Saudi refinery intake, output at 23-year high in July

Spanish Market: Crude oil, LPG, Oil products
23/09/25

Saudi Arabia's oil product output and refinery crude intake were at the highest on record in July.

The latter was 2.98mn b/d, according to the Joint Organisations Data Initiative (Jodi), whose data go back to 2002. This was up by around 10pc from June, when there was maintenance work at the 400,000 b/d PetroRabigh refinery, and was 24pc higher than July 2024.

Products output, excluding LPG, was 2.76mn b/d in July, 18pc higher on the year. The increase was led by gasoil, production of which hit a record 1.3mn b/d, up by 10pc on the month and by 20pc on the year.

Fuel oil output was 517,000 b/d, up by 25pc on the month, by 24pc on the year and the highest since May 2022.

This contributed to combined exports of diesel and gasoil, gasoline, jet fuel, naphtha and fuel oil rising to an all-time high of 1.65mn b/d in July, Jodi data show. This was 56pc higher than in July 2024.

The rise in refinery intake came as Saudi direct crude burn for power generation fell to 608,000 b/d in July, lower by 9.8pc on the month and by 24pc on the year. Fuel oil consumption was down by 2.1pc on the month and by 20pc on the year at 559,000 b/d.

Power generation in Saudi Arabia predominantly comes through burning natural gas, and liquids like crude and fuel oil. Demand for power peaks during hot summer months.

Riyadh has been working towards a plan to curb using liquids for power generation, and replace these with natural gas, in the hope of totally eliminating all liquid burning by the end of the decade. This should free up more crude and oil products for domestic refining, or for export.

The latest Jodi figures suggest progress on this front, with 608,000 b/d of crude burned in July down by 21pc on the year. The 559,000 b/d of fuel oil consumed was down by 20pc in the same time.

Limited potential

The increased refinery intake came in a month when crude production was 9.201mn b/d, down almost 6pc on the month.

The drop was largely because Saudi Arabia had substantially boosted production in June.

Saudi production rebounded to 9.59mn b/d in August, Argus estimates, and is likely to have increased further this month as it and seven other Opec+ producers conclude unwinding a collective 2.46mn b/d cut.

Saudi production could also rise further in October, after the eight agreed to begin unwinding a second 1.65mn b/d layer of voluntary cuts.

But the potential for upside refinery intake will probably be limited by planned maintenance. The 460,000 b/d Satorp refinery is due to undergo a turnaround in November-December and the 126,000 b/d Riyadh refinery will also probably carry out maintenance in the fourth quarter. Details have not been confirmed.

By Ieva Paldaviciute

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Saudi refinery intake, output at 23-year high in July

Limited potential

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