PBF Energy reducing throughputs by 30pc

US independent refiner PBF Energy will cut throughputs by 30pc and reduce planned spending in 2020 to manage sharply lower fuel demand, the company said today.

The 1mn b/d US refiner was operating "at minimum rates," or roughly 600,000 b/d, based on previous guidance.

"As the market conditions develop and the demand outlook becomes clearer, we will continue to adjust our operations in response," the company said.

The company planned to sell five hydrogen plants at its refineries for $530mn in a deal expected to close at the end of April. Capital spending was reduced by 35pc, or $240mn, and operating expenses were reduced by $125mn for the full year.

"We are focused on generating and preserving the liquidity needed for the duration of the near-term economic impacts of stay-at-home orders and the longer-term recovery of demand for our products," chief executive Tom Nimbley said.

Gasoline and jet fuel demand have plunged under global efforts to mitigate the coronavirus pandemic. PBF operates 370,000 b/d of US Atlantic coast refining capacity, 307,000 b/d of US west coast capacity, a 190,000 b/d refinery in Chalmette, Louisiana, and a 170,000 b/d refinery in Toledo, Ohio.

By Elliott Blackburn