Jamaican refinery's operations 'vulnerable'

Jamaican state refiner Petrojam's core operation remains vulnerable given the need to improve production efficiency and capacity to cover demand.

So reads a report undertaken by the Auditor General's Department of Jamaica in response to public concerns regarding alleged mismanagement at the company.

Read Petrojam under the scope

The audit highlights that the plant has been producing at around 56% of capacity and that Petrojam has relied on imported finished products.

"Petrojam indicated that the aging refinery infrastructure, a factor which was outside of its control, not only contributed to its inability to meet its production capacity, but also to the high levels of oil losses," highlights the document.

The auditor general has called on the government to commission an immediate review of key functional areas of Petrojam and its parent, Petroleum Corporation of Jamaica, among other recommendations.

The 115-page audit, available here, has been submitted to parliament and will be reviewed by Prime Minister Andrew Holness.