In May, Axial Vector Energy Corp. announced that its PETRO AVEC Joint Venture partner, Petrosonics LLC, recently received a Russian patent protecting the purification process that removes sulfur and nitrogen compounds from diesel oil, FCC cycle oil, FCC slurry oil, light/heavy gas oil and coker gas oil fractions. The patent will remain in effect for 20 years with the possibility of an additional five-year extension.
According to the U.S. Energy Information Administration, Russia has 41 oil refineries with a total crude oil processing capacity of 5.4 million bbl/d, and produces significant amounts of heavy fuel oil, middle distillates, and gasoline. Roughly 20.5% of Russia’s total diesel output is exported. However, their refineries need to modernize in order to meet Europe’s growing demand for low sulfur fuels.
Dr. Mazin Samman, lead PETRO AVEC licensing negotiator for Russia, stated, “Russian oil companies are prime licensing candidates for Petrosonics’ technology. What low sulfur diesel Russia does export moves to export destinations entirely by rail to avoid being blended with Russia’s more generic high-sulfur product, which is exported largely through the refined product pipeline system to Western Europe. Separating low sulfur product from generic high sulfur product and then shipping it by rail is inefficient and expensive. Not having a sufficient supply of low sulfur product also represents a very large opportunity cost. PETRO AVEC offers arguably the lowest total cost of ownership modernization technology which, when deployed, would likely eliminate both the need for product segregation and the paucity of supply of low sulfur product for export.”
AVEC Chairman Mr. Ahmed Khalifa added, “Russia is the second largest crude oil producer and the third largest refiner in the world. Achieving broad intellectual property protection there is key to our continuing effort to achieve broad patent protection in 42 different oil producing and oil refining nations. As stated in earlier news releases, these 42 countries represent 55.7% of all crude oil production, 30% of world crude oil reserves, and 40% of the world’s refining capacity. The value of having protection for the world’s newest, cleanest and lowest total cost of ownership refining technology in those 42 countries will be the subject of a third party expert report coming out shortly from the international oil industry technology valuation team at MuseStancil, www.musestancil.com. We very much look forward to their report.”
Let us hear your thoughts: Axial Vector Energy Corp. Message Board