Husky Energy's Lloydminster Upgrader Remains at 50% Capacity

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Researched by Industrial Info Resources (Sugar Land, Texas)--Husky Energy Incorporated's (TSX:HSE) (Calgary, Alberta) Lloydminster Upgrader in Saskatchewan remains derated at 50% while repairs are under way on the facility's 30,000-barrel-per-day (BBL/d) Hydrocracker Train 2, after a small fire broke out in the area on February 2.

The fire was caused when a fuel pipeline froze and burst, spraying fuel onto hot equipment. The company reported that the damage was not extensive and generally affected instrumentation and valves. Expectations are that the unit will be repaired and restarted, and the upgrader returned to normal rates by the end of April.

When fully operational, the refinery has a throughput capacity of approximately 82,000 BBL/d, producing 66,000-BBL/d of synthetic crude, 1,000 metric tons per day of petroleum coke and 375 metric tons per day of sulfur.

The unit had been scheduled to begin a 30-day maintenance shutdown in October this year. However, the status of the turnaround remains unknown, as the current repairs and maintenance could make the turnaround unnecessary.

The Lloydminster Upgrader converts heavy oil and bitumen from Alberta and Saskatchewan into synthetic crude oil, which is then used in the production of gasoline and diesel at conventional refineries.

Industrial Info's PetroCast Live provides real-time alerts and notices of all major planned and unplanned turnarounds and events that disrupt the supply of crude and refined product.

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