At Hudson Oil Corporation, Light Cycle Oil (LCO) is a key component in our diversified portfolio of refined petroleum products. Derived from advanced refining processes, LCO plays an essential role in meeting the increasing global demand for diesel and low-sulfur fuel blends.
Light Cycle Oil is a diesel-range hydrocarbon product generated during the Fluid Catalytic Cracking (FCC) process — a primary conversion method used in complex refineries. While LCO shares physical properties with diesel, it requires additional processing to meet fuel quality and environmental standards. As a mid-distillate fraction, LCO is characterized by its relatively high density, elevated sulfur content, and aromaticity, making it a challenging but valuable blending component.
At Hudson Oil Corporation, our refining operations are optimized to convert LCO into high-performance, environmentally compliant fuels through sophisticated upgrading technologies such as hydrotreating and hydrocracking.
LCO is produced from FCC units — a pivotal part of modern refining infrastructure. The FCCU cracks heavier petroleum fractions into lighter products such as:
Petrol (gasoline)
Liquefied Petroleum Gas (LPG)
Light Cycle Oil (LCO)
The LCO yield and quality can be significantly improved by operating the FCCU under medium conversion conditions rather than the conventional low-conversion mode. This strategic operation increases LCO recovery while maintaining gasoline quality, octane value, and reducing the production of low-value slurry oil.
To further enhance LCO recovery, slurry oil stripping towers are employed, effectively extracting additional LCO content from slurry by-products — a process Hudson Oil Corporation integrates into its advanced refining workflows.
Although LCO is not suitable for direct use as diesel without treatment, it becomes an invaluable diesel blending component after processing through a Diesel Hydrotreater (DHT) or Hydrocracker, where its high sulfur and aromatic content are significantly reduced.
Primary Applications:
Upgraded diesel fuel
Industrial boiler fuel
Marine gas oil (after desulfurization)
Naphtha production (via hydrocracking)
The increasing global shift toward low-sulfur diesel fuels — driven by stringent emissions regulations — has created strong demand for hydrotreated LCO. This trend is particularly evident in regions like the U.S., Europe, and Asia, where environmental policies are driving refiners to maximize diesel output.
Hudson Oil Corporation employs cutting-edge refining technologies to upgrade LCO into clean, high-value products:
Hydrotreating – Removes sulfur, nitrogen, and aromatics to produce low-sulfur diesel.
High-pressure hydrocracking – Converts LCO into lighter fractions like naphtha.
Optimized partial conversion hydrocracking – Offers greater flexibility in balancing diesel and naphtha yields while maintaining economic efficiency.
Our integrated refining and upgrading solutions ensure that LCO is transformed into premium-grade fuel products that comply with international standards such as Euro V and IMO 2020 sulfur regulations.
Global diesel consumption is outpacing gasoline demand, even in traditionally gasoline-dominant markets. As a result, refiners are re-evaluating asset configurations to accommodate this shift — including maximizing LCO yields and improving LCO upgrading efficiency.
However, the continued dominance of gasoline-powered vehicles and the fixed capacity of FCCUs in many refineries pose structural challenges. Hudson Oil Corporation remains ahead of the curve by investing in flexible processing technologies that balance gasoline and diesel output, optimize LCO utilization, and meet dynamic market requirements
Hudson Oil Corporation is committed to producing sustainable, high-performance fuel products that reduce emissions and improve energy efficiency. Our LCO refining and upgrading practices are aligned with our broader sustainability strategy — ensuring cleaner fuels and smarter resource management across the value chain.
Whether for transportation, industry, or marine applications, our Light Cycle Oil solutions deliver dependable quality, refined innovation, and global accessibility.
