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Free AccessUS Refineries Face Operational Risks From Delayed Maintenance
US refineries face operational and workforce risks from delayed planned maintenance according to S&P Global.
- Recent refining accidents and emissions events could be due to plant maintenance delayed by the coronavirus in 2020 and compounded by a return of demand in 2021 with delayed maintenance schedules tightening the labour market.
- Refiners operated at record high utilization rates in 2022 to meet rising demand with many turnaround schedules pushed into 2023.
- "Now you have refineries and plants that may not have had the maintenance necessary. And now they are running more than they normally ran for months and years at a time. So I think the plants are sending a message to us that they need maintenance," said Mike Smith, chair of the National Oil Bargaining Program for the United Steelworkers.
- Hurricane and storm-related shutdowns could also impact operations with a near normal season expected this summer. Even near-normal numbers could tighten the US gasoline market and disrupt oil production and trade flows.
To read the full story
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.