Mongstad
Encyclopedia
Mongstad is an industrial site located in the municipalities of Lindås
and Austrheim
in Hordaland
, Norway
. The site features an oil refinery
for Statoil
and other oil companies, including Shell
. At Mongstad, Statoil has a crude oil terminal with a capacity of 9.5 Moilbbl. The port
at Mongstad is the largest in Norway, measured in tonnage
. The refinery at Mongstad is modern, and has been extensively upgraded, with a capacity of 10 million tonnes crude oil per year. The refinery is the largest in Norway, though medium sized by European standards. It is owned by Mongstad Refining, in which Statoil has a 79% ownership share and Shell 21%.
All the crude oil refined at Mongstad comes from the North Sea
. The largest production is petrol, diesel, jet fuel
and light petroleum products. The heaviest components are used to make petrol coke, an important ingredient in anodes for aluminum production.
In 2010, Statoil and DONG Energy
plan to open Mongstad power station
, a natural gas
-fired thermal power plant, to provide the site with heat energy and electricity
, as well as to the Troll gas field.
opened its refinery. At the end of the 1980s, the refinery was expanded to the tune of NOK
14 billion, resulting in the Mongstad scandal
after a NOK 6 billion overexpenditure on the facility, costing several Statoil executives their jobs. In the time of the “Mongstad scandal” as it was called, a “Mong” was colloquially used as a term for NOK 6 billion.
Statoil is currently building a natural gas-fired thermal power plant at Mongstad. The carbon dioxide emissions that will result have aroused public controversy.
Lindås
Lindås is a municipality in the county of Hordaland, Norway.-Background:The parish of Lindaas was established as a municipality on 1 January 1838 . Masfjorden was separated from Lindås on 1 March 1879. Austrheim was separated from Lindås on 1 January 1910...
and Austrheim
Austrheim
Austrheim is a municipality in the county of Hordaland, Norway. Austrheim was separated from Lindås on 1 January 1910. Fedje was separated from Austrheim on 1 January 1947...
in Hordaland
Hordaland
is a county in Norway, bordering Sogn og Fjordane, Buskerud, Telemark and Rogaland. Hordaland is the third largest county after Akershus and Oslo by population. The county administration is located in Bergen...
, Norway
Norway
Norway , officially the Kingdom of Norway, is a Nordic unitary constitutional monarchy whose territory comprises the western portion of the Scandinavian Peninsula, Jan Mayen, and the Arctic archipelago of Svalbard and Bouvet Island. Norway has a total area of and a population of about 4.9 million...
. The site features an oil refinery
Oil refinery
An oil refinery or petroleum refinery is an industrial process plant where crude oil is processed and refined into more useful petroleum products, such as gasoline, diesel fuel, asphalt base, heating oil, kerosene, and liquefied petroleum gas...
for Statoil
Statoil
Statoil ASA is a Norwegian petroleum company established in 1972. It merged with Norsk Hydro in 2007 and was known as StatoilHydro until 2009, when the name was changed back to Statoil ASA. The brand Statoil was retained as a chain of fuel stations owned by StatoilHydro...
and other oil companies, including Shell
Royal Dutch Shell
Royal Dutch Shell plc , commonly known as Shell, is a global oil and gas company headquartered in The Hague, Netherlands and with its registered office in London, United Kingdom. It is the fifth-largest company in the world according to a composite measure by Forbes magazine and one of the six...
. At Mongstad, Statoil has a crude oil terminal with a capacity of 9.5 Moilbbl. The port
Port
A port is a location on a coast or shore containing one or more harbors where ships can dock and transfer people or cargo to or from land....
at Mongstad is the largest in Norway, measured in tonnage
Deadweight tonnage
Deadweight tonnage is a measure of how much weight a ship is carrying or can safely carry. It is the sum of the weights of cargo, fuel, fresh water, ballast water, provisions, passengers, and crew...
. The refinery at Mongstad is modern, and has been extensively upgraded, with a capacity of 10 million tonnes crude oil per year. The refinery is the largest in Norway, though medium sized by European standards. It is owned by Mongstad Refining, in which Statoil has a 79% ownership share and Shell 21%.
All the crude oil refined at Mongstad comes from the North Sea
North Sea
In the southwest, beyond the Straits of Dover, the North Sea becomes the English Channel connecting to the Atlantic Ocean. In the east, it connects to the Baltic Sea via the Skagerrak and Kattegat, narrow straits that separate Denmark from Norway and Sweden respectively...
. The largest production is petrol, diesel, jet fuel
Jet fuel
Jet fuel is a type of aviation fuel designed for use in aircraft powered by gas-turbine engines. It is clear to straw-colored in appearance. The most commonly used fuels for commercial aviation are Jet A and Jet A-1 which are produced to a standardized international specification...
and light petroleum products. The heaviest components are used to make petrol coke, an important ingredient in anodes for aluminum production.
In 2010, Statoil and DONG Energy
DONG Energy
-History:The Danish state company Dansk Naturgas A/S was founded in 1972 to manage resources in the Danish sector of the North Sea. After some years, the company was renamed to Dansk Olie og Naturgas A/S . At the beginning of 2000s, DONG started to extend itself into the electricity market by...
plan to open Mongstad power station
Mongstad power station
Mongstad Power Station is a natural gas-fired thermal power plant under construction at the industrial site of Mongstad in Norway.The station is owned by a consortium of Statoil and DONG Energy, and will be operated by the latter. Construction costs are estimated at NOK 4 billion.The power station...
, a natural gas
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...
-fired thermal power plant, to provide the site with heat energy and electricity
Electricity
Electricity is a general term encompassing a variety of phenomena resulting from the presence and flow of electric charge. These include many easily recognizable phenomena, such as lightning, static electricity, and the flow of electrical current in an electrical wire...
, as well as to the Troll gas field.
History
The first use of the site was in 1975, when StatoilStatoil
Statoil ASA is a Norwegian petroleum company established in 1972. It merged with Norsk Hydro in 2007 and was known as StatoilHydro until 2009, when the name was changed back to Statoil ASA. The brand Statoil was retained as a chain of fuel stations owned by StatoilHydro...
opened its refinery. At the end of the 1980s, the refinery was expanded to the tune of NOK
Norwegian krone
The krone is the currency of Norway and its dependent territories. The plural form is kroner . It is subdivided into 100 øre. The ISO 4217 code is NOK, although the common local abbreviation is kr. The name translates into English as "crown"...
14 billion, resulting in the Mongstad scandal
Mongstad scandal
The Mongstad scandal was a crisis in the Norwegian oil company Statoil in 1987-88.The company exceed the NOK 8 billion budget by NOK 6 billion in upgrading the oil refinery at Mongstad. Retrospectively the reasons for the overexpenditure were attributed to bad planning, technical miscalculations...
after a NOK 6 billion overexpenditure on the facility, costing several Statoil executives their jobs. In the time of the “Mongstad scandal” as it was called, a “Mong” was colloquially used as a term for NOK 6 billion.
Statoil is currently building a natural gas-fired thermal power plant at Mongstad. The carbon dioxide emissions that will result have aroused public controversy.