Propane Production from Petroleum Refining

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Propane Production Cost Breakup from Petroleum Refining

This report provides the cost structure of propane production by the petroleum refining process. In this process, crude oil is separated into oil and wet gas via gas trap.

Last Updated: January, 2025

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Written ByVikas Jha

The process of crude oil refining leads to the formation of propane as a byproduct. Fluid catalytic crackers (FCC) are another way that propane (and propylene) is created in today's modern refineries. In this procedure, high heat and pressures shatter long-chain hydrocarbon molecules into lighter hydrocarbons that are better suited for the manufacture of motor gasoline. In addition to those gasoline blending products, the refinery crackers also create lighter molecules like propane, regular butane, isobutane, and their olefins.

The project economic analysis provided in the report discusses a Germany-based plant:

  • Manufacturing Process
    • Process Flow
    • Material Flow
    • Material Balance
  • Raw Material and Product's Specifications
    • Raw Material Consumption
    • Product and Co-Product Generation
    • Capital Investment
  • Land and Site Cost
    • Offsites/Civil Works
    • Equipment Cost
    • Auxiliary Equipment Cost
    • Contingency
    • Engineering and Consulting Charges
    • Working Capital
  • Variable Cost
    • Raw Material
    • Utilities
  • Fixed Cost
    • Labor Requirement & Wages
    • Overhead Expenses
    • Maintenance Charges
  • Financing Costs
    • Interest on Working Capital
    • Interest on Loans
  • Depreciation Charges
  • General Sales and Admin Costs
  • Production Cost Summary

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About the Author

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Vikas Jha

Vice President - Sales and Operations

Driving growth and operational excellence at Procurement Resource by partnering with global enterprises on procurement consulting and client solutions, with expertise in scaling research operations and delivering actionable commodity intelligence.

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  • Executive Summary
  • Key Process Information
  • Variable Cost Breakdown
  • Conversion Cost Analysis
  • Capital Investment Analysis
  • Land and Site Cost Details
  • Construction Cost Breakdown
  • Equipment Cost Breakdown
  • Techno-Economic Parameters
  • Delivery Format
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  • Executive Summary
  • Key Process Information
  • Variable Cost Breakdown
  • Conversion Cost Analysis
  • Capital Investment Analysis
  • Land and Site Cost Details
  • Construction Cost Breakdown
  • Equipment Cost Breakdown
  • Techno-Economic Parameters
  • Delivery Format
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Enterprise

$4799.00

$4079.00

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  • Executive Summary
  • Key Process Information
  • Variable Cost Breakdown
  • Conversion Cost Analysis
  • Capital Investment Analysis
  • Land and Site Cost Details
  • Construction Cost Breakdown
  • Equipment Cost Breakdown
  • Techno-Economic Parameters
  • Delivery Format

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