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Kyushu Electric Power, a Japanese energy company, is negotiating with Dagestan power engineers and authorities regarding the construction of the Republic's first oil refinery capable of producing a new generation diesel fuel.
Japanese power engineers offer Dagestan to produce a new generation diesel fuel
Kyushu Electric Power, a Japanese energy company, is negotiating with Dagestan power engineers and authorities regarding the construction of the Republic's first oil refinery capable of producing a new generation diesel fuel. Such fuel oil and diesel fuel may be three times cheaper than Russian analogues and contain one-third less crude oil than Russian diesel fuel and fuel oil. Such 1 million tonne oil refinery based on Dagestanenergo may be launched after 2017.
Kyushu is considering the possibility of investing in the designed refinery and upgrading Dagestanenergo's capacities while the appropriate technology of producing the new type of diesel fuel and fuel oil (containing 30% of water and 70% of oil products) will be provided to the partners by Japan Low-Carbon Development Co. Ltd. The cooperation and potential creation of a joint venture with the latter was agreed upon by Dagestanenergo as early as in summer 2014. But no details were disclosed at that time and it is only now that the project is going to be implemented.
Japanese Kyushu Electric Power ranks No.3 among Japanese energy companies and owns several nuclear, gas-fired, hydroelectric, coal-fired, oil-fired and geothermal power assets in the south part of the country. In October 2015, the company was first to launch a nuclear power plant unit (Sendai nuclear power plant) after the Fukushima nuclear disaster that occurred in 2011.
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