######################## Liquid fuels processing ######################## Liquid fuels processing in KiNESYS covers oil and natural gas liquid refining based on IEA energy balance flows, with incremental cost markups applied to refined fuels. The framework includes biofuel production pathways with conversion efficiencies and cost differentials from fossil fuel equivalents. Processing Framework ==================== **Refinery Operations** Oil and natural gas liquid shares are based on refinery/transfer flows sourced from IEA energy balance data. The base year operation of transformation processes is fixed while future values are increasingly flexible for refineries and unbounded for generic transfers. **Biofuel Integration** Biodiesel, bio-kerosene, and bio-gasoline can be produced with conversion efficiencies accounted for, with cost markups applied to differentiate from fossil fuel equivalents. **Cost Structure** Incremental cost markups (+/-) to the oil price are applied to refined fuels based on collaboration with industry experts. The base year operation of transformation processes is fixed while future values are unbounded for generic transfers and increasingly flexible for refineries.