PdV restarts gasoline output at Cardon refinery

Venezuela's state-owned PdV has restarted some low-octane gasoline production at its 305,000 b/d Cardon refinery, according to internal operational data and oil union officials.

Cardon's 86,000 b/d fluid catalytic cracker (FCC) was producing about 47,000 b/d of gasoline of less than 87-octane, according to a 14 June internal PdV report. A single distillation tower at Cardon was processing about 56,000 b/d of crude.

After blending in alkylate recently imported from Iran, Cardon is now producing about 30,000 b/d of 91-octane gasoline, senior union leader Ivan Freites tells Argus.

Presidential palace and oil ministry officials said the resumption of gasoline production is a significant step in PdV's efforts to alleviate a severe fuel shortage and loosen strict rationing measures.

Venezuela will continue importing gasoline this year while PdV focuses on restarting the 108,000 b/d FCC at the 635,000 b/d Amuay refinery and the 61,500 b/d FCC at its 140,000 b/d El Palito refinery, the officials added.

The US-sanctioned government of President Nicolas Maduro says it is in talks with Iran to secure monthly imports of up to 600,000 bl of gasoline, equivalent to 20,000 b/d or about 13pc of the suppressed consumption prior to the local onset of the health crisis in March.

The Maduro government is also considering Mexican president Andres Manuel Lopez Obrador's recent offer to supply Venezuela with gasoline on humanitarian grounds, the presidential palace said.

PdV has been prioritizing the recently imported Iranian gasoline mainly for Caracas.

The oil ministry said Cardon's gasoline will be sent to the interior of the country to ease the fuel shortage mainly in agricultural states.

PdV's 940,000 b/d CRP refining complex comprised of the Cardon and Amuay refineries was processing 137,430 b/d of crude as of 14 June, including 56,130 b/d at Cardon and 81,300 b/d at Amuay, the report states.

PdV expects to maintain crude throughput at Cardon at 55,000-58,000 b/d for the rest of this month and raise throughput at Amuay to 130,000-150,000 b/d by 30 June, the report adds.

Two union officials at Cardon cautioned that unstable industrial services such as electricity and water pose the greatest risk to stabilizing gasoline production.