China's Sinochem pivots to crude purchases amid run cuts

Sinochem has cut crude throughput at its only refinery in the southeastern Chinese city of Quanzhou to around 60 per cent, four trade sources with knowledge of the matter said, with some saying it is seeking prompt-delivery crude to cover a supply gap in Middle Eastern oil.

Sinochem has also been trying to buy spot cargoes from bonded storage for prompt delivery to cover its "immediate" requirements for the 300,000 barrel-per-day Quanzhou plant, two of the four sources added.

Meanwhile, the refiner also reduced operations at its one million tonne-per-year steam cracker to about 60 per cent, another two of the four sources added. Both the refinery and the cracker had been operating at around 85 per cent of capacity.