11th private refiner gets crude quota in 2016
China has granted independent refiner Haike Ruilin Chemical Co a preliminary annual crude oil import quota of 2.1 million metric tons, an official industry body said on Wednesday, the 11th so-called teapot to be allowed to buy foreign crude this year. The China Petroleum and Chemical Industry Association announced the allotment on Wednesday. Independent refiners have received more than 87 million tons of crude oil import quotas since the government opened up the import business in late 2015 to this small but fast-growing group of operators. Since then they have captured a big portion of total imports in the world’s top energy market. This year, they have accounted for as much as a quarter of China’s total crude imports. CNOOC, is expected to start operating a new refinery in Huizhou in the second quarter of 2017, with Saudi Arabia as the potential crude supplier, three sources familiar with the plan said on Wednesday. “The new plant is slated for start-up around May or June ... with a configuration geared to process medium-sour grades, typically Arab Medium from Saudi Arabia and similar grades from Kuwait,” said a Beijing-based industry official.