Modernizacion de Refineria Talara Peru

Peru: Modernization of the Talara refinery
Hydrocarbon Processing 08.01.2015 |

Nogarin, M. , , Santa Cruz de la Sierra, Bolivia
The mega-project expansion at the Talara refinery is the foundation of Petroperus new strategic plan
to increase refining capacity and reduce the sulfur content in refined products.
Keywords: [Peru] [refining] [sulfur] [refined products]
The mega-project expansion of Petroperus Talara refinery is the foundation of the companys new strategic
plan to increase refining capacity and reduce the sulfur (S) content in all refined products. This plan is in
accordance with the framework articulated within the National Energy Policy 20102040 (Decree 064-2010),
which was enacted in March 2014. This project is also referred to as Proyecto Modernizacin de la Refinera
Talara (PMRT), and it is a national interest effort. Most importantly, the modernization of the Talara refinerywill
support public health and the national economy.
Fig. 1. The new refinery scheme under PMRT.
Key objectives
In addition to local issues, PMRT will allow the Talara refinery to meet international environmental standards for
transportation fuels. Key project goals are: 1) providing cleaner, high-quality fuels, and 2) expanding
throughput capacity from 62 Mbpd to 95 Mbpd. Leading-edge technologies will be implemented to yield higherquality fuels, and advanced controls and safety systems will be installed to improve operating safety. Once
completed, the upgraded refinery will have more opportunity to participate in the international fuels market.
Fig. 2. New process flow scheme of the Talara refinery.
As part of the environmental goals, the retrofitted Talara refinery will produce lower emissions from the
complex and generate electricity for the site. The project includes facilities to desalinate seawater and
purification capabilities to avoid impacting local aquifers.
PMRT is different from typical revamp projects: it will essentially be constructing a new refinery. Nine new
major process units will be installed. Only 5% of the present refinery equipment will be reused, and the existing
crude distillation unit will be the only original unit remaining after the revamp.
Fig. 3. The Talara refinery will increase capacity and

reduce S content in all refined products.
Project economics
PMRT involves an investment of $3.5 B over five years. Petroperu has financed $2.75 B and the remainder will
be funded by the private sector. According to a study by ESAN Universitys Finance and Regulation Institute
(FRI), the economic impact of PMRT during the construction phase, which began in June 2014, will contribute
close to $1.86 B to the national GDP while generating taxes in the amount of $372 MM and creating 14,500
jobs, both direct and indirect. Later, during the operational stage, the annual contribution from PMRT will be
$204 MM, generating taxes of $105 MM. The national trade balance will be improved by $4.192 B, due to
lower fuel imports and job creation. At present, the projects progress is 15%. However, the completed
modernized refinery should be operational in late 2015 or 1Q 2016.
Fig. 4. PMRT is a major undertaking by Petroperu.
The contracts for front end engineering and design (FEED) and engineering, procurement
and construction(EPC) were awarded to Tecnicas Reunidas as a lump-sum, turnkey contract. Petroperu has
signed a contract with the PMC Talara consortiummembers include Inelectra Argentina SA, Idom
Engineering and Consulting SA, and Nippon Koei Co. Ltd.to oversee FEED/EPC services.
Project goals
The main objective of this project is the production of diesel and gasoline with less than 50 ppm of S. The
current standard at Talara is 2,500 ppm of S. This new standard is a binding level due to Law No. 28694. The
other objectives are to expand production capacity to 95 Mbpd for heavy crude oil, expand processing
operations, increase production of higher-value refined products and improve processing economics of the
refinery.
Fig. 5. Site preparation for the installation of nine new

processing units at the Talara refinery.
From a technical point of view, the project includes modernization of some units and construction of new
processing units. Existing units to be modernized are:
Updating and expanding the crude distillation unit (CDU) to 95 Mbpd

Retrofitting the vacuum distillation unit (VDU) from 27 Mbpd to 21 Mbpd
Expanding the fluid catalytic cracking unit (FCCU) capacity to 25 Mbpd; this unit produces LPG,
gasoline and diesel.
The new process units under construction are:
A diesel hydrotreater to remove sulfur (S) and to improve the cetane content
A cracked-naphtha hydrotreater to lower S content for catalytic reformer feed
A naphtha hydrotreater
A naphtha catalytic reformer to increase gasoline and naphtha yields
An amine unit to remove S-containing products from waste gases that will be sent to the sulfuric acid
plant
An LPG treatment unit

A second VDU with a capacity of 35 Mbpd to handle the higher refinery throughput, thus doubling VD
capacity
A delayed coking unit to process the slag coming from the VDUs and increase light and middle
distillates production. This is only the second delayed coker unit installed in Latin America, after Venezuela,
and it will increase yield of light and middle distillates.
Utilities projects include:
A hydrogen plant to support the new naphtha catalytic reformer, thus increasing the quality of gasoline
and naphtha yields
A sulfuric acid plant to convert waste gases into sulfuric acid for later sale
A new cogeneration plant using coker gas and a coke refinery to produce steam and electricity to
support part of the refinerys
energy demand. HP

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Peru: Modernization of the Talara refinery

Hydrocarbon Processing 08.01.2015 |

Fig. 1. The new refinery scheme under PMRT.

Fig. 2. New process flow scheme of the Talara refinery.

Fig. 3. The Talara refinery will increase capacity and

Fig. 4. PMRT is a major undertaking by Petroperu.

Fig. 5. Site preparation for the installation of nine new

Updating and expanding the crude distillation unit (CDU) to 95 Mbpd

An LPG treatment unit

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