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ASTM Manuals
Petroleum Refining and Natural Gas Processing
By
M. R. Riazi,
M. R. Riazi
Editor
1
Professor
of Chemical Engineering at Kuwait University
, and consultant
and invited speaker
to more than 50 oil companies and research institutions in Canada, the U.S., Europe, India, China, Malaysia, Australia, the Middle East and North Africa, including invited speaker
to the World Economic Forum
, author/co-author
of more than 100 publications, including three books mainly in the areas of petroleum and chemical technology, founding and Editor-in-Chief
of IJOGC
and an associate editor
of some other international journals, member of AIChE
and the Research Society of North America
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Semih Eser,
Semih Eser
Editor
2
Professor
of Energy and Geo-Environmental Engineering at Penn State University
, and teaches courses on petroleum refining and energy engineering at John and Willie Department of Energy and Mineral Engineering
and directs the Carbon Materials Program at the EMS Energy Institute
at Penn
State
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Suresh S. Agrawal,
Suresh S. Agrawal
Editor
3
Founder and president
of Offsite Management Systems LLC
and a Bachelors Degree in Chemical Engineering from Indian Institute of Technology (I.I.T.)
, Mumbai,
.IN
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José Luis Peña Díez
José Luis Peña Díez
Editor
4
Consultant
at the Technology Center at Repsol
in Madrid,
, and ES
part-time associate professor
in chemical engineering at the Rey Juan Carlos University
of Madrid
, and author
of forty technical articles and presentations at international conferences in the fields of petroleum fluids characterization, process engineering and control, and process simulation
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ISBN:
978-0-8031-7022-3
No. of Pages:
828
Publisher:
ASTM International
Publication date:
2013
eBook Chapter
Financial Risk Management in Refinery Operations Planning
By
Miguel Bagajewicz
Miguel Bagajewicz
1
School of Chemical, Biological, and Materials Engineering, University of Oklahoma
, Norman, OK,
US
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Page Count:
15
-
Published:2013
Citation
Bagajewicz, M. "Financial Risk Management in Refinery Operations Planning." Petroleum Refining and Natural Gas Processing. Ed. Riazi, MR, Eser, S, Agrawal, SS, & Peña Díez, JL. 100 Barr Harbor Drive, PO Box C700, West Conshohocken, PA 19428-2959 : ASTM International, 2013.
Download citation file:
This chapter introduces concepts of financial risk as applied to the decision-making associated with refinery operations. Particular focus is given to the use of two-stage programming to make crude purchasing decisions and operational choices such as the throughput of different units. Most models consider the price as an external uncertain parameter. However, because refiners modify retail prices to optimize profit margins and inventory costs, models that include it as a decision variable are also discussed. In addition, techniques to identify decisions that are less profitable, but also less risky, are presented. Finally, we show how commercial software can be used. We conclude that the techniques presented are mature and ready to be adopted in practice.
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