LCO
LCO - Light Cycle Oil
Leveraging our extensive network of reliable LCO suppliers, we guarantee that our customers are provided with yearly contracts, ensuring consistent fulfillment of their monthly requirements. LCO, or Light Cycle Oil, is a middle distillate produced through the Fluid Catalytic Cracking (FCC) process within petroleum refineries. Its primary application is as a blendstock in the creation of diesel and jet fuel. Although LCO holds a lower value compared to gasoline, its high heating value at a reduced cost enables refineries to optimize their product mixes and efficiently satisfy consumer demand.
ORIGIN
Non-Russian/Non-Sanctioned OPEC Member countries, or EU
International relations
Non-sanctioned trade: A country or entity engages in trade with a foreign party that is subject to economic sanctions by another nation, such as the U.S. Office of Foreign Assets Control (OFAC).
PRODUCT DESCRIPTION
Crude oil is the raw, unrefined material that is processed into various fuels like gasoline and diesel, while other fuels are derived directly from natural gas or are renewable sources like solar or wind. Key differences lie in composition, processing, and environmental impact: crude oil requires complex refining to yield usable products, whereas natural gas is often a cleaner-burning fossil fuel due to its lower carbon emissions. Unlike crude oil, other fuels such as natural gas and renewable energy sources (like solar, wind, and hydropower) do not involve the same refining processes.
KEY CHARACTERISTICS
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Compared to standard diesel fuel, LCO has a number of inferior qualities:
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High sulfur content: LCO's high sulfur content does not meet modern, strict environmental regulations for diesel fuel, which require ultra-low sulfur levels.
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High aromatic content: A high percentage of aromatic hydrocarbons contributes to a low cetane number, meaning the fuel does not ignite well under compression.
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Requires upgrading: Due to its poor quality, LCO must be processed further to become a viable fuel source.
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Despite its flaws, LCO is a valuable feedstock that can be upgraded for use in several ways:
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Ultra-low sulfur diesel (ULSD): With a process called hydrotreating, refiners can remove sulfur and improve the quality of LCO for blending into high-quality diesel fuel.
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Industrial fuel: LCO can be blended for use in industrial burners, furnaces, and boilers.
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Marine gas oil: When desulfurized, it can be used as a blending component for marine fuels.
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Chemical feedstock: LCO contains valuable aromatic components that can be used to produce petrochemicals like benzene, toluene, and xylene (BTX).
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Specifications and Standards
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LCO specifications and standards vary by region and intended use, but generally require low sulfur, nitrogen, and high aromatic content, along with specific density, viscosity, and distillation characteristics. LCO typically undergoes hydrogenation to reduce sulfur, nitrogen, and aromatics to meet environmental and engine requirements, transforming it into a usable, environmentally friendly diesel fuel or a source for high-octane gasoline and petrochemicals.
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LCO (Light Cycle Oil) usage in fuel depends on its treatment but is primarily used as a blending component for diesel and marine fuels, a viscosity cutter for heavy fuel oil, and a feed for power generation in boilers and furnaces. Because raw LCO has poor ignition quality and high sulfur content, it must be upgraded through processes like hydrotreating or hydrocracking to reduce these undesirable characteristics before being used in high-quality diesel fuel applications.
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Diesel Fuel:LCO is a refinery product with a similar boiling range to diesel but has a much lower quality in terms of ignition and contaminants.
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Heavy Residual Fuels:LCO is primarily used to make heavy residual fuels less viscous, improving their suitability for use in certain applications
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