01 status of petroleum industries

8/13/2019 01 Status of Petroleum Industries

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Status of Petroleum industries

and Trends of Quality in Korea

Korea Institute of Petroleum Quality


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Contentsontents1. Status of Petroleum Industries in Korea1. Status of Petroleum Industries in Korea

2. Status of Automobile Industries in Korea2. Status of Automobile Industries in Korea

3. Status of Petroleum Product Distribution3. Status of Petroleum Product Distribution

4. Quality Control of Petroleum Product4. Quality Control of Petroleum Product

5. Future Trends of Petroleum Quality Spec.5. Future Trends of Petroleum Quality Spec.

6. Others6. Others


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Status of Petroleum Industries in Korea1.1.


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Change of energy consumption in Koreahange of energy consumption in KoreaThe ratio of petroleum consumption is decreasing,

but LNG and Atomic energy isincreasing

22.510.7

2.0 1.6 1.9 1.9 2.1 2.0 2.1

7.615.5

16.7 20.6 21.2 21.6 21.6 22.0 21.9

61.153.8 62.5 52.0 50.6 49.3 47.6 45.6 44.4

3.2 6.1 9.8 10.5 11.1 11.2 12.9 13.3

2.014.2

11.1 14.1 14.1 14.3 15.1 14.8 16.16.8

2.6 1.6 1.8 1.7 1.9 2.1 2.0 1.7

0

20

40

60

80

100

1980 1990 1995 2000 2001 2002 2003 2004 2005

OthersNuclear energyLNGPetroleumBituminous coal


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Classification Unit 80 90 00 03 04 05

1st energyconsumption

(rate of increase)

million TOE

(%)

%

Refining ability 1000 B/day - 840 2,438 2,438 2,438 2,735

Energy

dependence on

overseas

% 73.5 87.9 97.2 96.9 96.7 96.8

Amount of imports(rate of increase)

100 million $(%)

66.2 109.1 378.9(66.6)

383.1(18.6)

496.0(29.5)

667(34.5)

Energy ratio of the

gross import% 29.6 15.6 23.6 21.4 22.1 25.5

%

228.6(3.8)

Dependence on

Petroleum

220.2(2.4)

215.1(3.1)

192.9(6.4)

93.2(14.1)

43.9(1.6)

52.061.1 53.8

-1.5 9.2

47.6

8.5

45.7

3.1

44.4

4.7GDP growth rate 4.0

Energy dependence on overseas : 96.8 , the amount of energy imports : 66.7billion dollars (2005)

MOCIE

Main Energy Indicatorain Energy Indicator


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Classification 2002 2003

19,761 20,0331 20,655

5,455

2,300

5,360

2,308

JAPAN 5,359 5,288 3

KOREA 2,282 2,280 7

2004 2005

Rank

U.S.20,517

The largest country of petroleum consumption is U.S. and Japan is the 3rd. Korea is the 7th (230 million barrel/yr)

BP Statistics (June 2006)

Consumptiononsumption

(UNIT : 1000

B/D)


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Refining ability : U.S, China, Russia and Japan followed by Korea (5th) Korea, the 4th (crude imports volume per year)

The comparison of petroleum industrieshe comparison of petroleum industries

Classification 1 2 3 4 5 6 7

Petroleum

consumption

(1000 B/day)

U.S.

20,655

Petroleum

refining ability

(1000B/day)

U.S.17,355

CHINA6,587

RUSSIA5,412

JAPAN4,531

KOREA2,598

INDIA2,558

GERMA

NY

2,322

U.S.

10,357.6

KOREA

2,038

INDIA

2,485

GERMANY

2,586

RUSSIA

2,753

JAPAN

5,360

CHINA

6,988

JAPAN

3,923.1

GERMAN

Y2,979.6

KOREA

2,729.0

FRANCE

1,895.2

CHINA

1,559.6

Crude oil

imports(1000B/day)

ITALY

1,767.0

1. Petroleum consumption, Refining Ability (BP statistics in 2006 & 2005)

2. Crude Oil imports (World Oil Trade, September 2004)

* Including bunkering in petroleum consumption


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Dependence : 83 on the Middle East, 11 on Asia and 5 on Africa

Status of crude oil importtatus of crude oil import

MOCIE

73.379.5 78.1

81.8 83.1

17.312.5 14.1 13.3 11.2

4.5 4.2 5.2 4.1 5.2.9 3.8 2.6 0.9 0.40.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

2002 2003 2004 2005 2006.1-6

The Middle East The Asia The Africa The U.S & Europe


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Korean and Japan depend on the high level.

Energy dependence of the Middle East Areanergy dependence of the Middle East Area

KOREA CHINA JAPAN U.S. GERMANY FRANCE

82.1 41.2 90.0 23.4 7.7 29.4

NOTE) For Korea, China, Japan and U.S (as of 2006. 5 )

For France & Germany (as of 2003)

(UNIT : %

)

MOCIE

90.082.1

41.2

29.423.4

7.70.0

10.020.030.040.050.060.070.080.090.0

100.0

JAPAN KOREA CHINA FRANCE U.S. GERMANY


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Rise &

Fall rate

(%)

Rise &

Fall

rate(%)

30.4

2.9

51.2

26.7

11.6

35.4

Classification Recordin 2004

Recordin 2005

Prospectsin 2006

Sum

(100milion$)

101.7

Volume

(million$)

Unit cost

($/B)

235.5

43.2

153.8

262.8 270.5

58.3 74.1

200.5

Petroleum

product

Petroleum export is increasing rapidly. In 2006, it is expecting to be 270 million barrel.

Record & outlook of exports of petroleum productecord & outlook of exports of petroleum product

MOCIE


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Mainly ranks diesel, B-C oil, aviation oil, etc,. Korea is Importing to China, Japan, U.S, etc,.

The ratio of petroleum exportshe ratio of petroleum exports& exporting countries in 2005exporting countries in 2005

PRODUCT GASOLINE KEROSENE

DIESEL AVIATIONOILS

32.7

BC NAPTHA OTHERS

20.8Ratio(%) 1.7 21.45.5 9.8 8.1

* The total quantity : 262.7 million Barrel (15.38 billion $ )

(Export ratio)

RANK 1 2 4

Country China Japan U.S. Singapore Hong-Kong Vietnam

6.824.4

3 5 6

Ratio(%) 26.7 11.9 3.8 2.4

(Export countries)


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Registration of petroleum importer (as of 2006)Private : 17, Import as proxy : 9, Import & Sale : 39 (Total 65 companies)

The market share of petroleum importershe market share of petroleum importers

YEAR 00 01 02 03 04 05

Gasoline

Kerosene

Diesel

7.861.97 4.50 5.94 3.00 1.68

(UNIT : %

)

The number of petroleum importers has decreased from 2002due to the expensive price of crude oilAt present, forms 1.68 of market share


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Lower level in Korea, however, are introducing them actively to strengthenenvironmental restriction and product export

To development of their facilitieso development of their facilities

Facilities

Country AtmosphericRefining

RFCCCatalytic

ReformationSubtotal

U.S. 17,126 9,537 3,508 13,045 76.2

Russia 5,341 856 746 1,602 30.0

Japan 4,672 1,147 672 1,819 38.9

China 6,246 796 156 952 15.2

Korea 2,808 393 230 623 22.2

Italy 2,324 1,124 283 1,407 60.5

Germany 2,344 858

Ratio(%)

388 1,246 53.2

(UNIT : 1000 B/D)

2005 Oil & Gas Journal databook, January of 2006


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S-Oil refineries has 32.4 , the highest level of Korea refineriesFacilities

RefineryAtmospheric

Refining

RFCC

Catalytic

Reformation subtotal (Plan)

SK 840 102 45 147 (60)

(55)

(150)

(70)

(55)

(390)

17.5

(24.6)

GS-Caltex 723 90 81 17123.7

(30.2)

S-OiL580

(1,060)143 45 188

32.4

(31.9)

Hundai

Oilbank390 58 25 83

21.3

(39.2)

SK incheon 275 - 34 3412.4

(32.4)

Total2,808

(3,288)393

Ratio

(%)

230 62322.2

(30.8)

(UNIT : 1000

B/D)

Korea Petroleum Association Magazine [Sep. of 2006]

Note) ( ) means an expectation figure after completion in 2010

To develop facilities in Koreao develop facilities in Korea


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153,771 thousand barrel in Korea- There are 9 reserve resources and 4 of them are constructingin Ulsan and Yeosu

The quantity of saving for emergencyhe quantity of saving for emergency

Quantity of saving

ClassificationGovernment Private

U.S. 695,938 1 1,052,658 1 1

2 2

3

5

4

6

5

6

3

4

2

3

5

4

1,748,596

6

303,053

87,044

80,970

123,343

95,405

Japan 321,303 624,356

Germany 192,795 279,839

Korea 72,801 153,771

France 73,119 196,462

Spain 34,946

TOTAL

130,351

(Unit : 1000 B)

IEA Statistics, at late of May,

2005


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Status of Korea Automobile Industries2.2.


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The number of auto production is 370 million cars (as of 2005)- Domestic demand : 30 , export : 70The number of auto possession was 15,734 thousand cars (as of 2006.8)

Status of Automobile industriestatus of Automobile industries

SALEYear

PRODUCTI

ONDOMESTIC EXPORT

1,451,450

1,622,268

1,318,312

1,093,652

1,142,562

723,736

IMPORT

2001 2,946,329 1,501,213 16,638

1,509,546

1,814,938

2,379,563

2,586,088

1,644,814

30,491

30,500

34,712

46,221

34,655

12,914,613

2002 3,147,584 13,949,441

2003 3,177,870 14,587,333

2004 3,469,464 14,934,474

2005 3,699,350 15,397,095

POSSESSIO

N

2006.8 2,390,814 15,734,200

(UNIT : CARS]

KAMA, Automobile Statistics Monthly Magazine, October


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The type of car - passenger car (72 ), van(20 ), truck and so on (20 )

Possession Status by the type of carossession Status by the type of car

YEAR TOTAL

PASSELNGE

R CAR VAN

8,889,349

9,737,430

10,278,940

10,620,574

11,122,214

11,452,800

TRUCK

2001 12,914,613 1,257,424 2,728,464

1,257,318

1,247,095

1,204,625

1,124,961

1,108,509

2,894,412

3,016,461

3,062,366

3,102,219

3,124,170

39,376

2002 13,949,441 42,281

2003 14,587,333 44,837

2004 14,934,474 46,909

2005 15,397,095 47,701

AMBLETTE

2006.8 15,734,200 48,721

(UNIT : CARS)

KAMA, Automotive Statistics Monthly Magazine, October


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From 2000, it increase steadily as 0.4 and in 2006 it reaches 4 , Lexus 17 ,BMW 16 , Mercedes-Benz 11

The market share of import carshe market share of import cars

Classification 00 01 02 03

1.3% 1.9%

19,481

(1.9%)

15,351

(8.7%)

16,119

(1.3%)

12,058

(5.9%)

04

0.7%

7,747

(0.7%)

5,589

(3.5%)

05

Market share 0.4% 2.6% 3.3%

23,345

(2.6%)

17,678

(10.7%)

30,901

(3.3%)

21,998

(11.8%)

4.3%

#Sale

(market share)

4,414

(0.4%)

9,767

(4.3%)

Sales

(market share)

06

6,917

(14.5%)

(UNIT : CARS, 100 MILLION

)

KAMA

0.7 1.3

1.9 2.6

3.34.3

3.5

5.9

8.7

10.7 11.8

14.5

0

2

4

6

8

10

12

14

16

2001 2002 2003 2004 2005 2006

Market share

Sales


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Status of Petroleum Product Distribution3.3.


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Regular gasoline Vs Premium gasolineMarket share of Premium gasoline increase steadilylike 0.1 in 2002, 0.2 in 2003, 0.3 in 2004, 0.5 in

2005

Distribution trends of Petroleum product by yearistribution trends of Petroleum product by year

YearTotal

consumptionGasoline Kerosene Diesel BC Naphtha LPG

2001 743.7 62.7 61.7 132.2 123.8 233.3 84.4

2002 762.9 64.1 58.5 138.0 116.9 245.3 91.4

2003 762.9 60.5 52.9 145.4 111.4 252.4 88.6

2004 752.3 58.2 43.1 143.8 101.0 262.9 88.4

2005 761.1 59.6 39.4 142.5 96.4 273.3 91.7

2006.1~6 375.9 28.8 17.2 73.5 47.4 134.4 47.1

(UNIT : MILLION

B, %)

MOCIE


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The number of gas station reaches 11,580 and SK and GS-Caltex occupies35 and 27 of market share, respectively.

Status of gas station in Koreatatus of gas station in Korea

SKGS-

Caltex

HyundaiOi

lbankS-OiL Importer

#station 4,075 3,167 2,287 1,588 411 9 43 11,580

14 0.3

No name

20

SK

incheonTotal

Ratio

(%)35 27 3.7 100

(as of 2006. 6)


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Country Gasoline price Tax ratio Reference

1 Belgium 1.420 64.6 % 06.03

2 Sweden 1.363 63.9 % 06.03

3 U.K. 1.716 63.8 % 06.05

4 Finland 1.465 63.5 % 06.03

5 Denmark 1.410 63.5 % 06.03

6 Portugal 1.390 62.8% 06.03

7 Germany 1.649 62.1 % 06.05

8 France 1.589 61.5% 06.05

9 Italy 1.634 58.8% 06.05

10

11

12 Austria 1.201 57.7 % 06.03

Average

Ireland

Korea

1.236

1.543

1.267

57.9 %

57.3 %

51.8 %

06.03

06.07

Gasoline price for end-user in Korea is higher than that of the othersand 57 of its price is tax

Petroleum price (Gasoline)etroleum price (Gasoline)

Energy Dtente, June of 2006* Average means simple average of OECD 20 countries

(The exchange rate : 941.40 /$)

(UNIT :1000/L)


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Country Diesel price Tax ratio Reference

1 U.K. 1.549 65.2 06.05

11 Finland 1.166 49.0 06.03

12 Korea 1.296 47.2 06.07

2 Portugal 1.171 62.8 06.03

3 Germany 1.249 56.6 06.05

4 France 1.226 54.9 06.05

5 Sweden 1.283 54.3 06.05

6 Denmark 1.231 53.7 06.03

7 Italy 1.323 52.0 06.05

8 Ireland 1.226 51.3 06.03

9 Belgium 1.166 50.5 06.03

10

Average

06.0350.41.124Austria

1.088 43.5%

Diesel price for end-user is higher and 47 of price is tax.Petroleum price (Diesel)etroleum price (Diesel)

(UNIT :

1000/L)

Energy Dtente, June of 2006

* Average means simple average of OECD 20 countries

(The exchange rate : 941.40 /$)


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Due to high crude oil price, petroleum product become more expensive

The trends of petroleum product price in Koreahe trends of petroleum product price in Korea

YEAR GASOLINE KEROSENE DIESEL

80

581 185 178 14490 384 191 182 95

00 1,248 545 613 304

01 1,280 574 645 320

02 1,269 553 678 334

03 1,295 640 772 363

1,365

1,432

1,545

758 908

874

971

1,080

1,298

04 393

05 449

06.8 549

BC

(UNIT : /L)

MOCIE


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Tax ratio by petroleum productsPrice system of Petroleum Product (as of 2006. 6)rice system of Petroleum Product (as of 2006. 6)

Education tax is imposed with 15% of transportation tax (special excise tax]

Local drive tax is imposed with 26%(26.5 %) of transportation tax (sale levy in kerosene)

Taxation (in crude oil, about 3.8 won/L applied 1% ), import levy is included in ex factory,

LPG is under LPG production

Tax

ClassificationEx factory

(A) TrafficEducat

ion

Local

driveSupper

Total

tax

(B)

Margin

(C)

Customer

price

(D=A+B+C)

Gasoline

(Specific

gravity, %)

580(37.6)

526 79 139 140 885(57.3)

79(5.1)

1,543

Diesel

(Specific

gravity, %)

659

(50.9)349 52 93 118

612

(47.2)

25

(1.9)1,296

LPG(Specific

gravity, %)

346

(48.0)179 27 36 66

308

(42.7)

67

(9.3)721

LNG(Specific

gravity, %)

485.12

(75.2)48.47 3.9 -

58.6 110.97

(17.2)

49.04

(7.6)645.1

Kerosene

(Specific

gravity, %)

632

(65.9)134 20.1 23 87

264

(27.5)

63

(6.5)959

He

ati

ng

Tr

ans

for

tati

on

MOCIE

(UNIT : /L,

m3)


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The tax ratio in detailhe tax ratio in detail Petroleum tax is composed of traffic tax, which is 44 as the largest part,

special excise tax, education tax and drive tax, etc

Tr a f fi c tax44

Tar i f f1S u p p e r t a x

21

D i r v e ta x10

E d u c a t i o nta x8

S p e c i a l e x c i s e11

L e v y5


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Price ratio among major transportation fuels is, (if gasoline put on 100 )100 : 47 : 26 (gasoline : diesel : LPG) in 2000 have changed into 100 : 84 : 47In July of 2006. Especially diesel price surged

Price ratio of transportation fuelsrice ratio of transportation fuels

July 2000(reorganization of

price)

4th week of July 2006Classificat

ionPrice

(/L)Price ratio

Price

( /L)Price ratio

Price

( /L)Price ratio

Diesel 604 47 1,299.0 84 75 85

Gasoline 1,279 100 1,545.7 100 100 100

720.84 47 50LPG

(Butane)337

July 2007

(Price ratio)

26 60


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Selling price of refining section at refineries (the prime cost): 50,272.9 billion won

The total tax : 24,300.8 billion won Distribution margin : 3,737.4 billion won

The total related Petroleum (2005)he total related Petroleum (2005)

The total : 78,311.1 billion won Korea Petroleum Association

* The yearly tax revenue related Petroleum product is 24 trillion won,similar to the budget of Defense expenditure.


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Quality Control of Petroleum Product4.4.

Status of Petroleum Product Inspection by yeartatus of Petroleum Product Inspection by year


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Fail details

YEAR#STATIO

N

#INSPECTI

ON Product/

Import step

Distributio

n stepTotal

Fail ratio

(%)

0.48

0.62

0.73

0.70

1.22

0.86

0.95

2000 10,549 57,769 7 269 276(

2001 10,533 65,356 12 392 404

2002 10,635 65,570 9 468 477

2003 11,272 73,042 8 505 513

2004 11,074 81,308 2 989 991

2005 11,713 84,506 1 726 727

2006.6 11,903 41,772 3 393 396

Status of illegal petroleum product in Koreatatus of illegal petroleum product in Korea


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Businessman using petroleum ( gas station, etc)usinessman using petroleum ( gas station, etc)Illegal gasoline : the mixed with petrochemical productor other petrochemical product (solvent and toluene, etc)

Businessman using non-petroleum( illegal sale on road )

Businessman using non-petroleum( illegal sale on road )

Illegal diesel : the mixed with petrochemical productor other petrochemical product( product around diesel, etc)

the material made of illegal diesel become various

Adulteration fuel (Gasoline): disguised additives with the aim of the unfair profits

Businessman using waste oilusinessman using waste oilIllegal distillate fuel : distribute as illegal heating oil suchas reused organic solvent, distillate fuel, etc

The offhe off-spec. ratio (2005)pec. ratio (2005)


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The off-spec. ratio of diesel is increasing every year.

Diesel69.0 )

Gasoline20.9 )

Kerosene7.9 )

Others2.2 )


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Price comparison :rice comparison :


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The margin as same as tax is divided into manufacturer, sellerand end-user gain

Normal gasolineormal gasoline vss illegal gasolinellegal gasolineHonest Gasoline Adulteration GasolineCenox, LP power)

Sale profit396 won)

Sale profit396 won)

Supertax 54 won)upertax 54 won)

The prime cost 540 won)he prime cost 540 won)

Sale profit 80 won)ale profit 80 won)

Supertax 127 won)upertax 127 won)

Traffic tax 535 won)raffic tax 535 won)

The prime cost 523 won)he prime cost 523 won)

Sale price : 1,473 won Sale price : 990 won

Local drive tax 128 won)ocal drive tax 128 won)Education tax 80 won)ducation tax 80 won)

Fake gasolines marginis 5 times as many as that of

honest gasoline

Distribution system of illegal gasolineistribution system of illegal gasoline


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Petroleum distillate businessman(5 refineries)

By-product distributor(4 Petrochemical companies)

Solvent manufacturer (11)

Petroleum import businessman(2 importer)

Gas stations, etcEnd user

Middleman

Solvent agency (82)

Solvent shop (257)

Illegal gasoline maker Illegal diesel maker

Owners of passenger cars

Thinner manufacturers

Small sellers on the road

legal illegal

The estimated omission tax revenuehe estimated omission tax revenue


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due to illegal gasoue to illegal gasolineine

YEAR 97 98 00 01 03 04 05

3,894 4,380

6,6204,010

2,703

1,497

794

161

736

147

578

154

785

85

99 02

735 1,271

275

Exposure

number

(cases)

238

Solvent

consumption

(1000B)

Usage volume of solvent VS the exposure number of illegal gasoline

If legal distribution volume of solvent be estimated as max. one million barrel

(average 7, 260 thousand barrel from 1997 to 2001)

The solvent volume for making illegal gasoline would be 3,380 thousand barrel.

Approx. one trillion won (omission tax revenue) =

3,380 thousand barrel 2 874 won 158.984

(illegal solvent volume) (mix ratio) (gasoline tax) (Barrelliter)

Approx. one trillion won (omission tax revenue) =

3,380 thousand barrel 2 874 won 158.984

(illegal solvent volume) (mix ratio) (gasoline tax) (Barrelliter)

Approx. 100 billion won (omission tax revenue)

= 107,904 thousand barrel 1. 2% 518 won/L 158.984(diesel consumption) (fail ratio) (diesel tax) (barrel liter)

Approx. 100 billion won (omission tax revenue)

= 107,904 thousand barrel 1. 2% 518 won/L 158.984(diesel consumption) (fail ratio) (diesel tax) (barrel liter)

[Ref.] Omission tax revenue in illegal diesel

Status oftatus of Biodieseliodiesel Distributionistribution


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Classification BD 5 BD 20

System permission System permission

BD manufacturer

203%

Whole nation

Bus, truck and construction machines

in place of business which possessSelf maintenance facilities and ones

own fueling station

Time 2006. 7 ~ 2006.7 ~

Blending body Refinery/importer

Blending ratioMax. 5 % (Notification

0.5%)

Subject vehicle All of diesel vehicles

Subject area Whole nation

System method

BD 100 dont distribute due to raw material

Distribution of illegal petroleum productistribution of illegal petroleum product


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according toccording to biodieseliodiesel spreadpread

From July 1, BD 5 came into the whole countryrom July 1, BD 5 came into the whole country

Type 1 : soybean 5 ~ 30 + solvent 5 ~ 30

New kinds of illegal petroleum productbecame spreadNew kinds of illegal petroleum productbecame spread

Type 2 : vegetable oil 10 ~ 20 + solvent 20 ~ 30 , etc soybean oil : raw bean oil

diesel : 1,300 , soybean : 560 , BD 100 : 830 the exposure number reached 27 cases(as of july 1st)

Diesel [BD 5) VS illegal diesel (mixed with beaniesel [BD 5) VS illegal diesel (mixed with beanil)


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oil)

ClassificationNormal

(BD 0.5)

Illegal diesel A

(solvent 20%+

soybean oil 10%)

10 8

2.7

830

0.072

Kinematic

viscosity(mm2/s)2.6 2.7

Density(kg/m3) 828 832

FTIR absorption

1,748 cm-1Specific peak at

1,745 cm-10.105

Illegal diesel B

(solvent 25%+

soybean oil 15%)

Sulfur (mg/kg) 8

To prevent from increasing kinematic viscosity and density,blend ratio is two parts of solvent and one part of soybean oil

Development of Nonevelopment of Non-exposure vehiclexposure vehiclefor inspectioor inspection


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For gasoline and For diesel

Using the vehicles with special testing analyzer, carry outon-site quality inspection after judging normal andabnormal products when fueling (patent submitting)Using the vehicles with special testing analyzer, carry outon-site quality inspection after judging normal andabnormal products when fueling (patent submitting)

Undercover Site Inspection

& Testing Vehicle

Installation of equipment


42/49

Future Trends of Petroleum Quality Spec.5.5.

Fundamental rule for setundamental rule for set-up of future quality spec.p of future quality spec.


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Strengthening sulfur content in connection with strict spec. of automotiveexhaust emission

Strengthening spec. of toxic material Strengthening spec. of precursormaking ozone Become to control NOx from PM and VOCs

Strengthening item for fuel effective (CO2), etc

Influence on automotive emission by fuel itemImprovement of domestic air pollution & Protection of public healthmprovement of domestic air pollution & Protection of public health

Contradiction effect between ability of petroleum refiningfacility and item

State of Petroleum industrytate of Petroleum industry

Consideration of fuel demand supply and policyonsideration of fuel demand supply and policy

Subject Materialubject Materialfor strengthening gasoline test itemor strengthening gasoline test item


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ITEMPollution material

related emissionFundamental Rule

Sulfur HC, CO, NOx

Benzene Toxics, CO2 Harmful, mileage

Olefin Olefin VOCs, Toxics Precursor making ozone

RVP VOCs Precursor making ozone

T90 VOCs Precursor making ozone

Aromatic Toxics, CO2 Harmful, mileage

Allowed to automotive emission

spec.

Subject material for diesel itemubject material for diesel item


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ITEMPOLLUTION MATERIAL

RELAATED EMISSIONFUNDAMENTAL RULE

Sulfur PM

PAH PM, PAHs Harmful

Density PM, NOx, CO2(small) Harmful, mileage

Aromatic content NOx NOx (considering new item)

Cetane index NOx, HC, CO, CO2, engine noise NOx (considering new item)

Allowed to automotive emission

spec.

Future gasoline Spec. (Draft)uture gasoline Spec. (Draft)


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ITEM CURRENT FUTURE SPEC. (DRAFT)

Sulfur content (ppm) Max. 50

Benzene content

(vol%)Max.1 Max. 0.5

Olefin content (vol%) 18(21) 10(12 ~ 13)

Aromatic content

(vol%)30(27) 25 ~ 22 (22 ~ 20)

RVP (kPa, 37.8 ) 65(June ~ August) 60 ~ 50(June ~ August)

Distillation T90 () 175 160

Oxygen content (wt%)1.0`~ 2.3(cold climate)

0.5 ~ 2.3(hot climate)

Max. 15 ~ 10

Future quality spec. Draft For gasoline is as follow

Korea Environment Institute, Study of environmental quality for future

automotive fuel, 2005

Future diesel Spec. (Draft)uture diesel Spec. (Draft)


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ITEM CURRENT FUTURE SPEC. [DRAFT]

Sulfur content (ppm) Max. 30

PAH content (wt%) Max. 11 Max. 5

Density@15 (kg/m3) 815 ~ 845820 ~ 840

(815 ~ 835)

Lubricity (HFRR) Max. 460 Max. 460

Aromatic content

(vol%)- Max. 15

Carbon Residue in

10% residual oil(wt%) Max. 0.15

Cetane index (value) Min. 45 Min. 52

Max. 10

Korea Environment Institute, Study of environmental quality for future

automotive fuel, 2005


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Others6.6.

TV advertisementfor preventing of illegal gasoline


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Thanks for your attention!

01 status of petroleum industries

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