Essar Oil commissions diesel hydrotreater unit at Vadinar refinery complex

Essar Oil Ltd today announced the successful commissioning of a diesel hydrotreater unit I (DHDT-I) at its Vadinar refinery site, which will help it to produce Euro V grade gasoil (diesel).

With the phase-wise commissioning of three additional units, slated for the end of this month, the refinery is now firmly on track to complete the Phase I expansion by March 2012, the company said in a release today.

The completion of Phase I of the expansion programme will take total reefing capacity at Essar's Vadinar project to 18 million tonnes per annum (or 375,000 barrels per day) and enhance complexity to 11.8 (from 6.1 currently).

Essar Oil said, with the commissioning of the hydrotreater, the company's capital expenditure programme will begin to taper downwards and, going forward, will see substantial pick-up in its revenue and profitability.

The 4-million-tonne DHDT-I at the Vadinar refinery will upgrade diesel quality by treating the sour diesel streams and achieving reduction in sulphur as well as an improvement in the cetane index. The DHDT-I will thus ensure that the diesel produced at the refinery will meet Euro V specifications.

Essar Oil has already commissioned the isomerisation unit, which was the first expansion unit to be commissioned, that gives the refinery the capability to produce gasoline (petrol) of high octane rating and almost zero sulphur content.