.com
International| Phone : +32 (0)2 351 23 75 | ergoninternational.com
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Tim Langlais Ergon Technical Marketing Manager, Specialty Base Oils 281-202-3607 | office 800-824-2626 | toll-free tim.langlais@ergon.com