S-Oil commits to complete new FCC, petrochem capacity by June 2018

South Korean refiner S-Oil has made a final commitment to build a 60,000 bpd fluid catalytic cracking (FCC) unit with associated petrochemical capability, to be completed by June 2018, as per ArgusMedia. S-Oil has an existing 580,000 bpd refinery and petrochemical complex at Onsan. The new FCC will adopt high-severity technology licensed by Axens. It maximizes a propylene yield ratio of up to 20% compared with a normal yield at about 5-10%. S-Oil has not yet finalized the final plans on propylene capacity but said output will be close to 700,000 tpa. The new unit will take the company's total propylene capacity to about 900,000 tpa. The FCC will also be able to produce up to 200,000 tpa of ethylene from an off-gas recovery unit. S-Oil has planned to build two propylene derivative units to extend its petrochemical supply chain, including a 400,000 tpa polypropylene unit and a 300,000 tpa propylene oxide plant, which are targeted to start up in the second half of 2018. No investment plans have been made for ethylene downstream units.
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