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Exxon's Baytown, Texas, refinery to shut gasoline unit by early next week: Reuters

Posted on 4/3/20 at 11:31 am
Posted by rickgrimes
Member since Jan 2011
4344 posts
Posted on 4/3/20 at 11:31 am
quote:

HOUSTON (Reuters) - Exxon Mobil Corp plans to shut the small gasoline-producing unit at its 560,500 barrels-per-day (bpd) Baytown, Texas, refinery by early next week because of low demand due to efforts to halt the spread of the coronavirus pandemic.

The shutdown of the 90,000 bpd gasoline-producing fluidic catalytic cracker 2 (FCC 2) could happen as early as this weekend, sources said.

Exxon spokesman Jeremy Eikenberry said operations were continuing at the Baytown refinery, but declined to discuss the status of specific units.

The shutdown would mean all three of Exxon’s U.S. Gulf Coast refineries have reduced production.

Crude oil intake was reduced by 60,000 bpd at the company’s 502,500 bpd Baton Rouge, Louisiana, refinery, sources familiar with operations at that plant told Reuters.

Exxon’s 369,024 barrel-per-day Beaumont, Texas, refinery began a planned overhaul with the shutdown of the 240,000 bpd crude distillation unit (CDU) on Monday.

LINK
This post was edited on 4/3/20 at 11:58 pm
Posted by Tyga Woods
South Central Jupiter Island, FL
Member since Sep 2016
42936 posts
Posted on 4/3/20 at 11:32 am to
quote:

fluidic catalytic cracker


That’s my rapper name
Posted by upgrayedd
Lifting at Tobin's house
Member since Mar 2013
139230 posts
Posted on 4/3/20 at 11:32 am to
Whoa.

How long does it take to start a unit of that size up again?
Posted by cable
Member since Oct 2018
9735 posts
Posted on 4/3/20 at 11:33 am to
And?
Posted by dukke v
PLUTO
Member since Jul 2006
216684 posts
Posted on 4/3/20 at 11:33 am to
That's not good.
Posted by fallguy_1978
Best States #50
Member since Feb 2018
53839 posts
Posted on 4/3/20 at 11:34 am to
quote:

And?

They employ a lot of people in this area and Texas
Posted by High C
viewing the fall....
Member since Nov 2012
62207 posts
Posted on 4/3/20 at 11:34 am to
An effort to curb supply?
Posted by Signal Soldier
30.411994,-91.183929
Member since Dec 2010
8608 posts
Posted on 4/3/20 at 11:39 am to
Sad day... Had to pawn my truck nuts.
Posted by thejudge
Westlake, LA
Member since Sep 2009
15253 posts
Posted on 4/3/20 at 11:42 am to
quote:

How long does it take to start a unit of that size up again?


Depends on their definition of shutdown.

If it's a total shutdown where everything cools off and has to be brought back to temp vs idling where temps are maintained and feedstock is stopped or recirculating.

Posted by The Boat
Member since Oct 2008
178358 posts
Posted on 4/3/20 at 11:43 am to
88 cent gas was fun while it lasted
Posted by Wtodd
Tampa, FL
Member since Oct 2013
68609 posts
Posted on 4/3/20 at 11:43 am to
quote:

fluidic catalytic cracker

quote:

That’s my rapper name



"Ladies & gentlemen, please welcome FCC"
Posted by EveryoneGetsATrophy
Member since Nov 2017
2907 posts
Posted on 4/3/20 at 11:45 am to
Valero Norco already stopped producing gasoline. Jet fuel and diesel only.
Posted by BertusTiger
The Bayou City
Member since Oct 2014
396 posts
Posted on 4/3/20 at 11:53 am to
My dad works there...gunna have to ask them about it.

He designs plants and doesn’t operate them though so I doubt he will be affected. Retiree anyway.
Posted by lostinbr
Baton Rouge, LA
Member since Oct 2017
12866 posts
Posted on 4/3/20 at 1:58 pm to
quote:

Whoa.

How long does it take to start a unit of that size up again?

Not as long as it will take gasoline inventories to fall once demand starts coming back. The bigger question is how many problems they find once they bring it down. I would guess that they’ll try to knock out some amount of shutdown maintenance work while the unit is offline, but that depends on when the last turnaround occurred and how they are managing contractors with the COVID concerns.

Shutting down the FCCU doesn’t mean the refinery will stop producing gasoline altogether either. Still big news though. This would seem to indicate we are close to the floor for gasoline prices.
Posted by TigerstuckinMS
Member since Nov 2005
33687 posts
Posted on 4/3/20 at 2:22 pm to
quote:

How long does it take to start a unit of that size up again?

Usually several days, assuming they don't find damage once it's shut down. Those units are filled with all kinds of things (like refractory linings) that can break and need replacement if cooled down or heated up too fast. Most people don't really appreciate just how hot a refinery runs and the thermal management in starting up and shutting down a unit is no simple task. To start up or shut down is a balancing act of introducing or removing feedstocks and energy to the unit in a manner that doesn't damage the unit. Then, once it is started up, it takes a little more time to adjust everything in the unit so it's producing on spec product that can be sent to the product tanks.

If they're just putting them into standby and maintaining higher temperatures in expectation of starting up again soon, they can get back online much sooner.

Starting and stopping those things isn't just "push a button and off we go".
This post was edited on 4/3/20 at 2:26 pm
Posted by soccerfüt
Location: A Series of Tubes
Member since May 2013
76202 posts
Posted on 4/3/20 at 2:42 pm to
Hey A&M Fans:

Here’s the answer to YOUR most passionate question from the OP:
quote:

Exxon spokesman Jeremy Eikenberry
Posted by skidry
Member since Jul 2009
3589 posts
Posted on 4/3/20 at 2:51 pm to
They have no where to put the gas. We simply aren’t using it. Marathon in Garyville I heard was down to 20% production and looking to cut further.
Posted by Oilfieldbiology
Member since Nov 2016
42780 posts
Posted on 4/3/20 at 2:56 pm to
quote:

An effort to curb supply?


An effort to quit losing money. There is such a glut of gasoline and jet fuel right now that they cannot sell it for any type of profit and they are running out of space to store it.

I told people this was going to happen in a previous thread and some jerkoffs said no way. It cost too much to shut down and start up. Chemical plants will still produce as long as feed stocks stay cheap, but until demand dictates that gasoline and jet fuel are profitable again, we will see more of these
Posted by Oilfieldbiology
Member since Nov 2016
42780 posts
Posted on 4/3/20 at 2:58 pm to
If that’s true I’m honestly shocked they can keep running. On the other hand, motiva port Arthur refinery is increasing rates to meet the demand in South America
Posted by redstick13
Lower Saxony
Member since Feb 2007
41386 posts
Posted on 4/3/20 at 3:00 pm to
We had a poster on here claiming oil would be back in the $60's by June.
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