The Citgo Petroleum Company headquarters are pictured in Houston, Texas, U.S., February 19, 2019. REUTERS/Loren Elliott/File Photograph
HOUSTON, March 31 (Reuters) – U.S. oil refiner Citgo Petroleum on Thursday reportedits second consecutive annual loss, of $160 million for 2021, as earnings had been hit by a winter story early within the 12 months.
Outcomes on the U.S. arm of Venezuela’s state oil firm, Petroleos de Venezuela (PDVSA), have slid as america in 2019 minimize its entry to Venezuelan crude, and outcomes extra lately had been hit by larger prices and the momentary closure of its Corpus Christi, Texas, refinery.
Its fourth quarter confirmed a web revenue of $21 million on larger crude processing and refinery utilization, the corporate stated. Crude utilization within the quarter rose to 94% from 85% within the prior interval, the corporate stated.
Refinery throughput averaged 796,000 barrels per day, up from 698,000 bpd within the prior quarter.
The refiner is battling potential seizure by collectors searching for to gather on unpaid PDVSA and Venezuela money owed. A U.S. decide this month dominated he may take preliminary steps to public sale shares to fulfill a $1.2 billion award towards Citgo’s dad or mum.
“Winter storm Uri was a big impediment for our Corpus Christi refinery and contributed to a difficult begin to 2021,” stated Chief Govt Carlos Jorda in a press release.
“As the primary quarter involves a detailed our trade is coping with the results of the latest occasions in Ukraine, which clearly illustrates the necessity for a dependable, safe provide,” he added.
A high-level assembly between U.S. and Venezuelan officers in Caracas this month opened the door for talks over sanctions imposed on PDVSA since 2019, which may result in Venezuelan crude returning to the U.S. market.
For the fourth quarter, Citgo reported an adjusted revenue earlier than curiosity, taxes, depreciation and amortization of $139 million in comparison with a lack of $203 million in the identical quarter a 12 months earlier.
The quarterly revenue echoed stronger margins and better web at unbiased refiners whose earnings jumped as U.S. demand for gasoline and diesel rose final 12 months.
Reporting by Marianna Parraga and Gary McWilliams
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