China Daily Oil Summary: Guangdong Takes First Venezuelan Cargo

PetroChina's Guangdong Petrochemical complex in the southern Guangdong province will receive its first Venezuelan Merey crude cargo around 23 March, a source told S&P Commodity Insights.

• The refinery was commissioned in February 2023 and has been designed to process heavy sour crude, the source added.
• The Yemen-based Houthi rebels have assured China and Russia their ships can sail through the Red Sea and Gulf of Aden without being attacked, sources told Bloomberg.
• China increased its inventories of crude oil in the first two months of 2024 by 570k b/d, giving refiners the option of trimming upcoming imports, according to Reuters, citing official data.
• China’s total electricity consumption was 1,531.6 billion kilowatt hours in the first two months, rising 11% y/y, People’s Daily reported citing the National Energy Administration.
• POLICY: China fiscal authorities will allocate a budget of CNY66.7 billion this year for employment subsidies and support the implementation of policies to promote jobs and entrepreneurship.
• FROM THE PRESS: The PBOC will likely lower the Medium-term Lending Facility rate and guide banks to lower deposit rates to promote the downward movement of the benchmark Loan Prime Rate, said Dong Ximiao, chief researcher at Merchants Union Consumer Finance.