Three oil refineries to benefit from enhanced resilience from KBC's Profit Improvement Program® amid growing risk of oil demand under-performance
HOUSTON, July 8, 2019 /PRNewswire/ -- To combat imminent global economic headwinds, KBC (A Yokogawa Company) announces it has been awarded Profit Improvement Programs (PIP) for three oil refineries in the Gulf Cooperation Council (GCC) region. The PIPs, which are focused on improving techno-economic aspects of refinery operations, will deliver improved safety, reliability and profitability outcomes that enhance triple bottom line performance.
The World Bank projects global economic growth to soften in 2019 to 2.9 percent; a 10-year low. This is based on forecast weakening of international trade and manufacturing activity, elevated trade tensions, and substantial financial market pressures (being experienced) in some large emerging markets. Therefore, Middle Eastern refineries are embarking on value chain optimization efforts to increase asset productivity and associated supply chain efficiency, thereby boosting resilience to market volatility.
Via the PIP, KBC will identify and implement a series of on-site productivity and efficiency improvements across each of the refineries focusing on capacity utilization, molecular management, yield improvement, corrosion and fouling mitigation and energy efficiency.
"Our observation is that global forecasts for refined products are being revised down, especially gasoil / diesel, gasoline and fuel oil cracks," explains Andrew Howell, CEO of KBC. "KBC's PIP campaigns are vital for assuring capital efficiency by developing the necessary operational flexibility and identifying strategic investments so that return on capital employed targets can be easily and routinely exceeded."
KBC was founded on the 'PIP' – the Profit Improvement Program®. And the PIP remains as valid today as it did 30 years ago. Focused on maximizing revenues and minimizing costs, our PIP consultants identify sustainable opportunities for profit improvement that require no or minor capital investment. By applying rigor to our analysis through use of accurate and reliable process simulation models, depending on plant size, a typical PIP from KBC can deliver measurable benefits of more than $100 million.
KBC, a wholly-owned subsidiary of Yokogawa Electric Corporation, is all about excellence in the Energy and Chemical industry. We make excellence real for our customers through the actions of our people fused with our technology and best practices. We provide leading software and expert services, powered by the cloud, to assure process operations achieve their full potential. Our customers achieve operating performance that surpasses ordinary standards, now and into the future. For more information, visit www.kbc.global.