China’s VLSFO output drops in March - JLC

Chinese refiners produced about 1.13 million mt of VLSFO in March, a 20% decrease year-on-year, according to market intelligence provider JLC.

IMAGE: A forklift truck carrying barrels with Chinese flag on it. Getty Images

The country’s daily average VLSFO output in March fell by approximately 11.6% month-on-month to 36,290 mt. 

JLC attributed the decline to “bad margins and more unit maintenance.”

PetroChina’s VLSFO output remained relatively low in March after adjusting its refineries’ VLSFO yields. “The company had planned to raise its refineries’ asphalt output, resulting in a decline in their LSFO output,” JLC reported citing industry sources.

Sinopec’s VLSFO output also declined. Production loss caused by unit maintenance settled at around 60,000 mt in the month, JLC said.

CNOOC lowered its VLSFO production too, driven by a drop in output at its subsidiary Zhoushan Petrochemical. Taizhou Petrochemical and Huizhou Refinery maintained stable VLSFO production, while Zhongjie Petrochemical ramped up VLSFO output in March.

By Aparupa Mazumder

Please get in touch with comments or additional info to news@engine.online