China's refinery output rebounds further to plug diesel crunch
China's daily crude oil throughput rebounded again in November as state refiners ramped up output to plug a diesel shortage and independent refiners also raised production on healthy margins, data showed on Wednesday.
Processing volumes in November were at 59.64 MM tons, data from the National Bureau of Statistics (NBS) showed, up 2.2% from the same period a year ago. November volumes were equivalent to 14.51 MMbpd, up from 13.75 MMbpd in October.
The year-to-date throughput rose 4.9% from a year earlier to 644.79 MM tons, or about 14.09 MMbpd.
Top refiner Sinopec has said it was processing at full rates in November and aimed to boost diesel production significantly through December to cover a diesel fuel shortfall which the refiner deemed temporary.
Independent plants in Shandong province raised plant utilization from October levels on elevated gasoline and diesel prices, according to Chinese consultancy JLC.
Mega private refiner Zhejiang Petrochemical Corp also ramped up processing in November after Beijing's release of fresh import quotas allowed the firm to bring in more crude shipments, said a company source.
China's year-on-year refinery output fell between July and October as Beijing clamped down on independent refiners by imposing crude oil import quotas and increasing scrutiny over tax payments.
Shandong province, a hub for independent oil refiners, has ordered its plants to self-inspect and self-rectify any irregular fuel tax practices, Reuters has reported.
Wednesday's data also showed China's crude oil output rose 2.7% to 16.31 MM tons in November versus a year ago, or by 3.97 MMbpd. That helped boost output in the first 11 months of 2021 by 2.5% from a year earlier.
Natural gas output rose 4.4% to 17.7 Bm3 in November from a year earlier, while January-November production rose 8.9% to 186 Bm3.
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