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Downstream (oil industry)

The downstream oil sector is a term commonly used to refer to the refining of crude oil, and the selling and distribution of natural gas and products derived from crude oil. The downstream sector includes oil refineries, petrochemical plants, petroleum product distribution, retail outlets and natural gas distribution companies. The downstream industry touches consumers through thousands of products such as gasoline, diesel, jet fuel, heating oil, asphalt, lubricants, synthetic rubber, plastics, fertilizers, antifreeze, pesticides, pharmaceuticals, natural gas and propane

Upstream (oil industry)

The upstream oil sector is a term commonly used to refer to the searching for and the recovery and production of crude oil and petroleum natural gas. The upstream oil sector is also known as the exploration and production (E&P) sector. The upstream sector includes the searching for potential underground or underwater oil and gas fields, drilling of exploratory wells, and subsequently operating the wells that recover and bring the crude oil and/or raw natural gas to the surface.

Midstream (oil industry)

However, midstream operations are usually simply included in the downstream category The midstream sector processes, stores, markets and transports commodities such as crude oil, natural gas and natural gas liquids (NLG) such as ethane, propane and butane.

The process of oil production, transportation, refinery and sale is managed by oil companies (producers). But there are also service companies that work as contractors to the oil companies. These are deeply involved in the oil business providing services that help oil companies to carry out their operations.

(www. Wikipedia.ed)

State whether the sentences are true or false. If true, add the information on the statement. If false, correct the sentence.

1. Oil industry is divided into three sectors. T F  
2. Downstream begins from refinery to product distribution. T F
3. Upstream sector includes only drilling and exploration. T F
4. Midstream is part of the upstream sector. T F
5. Midstream transports such products as crude oil, natural gas and NGL. T F
6. Service companies help oil companies in different operations. T F
7. Oil companies can also be contractors. T F

<== попередня сторінка | наступна сторінка ==>
Discuss the following issues. | Read the texts about three different oil companies and do the exercises.

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