ExxonMobil Invests in Singapore Integrated Complex to Upgrade Product Slate to Higher-Value Lube Base Stocks, Distillates
ExxonMobil said today that it has made a final investment decision on a multi-billion dollar expansion of its integrated manufacturing complex in Singapore to convert fuel oil and other bottom-of-the-barrel crude products into higher-value lube base stocks and distillates.
ExxonMobil
said today that it has made a final investment decision on a
multi-billion dollar expansion of its integrated manufacturing complex
in Singapore to convert fuel oil and other bottom-of-the-barrel crude
products into higher-value lube base stocks and distillates.
The expansion project is part of the company’s plan to further enhance
the competitiveness of the Singapore facility, which includes the
world’s only steam cracker capable of cracking crude oil. The project,
which leverages proprietary technologies, integration and scale, will
significantly increase site downstream and chemical earnings potential.
Engineering, procurement and construction activities have begun, and
startup is anticipated in 2023.
“The demand for high-quality fuels and lubricants will increase as the
global economy expands,” said Bryan Milton, president of ExxonMobil
Fuels & Lubricants Company. “By using a combination of proprietary
catalyst and process technologies, we will increase the site’s
competitiveness and help meet growing demand for high-performance
lubricants and cleaner fuels.”
The investment will add 20,000 barrels per day of ExxonMobil Group II
base stocks capacity, which includes EHCTM 50 and EHCTM 120
grades, in addition to a new high-viscosity Group II base stock to meet
increasing demand in the Asia-Pacific region.
“The project also applies new chemicals technologies and leverages
integration across the crude cracker and refining complex to further
enhance the competitiveness of crude cracking,” said Karen McKee,
president of ExxonMobil Chemical Company.
The expansion will add the capacity to increase production of cleaner
fuels with lower-sulfur content by 48,000 barrels per day, including
high-quality ExxonMobil Marine fuels to enable customers to meet the
International Maritime Organization’s 0.50 percent sulfur requirement.
The project represents the latest and most significant in a series of
recent ExxonMobil investments in base stock production. Recent
ExxonMobil EHCTM Group II base stock investments include a
2015 expansion in Singapore and the startup of a world-scale, enhanced
hydrocracker unit in Rotterdam in 2018.
Engineering, procurement and construction contracts have been awarded to
Técnicas Reunidas for the new process units, and Wood Group for
interconnecting pipelines and supporting infrastructure facilities. As
part of the project, ExxonMobil is working on a long-term commercial
agreement with Linde to upgrade residue from the site to hydrogen and
synthesis gas.
About ExxonMobil
ExxonMobil, the largest publicly traded international oil and gas
company, uses technology and innovation to help meet the world’s growing
energy needs. ExxonMobil holds an industry-leading inventory of
resources, is one of the largest refiners and marketers of petroleum
products, and its chemical company is one of the largest in the world.
For more information, visit www.exxonmobil.com
or follow us on Twitter www.twitter.com/exxonmobil.
Cautionary Statement: Statements
relating to future plans, projections, events or conditions are
forward-looking statements. Actual results, including project plans,
timing, costs, and production; future earnings potential; integration
benefits; efficiencies and competitiveness; and the impact of technology
could differ materially due to factors including: changes in oil, gas or
petrochemical prices or other market or economic conditions affecting
the oil, gas and petrochemical industries, including the scope and
duration of economic recessions; timely implementation of project plans;
changes in law or government regulation, including tax and environmental
requirements; the outcome of commercial negotiations; changes in
technical or operating conditions; actions of competitors; future demand
growth; and other factors discussed under the heading “Factors Affecting
Future Results” in the “Investors” section of our website and in Item 1A
of ExxonMobil’s 2016 Form 10-K. We assume no duty to update these
statements as of any future date. The term “project” as used in this
release does not necessarily have the same meaning as under any
government payment transparency reporting requirements.
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