Stochastic refinery planning with risk management

This work proposes a two-stage stochastic programming model with fixed recourse via scenario analysis with incorporation of risk management for an optimal midterm refinery planning that addresses three factors of uncertainties: prices of crude oil and saleable products (in the objective function), p...

Full description

Bibliographic Details
Main Authors: C.S., Khor, A., Elkamel, P.L., Douglas
Format: Article
Language:English
Published: 2008
Subjects:
Online Access:http://scholars.utp.edu.my/id/eprint/238/
http://scholars.utp.edu.my/id/eprint/238/1/paper.pdf
_version_ 1848658938649640960
author C.S., Khor
A., Elkamel
P.L., Douglas
author_facet C.S., Khor
A., Elkamel
P.L., Douglas
author_sort C.S., Khor
building UTP Institutional Repository
collection Online Access
description This work proposes a two-stage stochastic programming model with fixed recourse via scenario analysis with incorporation of risk management for an optimal midterm refinery planning that addresses three factors of uncertainties: prices of crude oil and saleable products (in the objective function), product demands (in the RHS coefficients), and product yields (in the LHS coefficients). Compensating slack variables and discrepancy costs are employed to explicitly account for constraints' violations to increase model tractability. Variance is adopted as the risk measure, with its shortcomings highlighted and mean-absolute deviation proposed as an improved alternative. A representative numerical example is illustrated.
first_indexed 2025-11-13T07:22:29Z
format Article
id oai:scholars.utp.edu.my:238
institution Universiti Teknologi Petronas
institution_category Local University
language English
last_indexed 2025-11-13T07:22:29Z
publishDate 2008
recordtype eprints
repository_type Digital Repository
spelling oai:scholars.utp.edu.my:2382017-01-19T08:26:26Z http://scholars.utp.edu.my/id/eprint/238/ Stochastic refinery planning with risk management C.S., Khor A., Elkamel P.L., Douglas TP Chemical technology This work proposes a two-stage stochastic programming model with fixed recourse via scenario analysis with incorporation of risk management for an optimal midterm refinery planning that addresses three factors of uncertainties: prices of crude oil and saleable products (in the objective function), product demands (in the RHS coefficients), and product yields (in the LHS coefficients). Compensating slack variables and discrepancy costs are employed to explicitly account for constraints' violations to increase model tractability. Variance is adopted as the risk measure, with its shortcomings highlighted and mean-absolute deviation proposed as an improved alternative. A representative numerical example is illustrated. 2008 Article NonPeerReviewed application/pdf en http://scholars.utp.edu.my/id/eprint/238/1/paper.pdf C.S., Khor and A., Elkamel and P.L., Douglas (2008) Stochastic refinery planning with risk management. Petroleum Science and Technology, 26 (14). pp. 1726-1740. ISSN 10916466 http://www.scopus.com/inward/record.url?eid=2-s2.0-50249189336&partnerID=40&md5=7b5b1a964429bc7111dc4a891655040d 10.1080/10916460701287813 10.1080/10916460701287813 10.1080/10916460701287813
spellingShingle TP Chemical technology
C.S., Khor
A., Elkamel
P.L., Douglas
Stochastic refinery planning with risk management
title Stochastic refinery planning with risk management
title_full Stochastic refinery planning with risk management
title_fullStr Stochastic refinery planning with risk management
title_full_unstemmed Stochastic refinery planning with risk management
title_short Stochastic refinery planning with risk management
title_sort stochastic refinery planning with risk management
topic TP Chemical technology
url http://scholars.utp.edu.my/id/eprint/238/
http://scholars.utp.edu.my/id/eprint/238/
http://scholars.utp.edu.my/id/eprint/238/
http://scholars.utp.edu.my/id/eprint/238/1/paper.pdf