Shell to close Convent refinery

Reuters reports that the shutdown will occur this month after Shell failed to find a buyer.

“After looking at all aspects of our business, including financial performance, we made the difficult decision to shut down the site,” Shell spokesman Curtis Smith said in an emailed statement.

Refining margins have been down substantially since the pandemic started. The gasoline refining margin is currently at US$8.79 per barrel, below the threshold where most refiners can profit.

Shell said that it will continue to try to divest the refinery once the shutdown is complete. It expects to sell all but six refineries and chemical plants globally and is considering closing facilities it cannot sell, the company told investors on its quarterly earnings call this week.

Read the article online at: https://www.hydrocarbonengineering.com/refining/06112020/shell-to-close-convent-refinery/