Delay on Reactivation of Cuba’s Cienfuegos Refinery

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Researched by Industrial Info Resources (Sugar Land, Texas). Even though rehabilitation of the Cienfuegos refinery is expected to be finished by the end of this year, project authorities stated that there will be a delay in the reactivation of the refinery beyond December 2007.

The construction of the Cienfuegos refinery, located in Cienfuegos, Cuba, began in 1991 with the collaboration of the Soviet Union; however, the plant was not started because test runs coincided with the Cuban economic crisis after the fall of the Soviet Union. The rehabilitation of this refinery, which is part of Venezuela’s Plan Siembra Petrolera implemented by President Hugo Chavez in 2005, is being carried out by PDV-CUPET, a joint venture formed by Venezuela’s state-owned oil company, PDVSA, and Cuba’s CUPET. Once ready, this refinery will have a processing capacity of 65,000 barrels per day (bpd), which will be used to help Cuba cover internal gasoline demand. For details, view related April 26, 2007 article – Cuba’s Cienfuegos Refinery to be Reactivated in December 2007.

Varying sources stated that Cuba receives between 110,000 and 140,000 barrels of crude oil from Venezuela; however, Chavez’s authorities declared that no more than 92,000 barrels are exported to the island. Cuba currently produces approximately 70,000 barrels per day of high sulfur crude oil, and even once the Cienfuegos refinery is reactivated, the country will continue to relie on imports from Venezuela.

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