CNOOC was slated to complete construction of its new refinery project in Yingkou of Northeast China's Liaoning Province and kick off trial production this October, a source with China Offshore Oil & Gas Development & Utilization Co said.
The project was equipped with one 1-mil-mt/yr crude distillation unit and a SBS modified bitumen production equipment in the first phase, according to the source.
It would be focus on bitumen production at the beginning, the source introduced, adding that more deep refining facilities would be added later.
The refinery was originally designed with over 10-mil-mt/yr of refining capacity, as reported earlier.
Currently, the Yingkou refinery would consume "Suizhong 36-1" crude for bitumen production, the source said.
The three provinces in Northeast China and Inner Mongolia of North China would be its major bitumen target markets, according to the source. So that, its bitumen sales would not conflict with CNOOC's bitumen plants in Shandong, which would mainly sell to North China, the source added.
The project would also include 30,000-cu-m bitumen tanks. As it has neither oil jetty nor special railway line, the refinery would mainly use trucks for bitumen sales.
With the new bitumen project online, CNOOC would have subsidiary refinery or bitumen plant in almost all major regions in China, including Northeast, North, East, South and even Southwest China. Its rising output of offshore crude oil would also facilitate the giant's ambitious expansion plans in the refining sector. The giant has been deploying the oil products sales channels in the country, which also laid solid foundation for the refining projects in the coastal areas.
The project was equipped with one 1-mil-mt/yr crude distillation unit and a SBS modified bitumen production equipment in the first phase, according to the source.
It would be focus on bitumen production at the beginning, the source introduced, adding that more deep refining facilities would be added later.
The refinery was originally designed with over 10-mil-mt/yr of refining capacity, as reported earlier.
Currently, the Yingkou refinery would consume "Suizhong 36-1" crude for bitumen production, the source said.
The three provinces in Northeast China and Inner Mongolia of North China would be its major bitumen target markets, according to the source. So that, its bitumen sales would not conflict with CNOOC's bitumen plants in Shandong, which would mainly sell to North China, the source added.
The project would also include 30,000-cu-m bitumen tanks. As it has neither oil jetty nor special railway line, the refinery would mainly use trucks for bitumen sales.
With the new bitumen project online, CNOOC would have subsidiary refinery or bitumen plant in almost all major regions in China, including Northeast, North, East, South and even Southwest China. Its rising output of offshore crude oil would also facilitate the giant's ambitious expansion plans in the refining sector. The giant has been deploying the oil products sales channels in the country, which also laid solid foundation for the refining projects in the coastal areas.
