Tampa:
Contracts for molten sulfur delivered to Tampa in the first quarter were reported at $282/lt CFR, an increase of $99/lt from $183/lt in fourth-quarter 2021.
Refining capacity moved higher for the week, the U.S. Energy Information Administration (EIA) reported. Utilization was noted at 88.2 percent of capacity for the period ending Feb. 4, a 1.5 point increase from the previous week’s 86.7 percent rate. The current rate stood above the year-ago 83.0 percent level, but lagged the five-year average of 88.5 percent.
Daily crude inputs were also up at an average 15.577 million barrels/d for the week, a 329,000 barrel/d jump from the prior week’s 15.248 million barrels/d total.
U.S. Imports:
December sulfur imports were noted at 229,462 st, falling 19.0 percent from 283,154 st in the prior year. July-December imports were reported at 1.65 million st, off 11.8 percent from the year-ago 1.87 million st.
U.S. Exports:
December sulfur exports were noted at 167,955 st, up 46.0 percent from the year-ago 115,012 st. Exports totaled 787,992 st in July-December, rising 32.5 percent from the year-ago 594,683 st.
U.S. Gulf:
Freezing temperatures from Winter Storm Landon impacted Gulf refinery operations, starting on Feb. 4.
Reuters reported the shutdown of the 593,000 barrel/d Marathon Petroleum Galveston Bay and the 225,000 barrel/d Valero Energy Texas City refineries on Feb. 4 due to a citywide power outage in Houston, Texas, triggered by the frigid conditions. The power cut came during the area’s second consecutive night of freezing temperatures. The Marathon plant could require weeks to return to full operation, Genscape reported.
Following a brief Feb. 3 outage and a subsequent Feb. 4 restart at the Valero Houston refinery, Genscape reported the shutdown of all monitored units at the facility on Feb. 7, including a 115,000 barrel/d crude distillation unit (CDU), a 65,000 barrel/d fluidic catalytic cracking unit (FCC), a 50,000 barrel/d hydrocracker, and two sulfur recovery units (SRUs). A 95,000 barrel/d CDU and associated 38,000 barrel/d vacuum distillation unit (VDU) were noted shutting one day earlier, on Feb. 6. Valero initiated restart efforts for a number of units on Feb. 8.
The Chevron plant at Pasadena, Texas, was reported fully offline following a multi-unit shutdown on Feb. 5. Several refinery components were noted shutting down earlier in the week due to a boiler outage. Increased activity was noted from several units on Feb. 8.
Operational upsets were also reported from the Marathon Garyville, La., Motiva Port Arthur, Texas, and the ExxonMobil Corp. Baytown, Texas, refinery during or shortly after Landon’s march through the region.
Sources continued to describe recent Gulf price ideas in the $290-$300/mt FOB range, although most agreed that prices would likely push above $300/mt FOB should a transaction conclude today.
Brazil:
With last-done spot tons continuing to be heard at $355-$357/mt CFR, players quoted indications coming off a few dollars for the next round of business. Predictions were generally reported in the $348-$352/mt CFR range, down $5-7/mt from recent transactions.
Vancouver:
Pricing for solid sulfur tons loading from Vancouver moved higher for the week, with values pegged at $300/mt FOB, rising from $280/mt FOB in the prior report.
Alberta:
With Vancouver spot moving up, Alberta sulfur netbacks reportedly firmed to the $167-$230/mt FOB range, up from $167-$210/mt FOB published previously.
West Coast:
Indications on solid sulfur cargoes loading from the West Coast followed Vancouver higher, to approximately $300/mt FOB. First-quarter molten contracts were quoted in the $230-$245/lt FOB range, up from $160-$170/lt FOB in the prior period.
China:
Market watchers noted a second week of quietude in the China import spot market due to the Lunar New Year holiday, calling last-done steady at $335/mt CFR. With a number of international markets now tracking above China’s last-reported number, players generally expected rising values in the next round of business.
ADNOC:
Abu Dhabi National Oil Co. (ADNOC) offers for February were called $320/mt FOB Ruwais, up $20/mt from $300/mt FOB in January.
Qatar:
Solid tons loading from Qatar were heard rising to $315/mt FOB Ras Laffan in February, up $14/mt from $301/mt FOB noted one month earlier.
Kuwait:
Kuwait sulfur offers were quoted at $315/mt FOB for February loading. The market was reported at $300/mt FOB in January, a $15/mt difference.