Biggest Reasons for Refinery Shutdown
There are a few reasons for the refinery shutdown: lack of natural gas, high crude oil prices, accidents, etc. But one of the major reasons is refinery maintenance. These factors can cause a hike in fuel prices due to a lack of supply. So, if a refinery is shut down during a high-demand season, it can hugely impact the fuel market. Lack of Natural Gas There are many reasons why a refinery shutdown , but one common cause is the lack of natural gas. This is due to the fact that the world is in the middle of an energy transition from fossil fuels to renewable sources. This can lead to a shortage of natural gas, which is mainly composed of methane along with various other gases and other hydrocarbons. Europe is in particular at risk from a lack of natural gas supply as Russia has reduced the flow of pipeline gas into the region, and has also cut imports of liquified natural gas (LNG). The European Union and its member states have acted to diversify their gas supplies. However, ...