PDVSA’s refineries are having problems. This is good news for companies that still have operating refineries, as profits rise when there is less competition, but bad news for consumers of diesel and gasoline. Not to mention bad news for PDVSA, which needs to get all that gasoline and diesel from somewhere.
The latest from Isla in Curacao is that it won’t be back til the beginning of May. I still say that’s wishful thinking. When it went down at the beginning of March, they said it would be at least two weeks til it was fixed. Then April 1, then April 15. From the start, I have said it would be June, and I’m sticking with that. I have never been there, the people I know there have no special information, and I originally didn’t even know which piece of equipment had broken down. I just know how these things work. As soon as we knew they would have to order equipment from overseas, it was clear that it would be months.
This just bums me out. After the weekend fire at the Cardón refinery’s catalytic cracker, one of the most complex parts of the refinery, they are saying all is under control and it will be up and running in a week. They had a fire at the same damn unit less than a month earlier, at which time they got it up and running quickly. This isn’t an old broken-down unit either, this is a piece of equipment that was just rebuilt in a $650 million project that took well over a year.
Meanwhile those projects that are operating are not well maintained. For some reason Youtube is rejecting my video I shot a couple weeks ago from the bus going past the upgraders at Jose, where tarry crude is refined into something that can actually flow at room temperature. The flaring was out of control. A couple stacks had constant 5-meter orange flames illuminating the night, and another was like a dragon, exhaling a raging burst of fire every three seconds.
This is where your fuel comes from. Ride a bike!