• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 4 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 7 days The United States produced more crude oil than any nation, at any time.
  • 6 days How Far Have We Really Gotten With Alternative Energy
  • 10 hours e-truck insanity
  • 6 days China deletes leaked stats showing plunging birth rate for 2023
  • 8 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 4 days Bad news for e-cars keeps coming

China Refinery Throughput Keeps Close To Record

Chinese refineries processed an average of 12.43 million barrels daily last month, a little lower than the September record of 12.49 million bpd but still the second-highest monthly throughput rate on record, Reuters reports, citing data from the National Bureau of Statistics.

The increase came on the back of higher demand for fuels amid still strong economic growth, but also on the back of higher demand for crude oil inventories ahead of the start of winter. The October figure was 4.6 percent higher than a year ago. The figure for January to October, 12.13 million bpd, was 7.8 percent higher than the rate for January-October 2017.

The news about the still strong run rates after the record-breaking September figures bodes well for future demand after an extended period of falling imports and run rates amid summer maintenance season and adjustments by independent refiners to a new tax regime that has stripped teapot refiners of some tax incentives and hurt their bottom lines.

And these developments are not just short-term. China will lead global refinery capacity expansion and investments with 3.12 million bpd additional refining capacity and US$67.3 billion in capital expenditures through 2022, data and analytics company GlobalData said in a recent report. Ten new refineries are scheduled to launch by 2022, which, some industry insiders have warned, will leave the country with stranded capacity at some later point.

For now, demand remains strong, and this means that imports will remain strong as domestic production suffers high production costs and natural depletion: in October domestic crude oil production rose by a modest 0.3 percent to 16.09 million tons, or an average of 3.79 million bpd. There have been worries that demand in China would suffer a blow because of the trade war with the Trump administration, but it remains strong for the time being.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News