Thursday, May 14, 2015

Oil Trading

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JET FUEL or AVIATION FUEL

type of aviation fuel designed for use in aircraftpowered by gas-turbine engines. It is colourless to straw-colored in appearance. The most commonly used fuels for commercial aviation are Jet A and Jet A-1, which are produced to a standardized international specification. The only other jet fuel commonly used in civilian turbine-engine powered aviation is Jet B, which is used for its enhanced cold-weather performance.
Jet fuel is a mixture of a large number of different hydrocarbons. The range of their sizes (molecular weights or carbon numbers) is restricted by the requirements for the product, for example, the freezing point or smoke point. Kerosene-type jet fuel (including Jet A and Jet A-1) has a carbon number distribution between about 8 and 16 (carbon atoms per molecule); wide-cut or naphtha-type jet fuel (including Jet B), between about 5 and 15.

Types

Jet A

Shell Jet A-1 refueller truck on the ramp at Vancouver International Airport. Note the signs indicating UN1863hazardous material and JET A-1.
A US Airways Boeing 757 being fueled at Fort Lauderdale–Hollywood International Airport.
An Iberia Airbus 340 being fueled atLa Aurora International Airport.
Jet A specification fuel has been used in the United States since the 1950s and is usually not available outside the United States and a few Canadian airports such as Toronto and Vancouver, whereas Jet A-1 is the standard specification fuel used in the rest of the world. Both Jet A and Jet A-1 have a flash point higher than 38 °C (100 °F), with an autoignition temperature of 210 °C (410 °F).

Differences between Jet A and Jet A-1

The primary difference is the lower freezing point of A-1:
  • Jet A's is −40 °C (−40 °F)
  • Jet A-1's is −47 °C (−53 °F)
The other difference is the mandatory addition of an anti-static additive to Jet A-1.
As with Jet A-1, Jet A can be identified in trucks and storage facilities by the UN number 1863 Hazardous Material placards. Jet A trucks, storage tanks, and plumbing that carry Jet A are marked with a black sticker with "Jet A" in white printed on it, adjacent to another black stripe.

Typical physical properties for Jet A and Jet A-1

Jet A-1 fuel must meet:
  • DEF STAN 91-91 (Jet A-1),
  • ASTM specification D1655 (Jet A-1), and
  • IATA Guidance Material (Kerosene Type), NATO Code F-35.
Jet A fuel must reach ASTM specification D1655 (Jet A)
Typical physical properties for Jet A / Jet A-1
Jet A-1Jet A
Flash point38 °C (100 °F)
Autoignition temperature245 °C (473 °F)[10]
Freezing point−47 °C (−53 °F)−40 °C (−40 °F)
Max adiabatic burn temperature2,500 K (2,230 °C) (4,040 °F) Open Air Burn temperature: 1,030 °C (1,890 °F)[11][12][13]
Density at 15 °C (59 °F)0.804 kg/L (6.71 lb/US gal)0.820 kg/L (6.84 lb/US gal)
Specific energy43.15 MJ/kg43.02 MJ/kg
Energy density34.7 MJ/L35.3 MJ/L

Jet B

Jet B is a fuel in the naphtha-kerosene region that is used for its enhanced cold-weather performance. However, Jet B's lighter composition makes it more dangerous to handle. For this reason it is rarely used, except in very cold climates. A blend of approximately 30% kerosene and 70% gasoline, it is known as wide-cut fuel. It has a very low freezing point of −60 °C (−76 °F) and a low flash point as well. It is primarily used in some military aircraft. It is also used in Canada because of its freezing point.

Piston engine use

Jet fuel is very similar to diesel fuel, and in some cases, may be burned in diesel enginesJet fuel is often used in ground support vehicles at airports, instead of diesel. The United States military makes heavy use of JP-8, for instance. However, jet fuel tends to have poor lubricating ability in comparison to diesel, thereby increasing wear on fuel pumps and other related engine parts.
Jet fuel contains more sulfur, up to 1,000 ppm, which therefore it is more lubricative and does not currently require a lubricity additive as all pipeline diesel fuels require. The introduction of Ultra Low Sulfur Diesel or ULSD brought with it the need for lubricity modifiers. Pipeline diesels before ULSD were able to contain up to 500 ppm of sulfur and was called Low Sulfur Diesel or LSD. LSD is now only available to the off-road construction, locative and marine markets. As more EPA regulations are introduced, more refineries are hydrotreating their jet fuel production, thus limiting the lubricating abilities of jet fuel, as determined by ASTM Standard D445.

Worldwide consumption of jet fuel

Worldwide demand of jet fuel has been steadily increasing since 1980. Consumption more than tripled in 30 years from 1,837,000 barrels/day in 1980, to 5,220,000 in 2010.


DIESEL FUEL 

n general is any liquid fuel used in diesel engines, whose fuel ignition takes place, without spark, as a result of compression of the inlet air mixture and then injection of fuel. (Glow plugs, grid heaters and heater blocks help achieve high temperatures for combustion during engine startup in cold weather.) Diesel engines have found broad use as a result of higher thermodynamic and thus fuel efficiencies. This is particularly noted where diesel engines are run at part-load; as their air supply is not throttled as in a petrol engine, their efficiency still remains high.
The most common type of diesel fuel is a specific fractional distillate of petroleum fuel oil, but alternatives that are not derived from petroleum, such as biodieselbiomass to liquid (BTL) or gas to liquid (GTL) diesel, are increasingly being developed and adopted. To distinguish these types, petroleum-derived diesel is increasingly called petrodiesel

Types

Diesel fuel is produced from various sources, the most common being petroleum. Other sources include biomass, animal fats, biogas, natural gas, and coal.

Petroleum diesel

A modern diesel dispenser
Petroleum diesel, also called petrodiesel, or fossil diesel is the most common type of diesel fuel. It is produced from the fractional distillation of crude oil between 200 °C (392 °F) and 350 °C (662 °F) at atmospheric pressure, resulting in a mixture of carbon chains that typically contain between 8 and 21 carbon atoms per molecule.

Synthetic diesel

Synthetic diesel can be produced from any carbonaceous material, including biomass, biogas, natural gas, coal and many others. The raw material is gasified into synthesis gas, which after purification is converted by the Fischer–Tropsch process to a synthetic diesel.
The process is typically referred to as biomass-to-liquid (BTL), gas-to-liquid (GTL) or coal-to-liquid (CTL), depending on the raw material used.
Paraffinic synthetic diesel generally has a near-zero content of sulfur and very low aromatics content, reducing unregulated emissions of toxic hydrocarbons, nitrous oxides and particulate matter (PM).

Biodiesel

Biodiesel made fromsoybean oil
Fatty-acid methyl ester (FAME), more widely known as biodiesel, is obtained from vegetable oil or animal fats (biolipids) which have been transesterified with methanol. It can be produced from many types of oils, the most common being rapeseed oil (rapeseed methyl ester, RME) in Europe and soybean oil (soy methyl ester, SME) in the USA. Methanol can also be replaced with ethanol for the transesterification process, which results in the production of ethyl esters. The transesterification processes use catalysts, such as sodium or potassium hydroxide, to convert vegetable oil and methanol into FAME and the undesirable byproducts glycerine and water, which will need to be removed from the fuel along with methanol traces. FAME can be used pure (B100) in engines where the manufacturer approves such use, but it is more often used as a mix with diesel, BXX where XX is the biodiesel content in percent.
FAME as a fuel is regulated under DIN EN 14214 and ASTM D6751.
FAME has a lower energy content than diesel due to its oxygen content, and as a result, performance and fuel consumption can be affected. It also can have higher levels of NOx emissions, possibly even exceeding the legal limit. FAME also has lower oxidation stability than diesel, and it offers favorable conditions for bacterial growth, so applications which have a low fuel turnover should not use FAME. The loss in power when using pure biodiesel is 5 to 7%.
Fuel equipment manufacturers (FIE) have raised several concerns regarding FAME fuels: free methanol, dissolved and free water, free glycerin, mono and diglycerides, free fatty acids, total solid impurity levels, alkaline metal compounds in solution and oxidation and thermal stability. They have also identified FAME as being the cause of the following problems: corrosion of fuel injection components, low-pressure fuel system blockage, increased dilution and polymerization of engine sump oil, pump seizures due to high fuel viscosity at low temperature, increased injection pressure, elastomeric seal failures and fuel injector spray blockage.
Unsaturated fatty acids are the source for the lower oxidation stability; they react with oxygen and form peroxides and result in degradation byproducts, which can cause sludge and lacquer in the fuel system.
As FAME contains low levels of sulfur, the emissions of sulfur oxides and sulfates, major components of acid rain, are low. Use of biodiesel also results in reductions of unburned hydrocarbons, carbon monoxide (CO), and particulate matter. CO emissions using biodiesel are substantially reduced, on the order of 50% compared to most petrodiesel fuels. The exhaust emissions of particulate matter from biodiesel have been found to be 30 percent lower than overall particulate matter emissions from petrodiesel. The exhaust emissions of total hydrocarbons (a contributing factor in the localized formation of smog and ozone) are up to 93 percent lower for biodiesel than diesel fuel.
Biodiesel also may reduce health risks associated with petroleum diesel. Biodiesel emissions showed decreased levels of polycyclic aromatic hydrocarbon (PAH) and nitrited PAH compounds, which have been identified as potential cancer-causing compounds. In recent testing, PAH compounds were reduced by 75 to 85 percent, except for benz(a)anthracene, which was reduced by roughly 50 percent. Targeted nPAH compounds were also reduced dramatically with biodiesel fuel, with 2-nitrofluorene and 1-nitropyrene reduced by 90 percent, and the rest of the nPAH compounds reduced to only trace levels.

Hydrogenated oils and fats

This category of diesel fuels involves converting the triglycerides in vegetable oil and animal fats into alkanes by refining and hydrogenation, such as H-Bio. The produced fuel has many properties that are similar to synthetic diesel, and are free from the many disadvantages of FAME.

DME

Dimethyl ether, DME, is a synthetic, gaseous diesel fuel that results in clean combustion with very little soot and reduced NOx emissions.

Chemical analysis

Chemical composition

Diesel does not mix with water.
Petroleum-derived diesel is composed of about 75% saturated hydrocarbons (primarily paraffinsincluding niso, and cycloparaffins), and 25% aromatic hydrocarbons (including naphthalenes andalkylbenzenes). The average chemical formula for common diesel fuel is C12H23, ranging approximately from C10H20 to C15H28.

Chemical properties

Most diesel fuels freeze at common winter temperatures, while the temperatures greatly vary. Petrodiesel typically freezes around temperatures of −8.1 °C (17.5 °F), whereas biodiesel freezes between temperatures of 2º to 15 °C (35º to 60 °F). The viscosity of diesel noticeably increases as the temperature decreases, changing it into a gel at temperatures of −19 °C (−2.2 °F) to −15 °C (5 °F), that cannot flow in fuel systems. Conventional diesel fuels vaporise at temperatures between 149 °C and 371 °C.
Conventional diesel flash points vary between 52 and 96 °C, which makes it safer than petrol and unsuitable for spark-ignition engines. Unlike petrol, the flash point of a diesel fuel has no relation to its performance in an engine nor to its auto ignition qualities.

Hazards

Reduction of sulfur emissions

In the past, diesel fuel contained higher quantities of sulfurEuropean emission standards and preferential taxation have forced oil refineriesto dramatically reduce the level of sulfur in diesel fuels. In the European Union the sulfur content has dramatically reduced during the last 20 years. Automotive diesel fuel is covered in the European Union by standard EN 590 In the 1990s specifications allowed a content of 2000 ppm max of sulphur, reduced to a limit of 350 ppm by the beginning of the 21st century with the introduction of Euro 3 specifications. The limit was lowered with the introduction of Euro 4 by 2006 to 50 ppm (ULSD, Ultra Low Sulfur Diesel). The standard currently in force in European Europe for Diesel Fuel is the Euro 5, with a maximum content of 10 ppm.
emission standardat latestsulfur contentcetane number
Euro 11. January 1993max. 2000 ppmmin. 49
Euro 21. January 1996max. 500 ppmmin. 49
Euro 31. January 2001max. 350 ppmmin. 51
Euro 41. January 2006max. 50 ppmmin. 51
Euro 51. January 2009max. 10 ppmmin. 51
In the United States, more stringent emission standards have been adopted with the transition to ULSD starting in 2006, and becoming mandatory on June 1, 2010 (see also diesel exhaust). U.S. diesel fuel typically also has a lower cetane number (a measure of ignition quality) than European diesel, resulting in worse cold weather performance and some increase in emissions.

Environment hazards of sulfur

High levels of sulfur in diesel are harmful for the environment because they prevent the use of catalytic diesel particulate filters to controldiesel particulate emissions, as well as more advanced technologies, such as nitrogen oxide (NOxadsorbers (still under development), to reduce emissions. Moreover, sulfur in the fuel is oxidized during combustion, producing sulfur dioxide and sulfur trioxide, that in presence of water rapidly convert to sulfuric acid, one of the chemical processes that results in acid rain. However, the process for lowering sulfur also reduces the lubricity of the fuel, meaning that additives must be put into the fuel to help lubricate engines. Biodiesel and biodiesel/petrodiesel blends, with their higher lubricity levels, are increasingly being utilized as an alternative. The U.S. annual consumption of diesel fuel in 2006 was about 190 billion litres (42 billion imperial gallons or 50 billion US gallons).


HEATING/SHIP FUEL 

Fuel oil is a fraction obtained from petroleum distillation, either as a distillate or a residue. Broadly speaking fuel oil is any liquid petroleum product that is burned in a furnace or boiler for the generation of heat or used in an engine for the generation of power, except oils having a flash point of approximately 40 °C (104 °F) and oils burned in cotton or wool-wick burners. In this sense, diesel is a type of fuel oil. Fuel oil is made of long hydrocarbon chains, particularly alkanescycloalkanes andaromatics. The term fuel oil is also used in a stricter sense to refer only to the heaviest commercial fuel that can be obtained from crude oil, i.e., heavier than gasoline and naphtha.

Classes

Although the following trends generally hold true, different organizations may have different numerical specifications for the six fuel grades. The boiling point and carbon chain length of the fuel increases with fuel oil number. Viscosity also increases with number, and the heaviest oil has to be heated to get it to flow. Price usually decreases as the fuel number increases.
Number 1 fuel oil is a volatile distillate oil intended for vaporizing pot-type burners. It is the kerosene refinery cut that boils off right after the heavy naphtha cut used for gasoline. Older names include coal oil, stove oil and range oil.
Number 2 fuel oil is a distillate home heating oil. Trucks and some cars use similar diesel fuel with a cetane number limit describing the ignition quality of the fuel. Both are typically obtained from the light gas oil cut. Gas oil refers to the original use of this fraction in the late 19th and early 20th centuries - the gas oil cut was used as an enriching agent for carburetted water gas manufacture.
Number 3 fuel oil was a distillate oil for burners requiring low-viscosity fuel. ASTM merged this grade into the number 2 specification, and the term has been rarely used since the mid-20th century.
Number 4 fuel oil is a commercial heating oil for burner installations not equipped with preheaters. It may be obtained from the heavy gas oil cut.
Number 5 fuel oil is a residual-type industrial heating oil requiring preheating to 170 – 220 °F (77 – 104 °C) for proper atomization at the burners.[3] This fuel is sometimes known as Bunker B. It may be obtained from the heavy gas oil cut, or it may be a blend of residual oil with enough number 2 oil to adjust viscosity until it can be pumped without preheating.
Number 6 fuel oil is a high-viscosity residual oil requiring preheating to 220 – 260 °F (104 – 127 °C). Residual means the material remaining after the more valuable cuts of crude oil have boiled off. The residue may contain various undesirable impurities including 2 percent water and one-half percent mineral soil. This fuel may be known as residual fuel oil (RFO), by the Navy specification of Bunker C, or by the Pacific Specification of PS-400
Mazut is a residual fuel oil often derived from Russian petroleum sources and is either blended with lighter petroleum fractions or burned directly in specialized boilers and furnaces. It is also used as a petrochemical feedstock.

Uses

A fuel station in Zigui County on theYangtze River
Oil has many uses; it heats homes and businesses and fuels trucksships and some cars. A small amount of electricity is produced by diesel, but it is more polluting and more expensive than natural gas. It is often used as a backup fuel for peaking power plants in case the supply of natural gas is interrupted or as the main fuel for small electrical generators. In Europe, the use of diesel is generally restricted to cars (about 40%), SUVs (about 90%), and trucks and buses (virtually all). The market for home heating using fuel oil, called heating oil, has decreased due to the widespread penetration ofnatural gas as well as heat pumps.
Residual fuel oil is less useful because it is so viscous that it has to be heated with a special heating system before use and it may contain relatively high amounts of pollutants, particularly sulfur, which forms sulfur dioxide upon combustion. However, its undesirable properties make it very cheap. In fact, it is the cheapest liquid fuel available. Since it requires heating before use, residual fuel oil cannot be used in road vehicles, boats or small ships, as the heating equipment takes up valuable space and makes the vehicle heavier. Heating the oil is also a delicate procedure, which is inappropriate to do on small, fast moving vehicles. However, power plants and large ships are able to use residual fuel oil.

Maritime

In the maritime field another type of classification is used for fuel oils:
  • MGO (Marine gas oil) - roughly equivalent to No. 2 fuel oil, made from distillate only
  • MDO (Marine diesel oil) - A blend of heavy gasoil that may contain very small amounts of black refinery feed stocks, but has a low viscosity up to 12 cSt so it need not be heated for use in internal combustion engines
  • IFO (Intermediate fuel oil) A blend of gasoil and heavy fuel oil, with less gasoil than marine diesel oil
  • MFO (Marine fuel oil) - same as HDO (just another "naming")
  • HFO (Heavy fuel oil) - Pure or nearly pure residual oil, roughly equivalent to No. 6 fuel oil
Marine diesel oil contains some heavy fuel oil, unlike regular diesels. Also, marine fuel oils sometimes contain waste products such as usedmotor oil.

Standards and classification

CCAI and CII are two indexes which describe the ignition quality of residual fuel oil, and CCAI is especially often calculated for marine fuels. Despite this, marine fuels are still quoted on the international bunker markets with their maximum viscosity (which is set by the ISO 8217 standard - see below) due to the fact that marine engines are designed to use different viscosities of fuel. The unit of viscosity used is the Centistoke and the fuels most frequently quoted are listed below in order of cost, the least expensive first-
  • IFO 380 - Intermediate fuel oil with a maximum viscosity of 380 Centistokes (<3.5% sulphur)
  • IFO 180 - Intermediate fuel oil with a maximum viscosity of 180 Centistokes (<3.5% sulphur)
  • LS 380 - Low-sulphur (<1.0%) intermediate fuel oil with a maximum viscosity of 380 Centistokes
  • LS 180 - Low-sulphur (<1.0%) intermediate fuel oil with a maximum viscosity of 180 Centistokes
  • MDO - Marine diesel oil.
  • MGO - Marine gasoil.
  • LSMGO - Low-sulphur (<0.1%) Marine Gas Oil - The fuel is to be used in EU community Ports and Anchorages. EU Sulphur directive 2005/33/EC
  • ULSMGO - Ultra Low Sulphur Marine Gas Oil - referred to as Ultra Low Sulfur Diesel (sulphur 0.0015% max) in the US and Auto Gas Oil (sulphur 0.001% max) in the EU. Maximum sulphur allowable in US territories and territorial waters (inland, marine and automotive) and in the EU for inland use.
The density is also an important parameter for fuel oils since marine fuels are purified before use to remove water and dirt from the oil. Since the purifiers use centrifugal force, the oil must have a density which is sufficiently different from water. Older purifiers had a maximum of 991 kg/m3; with modern purifiers it is also possible to purify oil with a density of 1010 kg/m3.
The first British standard for fuel oil came in 1982. The latest standard is ISO 8217 from 2005. The ISO standard describe four qualities of distillate fuels and 10 qualities of residual fuels. Over the years the standards have become stricter on environmentally important parameters such as sulfur content. The latest standard also banned the adding of used lubricating oil (ULO).
Some parameters of marine fuel oils according to ISO 8217 (3. ed 2005):
Marine distillate fuels
ParameterUnitLimitDMXDMADMBDMC
Density at 15 °Ckg/m3Max-890.0900.0920.0
Viscosity at 40 °Cmm²/sMax5.56.011.014.0
mm²/sMin1.41.5--
Water% V/VMax--0.30.3
Sulfur1% (m/m)Max1.01.52.02.0
Aluminium + Silicon2mg/kgMax---25
Flash point3°CMin43606060
Pour point, Summer°CMax-066
Pour point, Winter°CMax--600
Cloud point°CMax-16---
Calculated Cetane IndexMin454035-
  1. Maximum sulfur content in the open ocean is 3.5% since January 2012. Max sulfur content is 1.00% in designated areas, and will be 0.1% after 1 January 2015.
  2. The aluminium+silicon value is used to check for remains of the catalyst after catalytic cracking. Most catalysts contain aluminium or silicon and remains of catalyst can cause damage to the engine.
  3. The flash point of all fuels used in the engine room should be at least 60 °C (DMX is used for things like emergency generators and not normally used in the engine room).
Marine residual fuels
ParameterUnitLimitRMA 30RMB 30RMD 80RME 180RMF 180RMG 380RMH 380RMK 380RMH 700RMK 700
Density at 15 °Ckg/m3Max960.0975.0980.0991.0991.0991.0991.01010.0991.01010.0
Viscosity at 50 °Cmm²/sMax30.030.080.0180.0180.0380.0380.0380.0700.0700.0
Water% V/VMax0.50.50.50.50.50.50.50.50.50.5
Sulfur1% (m/m)Max3.53.54.04.54.54.54.54.54.54.5
Aluminium + Silicon2mg/kgMax80808080808080808080
Flash point3°CMin60606060606060606060
Pour point, Summer°CMax6243030303030303030
Pour point, Winter°CMax0243030303030303030
  1. Maximum sulfur content in the open ocean is 3.5% since January 2012. Max sulfur content is 1.00% in designated areas, and will be 0.1% after 1 January 2015.
  2. The aluminium+silicon value is used to check for remains of the catalyst after catalytic cracking. Most catalysts contains aluminium or silicon and remains of catalyst can cause damage to the engine.
  3. The flash point of all fuels used in the engine room should be at least 60 °C.(apart from those gaseous fuels such as LPG/LNG which have special class rules applied to the fuel systems)

LIGHT HYDROCARBON

Hydrocarbons with low molecular weight such as methane, ethane, propane and butane.
Light hydrocarbons; roughly, pentanes and lighter in the hydrocarbon chain, have become a more popular feedstock for the chemical industries. Sufficient demand has generated international trading in these fluids. 


AnalyteLimits of reporting for water samples (ppb)Limits of reporting for gas samples (ppmv)
Light hydrocarbons
methane110
ethane1010
propane1010
butane1010
pentane1010
hexane1010


GAS OIL


Gas Oil (Red Diesel) is one of a family of heavy oils made from the fractional distillation of petroleum. For heating applications, it’s known as gas oil, for automotive and plant applications it is usually called diesel fuel. Diesel can be supplied either as “white” or “red” diesel, depending on your requirements and applications. Red diesel prices are much less than white diesel due to it being taxed at a lower rate. Red diesel cannot be used for road vehicles but there is a wide range of ancillary equipment and plant in which is allowed including tractors, tippers or mowers. The red dye is added to allow inspectors to identify that it is being used correctly.
It has a sulphur content of 10ppm or less, and can contain up to 7% by volume of biodiesel. 

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