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The use and development of Linear Programming has been of great value to the industry. For example, the process of selecting the right crude is linked not only to transportation costs involved in delivering it to the refinery, but it must take into consideration the refinery configuration, capabilities and constraints in converting the crude into products, as well as the product volume and price fluctuations.
In order to develop an effective model of the industry, it first needs to be broken down into areas that are directly related to the path of optimization. In the case of the petroleum industry, those factors are crude selection, crude transportation, crude processing and product demands...
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