LYONDELL-CITGO Refining LP Expects Return to Near-Normal Operating Rates During February
ogj.pennnet.com DATE: January 14, 2003 FROM: PR Newswire COPYRIGHT: Copyright © 2003 PR Newswire Association LLC. All rights reserved.
LYONDELL-CITGO Refining LP Expects Return to Near-Normal Operating Rates During February
HOUSTON, Jan. 13 /PRNewswire-FirstCall/ -- Lyondell Chemical Company (NYSE:LYO) today announced that operating rates at LYONDELL-CITGO Refining LP (LCR) are increasing. After temporarily limiting operations to approximately 50 percent in late December and early January, LCR expects to increase rates and have both of its distillation units in operation within the next week. LCR is a joint venture between Lyondell and CITGO Petroleum Corporation.
Since the strike in Venezuela disrupted regular contracted shipments, LCR has maintained operations by processing crude oil from a combination of sources, including shipments from Venezuela, purchases on the spot market and inventories on hand. Prior to the strike, LCR was receiving its full contract supply (230,000 barrels per day) of Venezuelan crude oil from PDVSA (Petroleos de Venezuela, S.A.). LCR's total refining capacity is 268,000 barrels per day.
"We're pleased that shipments to LCR are now increasing and that LCR has successfully plotted a course that we expect will take it to near-full rates over the next month," said Morris Gelb, Lyondell's Executive Vice President and Chief Operating Officer. "During this time, our highest priorities continue to be safety and operational excellence at our facilities."
LCR put contingency plans in place prior to the beginning of the Venezuelan strike. Recently the refinery temporarily postponed several discretionary projects, leading to a short-term reduction in the number of contract workers at the facility. No permanent LCR employee positions have been affected. LCR will continue to monitor the situation in Venezuela and will make any necessary adjustments to operations based on delivery logistics and available information.
Lyondell Chemical Company, (www.lyondell.com ), headquartered in Houston, Texas, is a leading producer of propylene oxide (PO), propylene glycol (PG) and other PO derivatives such as butanediol (BDO) and propylene glycol ether (PGE). Lyondell also is the world's number three supplier of toluene diisocyanate (TDI) and a producer of styrene monomer and MTBE as co-products of PO production. Through its 70.5% interest in Equistar Chemicals, LP, Lyondell also is one of the largest producers of ethylene, propylene and polyethylene in North America, as well as a leading producer of polypropylene, ethylene oxide, ethylene glycol, high value-added specialty polymers and polymeric powder. Through its 58.75% interest in LYONDELL-CITGO Refining LP, Lyondell is one of the largest refiners in the United States, processing extra heavy Venezuelan crude oil to produce gasoline, low sulfur diesel and jet fuel.
Source: Lyondell Chemical Company
CONTACT: media, Anne M. Knisely, +1-713-309-2643, or investors, Douglas J. Pike, +1-713-309-7141, both of Lyondell Chemical Company