Marginal refineries continue to struggle with weak margins and a very competitive business environment. Operational margin erosion due to real-time gaps against the plan and the best possible is undermining efforts to counteract the market pressures. Improving refinery margins and sustaining them is the need of the hour to stay in business.
Sanjay Bhargava explains how selectively targeting, implementing and sustaining efforts reduces margin erosion and improves the plant’s ability to compete in today’s market. The combination of KBC’s legacy holistic margin improvement methodology and the latest digital tools form the main components of a Digital Profit Improvement Program (D-PIP). During preliminary assessments, KBC routinely finds significant margin gaps between actual operation and best possible operation. Regardless of complexity or size, the gaps are typically in the order of 50 to 150 cents/bbl (35-100 MM$/yr for a 200 kBPD refinery),
This compact webinar outlines the approach from discovering the largest causes of margin erosion, in typical areas such as yield, energy, reliability, availability and supply chain, applying profit improvement best practices and focusing an agile delivery can start generating profits quickly, as early as the first 3rd months of the project. The use of Digital Twins (accurate, virtual real time simulation models of the process units) as the foundational building blocks for opportunity identification and evaluation, can then be utilized later for sustainment and creating an evergreen continuous improvement program.
Attend the webinar to learn:
- Details about typical areas and magnitude of margin erosion
- How to identify and close margin gaps using the D-PIP by selective targeting
- How to not only implement but sustain superior margins
- Enhanced uses of a Digital Twin for further margin improvement