Syncrude, Shell cut May deliveries due to fire

OREANDA-NEWS. May 12, 2016. Syncrude Canada and Shell Canada have cut May deliveries to customers after wildfires in northern Alberta took oil sands production offline, according to traders.

Syncrude during the week ending 6 May shut 350,000 b/d of production at its Aurora and Mildred Lake facilities. Syncrude produced 297,887 b/d of synthetic crude oil (SCO) in January, the most recent month for which Alberta Energy Regulator data are available.

Shell began restarting production at reduced rates on 9 May at its Albian Sands mining operation, which supplies the company's 255,000 b/d Scotford upgrader, after shutting production on 3 May. The Scotford upgrader produced 276,514 b/d of SCO in January.

Syncrude climbed today to a premium of \\$1/bl to June CMA Nymex WTI from a premium of 65?/bl yesterday. The grade's premium reached \\$2.50/bl on 6 May.

Canadian light synthetic grades are between 31.0-37.9° API and 0.06-0.20pc sulphur.

Husky Energy's 170,000 b/d refinery in Lima, Ohio, took 49,975 b/d of Canadian crude above 32° API and below 0.20pc sulphur during the twelve months through February.

PBF's 170,000 b/d refinery in Toledo, Ohio, took 47,282 b/d. The facility remains dependent on Syncrude, chief executive Tom Nimbley said during the company's first quarter earnings call on 28 April.

BP's 157,000 b/d refinery in Toledo took 16,685 b/d. BP operates the refinery in a joint venture with Husky.

BP's 410,000 b/d refinery in Whiting, Indiana, took 11,419 b/d.