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FAVOURABLE GLAVGOSEXPERTIZA OPINION SECURED FOR AORC PROJECT EXPERT REVIEWAT AT NZNP

2022-03-14

Favourable opinions have been secured under state expert review by FAI Glavgosexpertiza of Russia for projects executed as part of construction of the Advanced Oil Refining Complex (AORC) for petroleum feedstock and middle distillates at Novoshakhtinsk Oil Refinery.

Expert review of design documentation and engineering survey results covered all process facilities of the complex, including construction of utilities, infrastructure and off-sites:

·         Kerosene and Diesel Hydrotreatment Unit with a capacity of 2,160.8 KTPA;

·         Integrated Hydrocracking Unit with a capacity of 2,571 KTPA comprising 70 KTPA Hydrogen Section;

·         Sulphur Unit (Stage 2) with a capacity of 95 KTPA;

·         Delayed Coking Unit with a capacity of 1,860 KTPA.

 Kerosene and Diesel Hydrotreatment Unit is currently at the detailed design documentation development stage, and the detailed engineering documentation for main process equipment is pending review.

As for the Integrated Hydrocracking Unit with Hydrogen Section, Delayed Coking Unit, and Sulphur Unit (Stage 2) projects, persistent efforts are taken to prepare procurement documentation, and the development of detailed design documentation has already been launched.

Complete Front End Engineering Designs have been received from licensors for the following units: Diesel Hydrotreatment, Hydrocracking, Sulphur, and Delayed Coking units.

AORC construction project is implemented as part of Construction Stage IV at Novoshakhtinsk Oil Refinery JSC. The project is executed by NZNP-Engineering jointly with Peton Engineering Holding.

Upon implementation of investment programme Construction Stages III and IV at Novoshakhtinsk Oil Refinery, the feedstock processing depth will rise to 97%, the percentage of light oil products will grow 1.5-fold, commercial production of summer and winter diesel, kerosene, coke, and coking additive will be launched. Hydrogen sulphide will be recovered for commercial products, viz. free and granulated sulphur.

In addition, the project provides for activities intended to reduce man-made environmental impact. More than 1,000 new jobs will be available at the plant as a result of the project execution.