Oil Refining
Refinery economics depend not only on crude quality but equally on refinery configuration, processing complexity, and regional operating context. Identical crude oils can exhibit materially different economic outcomes when processed through different refinery configurations.
In this area, the analytical emphasis is on evaluating the relative affinity of a given crude oil across multiple standard refinery configurations, representative of major refining regions.
The methodology considers:
Configuration-specific processing units
Conversion severity and flexibility
Product slate implications under regional demand structures
A stylised optimisation framework is used to compare how a selected crude performs across different standard refinery types, enabling consistent, like-for-like assessment.
Standardised refinery configurations are used for illustration, with capacities and structures reflecting common regional archetypes. The objective is to demonstrate how configuration, rather than crude quality alone, drives economic outcomes.
Where required, the framework can be adapted to reflect site-specific refinery layouts and capacities using client-provided data.
As part of our internal validation process, the analytical framework has been independently tested in two complementary modes —
- evaluating a single crude across multiple refinery configurations, and
- evaluating multiple crudes within a single refinery configuration
This bidirectional validation reinforces the structural integrity and reliability of the underlying optimisation framework
Illustrative explorations
Presented below is an illustrative application of this framework, assessing refinery-wise indifference values for all representative crudes for a selected refinery configuration
Refinery-wise Crude Indifference Values
Our commercial implementation integrates complementary analytical modules that assess refinery-wise indifference values across crude slates and crude-wise indifference values across refinery configurations
By comparing the relative positioning of both refineries and crudes within a consistent analytical framework, the approach provides a structured view of crude sourcing strategy, competitiveness, and optionality
Independent Strategic Advisory
We undertake structured, client-specific project assessments drawing on the analytical frameworks outlined above.
To initiate a discussion, please submit a brief outline via the Advisory Inquiry Form.