Oil refineries in Pakistan warn govt of looming shutdown of their operations due to rising stock of furnace oil

ANI
21 Jan 2022, 20:33 GMT+10

Islamabad [Pakistan], January 21 (ANI): Oil refineries in Pakistan have warned the government of a looming shutdown of their operations in a couple of weeks due to high and yet rising stocks of furnace oil, a media report said.

The refineries have reported to the government that the oil industry was currently holding about 4,00,000 tonnes of furnace oil. In addition, 3,00,000-tonne stocks were lying unutilised at various power plants, reported Dawn citing informed sources.

The Power Division, on the other hand, had placed a requirement of furnace oil for February at just 45,000 tonnes for the power sector. The sources said the Petroleum Division had advised the Pak-Arab Refinery (PARCO) at Multan to export one cargo of about 50,000 tonnes of furnace oil during the current month, said the Pakistani publication.

Pak-Arab Refinery Company Limited (PARCO) has, however, told the government on Thursday that it had serious concerns over the low demand projected by the power sector.

There will be a high risk of closure of refineries in February in the absence of a significant upward revision in demand, PARCO said further.

The total monthly furnace oil production of the refineries was more than 200,000 tonnes, said PARCO, adding that this is on top of about 700,000 tonnes currently in stocks of refineries, marketing companies and power plants.

Calling for an immediate need to address the critical issue of high furnace oil stock levels, the refineries have demanded an urgent high-level meeting on the issue to work out a firm demand for furnace oil for February to enable the industry to plan refinery operations.

Due to high furnace oil stocks, at least three refineries recently faced shutdowns and others had to go for production cuts, according to Dawn. (ANI)

Watch latest videos

News RELEASES

Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Mexico Star.

More Information

null in null

Lifestyle

Section

New French law targets smoking near schools, public spaces

PARIS, France: France is taking stronger steps to reduce smoking. A new health rule announced on Saturday will soon ban smoking in...

Methionine Restriction Could Extend Lifespan, Boost Health

VILNIUS, Lithuania – A growing body of research suggests that selectively restricting a single nutrient in our diet could have profound...

Himachal CM orders rescue in flood-hit Mandi on war-footing

Mandi (Himachal Pradesh), July 5 (ANI): Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu has directed the Mandi district administration...

"Bullying can be answered with bullying...": Union Minister Ramdas Athawale on Raj Thackeray's remark

Mumbai (Maharashtra) [India], July 5 (ANI): Union Minister Ramdas Athawale on Saturday said that Maharashtra Navnirman Sena chief Raj...

Delhi: Former AAP MLA Naresh Balyan seeks permission to communicate with family from jail

New Delhi [India], July 5 (ANI): Former Aam Aadmi Party MLA Naresh Balyan, who is an accused in MCOCA, has sought permission to have...

Houston Texans donate $500K to help flood victims

(Photo credit: Paul Witwer/Standard-Times / USA TODAY NETWORK via Imagn Images) The Houston Texans announced a $500,000 commitment...

International

Section