Released September 14, 2020 | SUGAR LAND
en
Researched by Industrial Info Resources (Sugar Land, Texas)--IIR's weekly Global Refining Report gives you the latest inside intelligence on outages, derates, shutdowns, closures, delays and more.
And now there is an interactive, dynamic Global Refining Capacity Dashboard available to further power your refinery capacity research.
IIR has formalized an alliance with Refinery Calc, which will play an integral role in producing IIR's Global Refining MarketIntel Platform -- the first of its kind in the industry.
This platform is part of a more comprehensive IIR Global MarketIntel Platform.
Just ask iirteam@iirenergy.com for further information.
Market Commentary:
Free Falling... Where oh where is demand? When will it show up? Well the truth is we have months yet before we know the truth of where and0 when and even if hydrocarbon demand returns. As global economies strive to ramp back up; however, in these COVID times they remain throttled, with a high likelihood that in the fourth quarter we see a financial downturn.
OilPrice reports in "Where is Future Oil Demand Going to Come From," "Rising levels of oil in floating storage, price cuts for Saudi crude, and a slowdown in Chinese imports: these were some of the factors that recently pressured oil prices. And the reason they pressured prices was that they all told the same story: demand is not improving as it should be. And this is fueling fears for long-term demand, too. Would Big Oil's bet on plastics pay off? Will jet fuel demand ever get back to pre-pandemic levels? Will demand for gasoline? The future of the oil industry hangs on the answers to these questions. The coronavirus pandemic wiped out millions of barrels in fuel demand as countries locked down to contain the spread of disease. This demand is now returning as lockdowns ended, but it is not returning as quickly and as strongly as some may have wished, prompting bleak forecasts."
Now, one is witnessing Brent's December contract free falling of late.
Therefore, within this Global Refining Report, IIR hopes to shed some light on what is transpiring from a refinery operations perspective as the Global Refining Index (working with ADUs) illustrates what is happening to crude operationally available capacity and how refineries are derating and operating overall in these times. The Global Refinery Maps depict the COVID-19 Impact as well as the non-COVID-19 outages. Area charts visualize COVID-19 impact and non-COVID-19 capacity offline in Asia, Europe and North America.
Petroleum Refining Highlights
Tropical Storm Sally is moving quickly across the Gulf of Mexico with the potential of becoming a Category 2 hurricane before its projected landfall this Tuesday in southeastern Louisiana. The storm's effects are expected to be felt onshore as early as Monday, from Grand Isle, Louisiana, to Ocean Springs, Mississippi.
Based on the most recent storm path projection, at least three petroleum refineries, with a combined capacity of 577,000 barrels per day (BBL/d), are in the most central point of the storm path, with the potential of experiencing winds reaching 75 miles per hour. Each of these refineries is already running at reduced rates in response to COVID-19 and recent demand destruction. Two Louisiana gas processing plants, with a total processing capacity of 804 cubic feet per day, are in the storm's path. Offshore, there are more than 109 platforms, with a combined capacity of 599,084 BBL/d that are in Sally's path. Chevron and Murphy Oil have already evacuated personnel from some of the platforms located in the eastern Gulf. Others in the region have halted drilling operations but not evacuated personnel.
Should the storm slide further west, the industrial impact could grow to six petroleum refineries, six power plants, two ethylene plants and three gas processing facilities.
Industrial Info's research teams are monitoring the status of plant operations that have the potential of being impacted by this quickly growing storm.
September 11, 2020 - Citgo, on September 11, sent out a news release about its 420,000-BBL/d Lake Charles, Louisiana, refinery with plans to restart after damage from Category 4 Hurricane Laura, which hit August 26. Citgo stated that there was significant damage to most of the cooling towers, minor damage to non-critical tanks and a significant amount of miscellaneous non-critical repairs. Repairing the cooling towers and getting reliable electrical power from the utility grid are critical to restarting the facility. Citgo expects to do a phased restart of operations with all units back in service by mid to late October.
September 11, 2020 - IIR has confirmed that YPF SA continues processing at lower rates, at approximately 65-70% capacity, at its 205,000-BBL/d La Plata, Argentina, Refinery due to COVID-19 pandemic concerns. Union workers have proceeded with a strike that began September 11; however, the company does not report any additional rate cut at this time yet. Separately, the 21-day planned turnaround previously set to begin on September 10 on the 18,100-BBL/d Reformer (CCR), 24,800-BBL/d FCC B and other associated units located in the Hydroprocess and Conversion area will begin by late September; the length of the turnaround may be extended due to restriction on number of contractors allowed on site due to COVID-19. IIR continues to monitor the refinery situation and will issue an update when more information is available.
September 11, 2020 - IIR has confirmed that KirishiNefteOrgSyntez has rescheduled planned maintenance of its 56,000-BBL/d ABT-2 (Crude 1), 33,600-BBL/d ABT-2 (Vacuum 1) and 31,300-BBL/d Hydrotreater L-24/6 at its 420,000-BBL/d Kirishi Refinery, Russia. The planned maintenance is now expected to kick off around September 16. Meanwhile, the refinery has restarted the 39,600-BBL/d Visbreaker. The unit was shut down for planned maintenance in early August and restarted at the end of August.
September 11, 2020 - IIR has confirmed that Turkish Petroleum Refineries Corporation has restarted the 90,000 -BBL/d Crude 100 at its 226,300-BBL/d Izmir Refinery, Turkey. The unit was shut down in early May due to market conditions caused by the COVID-19 pandemic and was restarted on August 31. September 11, 2020 - Nigeria National Petroleum Corporation (NNPC) plans a 650-day plant-wide planned shutdown at its 110,000-BBL/d Kaduna Refinery, Nigeria, for rehabilitation work tentatively starting January 15, 2021. Additionally, since January 7, 2018 the refinery has faced an unplanned shutdown due to crude oil shortage. As of now, the refinery will remain under shutdown and is expected to restart after rehabilitation work by October 26, 2022. Major units include the 60,000-BBL/d CDU 1; 50,000-BBL/d CDU 2; 21,000-BBL/d FCCU; 24,000-BBL/d Naphtha HDT; 17,500-BBL/d Reformer; and 17,500-BBL/d Kero HDT.
September 11, 2020 - Indian Oil Corporation Limited (IOCL) continues to operate its 120,000-BBL/d Barauni Refinery, India, at approximately 78% due to low demand as a result of the COVID-19 pandemic. Separately, the 50,000-BBL/d AVU 3 was restarted on September 5 and continues to operate at 80%, which was under shutdown since July 2 due to low demand as a result of the COVID-19 pandemic. While 35,000-BBL/d AVU 1 and 35,000-BBL/d AVU 2 continue to be derated by 22% since August 19. As a result, the 4,500-BBL/d NHT 1; 14,800-BBL/d NHT 2; 3,200-BBL/d Isomerization 1; 6,000-BBL/d Reformer 1; 7,500-BBL/d Reformer 2; 66,000-BBL/d DHT 1; and 28,000-BBL/d RFCCU have been derated by 20% since September 5. As of now, the units are expected to resume normal operations gradually by September 30.
September 11, 2020 - Shandong Yuhuang Shengshi Chemical Company Limited permanently shut down its 40,000-BBL/d Heze Refinery in Shandong, China, on August 14 due to bankruptcy. Major units including the lone 40,000-BBL/d CDU; 32,000-BBL/d Delayed Coker; 16,000-BBL/d RFCCU; and the 4,000-BBL/d Diesel Hydrotreater 1, which are being sold by the company.
CLICK ON THE IMAGES BELOW FOR A LARGER VIEW
Map of Global Refineries Impacted by COVID-19/non-COVID -- Ongoing Offline Events
Global Refining Index
Industrial Info's Global Refining Index (GRI) illustrates how much refinery capacity is offline versus normal operating capacity, illustrating with an operating percentage at a world region - market region level how healthy refineries are. (See graphics below.)
Global Regional Available Operational Capacity. COVID-19 Impact & non-COVID-Related Outages
Map of Global Refineries impacted by COVID-19/non-COVID - Future (Delayed) Offline Events
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com.
And now there is an interactive, dynamic Global Refining Capacity Dashboard available to further power your refinery capacity research.
IIR has formalized an alliance with Refinery Calc, which will play an integral role in producing IIR's Global Refining MarketIntel Platform -- the first of its kind in the industry.
This platform is part of a more comprehensive IIR Global MarketIntel Platform.
Just ask iirteam@iirenergy.com for further information.
Market Commentary:
Free Falling... Where oh where is demand? When will it show up? Well the truth is we have months yet before we know the truth of where and0 when and even if hydrocarbon demand returns. As global economies strive to ramp back up; however, in these COVID times they remain throttled, with a high likelihood that in the fourth quarter we see a financial downturn.
OilPrice reports in "Where is Future Oil Demand Going to Come From," "Rising levels of oil in floating storage, price cuts for Saudi crude, and a slowdown in Chinese imports: these were some of the factors that recently pressured oil prices. And the reason they pressured prices was that they all told the same story: demand is not improving as it should be. And this is fueling fears for long-term demand, too. Would Big Oil's bet on plastics pay off? Will jet fuel demand ever get back to pre-pandemic levels? Will demand for gasoline? The future of the oil industry hangs on the answers to these questions. The coronavirus pandemic wiped out millions of barrels in fuel demand as countries locked down to contain the spread of disease. This demand is now returning as lockdowns ended, but it is not returning as quickly and as strongly as some may have wished, prompting bleak forecasts."
Now, one is witnessing Brent's December contract free falling of late.
Therefore, within this Global Refining Report, IIR hopes to shed some light on what is transpiring from a refinery operations perspective as the Global Refining Index (working with ADUs) illustrates what is happening to crude operationally available capacity and how refineries are derating and operating overall in these times. The Global Refinery Maps depict the COVID-19 Impact as well as the non-COVID-19 outages. Area charts visualize COVID-19 impact and non-COVID-19 capacity offline in Asia, Europe and North America.
Petroleum Refining Highlights
Tropical Storm Sally is moving quickly across the Gulf of Mexico with the potential of becoming a Category 2 hurricane before its projected landfall this Tuesday in southeastern Louisiana. The storm's effects are expected to be felt onshore as early as Monday, from Grand Isle, Louisiana, to Ocean Springs, Mississippi.
Based on the most recent storm path projection, at least three petroleum refineries, with a combined capacity of 577,000 barrels per day (BBL/d), are in the most central point of the storm path, with the potential of experiencing winds reaching 75 miles per hour. Each of these refineries is already running at reduced rates in response to COVID-19 and recent demand destruction. Two Louisiana gas processing plants, with a total processing capacity of 804 cubic feet per day, are in the storm's path. Offshore, there are more than 109 platforms, with a combined capacity of 599,084 BBL/d that are in Sally's path. Chevron and Murphy Oil have already evacuated personnel from some of the platforms located in the eastern Gulf. Others in the region have halted drilling operations but not evacuated personnel.
Should the storm slide further west, the industrial impact could grow to six petroleum refineries, six power plants, two ethylene plants and three gas processing facilities.
Industrial Info's research teams are monitoring the status of plant operations that have the potential of being impacted by this quickly growing storm.
September 11, 2020 - Citgo, on September 11, sent out a news release about its 420,000-BBL/d Lake Charles, Louisiana, refinery with plans to restart after damage from Category 4 Hurricane Laura, which hit August 26. Citgo stated that there was significant damage to most of the cooling towers, minor damage to non-critical tanks and a significant amount of miscellaneous non-critical repairs. Repairing the cooling towers and getting reliable electrical power from the utility grid are critical to restarting the facility. Citgo expects to do a phased restart of operations with all units back in service by mid to late October.
September 11, 2020 - IIR has confirmed that YPF SA continues processing at lower rates, at approximately 65-70% capacity, at its 205,000-BBL/d La Plata, Argentina, Refinery due to COVID-19 pandemic concerns. Union workers have proceeded with a strike that began September 11; however, the company does not report any additional rate cut at this time yet. Separately, the 21-day planned turnaround previously set to begin on September 10 on the 18,100-BBL/d Reformer (CCR), 24,800-BBL/d FCC B and other associated units located in the Hydroprocess and Conversion area will begin by late September; the length of the turnaround may be extended due to restriction on number of contractors allowed on site due to COVID-19. IIR continues to monitor the refinery situation and will issue an update when more information is available.
September 11, 2020 - IIR has confirmed that KirishiNefteOrgSyntez has rescheduled planned maintenance of its 56,000-BBL/d ABT-2 (Crude 1), 33,600-BBL/d ABT-2 (Vacuum 1) and 31,300-BBL/d Hydrotreater L-24/6 at its 420,000-BBL/d Kirishi Refinery, Russia. The planned maintenance is now expected to kick off around September 16. Meanwhile, the refinery has restarted the 39,600-BBL/d Visbreaker. The unit was shut down for planned maintenance in early August and restarted at the end of August.
September 11, 2020 - IIR has confirmed that Turkish Petroleum Refineries Corporation has restarted the 90,000 -BBL/d Crude 100 at its 226,300-BBL/d Izmir Refinery, Turkey. The unit was shut down in early May due to market conditions caused by the COVID-19 pandemic and was restarted on August 31. September 11, 2020 - Nigeria National Petroleum Corporation (NNPC) plans a 650-day plant-wide planned shutdown at its 110,000-BBL/d Kaduna Refinery, Nigeria, for rehabilitation work tentatively starting January 15, 2021. Additionally, since January 7, 2018 the refinery has faced an unplanned shutdown due to crude oil shortage. As of now, the refinery will remain under shutdown and is expected to restart after rehabilitation work by October 26, 2022. Major units include the 60,000-BBL/d CDU 1; 50,000-BBL/d CDU 2; 21,000-BBL/d FCCU; 24,000-BBL/d Naphtha HDT; 17,500-BBL/d Reformer; and 17,500-BBL/d Kero HDT.
September 11, 2020 - Indian Oil Corporation Limited (IOCL) continues to operate its 120,000-BBL/d Barauni Refinery, India, at approximately 78% due to low demand as a result of the COVID-19 pandemic. Separately, the 50,000-BBL/d AVU 3 was restarted on September 5 and continues to operate at 80%, which was under shutdown since July 2 due to low demand as a result of the COVID-19 pandemic. While 35,000-BBL/d AVU 1 and 35,000-BBL/d AVU 2 continue to be derated by 22% since August 19. As a result, the 4,500-BBL/d NHT 1; 14,800-BBL/d NHT 2; 3,200-BBL/d Isomerization 1; 6,000-BBL/d Reformer 1; 7,500-BBL/d Reformer 2; 66,000-BBL/d DHT 1; and 28,000-BBL/d RFCCU have been derated by 20% since September 5. As of now, the units are expected to resume normal operations gradually by September 30.
September 11, 2020 - Shandong Yuhuang Shengshi Chemical Company Limited permanently shut down its 40,000-BBL/d Heze Refinery in Shandong, China, on August 14 due to bankruptcy. Major units including the lone 40,000-BBL/d CDU; 32,000-BBL/d Delayed Coker; 16,000-BBL/d RFCCU; and the 4,000-BBL/d Diesel Hydrotreater 1, which are being sold by the company.
CLICK ON THE IMAGES BELOW FOR A LARGER VIEW
Map of Global Refineries Impacted by COVID-19/non-COVID -- Ongoing Offline Events
Global Refining Index
Industrial Info's Global Refining Index (GRI) illustrates how much refinery capacity is offline versus normal operating capacity, illustrating with an operating percentage at a world region - market region level how healthy refineries are. (See graphics below.)
Global Regional Available Operational Capacity. COVID-19 Impact & non-COVID-Related Outages
Map of Global Refineries impacted by COVID-19/non-COVID - Future (Delayed) Offline Events
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com.
