Lukoil plans to invest US$1.8 billion on gasoil hydrocracker

An industry source said Lukoil plans to invest US$1.8 billion for the construction of a vacuum gasoil hydrocracker at the Volgograd Oil Refinery. Reports say the unit will have a capacity of 3.5 million tons and will begin operations in 2016. The company’s production of light oil products at the refinery is expected to increase by 1.8 million tons of diesel fuel and 600,000 tons of gasoline per year. The company operates four refineries in Russia, as well as two small refineries, with a combined total capacity of 45.1 million tons per year. The Volgograd refinery has a capacity of 11 million tons of crude per year. (April 11, 2012)