NewsShell plans to close German and Singaporean refineries in push to meet climate goals

Shell plans to close German and Singaporean refineries in push to meet climate goals

According to an announcement made by Shell, the crude oil refinery in Wesseling, Germany, is planned to close by 2025. This decision is a part of the company's wider strategy to limit carbon dioxide emissions. The Wesseling refinery is set to be transformed into a facility that produces lubricating base oils, as reported by Reuters.

Shell is closing a refinery in Germany.
Shell is closing a refinery in Germany.
Images source: © Getty Images | SOPA Images

1:21 PM EST, January 27, 2024

As emphasized by Shell and echoed in Reuters' report, the hydrocracking unit will be converted into a unit producing Group III base oils. These oils, mainly used in engines, are estimated to produce approximately 661,386 short tons annually. This will fulfill around 9% of the current European Union's demand and 40% of Germany's demand for such oils.

Shell looks to curb carbon dioxide emissions

These measures aim to reduce Shell's operational carbon dioxide emissions in adherence with the company's ambitious plan. The overarching goal of this strategy is to lower overall greenhouse gas emissions - including those originating from fuels used by customers - to net zero by 2050, as stated by Reuters.

Shell also plans to sell its refinery and petrochemical plant in Singapore as part of this initiative. The petroleum processing at the Wesseling facility, located within the Shell Rheinland energy and chemical park near Cologne, will cease in 2025. Nonetheless, the process will continue at the Godorf refinery, as stated by the company.

The new production plant in Wesseling is scheduled to commence its operations in the latter half of this decade. The Shell Energy and Chemicals Park Rheinland, which includes both the plants in Wesseling and Godorf, currently boasts a production capacity of over 188 million barrels of crude oil per year. Of this total, Wesseling contributes by producing 82.8 million barrels.

In the recent past, Shell invested in a 10-megawatt electrolyzer for producing zero-emission hydrogen and a biomethane liquefaction plant at the Rheinland facility. Shell's portfolio since 2020 includes divestitures of five refineries, the closure of one, and the transformation of another into a terminal, as concluded by Reuters.

© essanews.com
·

Downloading, reproduction, storage, or any other use of content available on this website—regardless of its nature and form of expression (in particular, but not limited to verbal, verbal-musical, musical, audiovisual, audio, textual, graphic, and the data and information contained therein, databases and the data contained therein) and its form (e.g., literary, journalistic, scientific, cartographic, computer programs, visual arts, photographic)—requires prior and explicit consent from Wirtualna Polska Media Spółka Akcyjna, headquartered in Warsaw, the owner of this website, regardless of the method of exploration and the technique used (manual or automated, including the use of machine learning or artificial intelligence programs). The above restriction does not apply solely to facilitate their search by internet search engines and uses within contractual relations or permitted use as specified by applicable law.Detailed information regarding this notice can be found  here.