Tampa: The United Steelworkers Union (USW) announced plans last week to expand the first nationwide refinery strike since 1980 to an additional three refineries, bringing the total number of participating facilities to 15.
USW gave notice to Motiva Enterprises of its intent to strike at the company’s 600,250 barrel/d refinery in Port Arthur, Texas, the largest refinery in the nation. The workers also intend to strike at Motiva’s Convent, La., facility and its refinery in Norco, La. The two facilities represent a combined 473,000 barrel/d refining capacity.
USW is seeking to double annual pay raises and strengthen worker safety in its new contract. No date to resume settlement talks had been set as of Feb. 26.
The strike’s effect on domestic sulfur operations has so far been described as minimal by most market sources, but a number of contacts last week said that is no longer the case. “I think this refinery strike is beginning to have an impact on operations,” one industry veteran said. “Turnarounds are being rescheduled, drivers (are) beginning to be reticent to cross picket lines, and management (is) beginning to backfill union positions.”
Refinery utilization fell for a second week, according to the U.S. Energy Information Administration. Domestic capacity was 87.4 percent for the week ending Feb. 20, down 1.3 percent decline from the prior week’s 88.7 percent. The rate was also lower than last year’s 88.0 percent for the same week, but above the five-year average of 85.0 percent.
Average daily crude inputs also fell, coming in at 15.243 million barrels/d, a decline of 199,000 barrels/d from the previous week’s 15.442 million barrel/d average.
The price of molten sulfur delivered to Tampa is $147/lt for the first quarter.
U.S. Gulf: Prices in the Gulf were unchanged at $160-$165/mt FOB.
Vancouver: The Vancouver spot market was quiet last week. That is expected to change, however, when the Chinese market resumes after effectively shutting down in late February for the Lunar New Year celebration. Spot rates for the week were unchanged at $165-$175/mt FOB.
Alberta mega-refiner Syncrude 21 returned to limited production last week. Netbacks were quoted in a range of $5-$85/mt for the region.
West Coast: California sulfur was quoted at $160-$165/mt FOB.
ADNOC: ADNOC’s February sulfur price was $180/mt FOB. An updated price for March is expected soon.
Aramco: Saudi Aramco sulfur was $175/mt FOB for March.
Tasweeq: Tasweeq lowered its price of sulfur sold in the month of March to $164/mt FOB, a decline of $18/mt from February’s $182/mt FOB.
Pakistan: The state-owned Oil & Gas Development Co. Ltd (OGDC) has issued a tender for the sale of 7,500 mt of sulfur from its Dakhni oil field near Jand in the Punjab Province. Bids are due on March 17.