Tampa:
Genscape reported the Nov. 13 restart of a 185,000 barrel/d crude section at the Cenovus refinery in Lima, Ohio. The unit had been offline since Sept. 29 due to a planned turnaround. A 40,000 barrel/d fluidic catalytic cracking unit (FCC) was restarted on the morning of Nov. 16.
Marathon restarted the 104,000 barrel/d No. 5 CDU and a 53,000 barrel/d VDU on Nov. 13 at the company’s refinery in Catlettsburg, Ky., following a shutdown on Nov. 8. Signs of increased activity from a 99,000 barrel/d FCC, offline for maintenance since Oct. 10, were also reported.
The Tampa molten sulfur contract price was negotiated at $183/lt CFR for delivery in the fourth quarter, falling $12/lt from $195/lt CFR in Q3.
Refinery utilization marched higher for the week ending Nov. 12, the U.S. Energy Information Administration (EIA) reported. Capacity firmed to 87.9 percent, a 1.2-point increase from 86.7 percent in the prior report, and also leading both the year-ago 77.4 percent and the 86.8 percent five-year average.
Crude inputs were noted averaging 15.397 million barrels/d through the period, a 31,000 barrel/d increase from 15.366 million barrels/d in the prior report.
U.S. Gulf:
TotalEnergies on Nov. 13 successfully restarted a 165,000 barrel/d crude distillation unit (CDU) and 55,000 barrel/d vacuum distillation unit (VDU) at the company’s Port Arthur, Texas, refinery, Genscape reported. The units were noted shutting down on Sept. 9 for planned maintenance.
Genscape noted the Nov. 13 shutdown of all monitored units at the Marathon refinery in El Paso, Texas, including the 72,000 barrel/d CDU, the 17,000 barrel/d VDU, the 28,000 barrel/d FCC, and an 18,000 barrel/d hydrotreater.
The Placid refinery in Port Allen, La., was noted returning to full operation on Nov. 15. Units at the facility had been offline since early October. Chevron Corp. halted operation on the 151,000 barrel/d VDU at its Pascagoula, Miss., refinery on Nov. 13, Genscape reported. All other monitored units remained online.
Last-done out of the Gulf continued to be reported in the $200-$210/mt FOB range, unmoved from one week earlier. Based on recent values at Brazil and other international markets, however, market players suggested indications in the $240s/mt FOB should a deal conclude currently.
Expectations of a shift toward sweeter crude feedstocks processed at U.S. refineries could contribute to thinner domestic supply in the near to midterm, some argued.
Brazil:
A cargo loading from the Former Soviet Union (FSU) was reported selling into Brazil at $279/mt CFR during the week, stretching Brazil import pricing to the $279-$290/mt CFR range. Despite the decline from the week-ago $285-$290/mt CFR, most players continued to note the bulk of delivered pricing holding near the top of the range.
Fourth-quarter imports contracts were quoted at $234/mt CFR, sources indicated, above $221-$223/mt CFR in the third quarter.
Vancouver:
Flooding and mudslides in British Columbia were reported effectively cutting off Vancouver from the rest of the country during the week, Bloomberg reported. With both rail and truck routes experiencing significant delays, sources said the conditions were complicating the delivery of sulfur from Alberta, contributing to tight available export supply. The conditions were expected to persist for several days, at a minimum.
No new business was reported for the week, leaving last-done in the $200-$205/mt FOB range. Pricing was anticipated to push “substantially” higher in the next round of business, sources said.
Alberta:
Alberta sulfur sales netted back $68-$135/mt FOB to suppliers, market players indicated, steady from the prior report.
West Coast:
Genscape reported a full restart of the HollyFrontier Puget Sound, Wash., refinery over the Nov. 12-13 period. Operation of the plant’s 149,000 barrel/d crude section was fully restored on Nov. 12, followed by other units on Nov. 13. The refinery was taken offline on Nov. 6 due to a crude section leak.
Players continued to note West Coast prill market indications in the $200-$205/mt FOB range, steady from the prior report.
Fourth-quarter contracts for molten tons loading from the West Coast were reported at $160-$170/lt FOB, up from $150-$155/lt FOB in the prior quarter.
China:
The ongoing ban on phosphate exports from China has contributed to a shift in sulfur market focus toward other locations, sources said.
“China is no longer leading the international market in pricing. India, Africa, and others seem to be gaining in importance in the international trade,” said one source. “That said, if China begins exporting fertilizer again, that will likely lead to higher prices for raw material sulfur.”
Refinery throughput at China stood at an average 13.75 million barrels/d in October, according to data released by China’s National Bureau of Statistics (NBS) and reported by Reuters. The October numbers were up from 13.64 million barrels/d in September, a 16-month low, but down three percent compared to October 2020. Total January-October 2021 throughput stood 5.2 percent above the year-ago, however.
Last-done spot sulfur imports at China were heard firming to the $263-$265/mt CFR range, up from $260-$263/mt CFR in the prior report.
ADNOC:
November offers on solid sulfur produced by the Abu Dhabi National Oil Co. was posted at $230/mt FOB Ruwais. Pricing stood at $193/mt FOB in October, a $37/mt difference.
Qatar:
Qatar prills were quoted at $226/mt FOB Ras Laffan for loading in November, up $34/mt from October’s $192/mt FOB posting.
Kuwait:
Sulfur loading from Kuwait was noted at $226/mt FOB in November, up $35/mt from $191/mt FOB in the prior month.