CRUDE OIL

TRANSPORTATION
To Refinery
To Market

What is crude oil

A naturally occurring, unrefined petroleum
product composed of hydrocarbon deposits.
Crude oil can be refined to produce usable
products such as gasoline, diesel and various
forms of petrochemicals.

Resource Development
Oil and Natural Gas
UNIT

PRODUCTION

2010

1ST
SEM

NO. OF
CONTRACTS/
SUPERVISED

OIL

MMB

31

1.3

2.7

GAS

BCF

130

72.4

144.8

Note: 1) MMB Million Barrels

BCF Billion Cubic Feet

28

Transporting Oil
and Natural Gas
Crude oil must be moved from the production site to refineries and
from refineries to consumers.
Crude oil and refined products are transported across the water
through:
Barges
Tankers
Through land:
Pipeline

Barge
Tanke
r

Waterborne
Transportation
Crude oil tankers are used to transport crude
oil from fields in the Middle East, North Sea,
Africa, and Latin America to refineries around
the world. Product tankers carry refined
products from refineries to terminals.
Tankers range in size from the small vessels
used to transport refined products to huge
crude carriers. Tanker sizes are expressed in
terms of deadweight (dwt) or cargo tons.
The smallest tankers are General Purpose
which range from 10 to 25,000 tons.

OIL TANKERS
Oil tanker also known as apetroleum
tanker, is amerchant shipdesigned for the
bulk transport of oil.
There are two basic types of oil tankers according to the product
they transport:
thecrude tanker -move large quantities of unrefined
crude oil from its point of extraction to refineries.
the product tanker - generally much smaller, are
designed to move refined products from refineries
to points near consuming markets.

OIL TANKERS
Tankers can also be classified according to Load Capacity.
Tanker sizes are expressed in terms ofdeadweight(dwt)
tons:
General PurposeTankers smallest tankers with load
capacity which range from 10 to 25,000 Deadweight tons.
Super Tankers Large crude oil tankers used in international crude oil trade:
a) Very Large Crude Carriers (VLCC) up to 250,000 deadweight
tons capacity
b) Ultra Large Crude Carriers (ULCC) 250,000 up
to 550,000
deadweight tons.

Storage Facilities
Crude oil and refined products are stored in tanks for
shipment to other locations or processing into finished
products. There are four basic types of tanks used to store
petroleum products:
Floating Roof Tank used for crude oil, gasoline, and naphtha,
Fixed Roof Tank used for diesel, kerosene, catalytic
cracker feedstock, and residual fuel oil,
Bullet Tank used for normal butane, propane, and
propylene
Spherical Tank used for isobutane and normal butane.

Pipeline

OIL PIPELINE
are the most efficient method to transport crude oil and
refined products. Pipelines are used to move crude oil from
the wellhead to gathering and processing facilities and from
there to refineries and tanker loading facilities.

IN THE PHILIPPINES
There is currently 529.5 km of natural gas
transmission pipelines in the Philippines
which transport gas from the Malampaya Gas
Field to fuel three power plants: 500 MW San
Lorenzo, 1,000 MW Sta Rita and 1,200 MW
Ilijan power plants.

Crude Oil to
Refinery
An oil refinery or petroleum refinery is an
industrial process plant where crude oil is
processed and refined into more useful
products such as petroleum naphtha,
gasoline, diesel fuel, asphalt base,
heating oil, kerosene and
liquefied petroleum gas.

CRUDE OIL TO
MARKET

After crude oil is converted into refined products such as

gasoline, pipelines are used to transport the products to
terminals for movement to gasoline stations. In addition to
gasoline, products pipelines are used to ship diesel fuel,
home heating fuel, kerosene, and jet fuel. Because product
pipelines are used to move many different products, the
different types of products are shipped in batches.

Batching is used to move two or more

different liquids through the same
pipeline. The liquid are transported in a
series of batches. The adjoining
batches mix where they come into
contact. This mixed stream may be
sent to refinery for re-refining, sold as a
lower valued product such as a mixture
of premium unleaded gasoline with
regular unleaded gasoline, or sold as
mixture.