Reports related to this article:
Project(s): View 6 related projects in PECWeb
Plant(s): View 4 related plants in PECWeb
Released June 17, 2020 | SUGAR LAND
en
Researched by Industrial Info Resources (Sugar Land, Texas)--Nearly two dozen maintenance-related projects at refineries in the U.S. and Canada are set to kick off in the third quarter, following delays from earlier in the year, as gasoline demand is beginning what likely will be a long, slow recovery. These maintenance-related projects total more than $256 million in investment, according to Industrial Info's project database.
UPDATE: One project at Imperial Oil Limited's Strathcona Refinery in Edmonton, Alberta, was removed from this article when it was confirmed that it had been moved to a later date.
Many of the delayed projects were set to begin in April, as refiners often plan maintenance in the early spring to prepare for the busy summer driving season. With stay-at-home orders across the U.S. and fewer Americans planning road trips due to the COVID-19 pandemic, refiners like Phillips 66 (NYSE:PSX) (Houston, Texas) felt comfortable delaying these turnarounds until the third quarter, mainly September.
Click on the image at right for a graph detailing maintenance-related projects set to kick off at U.S. and Canadian refineries in the third quarter, by state or province.
Phillips had been planning to begin a turnaround on its Distillate Hydrotreater DSU 2 at its Bayway Refinery in Linden, New Jersey, in April, but pushed it back to September. But the company started increasing run rates at Bayway last month as gasoline demand began to tick upward; capacity at the estimated 258,000-barrel-per-day (BBL/d) facility now stands at about 80%, after it was cut to as little as 65% in April. For more information, see Industrial Info's project report.
Phillips also reduced the scope of its annual tank farm maintenance program at its Alliance Refinery in Belle Chasse, Louisiana, which handles 247,000 BBL/d. The company had been preparing for normal maintenance and inspections on seven to 12 crude and finished product-storage tanks, but will now focus on a select few. For more information, see Industrial Info's project report.
Two crucial refineries outside the "Lower 48" states are set to begin a series of turnarounds in September, totaling more than $50 million in investment, which had been delayed from the current quarter: Par Hawaii Refining LLC's refinery in Kapolei, Hawaii, which is the only one left in the Aloha State, and Marathon Petroleum Corporation's (NYSE:MPC) (Findlay, Ohio) refinery in Kenai, Alaska. Click here for a full list.
Signs of Life in Canada's Oil Sands
Canada's projects, which are largely positioned around its oil sands in Alberta and British Columbia, account for higher investment values. Husky Energy Incorporated (TSX:HSE) (Calgary, Alberta) is preparing for a trio of turnarounds at its Lloydminster Upgrader in Lloydminster, Saskatchewan, which had been delayed from April to September:
Shell Canada Limited, a subsidiary of Royal Dutch Shell plc (NYSE:RDS.A) (The Hague, Netherlands), is seeing a shorter delay for the 100,000-BBL/d atmospheric and vacuum unit at its Scotford Upgrader in Fort Saskatchewan, Alberta. The mechanical project start was pushed back just 30 days, from this month to July. For more information, see Industrial Info's project report.
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/.
UPDATE: One project at Imperial Oil Limited's Strathcona Refinery in Edmonton, Alberta, was removed from this article when it was confirmed that it had been moved to a later date.
Many of the delayed projects were set to begin in April, as refiners often plan maintenance in the early spring to prepare for the busy summer driving season. With stay-at-home orders across the U.S. and fewer Americans planning road trips due to the COVID-19 pandemic, refiners like Phillips 66 (NYSE:PSX) (Houston, Texas) felt comfortable delaying these turnarounds until the third quarter, mainly September.
Click on the image at right for a graph detailing maintenance-related projects set to kick off at U.S. and Canadian refineries in the third quarter, by state or province.Phillips had been planning to begin a turnaround on its Distillate Hydrotreater DSU 2 at its Bayway Refinery in Linden, New Jersey, in April, but pushed it back to September. But the company started increasing run rates at Bayway last month as gasoline demand began to tick upward; capacity at the estimated 258,000-barrel-per-day (BBL/d) facility now stands at about 80%, after it was cut to as little as 65% in April. For more information, see Industrial Info's project report.
Phillips also reduced the scope of its annual tank farm maintenance program at its Alliance Refinery in Belle Chasse, Louisiana, which handles 247,000 BBL/d. The company had been preparing for normal maintenance and inspections on seven to 12 crude and finished product-storage tanks, but will now focus on a select few. For more information, see Industrial Info's project report.
Two crucial refineries outside the "Lower 48" states are set to begin a series of turnarounds in September, totaling more than $50 million in investment, which had been delayed from the current quarter: Par Hawaii Refining LLC's refinery in Kapolei, Hawaii, which is the only one left in the Aloha State, and Marathon Petroleum Corporation's (NYSE:MPC) (Findlay, Ohio) refinery in Kenai, Alaska. Click here for a full list.
Signs of Life in Canada's Oil Sands
Canada's projects, which are largely positioned around its oil sands in Alberta and British Columbia, account for higher investment values. Husky Energy Incorporated (TSX:HSE) (Calgary, Alberta) is preparing for a trio of turnarounds at its Lloydminster Upgrader in Lloydminster, Saskatchewan, which had been delayed from April to September:
- a 48,000-BBL/d delayed coker; see project report
- the 29,000-BBL/d Hydrocracker Unit 1 and 30,000-BBL/d Hydrocracker Unit 2; see project report
- a 77,000-BBL/d diluent recovery unit; see project report
Shell Canada Limited, a subsidiary of Royal Dutch Shell plc (NYSE:RDS.A) (The Hague, Netherlands), is seeing a shorter delay for the 100,000-BBL/d atmospheric and vacuum unit at its Scotford Upgrader in Fort Saskatchewan, Alberta. The mechanical project start was pushed back just 30 days, from this month to July. For more information, see Industrial Info's project report.
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/.
