(94e) Energy Efficiency and Cost Saving Economy in Libyan Oil Refineries

Libya is the second largest producer of oil in Africa next to Niger and is the major supplier of petroleum crude to Europe (EU). According to the Oil and Gas Journal (OGJ), Libya holds close to 44 billion barrels of oil reserves, the largest in Africa. Energy Information Agency (EIA) data indicate that during the year of 2008 total oil production (crude plus liquids) was approximately 1.88 million barrels per day (bbl/d).

The Petroleum refining industry in the Libyan Arabic Jamariyah is developing well and is attractive due to low sulphur content crude and high API gravity. Because of low sulphur content it needs much less refining processes as compared to high sulphur content crude oils and yields more straight-run gasoline and middle distillates.The Refining Industry operates five Refineries (Brega, Ras Lanuf, Sarir, Zawia, and Sirtie) in Libya with a capacity of 348,000 bbl/d. National Oil Corporation (NOC) owns these refineries and operates them through its subsidiaries and employs approximately 8000 employees. The Libyan Refining industry produces petro-products of value exceeding US $ 30 billion (Oil Export, Natural Gas and Refining). Refineries spend little more than 50 percent on operating costs (Excluding capital cost and Depreciation) and on Energy which is the main cost factor. Energy efficiency is vital for cost reduction in Refining industries.

Production of Energy is the main source of emissions in the refining industry and needs consideration for reduction in emissions as well as in operating costs in the Libyan oil Refineries. This paper emphasizes on the major energy efficiency methods, cost savings and opportunities for LIBYAN PETROLEUM REFINERIES in the international oil and gas market. The trends, planning, structure and production, energy used in refining and the conversion processes have also been discussed.

Key words: Petroleum Refining, Low Sulphur, Straight-run Gasoline, Middle Distillates, Energy Efficiency, and Cost Reduction

1 ? Professors (Dr.), Department of Natural Resources Engineering, Gharyan, Libya 2 ? Professor and Head, Department of Natural Resources Engineering, Gharyan,Libya 3 ? Professor (Dr.) and Dean, Faculty of Engineering, Gharyan, Libya * - Professor (Dr.) Department of Natural Resources Engineering, Gharyan, Libya E-mail: chandrakantsarkar@gmail.com; govindaswamy.balachandran@gmail.com