26 June 2012 14:35 [Source: ICIS news]
SINGAPORE (ICIS)--Sinopec has lowered its crude throughput target for the third quarter of 2012 to 54.5m tonnes because of refining losses, a source at the Chinese major said on Tuesday.
The target figure is down by about 100,000 tonnes or 0.2% quarter on quarter, and a decline of around 1.6% year on year.
Sinopec set the quarterly target at 56.5m tonnes in early May, but the company adjusted it down in June, the source said. The company has also lowered its throughput target for June.
Sinopec is suffering refining losses as product prices are relatively low amid weak demand. The company suffered refining losses of yuan (CNY) 15.9bn ($2.5bn) in January–May, another company source said.
In addition, gasoil and gasoline prices are expected to drop further and are likely to drive down refining margins.
Sinopec is not expected to achieve its throughput target of 225m tonnes for 2012. The company’s throughput in the first half of this year is about 49% of the annual target.
($1 = CNY6.36)
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