Oil Processing Decreased By 50% In Mozyr Due To Cut In Russian Oil Supplies

Cut in oil supplies was caused by to the conflict over the non-payment of Belarus for Russian gas.

JSC Mozyr Oil Refinery has cut oil processing by 50% down to 17.5 thousand tons per day due to the reduction of Russian oil supplies, the news agency prime-tass.by writes citing the employee of administration of the company.

After the Russian Federation has made a decision to cut crude oil supply to Belarusian oil refineries (oil refineries, JSC “Naftan” (Navapolatsk, Vitsebsk region) and JSC “Mozyr Oil Refinery” (Homel region)) JSC Mozyr Oil Refinery had to cut process utilizations twice in July and August 2016. “Such situation continues in September. Today the oil refinery processes approximately 17.5 thousand tons of oil per day instead of 35-35.5 thousand tons per day. One of the conversion units was shut down,” – the source of the agency said.

The Russian Federation has announced earlier that in the third quarter of 2016 Belarus will receive 2.25 million tons of crude oil less than planned before – i.e. oil supplies to Mozyr Oil Refinery and Naftan will be reduced by 1.125 million tons for each in July-September 2016. Belarusian refineries process about 5.8 million tons of oil per quarter. Russian Minister of Energy Alexander Novak and Russian Deputy Prime Minister Arkady Dvorkovich explained that the reduction is caused by the non-payment of Belarus for Russian gas.

JSC “Mozyr Oil Refinery” has been working since 1975, reincorporated in 1994. The Government of Belarus owns 42.757% of its shares, the company “Slavneft” (its owners are TNK-BP and “Gazprom Oil”) owns 42.581% of the shares, LTD “MNPZ plus”, which represents the interests of employees, owns 12.252% of the shares (the state's share in the charter capital of the company increased to 98.4% in 2006), the other shareholders own 2.41% of shares