Some refineries shuttered during the pandemic-induced recession in 2020, when demand for gasoline took a nosedive. In a recent interview with Fox Business, American Petroleum Institute President Mike Sommers stated that 11 US gas refineries closed over the past two years. All defendants in crime reports are presumed innocent until proven guilty. Throughput at its French refineries was up 3% on the quarter at 274,000 b/d but remained 46% down compared with 2019. Additionally, refining investment is still underway. On Monday, a barrel of oil sold for as little as $76 the lowest since January but thats a reflection of worldwide trends as opposed to whats happening on the West Coast. read more. The industry leader for online information for tax, accounting and finance professionals. "At a time of war, refinery profit margins well above normal being passed directly onto American families are not acceptable," the president wrote in a letter to the heads of seven oil companies earlier this month. Another prediction is that overall earnings for refiners could fall by as much as 50% by 2035, from a figure of $147 billion in 2015. With the U.S. blocking new purchases of Russian oil, the White House, Republicans and the oil industry are engaged in a disagreement over whether the administration has hampered domestic oil. Shutdowns, or at the very least reduced production, have been reported at four California refineries, as well as at one in Washington, experts say. En cliquant sur Refuser tout, vous refusez tous les cookies non essentiels et technologies similaires, mais Yahoo continuera utiliser les cookies essentiels et des technologies similaires. When you have a power issue, that can sometimes be really difficult to operate around, he said. Patrick De Haan, Gas Buddys head of petroleum analysis, said in a statement that prices in the impacted areas could go up another 25 to 75 cents before the issues are resolved. The refinery had already been idle for a decade before restart. Santa Rosa resident Alex Prince said it gave him hope that the cost of driving would be more affordable by Halloween. Read the full story at theDaily Caller News Foundation. Before the pandemic struck, Pennsylvania Energy Solutions shut down its refinery in Philadelphia after a massive explosion shook the 335,000 bpd facility. Major refinery operators have largely opted to upgrade facilities rather than construct new greenfield plants because of the projected fuel demand decline in coming years and lengthy regulatory . HOUSTON, Texas (KTRK) -- LyondellBasell is leaving the refining business. "My personal view is there will never be another refinery built in the United States," Wirth said. In Louisiana, another refinery was wiped out by Hurricane Ida. Massive Oil Refinery On Track To Shut Down Amid Fuel Supply Shortages, Record Prices Thomas Catenacci on June 7, 2022 UPDATE: This article has been updated to include comment from LyondellBasell Industries on its plans to cease operations in 2023. It's no surprise that this is raising eyebrows, given the president's stated goals on an energy transition and also his promise to voters on the campaign trail that he would "end fossil fuels.". Some of these refineries that shut down in 2020 "will become terminals, some of them will become renewable diesel or biofuel plants," Israel added. We will remove any comments or commenters that do not follow this commenting policy. Image Drilling for oil . Of the two remaining Australian refineries, Geelong in Melbourne is the largest, with a capacity of 128,000 bpd, but is by no means guaranteed to remain in operation with the owners, Viva Energy, accepting a government subsidy but refusing to rule out closure. Get exclusive content only available to INSIDERS. SALT LAKE CITY, UT - MAY 24: A driver unloads raw crude oil from his tanker to process into gas at Marathon Refinery on May 24, 2022 in Salt Lake City, Utah. (Photo by Justin Sullivan/Getty Images) 2022 Welcome: Official Visitors Guide to Greater Baton Rouge. (Photo by George Frey/Getty Images). Strikes Back At EU Criticism Of The Inflation Reduction Act, China Secures Two Long-Term LNG Deals With U.S. Producer, Oil Gains Over 2% As Gasoline Stocks Show Second Weekly Decline, Russia Says Europe Will Struggle To Replace Its Oil Products, "Natural Gas Price Fundamental Daily Forecast Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas, 'Get A Loan,' Commerce Chief Tells Unpaid Federal Workers, Shell Considered Relocating To The U.S. While gasoline prices continue to be a troubling political factor for the Biden Administration, the recent inclement weather in refinery country on the U.S. Gulf Coast has caused two major refineries to shut down. The refinery processes 268,000 barrels per day (bpd) of oil and produces 92,600 . Those, however, are specific to the West Coast and gas prices across the rest of the country are in better shape. US President Joe Biden departs Marine One after, arriving in Washington, D.C., US, on Tuesday, June 14, 2022. June 17 (Reuters) - Since the onset of the global pandemic, the United States has lost nearly 1 million barrels per day of oil refining capacity, with more set to be shuttered in the next few years. And that's when you shut down refineries," says Denton Cinquegrana, chief oil analyst at Oil Price Information Service. Colorado's only oil and gas refinery is offline and might not resume full operations until March, raising concerns about gas prices and local air quality after a series of recent incidents. Of course, high demand combined with high prices has led oil companies to make big profits. Staples says that if the federal land ban continues, Texas is set to lose 120,000 jobs and $65 million in revenue by 2022. And there's a good chance it never will. It stopped petroleum refining operations but plans to resume operations in 2022 as a renewable diesel processing plant, which receives subsidies from the U.S. government. The company determined that exiting the refining business, by the end of next year, is the best strategic and financial path forward, the company added in its statement to TheDCNF. Fire smolders at an oil refinery that triggered several large explosions at the Philadelphia Energy Solutions Refining Complex on June 21, 2019. The 50-year-old refinery was severely damaged after several feet of water flooded it during the storm. (LogOut/ Three of the refineries in question were run by the largest US refiner of crude oil, Marathon Petroleum, while one was run by Shell and the other by independent HollyFrontier, illustrating the fact that this is an issue which cuts across operators and impacts the industry as a whole. Operating refinery capacity in the US has decreased since 2020 Over the last three years, more than 1 million barrels a day of refining capacity went offline a s a result of the pandemic and extreme weather. President Biden and Big Oil are at each other's throats. Reports on oil and energy, including refineries, markets and renewable fuels. Diesel fuel supplies have hit all-time lows on the East Coast and gasoline prices have soared to multiple records in recent weeks. The fragility of the sector as a whole was underlined not merely by the impact of the pandemic, which, in all honesty, left hardly any sector completely untouched, but also by the example of Texas, a part of the world which, over and above almost anywhere else, could surely be expected to be able to cope with any temporary issues caused by wider conditions. The drop in capacity was driven by a 13% drop in gasoline consumption, and prices for gasoline and diesel hit a four year low. if(window.innerWidth<=1023){var write_html='
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