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Tag: Refinery

Unintended consequences?

The modern sulphur industry is in effect a response to the environmental problems created by the presence of sulphur compounds in oil and gas, and the consequent release of sulphur dioxide when they are burned. The tens of millions of tonnes extracted, formed, traded and used for sulphuric acid production every year would otherwise be entering the atmosphere and causing health issues, especially in major cities, or returning as acid rain. One of the most recent step changes in sulphur recovery has come from the extension of rules on sulphur content of fuels that have been commonplace for road vehicles for many years into the maritime transport sphere. The International Maritime Organisation has mandated a reduction in sulphur content of bunker fuels to 0.5% worldwide, and 0.1% in busy shipping regions that have become designated emissions control areas (ECAs). Because bunker fuels were made from refinery residues, they often had high concentrations of sulphur in them; the limit before 2020 was 3.5%. As a result, a recent paper by two climate scientists calculates that global SO2 emissions have dropped by as much as 10% since 2020 because of the IMO limits. Given that atmospheric sulphur dioxide is responsible for an estimated 20-90,000 preventable deaths per year, this is surely a good thing.

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Suncor has selected Rich Kruger to be the company’s next president and CEO, effective from April 3rd, according to the company. Kruger will also join the Suncor board of directors. The announcement follows a search process conducted by a special committee of the board. Rich Kruger previously worked for ExxonMobil for 39 years, and was the chairman and CEO of Imperial Oil Ltd from 2013 through 2019 before retiring from the company, where he focused on safety, reliability and operational excellence. Kris Smith, who has been interim CEO since July 2022, will work with Kruger to ensure a smooth transition before assuming the role of Chief Financial Officer and Executive Vice President of Corporate Development, at the conclusion of Suncor’s annual general meeting on May 9, 2023. Alister Cowan, the current CFO, plans to retire but has offered to remain with the company through the end of the year to support the transition to Mr. Smith and to provide advisory services. Smith replaced previous CEO Mark Little, who resigned in July 2022 following investor pressure after a series of safety incidents and fatalities.

Sulphur Industry News Roundup

At the organisation’s first face to face meeting since covid, in Vienna in early October, OPEC+ ministers agreed to cut global oil supplies by 2 million bbl/d in November. OPEC+ is a group of 24 oil-producing nations, made up of the 14 members of the Organisation of Petroleum Exporting Countries (OPEC), and 10 other non-OPEC members, including Russia. In a statement, the group said the decision to cut production was made “in light of the uncertainty that surrounds the global economic and oil market outlooks.”