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GERMAN REFINERY WITH DAILY OUTPUT OF 260,000 BPD - BETWEEN £URO55 MILLION AND £URO60 MILLION

GERMAN REFINERY WITH DAILY OUTPUT OF 260,000 BPD - BETWEEN £URO55 MILLION AND £URO60 MILLION
  • ProductsGERMAN REFINERY WITH DAILY OUTPUT OF 260,000 BPD - BETWEEN £URO55 MILLION AND £URO60 MILLION

Detailed

Please can you get an interested buyer in Asia, Middle East or Arabian Sheikhs to buy a refinery in Germany? Kindly ask your contacts if any of them are interested. Read the details of the refinery below.
 
German Refinery
 
A German refinery with daily production capacity of 260,000 bpd is going for sale between £uro55 Million and £uro60 Million. The refinery was constructed between 1973 and 1976. The refinery was shutdown for five years in the late 1980s for modernisation. It was put back into service in 1991. The Major oil company has no plan to resume operations at the plant."

In 1997, the refinery's processing capacity was increased from 8mtpa to 10.3mtpa. Installation of a new vacuum distillation unit at the refinery began in 2004. In March 2006 the refinery was purchased bought by major oil company. The refinery features eight processing units, another five plant units and 20 rigid roof tanks. It is equipped with 33 floating roof tanks and nine liquefied petroleum gas spheres.
 
The product tanks feature twin seals and are provided with floating roofs to reduce evaporation of hydrocarbons into the atmosphere. The ships are loaded using four jetties located in a natural deep-water port. Four tank wagon loading bays and loading facilities for tank lorries are also available at the refinery.
 
Extension
In March 2008, an upgrade programme for the refinery was unveiled. The $600m project, which now stands cancelled, aimed at enabling the refinery to process different varieties of crude oil and reducing operating costs. The project included addition of a coker, hydrocracker and hydrogen units to the refinery. Deep conversion processes and power generation facilities were also planned to be added to the refinery.
 
In October 2009, the refinery was shut down for six months for maintenance operations. In November 2009, the upgrade programme was delayed due to economic recession and inability to secure funds for the project. The refinery was restarted in April 2010 following the completion of maintenance works.
 
"The refinery processes low-sulphur crude oil from the North Sea."
In July 2010, the major oil company that owns the refinery announced that the upgrade programme was cancelled as it wanted to reduce investment in downstream projects. The owner plans to cut its global refining capacity from 2.7 million bpd to 2-2.2 million bpd in 2012. The decline in profit margins and demand for fuels was another reason for cancelling the project.
 
The major oil company has no plan to resume operations at the plant. The company is currently evaluating options of selling or converting the refinery into a fuel terminal. Russia's Lukoil is among the prospective buyers for the refinery. Several oil companies in Europe are planning to dispose of assets as a result of weak demand and excess global capacity. The profit margins of these companies are being squeezed as a result of this situation.
 
Contractors
Poland-based Naftobudowa was responsible for prefabrication and erection of the heater steel structure of the refinery. Modernisation of the refinery between 1998 and 1999 was carried out by Maverick Technologies. Maverick carried out advanced control studies for all the units of the facility. The company also installed advanced controls on several units of the refinery.

The refinery is located in Germany.
Nine liquefied petroleum gas spheres are part of the refinery.
The refinery features eight processing units.
The refinery has four jetties to load ships.
 
Site of the refinery
The refinery is one of the largest independent oil refineries in Europe. The site covers an area of 207ha in Germany. The refinery processes low-sulphur crude oil from the North Sea. The processing capacity of the refinery is 260,000 barrels per day (bpd) and 13 million tons per annum (mtpa). The authorised capacity of the refinery is 15.1mtpa. The refinery produces more than 170 types of petroleum products, which are distributed to Europe and the US.
 
Primary products of the refinery include transportation fuels such as gasoline and diesel, light fuel oil and intermediate feedstocks such as propane and butane. Approximately 90% of the plant output is transported by ship and the rest by road or rail.
 
Likely questions and answers
1) Is the refinery working now?
 Ans: The refinery is not working at the moment. Only the tanks are used. It can be put to full operational capacity within 12 and 16 weeks maximum.
2) What is the condition of the refinery as at today?
 Ans: The whole plant is in excellent condition and is in accordance with the requirements of the German authorities
3) What is the reason for sale?
 Ans: The refinery has been decommissioned because the capacity for the German market was no longer necessary.
4) Who are the owners?
 Ans: The owners are represented by a Dutch company. The owners are a consortium of the oil industry
5) What type of refinery? Is it modular refinery or other?
 Ans: The question I cannot answer at the moment. The refinery has, however, in recent years modernized again to split the heavy constituents of crude oil again
6) Can we have documents on it?
 Ans: Yes, after writing LOI and showing proof of funds. When a potential buyer can confirm the funding and is ready to take on the cost of the preparatory work of Sale, all documents will be made available.
7) Can the buyer buy and retain the refinery on location instead of disassembling and transporting?
Ans: The seller wants to sell the plant for disassembly. A purchase is only useful if the refinery returns to work. This is a secret which the buyer must keep away from the seller. If the seller knows that it will be re-opened, he would increase the value by 8x or more. To build such refinery will cost between US$1.5 Billion to US$2 Billion or more today. We have perfected how the refinery will be retained on the site for the buyer.
8) Can you retain the refinery for our buyer?
Ans: Frankly, it is a first come, first served. It is 2 weeks we informed you about the refinery, it is only one buyer that has shown interest, but he has not fulfilled our conditions. If your buyer can perform before him, your buyer will take it. But as today, it is still available.
9) What is actual selling rate?
Ans: The refinery is worth more than £uro150 Million and seller is looking at £uro150 Million, but we can push it down to between £uro55 Million and £uro60 Million including the agency fees. We can get it below £uro60 Million for disassembling purpose. We will get the support of the German government and the community for the buyer to begin operation on the location. We have a perfect strategy to achieve this.