Industrial Info's April 17 Weekly Global Refining Report

---

Researched by Industrial Info Resources (Sugar Land, Texas)--Industrial Info's weekly Global Refining Report gives you the latest inside intelligence on outages, derates, shutdowns, closures, delays and more. Tomorrow's news today...

Market Commentary:
Well, the experts have weighed in on the OPEC+ and G20 production cuts and they definitely find them being too little, too late, as well as severely lacking in the near term, as evidenced by storage filling up rapidly. For instance, the U.S. recorded its largest-ever historical build of 19.2 million barrels, when expectations were for 11.7 million barrels this week.

The recent International Energy Administration (IEA) report indicates that the global stock build will be 12 million barrels per day in the first half of 2020 due to the COVID-19-driven demand erosion. This glut "threatens to overwhelm the logistics of the oil industry -- ships, pipelines and storage tanks -- in the coming weeks," the Paris-based agency said in the report. Global storage capacity could be stretched beyond its limits by the middle of this year.

Also, the IEA expects global refinery throughput to decline, as obviously there is much less demand for transportation fuels, and this throughput can be evidenced in the Global Refinery Index (GRI) below, where the COVID-19 impact is already at 12 million barrels, with an additional 7.5 million barrels also offline due to other events.

With this Global Refining Report, Industrial Info hopes to shed some light on what is transpiring, with a focus on the COVID-19 impact. As the Global Refining Index (working with ADUs) illustrates what is happening to crude throughputs and how refineries are cutting and operating in these times. The Global Refinery Map depicts the cut and derates from the COVID-19 impact.

Petroleum Refining Highlights
April 15, 2020: Shell has delayed a turnaround on the 100,000-barrel-per-day (BBL/d) Crude VPS 2 at its 230,000-BBL/d Convent, Louisiana, refinery due to COVID-19. The turnaround had been scheduled to begin early this month. The turnaround could be moved back to spring 2021.

April 15, 2020: CNPC Huabei Petrochemical Company Limited is ramping up the throughput of its 200,000-BBL/d Renqiu China Refinery. The refinery was operated at 75% capacity from February 10 to April 10 due to poor margins as a result of COVID-19. Throughput was increased to 80% on April 11. Current expectations are for the refinery to resume normal operations by April 25.

April 15, 2020: ExxonMobil Asia Pacific Pte Ltd continues to operate its 300,000-BBL/d Jurong Refinery (Mainland) in Singapore at approximately 65%. The refinery derated on March 4 due to low fuel demand, and is tentatively expected to resume full throughput by May 4.

April 14, 2020: Marathon has shut down its 26,000-barrel-per-day (BBL/d) Gallup, New Mexico, refinery as a result of decreased fuel demand due to COVID-19 pandemic concerns.

April 14, 2020: CVR Energy is operating its 70,000-BBL/d Wynnewood, Oklahoma, refinery at a 25% derate due to decreased product demand.

April 14, 2020: Pakistan's Byco Petroleum Pakistan Limited restarted its 120,000-BBL/d Mouza Kund Refinery 2 on Monday. The refinery had been in an unplanned shutdown since March 30 due to the outbreak.

Map of Global Refineries impacted by COVID-19 -- Current (Ongoing) Offline Events


Global Refining Index
Industrial Info is in the initial stages of preparing & producing a Global Refining Index (GRI) to illustrate how much Refinery Capacity is offline versus Normal Operating Capacity (click on the graphic below).