INTEGRATED
REPORT
2019

Feedstocks and production processes

GRI indicators:
Capitals:

In its refining and petrochemical operations, the Group processes various raw materials and semi-finished products. Crude oil is the principal raw material used in production, and other feedstocks include biocomponents and chemicals.

Raw and other materials used in production

GRI:
  • 301-1

Consumption of raw and other materials

Non-renewable raw materials [t]
PKN ORLEN ORLEN Lietuva Unipetrol
2019 2018 2019 2018 2019 2018
Crude oil 16,207,406 15,855,298 9,515,218 9,689,602 7,853,987 7,555,118
Other 2,059,879 1,974,529 374,864 217,027 2,282,514 2,512,813
Renewable raw materials [t]
PKN ORLEN ORLEN Lietuva Unipetrol
2019 2018 2019 2018 2019 2018
Biocomponents 828,661 804,212 92,127 86,989 293,720 281,230
Crude oil consumption
Crude oil consumption [t] Share of crude in total feedstocks [%]
2019 2018 2019 2018
PKN ORLEN 16,207,406 15,855,298 83 83
ORLEN Lietuva 9,515,218 9,689,602 97 97
Unipetrol 7,853,987 7,555,118 79 77

 

Crude oil, a non-renewable resource, is purchased for all ORLEN Group refineries as part of an integrated procurement process handled by PKN ORLEN, which buys oil from external suppliers.

Other materials used in our plants include natural gas, biocomponents and semi-finished products, exchanged mainly between the refinery and the petrochemical plants (they are not primary feedstock).

GRI:
  • OG-14

Consumption of biofuels meeting the sustainability criteria

In order to protect the environment and in view of the national requirements to ensure the mandatory minimum share of biofuels in transport, in 2019 the ORLEN Group used over 850,000 tonnes of methyl esters and around 260,000 tonnes of bioethanol.

All the biofuels used by the ORLEN Group in its markets met the sustainability criteria specified in the RES Directive and Fuel Quality Directive.

Volumes of biofuels used by the ORLEN Group – biofuels meeting the sustainability criteria on the Polish, Czech and Lithuanian markets

2019 2018 2019 2018 2019 2018 2019 2018
Poland* Czech Republic** Lithuania*** TOTAL
Esters [t] 642,684 635,516 141,205 111,261 68,869 70,207 852,758 816,984
of which: produced by ORLEN Południe [t] 256,043 248,896 256,043 248,896
Bioethanol [t] 191,832 177,583 50,773 65,414 21,570 16,783 264,175 259,780
Synthetic hydrocarbons for diesel oil [t] 997 1,688 2,685
Synthetic hydrocarbons for gasoline [t] 233 233

 

2019 2018 2019 2018 2019 2018 2019 2018
Poland* Czech Republic** Lithuania*** TOTAL
Esters [m3] 720,498 712,548 159,915 126,003 77,994 79,510 958,407 918,061
of which: produced by ORLEN Południe [m3] 287,044 281,876 287,044 281,876
Bioethanol [m3] 246,571 228,321 64,188 82,698 27,269 21,217 338,029 332,236
Synthetic hydrocarbons for diesel oil [m3] 1,291 2,167 3,458
Synthetic hydrocarbons for gasoline [m3] 302 302

 

Note: Biocomponents not produced by ORLEN Południe were purchased from third-party suppliers.
* To maintain consistency with the NIT report to the Energy Regulatory Office, the conversion of tonnes into thousand of litres for PKN ORLEN S.A. was based on densities calculated in accordance with the MINISTER OF ECONOMY'S REGULATION on heating values of biocomponents and liquid fuels of October 21st 2014. For the Czech Republic and Lithuania, standard densities were used.
** Biocomponents used for blending fuels for the Czech market.
*** Biocomponents marketed on the Lithuanian, Latvian and Estonian markets.

Benzene, lead and sulfur content in fuels

GRI:
  • OG-8

The key objective of the ORLEN Group refineries is to make liquid fuels that meet relevant standards and regulatory requirements. All processes along the production chain are geared towards producing quality components for fuels that comply with those standards and requirements.

PKN ORLEN – production plant in Płock

Crude oil is separated into fractions (distillates) in fractional distillation units.

At subsequent stages, the distillates are further processed in the following units:

  • Cracking unit.
  • Alkylation unit.
  • Reforming unit.
  • Isomerisation unit.
  • Diesel fuel hydrodesulfurisation unit.
  • Hydrocracking unit.
  • Petroleum tar hydrodesulfurisation unit.

where the following processes occur: hydrogenation, conversion of nitrogen and oxygen compounds, cracking of paraffin, olefinic and aromatic hydrocarbons with side chains into hydrocarbons with lower molecular mass, conversion of low-octane C5-C6 aliphatic hydrocarbons into higher-octane isomers, dearomatisation, and demetallisation.

Also, sulfur and benzene are removed to achieve concentration levels ensuring the components meet the required quality standards. The fuel components do not contain lead.

Liquid fuels are made by blending selected components (also biocomponents in the case of some fuel types) and adding boosters and additives according to the blending formula.

ORLEN POŁUDNIE

The main purpose of the plant is to produce biodiesel (fatty acid methyl esters).

The key steps in FAME production include:

  • Chemical degumming.
  • Continuous refining.
  • Esterification of fatty acids.
  • Transesterification of rapeseed oil.
  • Washing and drying of biodiesel.

during which the following processes occur: removal of phosphorus compounds and free fatty acids from rapeseed oil, reduction of acidity, reacting oil with methanol to form methyl esters, biodiesel washing and drying. There is no need to use desulfurisation or benzene and lead removal processes.

ORLEN Lietuva

Crude oil is separated into fractions (distillates) in fractional distillation units.

At subsequent stages, the distillates are further processed in the following units:

  • Cracking unit.
  • Reforming unit.
  • Isomerisation unit.
  • Visbreaking unit.
  • Oligomerisation unit.
  • Diesel fuel hydrodesulfurisation unit.

where the following processes occur: hydrogenation, conversion of nitrogen and oxygen compounds, cracking of paraffin, olefinic and aromatic hydrocarbons with side chains into hydrocarbons with lower molecular mass, conversion of low-octane C5-C6 aliphatic hydrocarbons into higher-octane isomers, dearomatisation, and demetallisation.

Also, sulfur, benzene and lead are removed to achieve concentration levels ensuring the components meet the required quality standards.

Liquid fuels are made by blending appropriate components (also biocomponents in the case of some fuel types) and adding boosters and additives in accordance with the blending formula.

UNIPETROL RPA – Litvinov and Kralupy refineries

Crude oil is separated into fractions (distillates) in fractional distillation units.

At subsequent stages, the distillates are further processed in the following units:

  • Cracking unit.
  • Reforming unit.
  • Isomerisation unit.
  • Diesel fuel hydrodesulfurisation unit.
  • Hydrocracking unit.
  • Visbreaking unit.

where the following processes occur: hydrogenation, conversion of nitrogen and oxygen compounds, cracking of paraffin, olefinic and aromatic hydrocarbons with side chains into hydrocarbons with lower molecular mass, conversion of low-octane C5-C6 aliphatic hydrocarbons into higher-octane isomers, dearomatisation, and demetallisation.

Also, sulfur and benzene are removed to achieve concentration levels ensuring the components meet the required quality standards. The fuel components do not contain lead.

Liquid fuels are made by blending selected components (also biocomponents in the case of some fuel types) and adding boosters and additives according to the blending formula.

The table shows benzene, lead and sulfur content in liquid fuels, by Group company.

All liquid fuels made and marketed by PKN ORLEN and ORLEN Group companies as finished goods (final products ready for sale) meet the applicable legal and formal requirements and standards for benzene, lead and sulfur content.

Product and service labelling

GRI:
  • 417-1

The obligations of the ORLEN Group companies to provide information on potential hazards associated with the chemicals they manufacture or import follow from international and EU laws. The scope and division of responsibilities at the Group companies are defined in internal regulations.

Safety data sheets, developed in accordance with the REACH Regulation, are the basic source of information on the classification and hazards for the chemicals manufactured or imported by the ORLEN Group companies.

Products are classified based on research and expert knowledge of their properties, and the classification makes it possible to label them correctly (in accordance with the CLP Regulation) and identify risks in transport, based on which the dispatchers prepare the ADR labels (hazard warning labels).

Safety data sheets are mainly a source of information on products intended for industrial and professional applications. In the case of products marketed directly for use by general consumers, the relevant information is provided by ORLEN Group companies by appropriate labelling of product packaging.

In addition to pictograms, labels on product packaging contain appropriate hazard and precautionary statements (H and P statements).

Given the wide range of applications of ORLEN Group products, information on product packaging is supplemented with detailed data required under specific legal provisions applicable to detergents, fertilizers, etc.

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