Bolivia refinery spend on track for 3rd annual increase

YPFB Refinación, the refining arm of Bolivia’s state hydrocarbons company YPFB, plans to invest nearly US$26mn this year.

The forecast spend compares with US$18.7mn, US$8.21mn and US$3.92mn in 2022, 2021 and 2020, respectively, information from the hydrocarbons and energies ministry shows.

The bulk of this year’s funds have been allocated for the 39,750b/d Gualberto Villarroel refinery (US$18.7mn), followed by the 24,000b/d Guillermo Elder Bell plant (US$6.23mn) and administrative units (US$0.93mn).

The Gualberto (pictured) work includes a new fire water network, new furnaces, and the overhaul of the LPG park, while a new furnace also will be replaced at Guillermo.

In 2022, YPFB Refinación delivered an average volume of 157,979m3/month for the sale of regulated products, such as gasoline, diesel and LPG.

YPFB Refinación head Omar Alarcón recently highlighted that the refineries processed 96% of scheduled crude last year, which led to a utilization rate of 58% of capacity.

According to metrics from the country’s statistics institute INE, the import of fuels and lubricants in 2022 totaled US$4.32bn versus US$2.25bn a year earlier.

To help reduce imports, the government is advancing the implementation of biofuel plants and increasing the blend of anhydrous ethanol with gasoline.

In addition, authorities have pinned hopes on greater upstream output to supply the refineries.

Also read YPFB to sell 4.7Mm3 of fuels to productive and service sectors