Tatarstan adopts new technology of heavy oil processing

A unit for processing heavy charge using the advanced VCC technology will appear at the oil-processing plant “TAIF-NK” in 2015.

A contract for basiс engineering of the unit with a capacity of 3 mln tons per year was signed today between JSC “TAIF-NK” and an American engineering company KBR in Kazan. In the presence of the Tatarstan President Rustam Minnikhanov the document was signed by the first president, member of KBR Board Tim Challand and Director general of JSC “TAIF-NK” Amil Kalimullin.

A new unit will be functioning by the licensed technology «Veba combi cracker» which surpasses all known technologies 2-2,5 times by profit generation. The new unit will enable processing all kinds of black oil into light oils.

Preliminary estimated cost of the project is 1,5 bln dollars with payback time of three years after putting the unit into operation.

“TAIF-NK” has become the third company which obtained the license for using VCC technology. Within previous 1,5 years two big Chinese oil corporations have signed contracts for development and construction of VCC units with KBR company.

The technology was developed in the middle of the last century. It was used in Germany during World War II for getting oil products from coal. Later on it became unprofitable since oil was a rather cheap product. During the last few years KBR and BP companies have improved this technology in respect to heavy charge, bitumen and heavy oil.

Tim Challand believes Tatarstan has a great potential for using VCC technology since there are huge reserves of heavy oils in republic.

The Tatarstan President Rustam Minnikhanov stressed that the project completely fits in the idea regarding the need for increasing the depth of oil processing announced by the country’s leadership.

Head of RT reminded that “TAIF-NK” was searching for suitable technologies during 5-6 years. “We are now on the stage of basic engineering and I am sure we will manage to realize the project within 3-4 years,” The Tatarstan President stated.

He added that the project may be used in other oil processing projects in Tatarstan, for example for processing heavy charge at “TANECO” and bitumen oil. By words of Rustam Minnikhanov the project is expected to demonstrate advantages of new technology.

The President congratulated partners on signing the contract noting he is sure in successful realization of the project.