1. Antipinsky Oil Refinery: Sustainable Development and Good Prospects

Antipinsky Oil Refinery: Sustainable Development and Good Prospects

Antipinsky Oil Refinery in the Tyumen Region is one of the youngest in the industry. Its history began only nine years ago, but during this period of time Antipinsky Oil Refinery joined the ranks of the largest enterprises of the Urals Federal District. And its development hasn’t stopped at this stage. The refinery’s plans are ambitious: to occupy leading positions in the fuel and energy sector of Russia. And these plans are sure to materialize, the managers of Antipinsky Oil Refinery believe. The enterprise has all it needs for this purpose: up-to-date machinery, partner agreements, investments. And, first and foremost, its close-knit business team.

Historical landmarks. In 2004 the administration of the Tyumen Region approved and backed the construction of the first oil refinery in the region. In spite of the fact that “matryoshka” (nest-doll) of Tyumen is one of the largest oil and gas constituents not only of Russia, but also of the entire world, there have been no major refineries there. Citizens of Tyumen acquired light oil products from other regions in the volume of about 1.2 million tons p.a. So, the establishment of a new enterprise was well reasoned, since it meant additional taxes, jobs, and diversification of regional economy.

The construction of an enterprise intended for the output of a wide range of products from scratch involved considerable capital investments. That is precisely why a decision was taken to build it stage by stage, in workflow phases. Each workflow phase implies the organization of a finished production cycle. And though the refinery was constructed during a rather difficult time period for national economy the chosen strategy made it possible to follow developed plans. One may say the major oil refinery was built with Swiss accuracy necessary for the managers of the enterprise. The refinery has its own principle of effective work – “Strategies. Technologies. Innovations.”

As a result the first phase of the refinery was commissioned in two years after the works had begun. The enterprise personnel at that time numbered just about 250 people. The first batch of products was sold to a local company in Tyumen. Then the estimated capacity of the refinery accounted for 400 thousand tons p.a. Tyumen Regional Governor Vladimir Yakushev, who had visited the enterprise in 2006 one month prior to the official opening ceremony, pointed out that it was very important for the south of the region from a historical point of view that it would have its own oil refinery. “Added value yielded by the enterprise is much higher than that gained in case of crude trading, and the economy of the region becomes more interesting,” the governor stressed.

The development strategy provides for simultaneous construction of the next phase and for expanding capacities at the already operating site due to production modernization. Owing to this concept as early as in two years after commissioning the enterprise began to output 740 million tons of oil products p.a. In parallel the second phase of the refinery was being constructed: it was put into industrial operation on May 1, 2010. From that day on the refinery started the production of directly distilled gasoline, commercial diesel fuel and commercial fuel oils. The capacity of the second phase amounted to 2.75 million tons p.a., but in the course of modernization it grew up to 3.5 million tons p.a. by the 2012 yearend. So, the aggregate capacity of the refinery totaled 4.2 MILLION TONS P.A. by the 2012 yearend.

In addition to the building of process lines the enterprise was busy with the reconstruction of Antipino railway station. A finished product sector was built there for the purpose of transportation of light oil products by rail. The commissioning of this sector has made it possible to load up to 8 million tons of oil products p.a..

High Quality Prospects for Antipinsky Oil Refinery

Prospects and the output of products in demand on the market have become the visiting card of the enterprise. Antipinsky Oil Refinery has proved to be attractive for both, Russian and foreign investors. In March 2012 Antipinsky Oil Refinery signed a multi-currency credit agreement on extending term and revolving credit facilities to the tune of $750 million to it. OAO Gazprombank (OJSC), Raiffeisen Bank International AG and ZAO Raiffeisenbank (CJSC) jointly with GlencoreInternational AG, Vitol S.A., Globexbank CJSC, and WestLB AG (London) have become parties to the agreement. The borrowed funds have been channeled to the building of the third phase of the refinery.

The third, the most powerful phase, is also being constructed stage by stage, the first stage will be completed already in the current year. By this time the primary crude oil refining unit with the capacity of 3.7 million tons p.a. will have been commissioned which will enhance the enterprise’s productivity by more than up to 7.5. million tons p.a. Simultaneously with it a number of off-site facilities will be put into operation: a tank farm for commercial diesel fuel with the volume of 80 thousand tons, a tank farm for crude oil with the volume of 60 thousand tons, and, what is especially important for environment, up-to-date treatment facilities.

The second stage of the third phase, i.e. the commissioning of the diesel-fuel hydrotreating unit, is planned to be completed at the end of 2014. For proper hydrotreating operations hydrogen production units with the amine gas treatment block and elemental sulfur production units with the granulation block are to be constructed. As a result Antipinsky Oil Refinery will start producing Euro-5 diesel fuel.

At the third stage the oil processing depth will reach 94% due to the commissioning in the IV quarter of 2015 of the combined deferred tar carbonization unit with a fuel-oil vacuum distillation block. Hence, the output of diesel fuel will grow up to 50% of the total refinery throughput.

In 2016 after the commissioning of the gasoline reforming unit with the catalyst permanent regeneration and isomerization block Antipinsky Oil Refinery will transfer to the production of high-octane gasoline of Euro-5 standard with the octane number of no lower than 95 points under research method (AI-95).

In 2017-2018 it is planned to build the vacuum gasoil hydrocracking unit. The refinery’s own vacuum gasoil from the deferred carbonization unit and the vacuum block will be used as the raw material for it. In addition to that the second hydrogen production unit and off-site facilities will be built.

“The main thing for us is to go ahead and not to rest on laurels. We plan to further expand our enterprise, to find new areas of activity for us, and to make headway to reliable and sustainable future. The rapid construction of the third phase of the enterprise obviously confirms that we follow the course of development we have planned,” Chairman of the Board of Directors of Antipinsky Oil Refinery CJSC Dmitry Mazurov is sure.

One more proof of the fact that the refinery is in demand, a high evaluation of its plans is the pool of partners. Over the entire period of its existence Antipinsky Oil Refinery has managed to establish relations with major oil companies. As of today strategic partners of Antipinsky Oil Refinery CJSC are VITOL, GIENCORE, MERCURIA, IITASCO, Surgutneftegaz, Lukoil, Transneft.

Environmental component

No doubt that the construction of any large enterprise in the region always draws public attention to the issue of environmental safety. Top managers of Antipinsky Oil Refinery haven’t ignored it as well.

The environmental department of an accredited chemical and analytical laboratory has been formed at the enterprise. It exercises permanent control over environment, surface waters and effluents. To reduce the impact on the environment, a number of technological solutions were taken into account already at the design stage of the refinery making it possible to minimize water consumption what means to reduce sewage discharge, pollutant emissions into the atmosphere, and prevent oil and oil-product spillage in the soil, and underground waters.

Besides, within the framework of the third phase construction facilities intended for industrial wastewater treatment have been built. They include several effluent treatment blocks: preliminary, physical-chemical, biological, as well as the block of advanced post-treatment of effluents at sorption carbon filters with subsequent UV disinfection of wastewaters. The total area of treatment facilities occupies 10.73 ha.

Employee care

The company’s management team is sure that efficient business development is possible if only favorable working conditions are created for the refinery’s employees.

“Though the industrial program of the enterprise is ambitious the management team pays much attention to social issues: housing, medical service, financial assistance and compensations, sports and cultural events, charitable aid to orphans, disabled, and other low-income categories of population,” General Director of Antipinsky Oil Refinery Gennady Lisovichenko points out.

Today priority is given to such areas of the social program as the transfer of employees to and from work, medical care, compensations and financial support of employees, subsidized meals, free instructions and additional professional training, inviting students of specialized higher educational establishments for work practice with subsequent employment of them at the refinery after graduation, development of popular physical training and sports, leisure time activities.

The apartment house of 152 flats which is being built now according to the resolution of the Board of Directors will be a pleasant gift to the company employees. Professionals and foremost workers will receive new accommodation. In perspective a cottage village will be built for the company employees.

The basic activities of charitable assistance have also been determined and are being implemented at the enterprise. Assistance is not rendered through charitable organizations and foundations, but directly to orphanages, boarding schools, clubs, cultural institutions, the Tyumen regional organization of the Russian national society for the disabled. Friendly relations have been established between Antipinsky Oil Refinery and Orphanage No. 66 Municipal Educational Establishment for orphans and children deprived of parental care. In addition to that Antipinsky Oil Refinery develops junior sports projects, provides its financial support to one of the junior judo clubs of Tyumen.

The fact that the company leaders want their enterprise to be not only large and profitable, but also socially responsible enables Antipinsky Oil Refinery to be a reliable partner in the sphere of the output and delivery of oil products, as well as to improve life quality in the region.

In their turn, regional authorities are ready to go on supporting the oil refinery and contribute to its development.

“No doubt that during these several years we have achieved much. But no such achievements would have taken place without devoted work of our employees, reliable partners, and suppliers. Every day all these people help the refinery go along the determined route, make and fulfill plans, and occupy leading positions in the industry thanks to their responsible attitude to the business. Today we rank among the major participants of the oil-refinery market of the Tyumen Region, and it has become possible because we have worked and continue to work without looking behind at competitors, putting all our hearts to the development of the business which we know and are fond of,” Dmitry Mazurov underlines.

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