PetroChina to Shut Domestic Oil Refinery Next Year

SEATTLE (Oil Monster): By the middle of 2025, PetroChina is expected to shut down its biggest domestic oil refinery, according to sources. Beginning in October, the business shut down almost 210,000 barrels per day of capacity. Currently, the remaining, operational component of the Dalian petrochemical facility is to be shut down.The total estimated capacity of the plant is approximately 410,000 barrels per day (bpd).

Prolonged concerns about overcapacity and a drop in fuel consumption as a result of the economic slump are the primary causes of the shutdown. Almost 3% of the nation's refining capacity is accounted for by the Dalian plant. The amount of oil imported into the nation will significantly decrease as a result of the plant's closure.

In order to move the refinery away from the crowded downtown area and toward a refinery and chemical complex on Changxing Island, the plant will be shuttered. Over the previous few years, the refinery has recorded a number of incidents, including fires, explosions, and oil spills.

According to the concept, the new site will have a 1.2 million ton-per-year ethylene complex and a 200,000 barrel per day oil refinery. Pre-feasibility studies for the project are underway. Additionally, PetroChina has not yet decided whether to invest in the project.

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