Oil Refiner News

Energy storage group VTTI will get a 70% stake in Italy's biggest liquefied natural gas (LNG) terminal, with grid operator Snam owning the rest, the Milan-listed group said on Wednesday, announcing a deal to be finalised by year-end.Snam, which is controlled by the Italian government, said in a statement it had exercised its pre-emption right to increase its stake in the infrastructure dubbed Adriatic LNG to 30% from 7.3%.The move comes after ExxonMobil and QatarEnergy last week agreed to sell their stakes in the terminal to a consortium led by Dutch group VTTI.

Lithuania said on Thursday it had been informed by a subsidiary of Polish oil refiner Orlen PKN of an oil spill in the country's waters in the Baltic Sea and had launched a probe into the incident.Lithuania's Environmental Protection Department said in a statement the subsidiary, Orlen Lietuva, had informed it on Wednesday of a 300-litre spill near the Butinge oil import terminal in connection with the loading of a tanker.It said an inspection by Lithuania later on Wednesday showed the spill measured nine kilometers by two kilometers with at least 1.8 tonnes of oil on the surface…

Iran seized a tanker with Iraqi crude destined for Turkey on Thursday in retaliation for the confiscation last year of the same vessel and its oil by the U.S., Iranian state media reported, a move likely to stoke regional tensions.The seizure of the Marshall Islands-flagged St Nikolas coincides with weeks of attacks by Yemen's Iran-backed Houthi militias targeting Red Sea shipping routes."After the theft of Iranian oil by the United States last year, St Nikolas tanker was seized by Iran's Navy this morning with a judicial order ...

An oil tanker caught up in a dispute last year between the United States and Iran was boarded by armed individuals off the coast of Oman on Thursday and appeared to have changed course towards Iran, according to UK maritime sources.The Marshall Islands-flagged tanker St Nikolas was boarded by armed intruders as it sailed close to the Omani city of Sohar, according to British maritime security firm Ambrey, and its AIS tracking system was turned off as it headed in the direction…

Valero Energy Corp, the second-largest U.S. oil refiner, is seeking Washington's permission to import Venezuelan crude, according to four people close to the matter, hoping for a repeat of the approval granted to Chevron Corp in November after a four-year ban.President Joe Biden's administration has eased some U.S. sanctions on the OPEC-member nation in an effort to encourage a political dialogue with the country's opposition. That has led to further pressure from U.S., European and Asian energy firms…

At least 10 vessels carrying Russia-linked cargoes of crude and refined products were approaching the United States on Wednesday, as suppliers rushed to deliver ahead of the U.S. government's deadline to wind down Russian energy purchases, data from traders and Refinitiv Eikon showed.The United States, the world's biggest oil consumer, this month banned imports of Russian energy products due to the invasion of Ukraine, which Moscow calls a "special operation." Washington's ban gives importers until April 22 to discharge cargoes moving under pre-ban contracts.At least one tanker carrying fuel oil heading to the United States has diverted, and at least two others that stopped at Russian terminals are awaiting discharge at U.S. ports, according to Refinitiv data, one since March 7.U.S.

The Biden administration granted oil refiner Citgo Petroleum a maritime shipping waiver allowing it to move fuel between U.S. ports on a foreign flagged vessel, two sources told Reuters on Friday, making it the second company to secure one this week.The waivers are intended to help ease distribution of fuel after a major pipeline serving the U.S. East Coast was forced shut by a cyberattack last week, triggering widespread shortages of gasoline, diesel and jet fuel.The Department of Homeland Security had announced the second waiver on Friday…

Oil prices edged higher on Thursday as investors focused on the possibility of deeper supply cuts from the world's biggest producers, whilst largely shrugging off reports which cut demand forecasts after the coronavirus outbreak in China, the biggest oil importer.Brent crude was up 32 cents, or 0.6%, at $56.11 a barrel by 10:52 a.m. ET (1552 GMT), while U.S. West Texas Intermediate (WTI) was up 14 cents at $51.31 a barrel.The energy complex was led higher by U.S. gasoline futures…

Finland’s oil refiner Neste Corporation has made low-sulphur fuel oil (LSFO)available in Bremerhaven, Germany in response to the upcoming IMO 2020 global regulation.Neste and the German BMT Bunker und Mineralöltransport GmbH have signed a partner agreement concerning distribution and sales of Neste MarineTM 0.5. This new marine fuel, containing maximum 0.5% sulphur, has been available in Bremerhaven, Germany, since the beginning of November 2019. BMT is a bunkering services company with a long experience in the sales of marine fuels. The company is well-known especially in the North Sea coast in Germany, which is a key logistics channel for global shipping companies.“We are truly delighted that BMT is our marine fuel channel partner in Northwestern Europe.

State-owned Indian Oil Corp (IOC) said it has commenced delivery of Low Sulfur Furnace Oil (LSFO) for ships that is compliant with International Maritime Organisation's (IMO) mandate.The largest commercial oil company in India said in a press release that it commenced deliveries of LSFO with 0.5 per cent sulfur as marine fuel at ports in the country.The first such supply was made on 26th October 2019 to the LPG tanker Berlian Ekuator at Kandla port.ICO has made available LSFO 0.5% S grade marine fuel for immediate deliveries at Kandla and Kochi ports. Bunker fuel deliveries at other Indian ports Mumbai, Mangalore, Tuticorin, Chennai…

China's Unipec has resumed using tankers owned by COSCO weeks after it suspended bookings due to U.S. sanctions on some of the Chinese shipping company's subsidiaries, trade sources said on Tuesday.Refinitiv data showed one COSCO owned tanker - belonging to a subsidiary not affected by the U.S. sanctions - was sailing to Asia with a cargo of oil chartered by Unipec, the trading arm of Asia's top oil refiner, Sinopec.Sinopec officials did not immediately respond to requests for comment after business hours.In one of the biggest sanctions actions taken by the U.S.

China's Unipec has made replacement bookings for four oil shipments from the Middle East Gulf after the United States imposed sanctions on the tanker subsidiaries of China's COSCO, three shipping sources said on Thursday.The sources said Unipec, the trading arm of Asia's top oil refiner Sinopec, had switched to other tanker owners including China Merchants-owned AMCL after the designation by Washington on Wednesday of two of state-owned COSCO's subsidiaries.Sinopec declined to comment. AMCL's Hong Kong office could not be reached for comment after office hours.

U.S. oil refiner Phillips 66 is proposing a deepwater crude export terminal off the U.S. Gulf Coast, challenging at least eight other projects aiming to send U.S. shale oil to world markets, according to a memo and a source who asked not to be named.The project, called Bluewater Texas Terminal LLC, signals another major expansion of its logistics operations. The fourth largest U.S. refiner last week formed joint ventures to build pipelines linking shale fields in West Texas and North Dakota to the Cushing, Oklahoma, oil hub and the U.S.

Two oil tankers were attacked in the Gulf of Oman on Thursday, leaving one ablaze and both adrift, shipping firms said, driving oil prices as much as 4% higher over worries about Middle East supplies.The Front Altair, carrying petrochemical feedstock, was on fire in waters between Gulf Arab states and Iran after an explosion that a source blamed on a magnetic mine. The Norwegian owner said its crew were safe.A second Japanese-owned tanker was abandoned after being hit by a suspected torpedo, the firm that chartered the ship said.

American multinational energy corporation Chevron signed a new sales and purchase agreement with South Korean oil refiner GS Caltex Corporation for the delivery of liquefied natural gas (LNG) to South Korea.As a joint venture between Chevron and GS Energy, GS Caltex has signed a long-term agreement and will begin receiving LNG in October 2019, said a press release from the U.S. oil and gas major.Chevron’s President of Global Gas, Hugh Connett stated the agreement is another indication of the significance of the long-standing relationship between Chevron and GS Caltex.“We’re proud of our partnership with GS Caltex and we welcome this opportunity to build on that relationship by supplying LNG to South Korea’s growing market…

Key Middle East oil terminal bans open-loop scrubbersFujairah in the United Arab Emirates has become the latest major port to ban a type of fuel exhaust cleaning system to comply with a coming tightening in rules regarding global sulphur emissions, mirroring similar moves in Singapore and China.Under International Maritime Organization (IMO) rules that come into effect from 2020, ships will have to reduce the sulphur content in their fuel to less than 0.5 percent, compared with 3.5 percent now, forcing huge changes upon global shippers and also oil refiners.Fujairah's harbour master said in a faxed document seen by Reuters that the port "has decided to ban the use of open-loop scrubbers in its waters ...

High-sulphur fuel oil (HSFO), essentially the leftovers of an oil refiner's output, will still flow from refineries around the world even after new rules start up in 2020 curtailing its use in the global shipping fleet, a Reuters survey showed.Sixty percent of the 33 refineries contacted by Reuters in a global survey will still produce HSFO in 2020 although the supply will tighten as 70 percent of these refiners plan to reduce their output.Starting that year, ships will have to use marine fuel…

European oil companies are not ruling out reducing Iranian oil imports after the threat of new U.S. sanctions, with some expecting banking issues to hinder trade, but there was no rush to immediately cut volumes.U.S. President Donald Trump said on Tuesday the United States was exiting an international nuclear deal with Iran and would impose new sanctions that seek to reduce oil exports from OPEC's third-largest producer.But as of Friday, companies in Europe said they were still taking Iranian oil.

South Korean shipping company Hyundai Merchant Marine (HMM) has signed a long-term crude oil shipping contract with compatriot oil refiner GS Caltex. A press release from HMM said that the KRW190 billion (USD 180 million) contract will involve the transportation of 19 million tonnes of crude oil from Saudi Arabia and the Gulf from July 2019 to August 2024. Accordingly, HMM plans to deploy two 300,000 dwt Very Large Crude Carriers (VLCC) which were previously ordered last September. C.K. Meanwhile, HMM has continued its partnership with GS Caltex over 20 years in crude oil shipping business.

Two VLCCs co-load Qatari, Abu Dhabi grades; impact of shipping restriction less severe than expected. Exports of Qatari crude oil have not been hindered by a port ban imposed by other Gulf states as tankers are loading Qatari grades along with cargoes from the United Arab Emirate, shipping data in Thomson Reuters Eikon showed on Wednesday. Two Very Large Crude Carriers (VLCC), which can each carry up to 2 million barrels of oil, successfully loaded Abu Dhabi grades on Wednesday, despite having taken on Qatari crude in an earlier leg of the voyage, shipping data in Thomson Reuters Eikon showed on Wednesday. The loadings come amid Abu Dhabi's easing of restrictions on oil cargoes going to or coming from Qatar, according to a shipping circular seen by Reuters.

Hellenic Petroleum, Greece's biggest oil refiner, posted a 20 percent rise in second-quarter core profit on Thursday, with higher exports offseting lower refining margins. The company, which exports diesel and gasoline to markets in the southeastern Mediterranean and the Balkans, saw refining margins fall as much as 35 percent from $7.3 per barrel and a marginal decline of demand in the domestic market, it said. Exports of diesel and gas doubled to a record high of 2.300 metric tonnes, which contributed to 60 percent of total sales, the company said in a statement. Total sales stood at 4,006 metric tonnes from 2,950 metric tonnes in the second quarter of 2015.

Greece will conclude the evaluation of deep-sea oil and gas exploration bids in the coming weeks and will name the preferred bidders soon after, its energy minister said on Friday, as the country seeks to tap into its limited oil reserves. Plunging crude oil prices have cut spending on oil projects around the world but cash-strapped Greece is pushing ahead with investment in the industry in a bid to reduce dependence on oil imports and boost public finances. "We are evaluating three bids made by oil companies whose financial strength, experience and infrastructure ensure they are in a position to successfully perform gas and oil exploration and production," Energy Minister Panos Skourletis said.

Iran, OPEC's No. 3 producer, is expected to raise its oil exports in March to around 1.65 million barrels per day from 1.5 million bpd a month earlier on the back of higher crude shipments to Europe, two industry sources told Reuters on Thursday. State-run National Iranian Oil Co. (NIOC) is expected to ship around 250,000-300,000 bpd to Europe this month after it finalised term deals with France's Total and Spanish refiner Cepsa, effective from March 1, said the sources, who are familiar with Iran's exports. The French oil major has a contract to buy about 200,000 bpd, while Cepsa's deal was for about 35,000 bpd, one source said. Total is expected to lift at least 5 million barrels in March, the source added.