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dreams of Babylon rising
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Discussion Starter · #1 ·
Iraq Oil Refining Projects | Completed & U/C

The al Dora oil refinery has had two units of 70k barrels/day added to it. This has expanded the refinery capacity from 70k to 210k/day

The samawa mini refinery is a reconstruction of an old 10k barrels/day unit that was destroyed in the 1991 gulf war. It has been expanded to 30k barrels/day and an asphalt unit has been added in 2009.

The Basra Oil refinery has been expanded to 250k barrels/day by adding two 70k units to it, just like the dora refinery expansion.
 

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dreams of Babylon rising
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Discussion Starter · #2 ·
Iraq has a new project for 4 grass roots refineries.

The projects depend on foreign financing, and this has not been secured yet, but the FEED designs have already been contracted and the first FEED will finish this year, after which Iraq will seek WB funding.

The projects will have the following strategic and tactical advances for Iraq:
-Eliminate imports of refined products
-Export high-value refined products to neighbouring countries
-provide fuel for the expanding consumer base and power generation requirement
-eliminate the use of leaded fuel
-increase output of much needed asphalt
-use the heavy fuels which don't have a very good export market.

The refineries are:
Karbala: 140k barrels/day
Nassiriya: 300k barrels/day
Missan (amara): 150k barrels/day
Kirkuk/Sulaymania: 150k barrels/day

Projects are envisaged to be completed by 2015.
 

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dreams of Babylon rising
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Discussion Starter · #4 ·
as of today iraq is overcapacity in refined products.

note this was only achieved last month when the czechs' finished the dora and basra refinery expansion.

all the new refineries are being built for expected future demand expansion and to introduce unleaded fuel to iraq... (ya there's no unleaded fuel in iraq and 80% of the cars have catalytic converters!!!).
 

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Dreams of Babylon Rising
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^^ that's excellent news :)

although I remember Shahristani saying that Iraq wouldn't achieve fuel self sufficiency until some in 2011 at the earliest ...

80% of cars still on catcons !! :eek:hno:
 

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dreams of Babylon rising
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Discussion Starter · #6 ·
hmmm. i don't know what he meant by that? perhaps LNG? anyway, the ministry is a mess! so don't take my word for it, I could be completely wrong,

honestly no one knows what the real production is! and even if the new units are fully operational or not!

its just pandemonium there. and all because they refuse to use an ERP system (reduces graft, and forces you to learn computers / engRish).
 

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dreams of Babylon rising
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Discussion Starter · #8 ·
there's a 20k barrel refinery in erbil (similar to the slightly larger ones in Najaf and Samawa which are 30k each). Also there will be a new 140k barrel refinery built between Sulaymania/Kirkuk in the new "refinery expansion" plans.

however the KRG play their own games so who knows what they will do... this is the situation as of today.
 

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Dreams of Babylon Rising
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hey sheytan, do you know much about the pipeline that they are proposing to link with Iran. I heard that it will be a two way line that sends crude to Iran, and then imports refined product in return. Is this true? if this the case, then we're clearly still not self sufficient :eek:hno:
 

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dreams of Babylon rising
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Discussion Starter · #10 ·
this was an old idea from a few years back. The Iranians are still pushing it, but the Iraqis have cooled off on the idea since they don't really need it anymore.

What Iraq DOES need from Iran however is lots of NATURAL GAS.

so we will still be dependent on them for Dry natural gas for a long time, as long as currently 700Mcf are flared in associated gas fields (likely to increase as more oil fields are tapped) and Iraq is currently using around 750Mcf from associated fields. Whilst iraq's new power stations need 3000Mcf/d for full capacity. you can see that for the next 6-8 years at least Iraq will need to import Dry natural gas from Iran (and shell's dream of exporting LNG from Iraq are truly pie in the sky).
 

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Dreams of Babylon Rising
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^^ I see

I just don't understand why the progress of the shell's gas capture project is SOOOO SLOW.
It's probably the most needed project of all, but everyone is taking as much time as they feel for no apparent reason. What on earth is behind the delay ! Now it's apparently awaiting cabinet approval (after more than 2 freaking years), and they still haven't approved !
 

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dreams of Babylon rising
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Discussion Starter · #12 ·
The reason is that Shell got an "exclusive" deal from Shahristani on this project to actually have a Production Sharing Agreement (you know the type of contract that the oil companies couldn't get).

They would co-own the Southern Gas Company with Iraq and mitsubishi and be responsible for all associated gas from the oil fields that RIVAL internatiola oil majors are drilling and operating. Those rivals want to trap the associated gas themselves from the fields they control. Shahristani is being suspected by rivals in government for giving both a PSA and an exclusive no-bid agreement with shell... then again, Shell/Mitsubishi want a guaranteed Return On Investment period, that shahristani can't offer them (since he knows most, if not all, the gas will be used domestically with very little margin for Shell).

and shell wants to build an offshore LNG terminal, whilst iraqis want to hook up to the azeri-turkish pipeline...

blah blah blah...
 

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Dreams of Babylon Rising
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^^ hmm.. my impression was that shell wants to profit from selling the gas to power plants and LNG products to domestic market. but you're probably right that they would get a relatively smaller margin compared to exports

I find it weird that they got a PSA from shahristani, esp after the year long rampage that he had with KRG about their PSA contracts :eek:hno:

Does Iraq have any capablity of capturing the gas (without resorting to shell)?
 

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It looks Shell is now being given only 3 fields to capture and process the flared gas: Rumaila, West Qurna phase one, Zubair. Shahristani was saying in the news yesterday it's a done deal now. So there's no PSA!
 

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Sheytan, any idea how many of those 10-30 small refineries Iraq has in the north and south? Can they replace the big refineries if they can't get financing for the big ones? In the old days they used to say those small ones are good for nothing and they only produce bad quality products. is that true? The Najaf one looks impressive (to a non-expert like me)...
 

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dreams of Babylon rising
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Discussion Starter · #16 ·
there are lots of small refineries in Iraq: of the top of my head there are:

erbil - 20k
qayarah - non operational as far as i know
hadithah - 10k
Najaf - 30k
Samawah - 30k
khanaqin - 10k (not operational)

did I miss any out?

and yes they do just produce low quality diesel and petrol, so they are completely useless. The one in Najaf that you mentioned is the most "modern" one and is marginally better. But still iraq needs proper modern petrochem complexes to produce the full range of refined products.
 

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Dreams of Babylon Rising
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Foster Wheeler Awarded Contract for New Grassroots Refinery in Iraq

Foster Wheeler AG /quotes/comstock/15*!fwlt/quotes/nls/fwlt (FWLT 24.85, -0.05, -0.20%) announced today that its Global Engineering and Construction Group has been awarded a feasibility study and front-end engineering design (FEED) contract by the Iraqi Ministry of Oil for a new grassroots refinery at Nassiriya in southern Iraq. The proposed refinery will have a capacity of 300,000 barrels per day.

The Foster Wheeler contract value for this project was not disclosed and will be included in the company's second-quarter 2010 bookings.

In executing this contract, Foster Wheeler will develop the configuration of the new refinery to meet the client's processing objectives, evaluate proprietary technologies, prepare a report covering the feasibility of the project and the design basis of the refinery facilities, engage the selected licensors and prepare the front-end engineering design package for the total project.

"This award reflects our position as a leading refining contractor. We believe that the very balanced and objective approach we apply to refinery investment planning and technology evaluation, our long and successful track record in refining project execution, and the in-depth technical expertise and experience of our refining consultants have again delivered a winning combination," said Umberto della Sala, president and chief operating officer, Foster Wheeler AG.
 

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dreams of Babylon rising
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Discussion Starter · #20 ·
yup. in fact the FEED for the karbala refinery is finished... but no investor to make it happen yet (although ground has been cut already, some works and storage tanks built...). still Nassiriya needs a foreign investor of at least $2Bn (for a 50% share).. WB seems to be one of the few candidates.
 
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