• 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
  • 8 hours Cheaper prices due to renewables - forget it
  • 5 hours e-cars not selling
  • 4 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 1 day If hydrogen is the answer, you're asking the wrong question
  • 15 hours How Far Have We Really Gotten With Alternative Energy
  • 1 day CHINA Economy Disaster - Employee Shortages, Retirement Age, Birth Rate & Ageing Population
Is A New Oil Price War Looming?

Is A New Oil Price War Looming?

Record-breaking U.S. oil production is…

Does Coal Have a Future in Power Generation?

Does Coal Have a Future in Power Generation?

We think it’s a mistake…

Private Chinese Refiner Boosts Crude Storage Capacity

Private Chinese firm Hengli Petrochemical, which operates one of the largest private refineries in China, has boosted its crude oil storage capacity by 22.6 million barrels to a total of 37.8 million barrels, Argus Media quoted the refiner as saying on Thursday.  

The new storage tanks at Dalian will help Hengli Petrochemical to optimize purchases for its 400,000-bpd refinery in Changxing.

Over the past few months, Hengli Petrochemical and other Chinese refiners, both private and state-owned, have increased purchases of crude oil, taking advantage of some of the lowest crude prices in years in April.

China has decided that it would increase its crude oil storage capacity, as part of its goal to optimize its energy and crude import needs.

Over the past few months, while the rest of the world continues to struggle with fuel demand recovery in fits and starts, China has been a critical factor in supporting oil prices, breaking crude oil import records. Record Chinese crude oil imports over the past few months have supported still weak global oil demand.

Chinese refiners, both state-held giants and independent refiners in the Shandong province, rushed to stock up on ultra-cheap crude oil, locking in crude for delivery in May, June, and July—and breaking crude oil import records.

For the first half of 2020, despite the lockdown in the pandemic, China’s crude oil imports jumped by 10 percent year over year to an average of 10.95 million bpd.  

In July, China imported 12.08 million bpd of crude oil, according to official customs data, which was lower than the record-breaking import rate in June but 25 percent higher than the average for July 2019.


After August, the Chinese buying spree may be coming to an end, as oil is not as dirt cheap as it was in April, and China is estimated to have amassed extensive crude inventories in commercial and strategic storage.

By Tsvetana Paraskova 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