Chinese refnery runs likely to rise

摘要

Chinese refnery runs look likely to pick up as refning margins have shot higher and independent refners eagerly await a fresh batch of crude import quotas. This fourth batch of quotas could be as large as 150mn bl, of which some 37mn bl would go to refners in Shandong. This would take quota issuance for the full year level with 2020, and reassure the market that Beijing has no plans to choke of independent refners’ access to crude imports. If the fourth batch is signifcantly lower than 100mn bl, it may prompt renewed fears about the government’s intentions towards private sector refners.