The Co-op Refinery Complex announced that they will be reducing its production due to global market conditions.
The CRC will reduce production to 90,000 barrels per day (BPD), down from between 110,000 to 120,000 BPD.
They cite the reduction is in response to low oil prices and reduced demand for gasoline due to self-isolation measures. Further reductions may be required, but those will be determined by consumer demand going forward.
While we’re turning down the Refinery’s daily production, we want customers to know that we have planned for this. Over the past few months, we have taken steps to maximize the utilization of our storage capacity and supply chain network throughout Western Canada. This will ensure the market has the product in place to meet demand,” said Gil Le Dressay, Vice President of Refinery Operations. “It’s important our agricultural producers know that we plan for their seeding and harvest needs every year and that their product is in place and ready for them this spring.”
They stressed that all fuel inventories are full and ready to meet demand and that they will continue to match production to demand accordingly.
The CRC says the majority of the work associated with the Complex’s annual Turnaround, usually scheduled for April, will be moved to 2021. Any Turnaround work done in 2020 will only be done when it determined safe to do so.
Le Dressay says that their focus will continue to be the safe operation of the Refinery