Released March 26, 2020 | SUGAR LAND
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Industrial Info's daily COVID-19 Impact Report gives you the latest related supply and production data relevant to the Energy Industry and others.
Petroleum Refining
Refineries across the globe are maintaining their drive to cut output as a result of plummeting demand amid the pandemic.
In Texas, Marathon Petroleum curtailed production rates by about 15% at its 131,000-BBL/d El Paso refinery (North and South).
Argentina's YPF SA has reduced rates by 30% to 40% at its 205,000-BBL/d La Plata Refinery and will be evaluating the situation going forward.
In India, HPCL-Mittal Energy Ltd (HMEL) derated its 242,000-BBL/d Bathinda Guru Gobind Singh Refinery on Wednesday by 40% due to low demand. The refinery is tentatively planned to resume full throughput by April 9.
Power
Michigan's Consumers Energy says it will continue work on power projects, including renewable energy as well as gas and electric distribution projects. Consumers also continues to connect new service customers.
DTE Energy, Michigan's other investor-owned utility, says it will not pause critical and maintenance work. But the bigger news is that DTE has halted construction on its 1,100-megawatt (MW) Blue Water combined-cycle project due to the COVID-19 outbreak. Kiewit is the engineering, procurement and construction provider on this project.
Southern California Edison is temporarily curtailing deconstruction activities at the San Onofre nuclear site, but fuel transfers are continuing as scheduled.
Italy's Ansaldo Energia has competed sanitizing work at its power equipment manufacturing plants and is getting ready for an eventual return to work once the crisis is over.
Intersolar Egypt Renewable Energy Company is postponing four solar projects due to the virus.
Orsted A/S says the outbreak hasn't affected its plans for the development of offshore windfarms in Taiwan.
Petrochemical
As of today, Industrial Info's researchers have identified 245 chemical projects that have been adversely impacted by COVID-19. Sixty of these projects were maintenance events that have been postponed in most cases. The 185 capital projects amount to $24 billion in potential spending. We continue to monitor these projects regularly for updates and changes.
Major producers such as Shell Chemical and others in the U.S. have sent hundreds of non-essential workers home for the safety of their operations and the surrounding communities. We expect to see even more producers send workers home over the next several days.
INEOS Solvents Germany GmbH has rescheduled the planned maintenance turnaround of its alcohol plant in Herne, Germany, due to COVID-19.
Due to the outbreak, Tunisian Indian Fertilizers has cancelled its turnaround, which was supposed to take place this month.
Chemical plants in Latin America, specifically Argentina and Brazil, have begun to derate production in response to government mandates to cease operations where possible and reduce staffing to essential personnel.
India's Paushak Limited has delayed construction on its esters unit addition for five months.
The Indian government is beginning to enforce the shutdown for chemical plants where possible. For example, Khaitan Chemicals & Fertilizers Limited, AkzoNobel and Gharda Chemicals Limited have each shut two sites.
Oil & Gas Terminals
Construction could be delayed on Junction Energy Capital's Corpus Christi, Texas, crude oil marine terminal due to COVID-19. Construction is well under way for the first phase of six 250,000-barrel tanks for storing crude. A second phase is planned as well.
Oil & Gas Pipelines
The Whistler Pipeline, which is owned by a consortium comprising Whitewater Midstream, MPLX LP, Stonepeak Infrastructure and West Texas Gas Incorporated, are considering delaying mobilization of crews by a couple of months due to concerns regarding COVID-19. The 475-mile, 42-inch-diameter pipeline. will move two billion cubic feet per day of gas from the Permian Basin to the Agua Dulce area in South Texas once it comes online, which is expected to be in the third quarter of 2021.
Metals & Minerals
Closings due to COVID-19-related lockdowns and shelter-in-place mandates continue. Currently, more than 52 mines have been placed on care and maintenance (shuttered) and more than 190 projects, totaling $28 billion in investment, have been delayed by the pandemic.
Glencore, one of the world's largest globally diversified natural resource companies, was placing several mines on care and maintenance (shuttered) in reaction to COVID-19 mandates in Chad, Colombia, Quebec and South Africa. Impacted mines include Raglan and Matagami in Quebec, ferroalloy operations in South Africa and several coal mines in Colombia and South Africa.
Food & Beverage
As the number of confirmed COVID-19 cases continues to rise, more distillers are beginning to convert their operations to produce hand sanitizer. Various suppliers are donating needed ingredients like corn for ethanol and services like testing, milling and delivery. In Ohio, Gervasi Distillery is donating all the hand sanitizer it will produce. Cleveland Whiskey is making hand sanitizer for a Cleveland clinic, and Western Reserve Distillers is selling one-gallon bottles for $25 each and donating proceeds to a Cleveland bartender emergency assistance program.
Bacardi has made modifications to one of the world's largest rum factories, located in Puerto Rico, to produce ethanol, which will be transported to a refinery on the island to make hand sanitizers. The Olein refinery will produce more than 1.7 million 10-ounce bottles of hand sanitizer, much of which is being given to police, nurses, non-profits and others on the frontlines.
Industrial Manufacturing
Ford plans to re-open a number of automotive plants in April. The Hermosillo, Mexico, assembly plant is expected to re-open on April 6, followed by several truck and van plants on April 14, as well as the supporting plants that manufacture bodies and components.
The affected plants include:
GM's plant in Bowling Green is closed until at least March 30.
Toyota's Georgetown plant is closed until April 3, at which time only essential personnel will be brought back onsite for deep cleaning and sanitation. Operations are planned to resume on April 6.
Ford has stopped all production in the state until at least April 3.
GE has reduced shifts or temporarily stopped production at four of the five buildings in its Appliance Park complex through April 3.
Magna International has closed its automotive seating plant in Shepherdsville until March 30.
PACCAR has ceased production at its global facilities until April 6. This includes a Dynacraft plant in Louisville.
Amazon's warehouse in Shepherdsville has closed due to at least three workers testing positive for COVID-19. The facility was scheduled to re-open tonight (March 26), but that has been re-evaluated and there is no current date to resume operations.
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.
Petroleum Refining
Refineries across the globe are maintaining their drive to cut output as a result of plummeting demand amid the pandemic.
In Texas, Marathon Petroleum curtailed production rates by about 15% at its 131,000-BBL/d El Paso refinery (North and South).
Argentina's YPF SA has reduced rates by 30% to 40% at its 205,000-BBL/d La Plata Refinery and will be evaluating the situation going forward.
In India, HPCL-Mittal Energy Ltd (HMEL) derated its 242,000-BBL/d Bathinda Guru Gobind Singh Refinery on Wednesday by 40% due to low demand. The refinery is tentatively planned to resume full throughput by April 9.
Power
Michigan's Consumers Energy says it will continue work on power projects, including renewable energy as well as gas and electric distribution projects. Consumers also continues to connect new service customers.
DTE Energy, Michigan's other investor-owned utility, says it will not pause critical and maintenance work. But the bigger news is that DTE has halted construction on its 1,100-megawatt (MW) Blue Water combined-cycle project due to the COVID-19 outbreak. Kiewit is the engineering, procurement and construction provider on this project.
Southern California Edison is temporarily curtailing deconstruction activities at the San Onofre nuclear site, but fuel transfers are continuing as scheduled.
Italy's Ansaldo Energia has competed sanitizing work at its power equipment manufacturing plants and is getting ready for an eventual return to work once the crisis is over.
Intersolar Egypt Renewable Energy Company is postponing four solar projects due to the virus.
Orsted A/S says the outbreak hasn't affected its plans for the development of offshore windfarms in Taiwan.
Petrochemical
As of today, Industrial Info's researchers have identified 245 chemical projects that have been adversely impacted by COVID-19. Sixty of these projects were maintenance events that have been postponed in most cases. The 185 capital projects amount to $24 billion in potential spending. We continue to monitor these projects regularly for updates and changes.
Major producers such as Shell Chemical and others in the U.S. have sent hundreds of non-essential workers home for the safety of their operations and the surrounding communities. We expect to see even more producers send workers home over the next several days.
INEOS Solvents Germany GmbH has rescheduled the planned maintenance turnaround of its alcohol plant in Herne, Germany, due to COVID-19.
Due to the outbreak, Tunisian Indian Fertilizers has cancelled its turnaround, which was supposed to take place this month.
Chemical plants in Latin America, specifically Argentina and Brazil, have begun to derate production in response to government mandates to cease operations where possible and reduce staffing to essential personnel.
India's Paushak Limited has delayed construction on its esters unit addition for five months.
The Indian government is beginning to enforce the shutdown for chemical plants where possible. For example, Khaitan Chemicals & Fertilizers Limited, AkzoNobel and Gharda Chemicals Limited have each shut two sites.
Oil & Gas Terminals
Construction could be delayed on Junction Energy Capital's Corpus Christi, Texas, crude oil marine terminal due to COVID-19. Construction is well under way for the first phase of six 250,000-barrel tanks for storing crude. A second phase is planned as well.
Oil & Gas Pipelines
The Whistler Pipeline, which is owned by a consortium comprising Whitewater Midstream, MPLX LP, Stonepeak Infrastructure and West Texas Gas Incorporated, are considering delaying mobilization of crews by a couple of months due to concerns regarding COVID-19. The 475-mile, 42-inch-diameter pipeline. will move two billion cubic feet per day of gas from the Permian Basin to the Agua Dulce area in South Texas once it comes online, which is expected to be in the third quarter of 2021.
Metals & Minerals
Closings due to COVID-19-related lockdowns and shelter-in-place mandates continue. Currently, more than 52 mines have been placed on care and maintenance (shuttered) and more than 190 projects, totaling $28 billion in investment, have been delayed by the pandemic.
Glencore, one of the world's largest globally diversified natural resource companies, was placing several mines on care and maintenance (shuttered) in reaction to COVID-19 mandates in Chad, Colombia, Quebec and South Africa. Impacted mines include Raglan and Matagami in Quebec, ferroalloy operations in South Africa and several coal mines in Colombia and South Africa.
Food & Beverage
As the number of confirmed COVID-19 cases continues to rise, more distillers are beginning to convert their operations to produce hand sanitizer. Various suppliers are donating needed ingredients like corn for ethanol and services like testing, milling and delivery. In Ohio, Gervasi Distillery is donating all the hand sanitizer it will produce. Cleveland Whiskey is making hand sanitizer for a Cleveland clinic, and Western Reserve Distillers is selling one-gallon bottles for $25 each and donating proceeds to a Cleveland bartender emergency assistance program.
Bacardi has made modifications to one of the world's largest rum factories, located in Puerto Rico, to produce ethanol, which will be transported to a refinery on the island to make hand sanitizers. The Olein refinery will produce more than 1.7 million 10-ounce bottles of hand sanitizer, much of which is being given to police, nurses, non-profits and others on the frontlines.
Industrial Manufacturing
Ford plans to re-open a number of automotive plants in April. The Hermosillo, Mexico, assembly plant is expected to re-open on April 6, followed by several truck and van plants on April 14, as well as the supporting plants that manufacture bodies and components.
The affected plants include:
- Dearborn, Michigan, truck plant, stamping plant and diversified manufacturing plant
- Kentucky truck plant
- Kansas City assembly plant transit line
- Ohio assembly plant, Sharonville transmission plant
- Portions of the Van Dyke transmission plant in Lima, Ohio, and Rawsonville components plant in Michigan
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.
