CVE Cenovus Energy Inc

Calgary, Alberta-based Cenovus Energy disclosed this morning that it has achieved full run rates at the 160,000 b/d Toledo, Ohio, refinery that it now operates, but has yet to conclude the start-up at a fluid catcracker at the rebuilt Superior refinery in Wisconsin.

The 50,000 b/d Superior refinery was idle for five years for a rebuild after a spring 2018 fire and explosion. It began processing crude in the second quarter and Cenovus is now starting up the FCC. Cenovus cited utilization of 93% at its 175,000 b/d Lima, Ohio, refinery. Cenovus took title to full ownership of the Toledo plant in February, purchasing the interest of former operator BP.

Cenovus also boasts 50% interests in a 150,000 b/d Borger, Texas, refinery and the 173,000 b/d Wood River, Ill., refinery but Phillips 66 is the operator of those two facilities. Cenovus indicated that the Borger facility was impacted by a turnaround as well as unplanned outages during the quarter, but suggested it is now fully operational. The Wood River facility successfully completed a May refinery turnaround.

Refinery managers target only a small amount of maintenance in the third quarter, amounting to 10,000-12,000 b/d. The fourth quarter may see 55,000-65,000 b/d of work.

On the upstream side, Cenovus saw upstream output decline to 730,000 barrels of oil equivalent per day in the second quarter, with turnaround work in progress at its Foster Creek facility in Alberta, Canada. Alberta wildfires cut into production toward the end of the quarter.

The disclosures came as Cenovus reported lower second quarter 2023 profit today. The company also downsized its upstream production outlook thanks to the wildfires and maintenance. Net income fell to $657.4 million in the period.

This content was created by Oil Price Information Service, which is operated by Dow Jones & Co. OPIS is run independently from Dow Jones Newswires and The Wall Street Journal.

--Reporting by Tom Kloza, tkloza@opisnet.com; Editing by Steve Cronin, scronin@opisnet.com

(END) Dow Jones Newswires

July 27, 2023 12:25 ET (16:25 GMT)

Copyright (c) 2023 Dow Jones & Company, Inc.