Jubail Refinery Exports Might Begin This Month

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ALKHOBAR: Saudi Arabia’s 400,000 barrel per day Jubail refinery has started operations and can export its first oil products cargo this month, Saudi Aramco’s joint venture with France’s Complete said.
“Start-up is progressing as per the plan. Manufacturing has began from the refinery and first shipment will probably be exported by end of September. Additional shipments will follow as per the start-up schedule and the manufacturing plan,the company mentioned in a statement.
Parts of the advanced have been began up over the previous couple of months and the large refinery is predicted to reach full capacity by the tip of the yr.
Jubail will refine Saudi heavy crude into a spread of fuels from gasoline to petroleum coke for home consumption and gasification export.
The primary 200,000 bpd crude distillation unit (CDU) is already operational however the opposite has yet to start up, a source close to the matter said.
The multi-billion riyal undertaking is central to Saudi Arabia’s plans to spice up refining production to meet the region’s growing demand, and is expected to replace most imports by 2014.
Analysts anticipate new refineries to show the world’s largest crude oil exporter into a major refined products provider to Asia, Africa and Europe over the next 5 years.
Aramco will supply up to 80,000 tons of gas oil for export in late September and Complete can even possible have one or two cargoes obtainable by the top of the month, the supply stated.
The joint venture is trying to export an extremely-low sulfur diesel cargo of possibly 10 elements per million (ppm) in October, the supply added.
The refinery will produce largely gasoline and gasoil for domestic use. It isn’t expected to export any jet fuel this year however could produce some next 12 months, relying on demand.
Many of the exported diesel is expected to be shipped to Europe, which traders say will dramatically alter the market by pushing Indian diesel out of Europe and into Asia.
The refinery is configured to run on heavy crude oil.
But two industry sources mentioned the refinery had not obtained any of the heavy crude anticipated from Aramco’s new Manifa field and that it was operating as an alternative on light crude. Aramco said in April that it had began manufacturing at Manifa.
Saudi Aramco was not available for immediate remark.

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