Downstream: Chemical Engineering: Technical and Economic Review

An Undisclosed Company (the Company) is one of the world’s leading independent commodity trading and logistics houses. The Company has developed industrial assets and strategic infrastructure to support trading activities throughout the world. Previously, Opportune assisted the Company with the acquisition of a logistical site on the Corpus Christi ship channel. With the growth of production in the Eagle Ford formation in South Texas, the Company identified an opportunity to add a condensate splitter to the site (the Condensate Splitter Project) and wanted to utilize the logistical facilities for condensate and product sales. Once more, the Company turned to Opportune to provide technical and economic review in support of the Condensate Splitter Project located on the Corpus Christi site.

For the Condensate Splitter Project, Opportune provided an expert consulting team with skills in project analysis and execution, crude oil and refined product markets, construction management, operations expertise, and valuation. Opportune’s assignment was divided into three main areas comprising (1) technical review of the Condensate Splitter Project and development of documentation for financing, (2) analysis of the market outlook and development of a price forecast, and (3) assessment of project economics. In addition, Opportune was to identify major risk factors and to assist in development of strategies to mitigate these risks.

Key to successful completion of this engagement was Opportune’s technical review in support of project financing. This review involved evaluation of all aspects of the project. Opportune provided a technical assessment of the suitability of the project design to make the volume and quality of products needed for the Company’s business plan to succeed. Opportune evaluated the planned construction cost and schedule to build the facilities. Opportune also reviewed operating plans, expected operating costs, turnaround schedules, and maintenance requirements to assess whether these plans could reasonably be achieved. Finally, Opportune provided assessments of the capabilities the project management team, construction contractors, and project execution controls needed to successfully complete the project.

Opportune consultants have real-world business, commercial, and market experience in all aspects of petroleum refining and processing. Our technical and economic analysis expertise provides a comprehensive approach to evaluating refining business activities including transactional due diligence, financing, valuation, and project feasibility. For additional information, click here.