Technology research and development
In 2022, the ORLEN Group focused on the delivery of its 2030 Strategy and the Strategic Research Agenda (SRA) established thereunder, as well as on developing an R&D ecosystem, including innovation acquisition
As part of SRA, the ORLEN Group was working on over 230 R&D&I projects in 2022 (with over 120 of them carried out at ORLEN). The majority of those projects were being implemented as part of the following technology domains: Effective Refining, Environmentally Friendly Technologies and Products, Advanced Petrochemical Production and New Generation Materials, Hydrogen Technologies and Efficient and Low-Carbon Power Generation.
SRA placed a particular focus on acceleration programmes for technology start-ups offering solutions ready for testing and scaling up as part of the ORLEN Group’s production, logistics and sales infrastructure. These programmes make it possible to quickly validate solutions that suit the ORLEN Group’s long-term development plans in areas such as decarbonisation, digitalisation, operational efficiency, sustainable development, circular economy and power generation. In 2022, more than 100 technological challenges were defined as part of ORLEN Group’s acceleration programme calls. Cooperation, in areas such as retail, refining, logistics, water and wastewater management, marketing and power generation, was ultimately undertaken with 23 start-ups selected from among candidates that had responded to the calls.
As part of the ORLEN Group’s initiatives designed to stimulate innovation, in 2022 also Anwil S.A. and Energa Group companies were covered by the ORLEN Skylight accelerator programme. Moreover, in April 2022 ORLEN entered into an agreement with Microsoft, commencing cooperation between the Skylight accelerator and Founders Hub 101 programmes. Collaborative links with start-ups in 2022 were also developed on the Czech market as part of the ChemTechNext initiative organised by Unipetrol, with applications submitted by more than 50 start-ups and seven of them finally selected for potential joint projects.
ORLEN’s major achievements in technology research and development
2022 was a time of intensive activity at the Research & Development Centre (RDC) in Płock. The purpose of these research and development facilities is to prepare and create conditions for the scale-up of proprietary technologies and their implementation on an industrial scale.
In 2022, the RDC team focused on testing modern fuels, selecting specific lubricant technologies and developing heavy residue technologies for use in the production of bituminous mixtures and for corrosion prevention.
Achievements in this area included the use of proprietary testing stations and skills developed or acquired by staff to validate the attributes of modern gasolines with bio content of up to 10% (E10) and to assess the suitability of wet slops as feedstock for the oxidation of bitumens for implementation in the production of aggregates and asphalt mixtures.
The RDC also identified and validated a technology for producing lubricants for industrial application (especially lubricating greases) and launched a corrosion risk assessment study to test both components and finished products. In mid-2022, a joint effort of the RDC staff and the Strategic Research Project Department resulted in the construction of pilot units simulating refining and petrochemical processes (hydrocracking, diesel oil hydrodesulfurisation, reforming and pyrolysis).
These units form an important part of research facilities and know-how built for ORLEN’s production processes. They will be used to test commercial and new technology and feedstock solutions. One challenge remains to connect these four units to the RDC infrastructure, which would involve such phases as preparation of a design, execution and acceptance, as well as obtaining the same permits as those required for industrial production units. In addition, a fractional distillation pilot unit is in the design and construction phase.
To further expand RDC’s capabilities, a decision was made in 2022 to set up a dedicated hydrogen laboratory whose equipment would be used for testing hydrogen fuel quality and performance. Infrastructure and qualified personnel in the hydrogen fuel area are necessary to implement hydrogen projects, seen as one of the pillars of the ORLEN Group’s 2030 Strategy.
In 2022, the R&D area completed the construction of a unit for the production of advanced bio additives, having secured all the required operating permits (regarding use of the environment, safety and work organisation). It is the first pilot unit for the development of a proprietary technology set up by RDC. It is also an example of the model of cooperation between ORLEN and the scientific community, which has developed an alternative, low-energy technology solution to obtain bio-based products for the transport sector.
Plans for 2023 include conducting a safety review and commissioning, building operational know-how, further training and technology validation. These tasks will be carried out by combined research, technology and production teams, including former LOTOS employees. Following the closedown of a temporary hospital at RDC, work to complete the commissioning and put back into operation two pilot blending units was commenced, which is particularly important for the refining and petrochemical areas. The project is scheduled for completion in 2023.
Despite the pandemic in 2022, R&D projects and strategic tasks were being carried out without disruption. Several years of close cooperation with the scientific community resulted in the development of proprietary formulations for the synthesis of advanced polymeric materials and in the production of a few variants of innovative hydrogenation catalysts dedicated to the production of terephthalic acid (PTA). Benefits of the newly designed catalysts include much lower production costs, with better or not worse performance. The characteristics of test batches will be validated on a pilot unit built for this purpose. The project is primarily expected to increase the efficiency of PTA production, translating into economic benefits, and to help amass knowledge to continue research on catalysts used in many other production processes at the ORLEN Group.
In 2022, the 2022 Research Programme for chemical recycling was completed. Its aim was to acquire chemical recycling knowledge required for the organisation and minimise technological risks in the future. Another area of research was in hydrogen generation technologies. One such project carried out by ORLEN in 2022 was VETNI, whose objective is to develop and construct a pilot unit for high-purity hydrogen production in solid oxide electrolysers (SOE) (with efficiency higher by up to 30% compared with the currently available technologies), powered with renewable energy. The project includes R&D work focused on the development, construction and testing under real operating conditions of a system with electrolysers integrated into the refinery process, which would supply process steam for hydrogen production.
VETNI is a globally unique project due to the deep integration of electrolysers with an existing industrial process. The highly innovative project relies on Polish solutions in the technology and materials. Partly funded by the European Union, it is conducted in partnership with the Institute of Power Engineering and the AGH University of Science and Technology of Kraków. An extension of VETNI is MegaSOE, another R&D initiative to develop and implement a large-scale hydrogen generation and storage unit. The project is co-financed by the National Centre for Research and Development under the New Energy Technologies programme. As part of the decarbonisation programme and development of advanced chemical products, work is being continued on a technology to apply CO2 in new chemical processes and products. Pilot units for processes to obtain new chemical products and test new process catalysts are in the design phase. As part of these efforts, in 2022 ORLEN obtained an invention patent for the ‘Method of obtaining cyclic carbonates’. Parallel research is under way on technologies for obtaining polyurethanes for various applications. Work has also commenced into the possible use of CO2 in a construction materials production technology.
As regards the development of asphalt technologies, a new category of Warm Mix Asphalt was developed and prepared for market implementation. It helps reduce CO2 emissions through the use of lower temperature in the preparation of aggregates and asphalt mixtures and road paving materials. Work is under way to extend the catalogue of WMA products to include another group of modified asphalts: Polymer-Modified Bitumens (PMB). At the same time, research has been undertaken on the possibility of introducing classified rubber waste and new modifiers into asphalts (Polymer-Modified Bitumens (PMB) and Highly Modified Asphalt (HIMA)). Last year, work was also ongoing to develop biopolymers and polymers from alternative materials, as well as work on energy storage systems in the context of potential use of solvents for electrolytes in advanced battery solutions.
Laboratory work was completed on circular economy technologies for the recovery and reuse of valuable metals from ash produced by combustion processes at CHP plants and the disposal of a selected type of catalysts based on the same process solution. Preparations are now under way for the construction and start-up of a pilot unit to further develop these technologies.
As part of the programme to develop biomass processing, the selection of optimum types of biomass raw materials for projects carried out by ORLEN S.A. was reviewed and analysed, with directional research conducted on selected methods of obtaining bio-oil and biogas as a source of chemical compounds. A concept of further research on technologies for the processing biomass into biochemicals is being developed based on conclusions from this work.
Major achievements of main ORLEN companies in technology research and development
Companies of the ORLEN Group successfully implemented projects in their dedicated areas consistent with the 2030 Strategy.
ORLEN Unipetrol Group
In 2022, the ORLEN Unipetrol Group continued to develop its activities within the key pillars of green hydrogen, chemical and mechanical recycling of plastics, biofuel production, decarbonisation and digital transformation. These key directions are pivotal to successful growth of the company in view of growing demand for low-carbon technologies. The company’s long-term objective until 2050 is to achieve carbon neutrality for a sustainable future. ORLEN UniCRE focuses on advanced biofuels, which includes assessment of the availability of raw materials, with a particular focus on biomass and municipal waste. Information necessary for the continuation of the projects was obtained in the current phase. In 2022, research on chemical recycling was carried out at a pilot unit and then, based on the acquired know-how, the selection of licensees and technical evaluation of potential licensees were initiated. The research leveraged synergies within the ORLEN Group.
Objectives of the ongoing efforts include the construction of a plastic waste pyrolysis unit in the Czech Republic and its integration into the circular economy chain. The ORLEN Unipetrol Group secured the ISCC Plus recertification for the processing of HVO (hydrotreated vegetable oil) on the ethylene unit enabling production of bioplastics, and the ISCC EU recertification for the processing of bio-based materials (used cooking oil, vegetable oils) on the hydrotreater unit enabling production of HVO through co-processing, primarily for the production of advanced biofuel. 2022 saw the launch of the CHEMTECH NEXT programme to support and collaborate with small start-ups. The projects selected for the programme cover digitalisation, operational safety, efficiency improvement and reducing energy consumption during unit operation.
The ORLEN Unipetrol Group also continued to develop its hydrogen technology, which it believes to be suitable for a future carbon-free economy and mobility. 2022 saw technical completion of the hydrogen refuelling stations project and continuation of the engineering phase of the 60 MW solar PV plant with a 26 MW electrolyser project for the production of green hydrogen with an annual production capacity of 4.75 KTA (actual output). The research team focused on renewable (mainly geothermal) energy generation capacities. As for hydrogen-based mobility, preparations began to construct a high capacity mobile hydrogen station, and a project was started to implement a refuelling station hydrogen sampler.
The Polymer Institute Brno (PIB) continued to focus on developing a portfolio of advanced polymer, polyethylene and polypropylene products. PIB intensively supported the certification of new products. Mechanical recycling of plastics and its application at ORLEN Unipetrol was another important area of focus. Chemical and mechanical recycling is an important tool to achieve the circular economy objectives. PIB focused strongly on new types of polymer catalysts in order to meet legislative requirements.
At the ORLEN Unipetrol Group, strong emphasis was placed on energy efficiency objectives with a particular focus on waste heat recovery technologies. It saw considerable potential in achieving these objectives and gradually reducing CO2 emissions. Key projects in this area were carried out as planned with substantial progress made.
Energa Group
The Energa Group was engaged in 21 projects, including rSOC, which focused on research into a power-to-gas (P2G) technology to generate hydrogen using process steam, based on the solid oxide cell stack with cells operating as electrolysers, designed also for reversible operation. In 2022, laboratory tests were carried out as part of the project, and the unit was put into operation at the Elbląg CHP plant, where its production parameters are being checked. Another noteworthy project is EUniversal, carried out by Energa Operator S.A. to develop network flexibility and potential for using flexibility services in the energy market. The project is being implemented under the EU’s Horizon 2020 programme.
ANWIL Group
In 2022, the ANWIL Group collaborated with ORLEN to construct a hydrogen hub at ANWIL S.A. The continued project is expected to enable the ORLEN Group to enter the zero-carbon fuels market in Poland and develop a new product: automotive grade hydrogen fuels. With carbon neutrality in mind, a decarbonisation programme was adopted including 13 initiatives at different stages, with a total reduction potential of more than one million tonnes of CO2 per year, and with the Ammonia 120+ Project as key initiative. In 2022, the ANWIL Group continued working on the HySTrAm project, which focuses on ammonia-based energy storage and short-term hydrogen storage technologies.
The project also included a research study into the integration of modern hydrogen technologies. In an effort to develop innovation acquisition tools, cooperation was established with two accelerators: MIT Enterprise Forum Central & Eastern Europe and ORLEN Skylight Accelerator
As part of the cooperation with MIT EFC&EE, an acceleration test was carried out in 2022 with Surveily Sp. z o.o., a start-up selected in the 2021 acceleration round, which had developed a solution based on artificial intelligence and machine vision. As part of the cooperation with SKYLIGHT Accelerator, a partner was selected for tests due to start in the first quarter of 2023. Cooperation with the INDUSTRY LAB accelerator, initiated in 2020, resulted in the implementation of the Precision Fertilization Map R&D project.
In the area of fertilizers, work was also continued under a research project into modified nitrate fertilizers. The Laboratory for Research on Physical Properties of Fertilizers was opened in January 2022, having completed 150 projects by the end of that year. In the area of plastics, a pilot unit was being constructed in 2022 to explore the possibility of reducing chloride content in brine sludge. In addition, work on bacterio- and fungi-static PVC applications was completed.
An R&D project was also launched in the area of water management, under which a three-party letter of intent was signed between ANWIL S.A., Lubinus Interactive Sp. z o.o. (a start-up).
ORLEN Południe
In 2022, ORLEN Południe was engaged in activities related to advanced biofuels, which included further work on a project to construct a unit for the production of biodiesel from used cooking oil with an annual capacity of 30 thousand tonnes. A PC contract with AB Industry for the unit construction was being performed, and an agreement with the licence provider (AT Agrar Technik) for the deliveries of proprietary equipment was extend the value chain in the production of fatty acid methyl esters, the project to construct the company’s own rapeseed oil press plant was continued. A procurement procedure was continued to select an EPC contractor for the press plant with an annual extraction capacity of 200 thousand tonnes. An environmental decision for the plant was obtained.
Stage 3 of the 2G bioethanol project was launched. Contracts were signed for the procurement and delivery of individual packages to build a 2G bioethanol unit with power generation capacities and a wastewater treatment plant. Working plans and specifications were being developed, construction work on the site commenced and package procurement began.
The project to build a new biogas business line at ORLEN Południe was continued. The pilot project to build a new biogas business line at ORLEN Południe was completed, with the Głąbowo greenfield project secured at that stage. Further work was under way on a project to develop a treatment technology for glycerine derived from UCOs and animal fats. An EPC contract was signed with the selected contractor.
A project for the development of biotechnology-based conversion of organic raw materials into lactic acid using microorganisms was completed, with co-financing under the INNOCHEM programme. Pilot tests were carried out on the experimental lactic acid unit, and work began to optimise individual process nodes. Collaborative efforts with the Polish Academy of Sciences were also continued to develop a production technology for polyhydroxybutyrate biopolymer (PHB), with the leading strain selected for the technology. As part of the project to obtain de-icing fluid produced with bio-based propylene glycol, work was completed under an agreement signed with the Institute of Heavy Organic Synthesis in Kędzierzyn Koźle for the development of de-icing and anti-icing fluids. Formulations were optimised for type 1, 3 and 4 de-icing fluids. Work continued under the agreement with the AGH University of Science and Technology for the development of a technology to recover metals from spent catalysts.
ORLEN Oil
In 2022, ORLEN Oil focused on the implementation of motor oil, industrial oil and lubricant products with enhanced or new properties. 49 existing product technologies were modified to reduce costs by changing both product formulations and production methods, and 44 new technologies were developed with a view to expanding theproduct portfolio to meet evolving market expectations. Work also continued under the project co-financed by the National Centre for Research and Development to expand the portfolio by including innovative, modern lubricants with nanoadditives in the category of greases, emulsifying and non-emulsifying oils.
ORLEN Asfalt
As for the development of environmentally friendly bitumens, ORLEN Asfalt continued research into low-noise road surface materials with highly modified PMB HiMA in order to expand the areas of their application, especially in places requiring noise reduction. Tests also covered bitumens with photocatalytic addition to surfaces reducing NOx and SOx emissions, as well as bitumens with additives reducing carbon footprint in order to obtain innovative and more environmentally neutral bitumen binders with lower carbon footprint.
ORLEN Laboratorium S.A.
In 2022, ORLEN Laboratorium S.A. was performing tests to control the quality of crude oil and its products, lubricating and motor oils, bitumens, liquid fuels, such as gasolines, diesel and fuel oils, liquefied gas and LPG. The company’s laboratories were also testing biofuels, and performing analyses of diesel oil with FAME and pure FAME additions. The company is additionally engaged in research into plastics, fertilizers, soil, natural environment, working environment and automotive grade hydrogen.
Doing research to broaden product-specific knowledge while meeting the applicable legal requirements and production needs, ORLEN Laboratorium S.A. has implemented a number of standardised research methods, and has developed its own methods to satisfy the current needs of its customers. In 2022, the range of laboratory services for projects implemented by the ORLEN Group was extended to include 60 research methods.
The company continued its efforts to streamline laboratory processes using LIMS. A unique TPM functionality was developed and implemented. The functionality was developed and deployed in line with TPM standards for effective preventive and predictive management in order to reduce the number of laboratory equipment failures.
Former LOTOS
In 2022, former LOTOS carried out research and development work in cooperation with Polish universities and research institutes, collaborating closely also with ORLEN Group companies. Projects co-financed as part of competitive calls by the National Centre for Research and Development included:
- VETNI – development and implementation of a high efficiency system for the production of high-purity hydrogen in solid oxide electrolysers;
- Mega SOE – development and implementation of a large-scale system for the production of high-purity hydrogen using renewables in solid oxide electrolysers.
The integration of Polskie Górnictwo Naftowe i Gazownictwo companies into the ORLEN Group in the fourth quarter of 2022 further strengthened the Group’s cooperation with start-ups. In 2022, programmes co-financed by Agencja Rozwoju Przemysłu S.A. helped raise more than PLN 1 million in grant financing for six pilot projects. The most interesting projects implemented after the merger included the construction of a pilot platform to reduce energy consumption at the Lublin Oil and Gas Production Facility, and the development of a solution for detecting methane with the use of unmanned aerial vehicles and satellite imaging. The PGNiG Branch Complex was engaged in continued efforts to increase value in the area of exploration for, production and storage of hydrocarbons.
Under the INGA joint venture implemented in partnership with the National Centre for Research and Development and GAZ-SYSTEM, work was continued on five research and development projects. To further the low-carbon transition, various hydrogen-focused R&D projects were being implemented, from ‘green hydrogen’ production, through hydrogen storage and distribution, to industrial power generation applications. Five ongoing R&D&I projects were continued at the Measurement and Testing Laboratory Branch, at the Research, Development and Innovative Technology Office (RD&T).
A complete 1 MW generation set was accepted as part of the H2Cogen project, constituting a key element of a prototype CHP plant based on a multifuel technology. In early December 2022, an application was filed with the Patent Office of the Republic of Poland for patent protection of the multifuel technology. Another important event was the receipt of a permit to expand the laboratory building on the premises at ul. Kasprzaka 25 under the New Fuel Lab project. The expansion will allow the Measurement and Testing Laboratory Branch to additionally perform qualitative testing of hydrogen, natural gas-hydrogen mixtures, biogas and biomethane.
Acceptance of another 1kW mCHP-SOFC gas-fuelled prototype microcogeneration system is scheduled for the end of December 2022. The system may be used within the chain related to monitoring the quality of delivered liquefied gas fuel, both LNG and BioLNG.
At Polska Spółka Gazownictwa Sp. z o.o. (PSG), the focus of R&D&I activities in 2022 was on projects aimed at improving gas fuel distribution efficiency and security of gas infrastructure operations, and ensuring continuity of supply. For two years, PSG has worked on enhancing the functionality of the gas network and preparing it for the distribution of decarbonised gases, in particular biomethane and hydrogen.
PSG continuously monitors opportunities to engage in projects involving cooperation with a broader group of partners in the energy sector, manufacturers of infrastructure components, and research and development centres. To this end, the company has joined the Mazovian Hydrogen Valley project coordinated by ORLEN, and took steps to formalise its involvement in the activities of the Lower Silesian Hydrogen Valley Association.
PSG actively participates in international projects dedicated to hydrogen transport via gas networks. In 2022, work focused on the transport of pure hydrogen through gas networks and the separation of hydrogen from natural gas containing hydrogen admixtures.
Furthermore, other key innovative research and development programmes and projects implemented in 2022 included:
- implementation of an EU co-funded project: an innovative system for automatic identification and location of gas infrastructure defects using the phenomenon of acoustic emission (SIildig AE);
- pilot implementation and testing of an alternative electronic data reading system from metering systems;
- pilot implementation of an innovative system to detect gas network leakage.
Recognising the strategic importance of capitalising on the intellectual potential, as part of the Implementation-Based Doctoral Programme PSG employees work on such themes as using plastics (including composites) in the transport of natural gas and a mixture of natural gas and hydrogen (with a particular emphasis on the permeability of pipeline walls), modelling gas network operation using neural networks, and effective upgrading of biogas to biomethane.
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ORLEN Group 2022 Integrated Report
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