Nijat Ismailov Course Work 1.1
Nijat Ismailov Course Work 1.1
COURSE WORK
ASOIU-2024
AZERBAIJAN OIL AND INDUSTRY UNIVERSITY
Group: 220.22E
Student: Nijat Ismailov
Course project manager. G.A.Zeynalova
The date on which the assignement was given:___________________________
The topic of the course project: Operation of petroleum storage depots________
________________________________________________________________
Solution of key issues to be addressed:_________________________________
________________________________________________________________
List of graphic materials:
_____________________________________________________________
Literature:________________________________________________________
Signature of the head of the department:________________prof. H.R.Gurbanov
Signature of the course project manager:____________________G.A.Zeynalova
Signature of the student:_________________________________ Nijat Ismailov
Date of project defense: __________________
Mark:_______________________
ABSTRACT
1.Introduction
RESULT
LITERATURE
Introduction
Petroleum storage depots are vital facilities for the storage and distribution of
refined petroleum products. They serve as key nodes in the fuel supply chain,
bridging the gap between refineries and end consumers. These depots store
products like gasoline, diesel, jet fuel, and lubricants in large storage tanks. Tanks
are designed to prevent leaks, ensure safety, and minimize evaporation losses.
Depots receive petroleum products via pipelines, railcars, ships, or tanker trucks.
The incoming fuel undergoes quality checks to maintain product integrity.
Advanced monitoring systems track tank levels to manage inventory effectively.
Blending operations at depots ensure fuel meets regional specifications and
standards. Distribution occurs through tanker trucks, railcars, or pipelines to retail
outlets or industrial users. Safety protocols are strictly followed to prevent
accidents like fires or spills. Facilities are equipped with fire suppression systems
and spill containment measures. Environmental safeguards like vapor recovery
systems minimize emissions during operations. Depots comply with national and
international regulations to ensure operational safety. Emergency response plans
are in place for potential hazards. Skilled personnel oversee operations to maintain
efficiency and safety. Automation is increasingly used for loading and inventory
management. Regular maintenance of infrastructure prevents downtime and
ensures reliability. Depots are strategically located near consumption centers or
transportation hubs. They play a critical role in energy security and supply
continuity. By maintaining strict standards, petroleum depots ensure a stable fuel
supply for various sectors.
1.1Definition and Importance of Oil Storage Facilities
Oil storage facilities are one of the basic building blocks of the energy sector and
are the name of large infrastructures used for the safe storage, processing,
transportation and distribution of crude oil and refined petroleum products. These
facilities fulfill critical functions such as ensuring the supply and demand balance
of oil and its derivatives, creating strategic reserves, regulating commercial
activities and ensuring energy security. The operation of oil storage facilities not
only ensures the balance between production and consumption, but also has great
importance in terms of environmental protection, safety measures and efficiency.
Definition of Oil Storage Facilities
Oil storage facilities are complex infrastructures consisting of various types of
tanks, pipelines, pumps, loading and unloading terminals, security systems,
monitoring devices and environmental protection technologies. These facilities are
usually located near ports, refineries or large oil production areas. Oil storage
facilities are designed to preserve the quality of the stored products and have
features that will ensure that the products are stored safely for a long time.
Functions and Purposes of Oil Storage Facilities
1. Ensuring Supply and Demand Balance
One of the primary functions of oil storage facilities is to manage the imbalance
between supply and demand. Fluctuations between supply and demand in energy
markets can affect prices. Therefore, storage facilities help balance the time
difference between the production and consumption of oil and its derivatives.
Crude oil, especially from refineries, is stored before being processed and
production is made at the right time before being released to the market. In
addition, when consumption is high, petroleum products stocked in storage are
released to the market to meet the supply.
2. Establishment of Strategic Reserves and Energy Security
Oil storage facilities are critical to ensuring the energy security of countries. Events
such as international crises, wars or natural disasters can interrupt oil supply. In
such cases, strategic reserves come into play. Strategic reserves created in oil
storage facilities are stored for use in emergencies. These reserves are important for
ensuring national energy independence and meeting energy needs in the event of
disruptions in the supply chain.
3. Commercial Purposes and Arbitrage Opportunities
Oil storage facilities allow trading companies to benefit from fluctuations in oil
prices. Arbitrage is a trading strategy based on buying oil when the price is low and
selling it when the price is high. Storage facilities provide a suitable environment
for this type of trade. In addition, crude oil or refined products can be temporarily
stored in storage facilities and managed according to the timing of the amount
offered to the market.
4. Logistics and Distribution Management
Oil storage facilities also serve as logistics centers that facilitate the distribution
and transportation of petroleum products. These facilities ensure that the products
are transferred to road tankers, ships or pipelines for delivery at the right time and
quantity. Distributions from storage facilities are usually made to reach commercial
distribution points or end consumers. These operations increase the efficiency of
supply chain management.
Importance of Oil Storage Facilities
1. Economic and Commercial Contributions
Oil storage facilities contribute greatly to the economy. Ensuring the continuity of
energy supply, the ability to trade petroleum products and the ability to balance
against price fluctuations ensure the stability of economic activities. Petroleum
derivatives, in particular, constitute the primary energy source of the world
economy and are of critical importance for production processes, transportation
and industrial activities. In this context, petroleum storage facilities play a major
role in the continuity of global trade.
2. Environmental Protection and Sustainability
The environmental impact of petroleum storage facilities can also be quite large.
Leaks or emissions that may occur during storage can lead to environmental
damage. Therefore, environmental management and sustainability measures play
an important role in the design and operation stages of these facilities. Petroleum
storage facilities are equipped with environmentally friendly technologies and
work to recycle waste, reduce steam emissions, purify water and prevent
environmental pollution.
3. Security and Risk Management
The security of petroleum storage facilities is a critical issue considering the high
flammability of petroleum and its derivatives. Fires, explosions and chemical leaks
can lead to major environmental disasters. Therefore, the highest safety standards
are applied in petroleum storage facilities. Safety measures at the facilities include
fire suppression systems, leak prevention technologies, emergency protocols and
environmental protection measures. Additionally, regular inspections, maintenance
and personnel training are important for safe operation.
4. Technological Innovation and Efficiency
Oil storage facilities are becoming more efficient, safe and environmentally
friendly with developing technologies. Technologies such as digitalization,
automation, IoT sensors, artificial intelligence and machine learning provide great
improvements in monitoring and managing storage processes. These technologies
make storage processes more transparent and efficient, reduce security risks and
can predict maintenance needs in advance. They also ensure efficient energy
management and environmental goals such as reducing carbon emissions.
Oil storage facilities include all the infrastructure required for the safe, efficient
and environmentally friendly storage of oil. These facilities consist of different
components to transfer, transport and ultimately ship oil and petroleum products to
various storage areas to consumers or other industrial users. Each component of an
oil storage facility aims to optimize the efficiency, safety and environmental impact
of the facility. Here is a detailed review of the components of an oil storage
facility:
1. Storage Tanks
Storage tanks are the basic component of an oil storage facility and are central to
the operation of the facility. These tanks are used to safely store crude oil or refined
petroleum products. Different types of tanks and designs are selected based on the
characteristics of the stored products and environmental safety requirements.
a. Types of Tanks
Fixed Roof Tanks
Fixed Roof Tanks are used for products that are less prone to evaporation.
These types of tanks are generally used for storing crude oil, fuel oil and some
low volatile substances.
A fixed roof is a structure that is placed on top of the tank and remains fixed. As
the product level in the tank increases, the height of the roof does not change.
This design is less costly and requires additional measures to prevent vapor
loss.
Advantages: Simpler and cheaper structures. Generally used for large-scale
storage.
Disadvantages: The risk of vapor loss may be higher, so products must be
controlled more carefully in these types of tanks.
Floating Roof Tanks
Floating roof tanks are an ideal option for storing more volatile and vapor-prone
products. These types of tanks are commonly used for storing volatile liquids
such as gasoline, jet fuel and diesel.
A floating roof rises or falls according to the product level in the tank. This
reduces the surface area in contact with the air inside the tank, minimizing the
amount of vaporized product.
Advantages: Minimizes vapor loss and reduces environmental impacts.
Provides safe and efficient storage.
Disadvantages: Can be structurally more complex and expensive.
Pressure Tanks
Pressure tanks are designed for substances that need to be stored under high
pressure, such as liquefied petroleum gas (LPG), liquefied natural gas (LNG)
and other gases.
These tanks are manufactured with special materials that can withstand the high
pressure levels required to keep gases in liquid form.
Advantages: Provides safe storage under pressure.
Disadvantages: They are tanks that are expensive and require more frequent
maintenance.
Underground Tanks
For environmental protection and aesthetic reasons, underground tanks are
preferred for storing oil and petroleum products. Such tanks allow storage
without creating negative effects on the ground surface and without polluting
the environment.
Advantages: Prevents visual pollution and offers environmentally
friendly solutions.
Disadvantages: Installation costs are high and underground systems are more
difficult to maintain and repair.
b. Tank Capacity and Design
The capacity of storage tanks is usually measured in millions of barrels. Tanks
are designed to store large amounts of petroleum products and have high
durability to ensure safe storage of the products.
The materials used in tank designs are selected according to the chemical
properties of the stored product. For example, carbon steel is used for crude oil,
and stainless steel is used for more acidic or corrosive products. Such designs
are of great importance for environmentally friendly and safe storage.
2. Pipelines and Pumps
The transportation of oil between storage areas is carried out by pipelines and
pumps. These components allow oil to be transported quickly, efficiently and
safely over large distances.
a. Pipelines
Pipelines are long, continuous lines that transport oil from one storage area to
another. These lines are usually made of steel materials and are protected with
corrosion-resistant coatings.
Pipelines are used to transport various types of petroleum products. These
systems are indispensable for long-distance transportation, especially in large-
scale facilities.
Advantages: Provides a fast, safe and uninterrupted transportation system.
Disadvantages: High installation costs and long-term maintenance
requirements.
b. Pumps
Pumps are equipment that transports products from storage tanks. The transfer
of petroleum products through pipelines is done by pumps.
Centrifugal Pumps: Provides fast and efficient transportation of fluids.
Positive Displacement Pumps: Used in the transportation of denser, viscous
products. These pumps are especially preferred in the transportation of crude oil
and heavy oils.