Jan-Oct Shandong Independent Refinery Refining Profit Soared Y-O-Y
According to SCI’s statistics, from January to October 2020, supported by the low international crude oil prices, the average comprehensive oil refining profit at Shandong independent refineries surged to RMB 307.01/mt, up RMB 260.48/mt Y-O-Y.
In H1, 2020, impacted by the global public health event, the international crude oil prices fluctuated downward and once reached extremely low levels. The bottom of the crude oil cost at independent refineries was about RMB 1,500/mt during that period. For most Shandong independent refineries, gasoline and diesel were their most important products, and therefore, the prices of gasoline and diesel basically determined the comprehensive oil refining profits. In H1, 2020, the slump of the international crude oil prices triggered the price floor set by China’s National Development and Reform Commission, and accordingly, the price drop in refined oil was not as huge as that in crude oil cost. The oil refining profits at independent refineries grew rapidly from March to May. According to SCI’s statistics, the peak of the comprehensive oil refining profits at Shandong independent refineries appeared in April at RMB 870.4/mt, hitting a historical high in recent years. The average comprehensive oil refining profits averaged RMB 395.5/mt in H1, 2020.
