Current Challenges of oil refining in Europe Main changes in Spain s downstream BP Madrid Forum on energy & sustainability

Transcription

1 Current Challenges of oil refining in Europe Main changes in Spain s downstream 2014 BP Madrid Forum on energy & sustainability Salvador Guillén CLH s Managing Director Madrid, 23 rd of June 2014

2 Agenda 1. CLH logistic network advantages 2. Petroleum product demand in Spain: Impact on the downstream 3. Spanish refinery investments: Adaptation to market trends 4. Impact on Spanish logistic system 5. CLH added value to the Spanish refining industry 2

3 1. CLH logistic network advantages 3

4 CLH s logistics system guarantees product supply in the Spanish peninsula and the Balearic Islands Atlantic Ocean CLH s infrastructure in Spain France 4,019 km of pipelines 39 storage facilities 28 airport facilities 14 port facilities 8 refineries connected to CLH s network Mediterranean Sea 4

5 CLH logistic network advantages It is a network, more than a point to point pipeline system Pipelines & facilities fully integrated The highest level of automation: via satellite operation Banking system: 24 / 7 Maximum flexibility: capacity to manage significant changes in flows Efficient multiproduct pipeline network: Transporting biofuels Managing 100% interfaces 5

6 2. Petroleum product demand in Spain: Impact on the downstream 6

7 Significant impact from crisis on Spanish product demand Evolution of oil product consumption in Spain (Mt) -23.5% Fuel oil + IFOs Kerosene Gasoline Change % -15.1% -2.7% -5.4% Diesel + Gasoil % Note: does not include LPG. lubricants. asphalt-based products. coke and other products Source: CORES 7

8 Diesel vehicles increase by 7.6% in Evolution of percentage of diesel vehicles in the Spanish vehicle fleet ( ) (% of vehicles) % 70 68% Source: DGT; CLH 8

9 Diesel outweighs gasoline consumption Diesel and gasoline consumption in Spain (Mt) % Diesel: 79.4% Gasoline: 20.6% -29.9% Diesel: 81.5% Gasoline: 18.5% Diesel Gasoline Source: CORES 9

10 Biofuels consumption rose significantly until 2012 Movement of biofuels consumption in Spain (Mt) Biodiesel Bioethanol % of Bioethanol in gasoline 1.86% 2.29% 3.90% 6.38% 6.65% 6.35% 5.94% % of Biodiesel in diesel 1.05% 2.34% 4.22% 5.73% 7.38% 10.12% 4.33% Source: CORES 10

11 3. Spanish refinery investments: Adaptation to market trends 11

12 Spanish oil product imports grew at a CARG of 12.5% Imports of oil products in Spain (Mt) 12.5% , % 23.6% -1.4% 14.9% Diesel & Gasoil Gasoline Kerosene Fuel oil Note: does not include LPG. lubricants. asphalt-based products. coke and other products Source: CORES % CAGR

13 Refinery investments destined to increase capacity and new coker units A Coruña Refinery Refineries and CLH s infrastructure in Spain Somorrostro Refinery Tarragona Refinery CLH s storage facility CLH s pipeline CLH s airport facility Harbour Refinery Puertollano Refinery Castellón Refinery Huelva Refinery San Roque Refinery Cartagena Refinery Size proportional to the investment Source: CLH 13

14 New Era for Spain: Oil product net exporter Trade balance of gasolines and middle distillates in Spain (thousands of t) -13,067-10,879-9,560-8,795-5, ,654 Net exports of gasolines 2,466 2,826 3,478 3,254 3,225 3,295 4,068 Net exports of gasolines, diesels and gasoils Net imports of diesels, gasoils and kerosenes -2,628-1,414 Net imports of kerosenes -8,641-15,533-13,705-13,038-12, Source: CORES # Total product balance (Exports Imports) 14

15 4. Impact on Spanish logistic system 15

16 Product flow changes impact logistic system Entry product variation within CLH s system -26% -7% +30% % % of variation in the period Source: CLH 16

17 CLH adapted infrastructure for flexibility to meet demands Expansion of CLH s infrastructure in Spain CLH s storage facility CLH s pipeline CLH s airport facility Harbour Refinery Storage facility (pipeline buffer) New infrastructure Source: CLH 17

18 15 storage facilities for biofuels and efficient solutions for pipeline transportation Instalación Bioetanol Recepción Biodiesel Adapted CLH s infrastructures to manage biofuels A Coruña - Bens Gijón El Calero Zaragoza Albuixech Alicante Barcelona Bens Cartagena El Calero Gijón Huelva Motril Santovenia Sevilla Son Banya Torrejón Villaverde Zaragoza Huelva Santovenia Torrejón Villaverde Sevilla Motril Albuixech Alicante Cartagena Barcelona Son Banya Source: CLH 18

19 5. CLH added value to the Spanish refining industry 19

20 CLH added value to the Spanish refining industry Dispatch and Delivery Efficiency 93% pipeline refinery deliveries 27 truck operation time Transport optimisation: savings of 400,000 tons of CO 2 Immediate availability of products in destination facilities Reduction of operative security stocks High standard services Blending of biofuels Quality additivation Specifications guaranteed Lowest cost of primary logistics in Europe 20

21 Thank you