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CARIBBEAN PETROLEUM UPDATE is a monthly Bulletin which highlights petroleum issues affecting or relevant to the Caribbean, international developments that may affect the region’s way of life and movements in oil prices and retail prices for fuel regionally.
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M any of the countries in
the Caribbean rely
heavily on imports of
Crude oil and derived
products to satisfy their fuel needs for
electricity, transportation and other ma-
jor areas of their economies. The region
has imported refined products for most
of the last century from countries such
as Venezuela, Mexico and the United
States. Resulting from cheaper produc-
tion of refined products in Asian coun-
tries, the Caribbean became a central
transhipment region and a hub for the
storage and sale of crude oil refined
products. As a result, a few countries in
the region saw the need to build oil
refineries mainly for the processing of
Crude Oil to satisfy their own consump-
tion of refined products or for sale of
refined products to other
countries. In this issue of
the CEIS Petroleum Up-
date, we will take a look at
the history, the capacity, output and
future plans for Caribbean refineries
in CEIS member countries.
Most of the refineries in the Caribbean
are at least 30 years old and were
designed to refine sweet crude imported
from the United States. However, with
deep-drilling, more and more crude
available from Venezuela and Mexico is
sour and heavy, which the old refineries
are not capable of processing.
Regional Production capacity
This expansion is estimated to
cost about $24 billion and will
bring the total refining capacity
of the region to 580,000b/d.
(See Table 1 overleaf.)
Cuba
Cuba, the most populated country in
the region owns two major refineries-
The Nico Lopez Refinery, and the
Hermanos Diaz Refinery both of
which are currently stated owned by
Cupet. The Ñico Lopez refinery in
Havana harbour was formerly owned
by Esso and Shell; and the Hermanos
Diaz Refinery in Santiago de Cuba
was formerly owned by Texaco.
These companies became state owned
as they were seized by Cuban Primer
Fidel Castro as they refused to refine
token shipments of stated owned
„Russian‟ crude oil. Over the years,
these refineries have undergone sev-
eral processing upgrades which in-
clude: middle distillates and reformer
feed hydrotreating, sulphur recovery,
and naphtha stabilization. The island‟s
refinery system has a capacity of
approximately 222,000 b/d. However,
recent refinery production has only
been running up to around 75-100,000
b/d. Even though most Cuban crude
oil production is directly earmarked as
electric power plant fuel, about 20
percent (blended with Venezuelan
CARIBBEAN PETROLEUM UPDATE is a monthly Bulletin which highlights petroleum issues affecting or relevant to the
Caribbean, international developments that may affect the region’s way of life and movements in oil prices and retail prices for fuel regionally.
To access CEIS website
CONTACT US
Caribbean Energy Information System
Scientific Research Council
Hope Gardens, Kingston 6, Jamaica
1-876-927-1779 (Telephone)
1-876-977-1840 (Fax)
www.ceis-caribenergy.org
continued on page 2/
CARIBBEAN ENERGY INFORMATION SYSTEM (CEIS)
NOVEMBER 2012 ISSUE
A look at History, Capacity, Output and Plans
page 2 Call: 1-876-927-1779 | Caribbean Petroleum Update : November 2012
C A R I B B E A N E N E R G Y I N F O R M A T I O N S Y S T E M ( C E I S )
crude) has sporadically gone into refin-
ery processing.
Cienfuegos Refinery (Cupet)
The Cienfuegos Refinery (Cupet), a
shareholder of Cubapetroleo (Cupet),
has been in operation since 1991 and
owns majority share of 51% and
Petróleos de Venezuela (PDVSA). The
76,000 barrel-a-day (b/d) Cienfuegos
Refinery was built in the years of So-
viet influence, but just before becom-
ing operational the Soviet Union col-
lapsed. This attracted a MOU between
Venezuela and CubaVenezuela's state
oil firm PDVSA and its Cuban counter-
part CUPET signed a 2006 a joint
venture agreement to reactivate the
Refinery.. PDVSA is expected to sup-
ply the refinery with Crude oil and
other products “needed for its optimum
performance.” In addition, products
manufactured at Cienfuegos could be
sold within Cuba and abroad. It has an
average output of 76,000 barrels per
day with the ability to increase its
crude processing capacity by about
10,000 barrels per day.
The Hermanos Diaz Refinery
Currently, the Hermanos Diaz Refin-
ery has an installed capacity of 102,500
barrels per day, while the Nico Lopez
Refinery has an installed capacity
122,000 barrels per day. Cienfuegos
Refinery.
Plans
There are plans for an $860 million
overhaul of the plant that will boost
gasoline refining capacity in Cuba from
the current 22,000 b/d to 50,000 b/d for
gasoline production. So far, more than
20 old holding tanks have been re-
placed, some of them with modern
dome-shaped structures.
Barbados Mobil Oil Refinery
Barbados Oil Refinery, Mobil Oil Re-
finery, was the sole oil refinery com-
pany in the country. It discontinued
operations to make way for tourist de-
velopments in the prime beachfront
property, one mile south of Bridge-
town, the capital.. The closure came
two years before the company's 35-
year contract in Barbados expired.
When in operation, the Company had
the capacity to produce Natural Gas
and Crude oil and had the capacity to
produce ,000 barrels per calendar day.
Caribbean Oil Refineries - A look at History, Capacity, Output and Plans………………………....................................................continued from page 1
Cienfuegos Refinery Image source: www.thecubaneconomy.com
An aerial view of the sprawling Mobil complex, at Needhams Point before the refinery ceased to exist. (FP) Im-age source: www.nationnews.com
Table 1: Refinery Production for the 6 Producing Countries
Caribbean Petroleum Update : November 2012 | Call: 1-876-927-1779 page 3
C A R I B B E A N E N E R G Y I N F O R M A T I O N S Y S T E M ( C E I S )
Dominican Republic
Dominican Petroleum Refinery
(Refidomsa) is located close to the
Haina Occidental port in the Domini-
can Republic. Commissioned in early
1973, the refinery imports 30 million
barrels of crude and related products
each year. The refinery was formed as
a joint venture between the Dominican
Government and Shell International
Petroleum with equal shareholdings. In
December 2008, the Dominican State
acquired Shell's 50% stake for $110m.
The Company is state owned with 51%
of shares belonging to the Government
and 49% to Petroleos de Venezuela
(PDVSA).
In November 2009, the Dominican
Government sold a 49% stake in the
refinery to Petróleos de Venezuela
(PdVSA), for $131.5m. The sale was in
lieu of part payment of $1bn owned by
the Dominican Government to Vene-
zuela for the crude oil supplied.
Capacity and Output
REFIDOMSA produces Gasoline,
LPG, Gasoil, Jet Feul and fuel oil. Out-
puts amount to 33,000 bbl/d barrels per
day.
Trinidad & Tobago
The Pointe-a-Pierre Refinery -
PETROTRIN‟ began operations in
1993 as a the result of a series of
mergers and acquisitions prior to its
coming into being. Located on the
West coast of Trinidad and Tobago,
it has the capacity to process a wide
variety of Crude oil supplies with vary-
ing gravity and sulphur specifications,
thus giving the Company the ability to
purchase Crude oil from a range of
suppliers.
The refinery recently engaged in a
Clean Fuels Program at Pointe-a-
Pierre, which involves the Gasoline
Optimisation Program (GOP) and the
Ultra Low Sulphur Diesel (ULSD) pro-
ject in an effort to improve the com-
pany‟s international marketability.
These projects will assist in ensuring
full conversion capability of 168,000
bpd, enabling the company to produce
cleaner and more environmentally
friendly products – gasoline and diesel
to both for regional and international
markets which will impact positively
on the company‟s profitability and vi-
ability well into the future.
The Refinery generates products such
as Aviation Gasoline, Avjet/Kerosene,
Diesel/Heating Oil, Fuel/Oil, Liquified
Petroleum Gas (LPG), Motor Gasoline
and Sulphur and has the capacity to
produce 175000 barrels per day and
an average output of 127,650 barrels
per day.
Recently, PETROTRIN began explor-
ing bunkering opportunities in the Pa-
nama Canal in a strategic move to
position the Company as a key interna-
tional transit point.
Jamaica
The Petrojam Refinery has its main
business in refining Crude oil into fin-
ished products. it is jointly owned by
Petroleum Corporation of Jamaica
(PCJ) and PDVCaribe (a subsidiary of
Petróleos de Venezuela). Established in
1982 when the Government of Jamaica
purchased the Esso Kingston Refinery,
it was built, owned and operated by
Esso since March 1964. By 2006 the
La Refinería Dominicana de Petróleo Image source: www.almomento.net
PETROTRIN oil refinery in Trinidad & Tobago. PHOTO/File Image source: www.thehabarinetwork.com
The Petrojam oil refinery in Kingston - file photo. Image source: www.jamaica-gleaner.com
continued on page 7
page 4 Call: 1-876-927-1779 | Caribbean Petroleum Update : November 2012
C A R I B B E A N E N E R G Y I N F O R M A T I O N S Y S T E M ( C E I S )
PP E T R O L E U ME T R O L E U M NN E W SE W S & H& H A P P E N I N G SA P P E N I N G S
AES Andres, InterEnergy Holdings to develop natural gas in Dominican Republic’s east region [...]..Read more St Lucia opposition calls on PM to answer ten ques-tions on oil exploration deal [...]..Read more Fuel Bills: An Impending Disaster [...]..Read more BP Makes Trinidad Gas Discovery [...]..Read more BP discovers 1 trillion cubic feet of gas offshore Trini-dad [...]..Read more Russian oil company close to offshore Cuba drilling [...]..Read more Trinidad wins $1.3 billion offshore patrol vessels set-tlement [...]..Read more
Barbados government planning to award off-shore oil exploration licences [...]..Read more Barbados to award offshore drilling licences [...]..Read more St Lucians paying more for petroleum products [...]..Read more LNG AND FUTURE POWER GENERATION [...]..Read more NO CABINET DECISION YET TO APPEAL JPS RULING [...]..Read more
Cuba’s oil top priority [...]...Read more
Caribbean Petroleum Update : November 2012 | Call: 1-876-927-1779 page 5
C A R I B B E A N E N E R G Y I N F O R M A T I O N S Y S T E M ( C E I S )
REGULAR UNLEADED GASOLINE AVERAGE PRICES AT THE PUMP
November 2012
Analysis of retail prices for Regular Unleaded Gasoline in the following selected seven (7) Caribbean countries at the end
of November 2012 revealed that two countries had price increases (Barbados and St Lucia), four countries saw decreases
(Bahamas, Belize, Dominica and Jamaica) while prices in Antigua/Barbuda price remained stable since the start of the
year.
NOTE:
*US Gallon = 3.785 L *Imperial Gallon = 4.546 L
*As at November 1, 2009 MTBE was phased out from all gasoline blends in
Jamaica and replaced with 10% Ethanol.
CHART OF RETAIL PUMP PRICES FOR NOVEMBER 2012
See prices for all products at See prices for all products at See prices for all products at www.cippet.orgwww.cippet.orgwww.cippet.org ...
Regular Unleaded Gasoline Average Retail Price (US$/Litre) 2012
COUNTRIES JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV 11
Mths AVG
ANTIGUA/ BARBUDA 1.23 1.23 1.23 1.23 1.23 1.23 1.23 1.23 1.23 1.23 1.23 1.23
BAHAMAS [91 OCT] 1.33 1.35 1.44 1.46 1.47 1.46 1.39 1.41 1.52 1.52 1.42 1.44
BARBADOS 1.55 1.59 1.66 1.72 1.77 1.78 1.70 1.70 1.70 1.73 1.76 1.70
BELIZE [87 OCT] 1.41 1.45 1.51 1.54 1.55 1.49 1.47 1.58 1.59 1.61 1.44 1.51
DOMINICA 1.12 1.14 1.19 1.25 1.30 1.29 1.22 1.17 1.17 1.28 1.27 1.22
JAMAICA 87 Octane[E10] 1.27 1.30 1.32 1.37 1.32 1.26 1.26 1.31 1.33 1.29 1.27 1.30
ST. LUCIA 1.21 1.22 1.22 1.24 1.25 1.27 1.28 1.25 1.22 1.23 1.25 1.24
-
0.20
0.40
0.60
0.80
1.00
1.20
1.40
1.60
1.80
2.00
BARBADOS BELIZE BAHAMAS DOMINICA JAMAICA ST. LUCIA ANTIGUA
US$/
Litre
7 Caribbean Countries
Comparative Retail Pump PricesRegular Unleaded Gasoline
NOVEMBER Avg vs11 Mths Avg (Jan - November 2012)
NOV
AVG
page 6 Call: 1-876-927-1779 | Caribbean Petroleum Update : November 2012
C A R I B B E A N E N E R G Y I N F O R M A T I O N S Y S T E M ( C E I S )
Image source: http://www.guy-sports.com
Image source: http://www.guy-sports.com
Caribbean Petroleum Update : November 2012 | Call: 1-876-927-1779 page 7
C A R I B B E A N E N E R G Y I N F O R M A T I O N S Y S T E M ( C E I S )
Source: http://www.kentonline.co.uk/kentonline/news/2011/april/19/nu-venture_supports_charter.aspx?theme=print
Government of Jamaica had sold 49%
of its shares to PDVCaribe.
Petrojam now supplies Jamaica with a
full range of domestic, transportation
and industrial petroleum products. The
company focuses primarily on meeting
the needs of the national market, and
does this through a mix of refining and
importation of finished products. It also
operates a laboratory which provides
quality control and certification ser-
vices for products manufactured and
imported by the refinery to Jamaican
businesses and the scientific commu-
nity. The Refinery maintains high
standards for quality; health and safety,
environmental protection.
Petrojam has an installed capacity of
35,000 barrels per day with output pro-
duction at 28,000 to 30,000 barrels/
day. Products generated comprise Liq-
uefied Petroleum Gas (LPG), E-10
Gasoline (87 and 90), Automotive Die-
sel Oil, Jet/Turbo Fuel, Kerosene,
Heavy Fuel Oil (HFO) 2 wt% and 3
wt% Sulphur, Asphalt, Intermediate
Fuel Oil (IFO 380) and Marine Diesel
Oil.
Plans are in place to upgrade the facili-
ties to increase its capacity from 35,000
barrels per day to 50,000 barrels per
day.
Suriname
Staatsolie Maatschappij Suriname N.V
is a state-owned oil refinery company
that was established in 1980 with the
operation of a Thermal power plant
since 2006. The refinery is about 5km
south of capital Paramaribo in Wanica
district. It has undergone several up-
grades and expansion in 2004 and
2005, with further expansion in 2008-
2012 as part of a strategic plan that
aims to double the refinery's capacity
to 15,000b/d in 2013. The overhaul
aims to produce high-quality end prod-
ucts including diesel and gasoline for
the local market and sulphuric acid for
export. The basic products generated
by the refinery include Crude oil,
Gasoline, Diesel, Fuel oil and Bitumen.
Average Crude oil production is
16,000 barrels per day and the refinery
has a processing capacity of 7,350 bar-
rels of crude oil per day. Output last
year totalled 2.74Mb, up 8% from
2008.
Staatsolie's refinery Image source: www.devsur.com
Caribbean Oil Refineries - A look at History, Capacity, Output and Plans………………………....................................................continued from page 3
Image source:
www.supplychain
n.blogspot.com
page 8 Call: 1-876-927-1779 | Caribbean Petroleum Update : November 2012
C A R I B B E A N E N E R G Y I N F O R M A T I O N S Y S T E M ( C E I S )
Assessment of International Crude Oil prices over the
three months period September - November 2012 saw
prices in November averaging at US$91.7/BBL. When
compared to the average prices seen in September and
October, this average price was approximately 0.64%
higher and 1.17% higher respectively. The highest
average price seen in November was US$87.34/BBL -
seen in the third week. This price was approximately
1.17% lower than the highest price seen in September
and 0.49% lower than October‟s average price. Al-
though prices for the three months were seen at an all
time low in November, the price went down to
US$85.87/BBL in the second week of the same
month.
Featured Offers:Featured Offers:Featured Offers:
Caribbean Energy Information System (CEIS)
primary report of historical annual petroleum energy
statistics provided for 18 Caribbean Countries.
Included are data on total energy production,
consumption, and trade; overviews of petroleum,
natural gas, electricity, as well as financial and
environmental indicators for over twenty years.
US$/B
BL
76.19
88.14
109.61
38
48
58
68
78
88
98
108
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Yr Avg
US$
/BBL
Period
Average Monthly World Crude Oil Prices (2009 - 2011)
2009 2010 2011
Subscriptions If you wish to subscribe (free of charge) or cancel your
subscription to the CARIBBEAN PETROLEUM UPDATE, send us an email at:
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97.56
91.59
87.34
94.6
80.0
82.0
84.0
86.0
88.0
90.0
92.0
94.0
96.0
98.0
100.0
WK 1 WK 2 WK 3 WK 4
US$
/BBL
Period
Average Weekly & MonthlyCrude Oil Prices
(September November 2012)
Sep Oct Nov Mth Avg
