The scope of work for the HPU (Hydrogen Production Unit) repairs has been expanded

As disclosed in the Corral Petroleum Holdings AB (publ) interim report on March 20, 2014 the HPU was shutdown in March due to a ruptured furnace tube. The HPU incident in March also forced the shutdown of the ICR-unit (Iso-Cracker) due to lack of hydrogen from the HPU, which resulted in reduced production of low-sulfur diesel production. The units were expected to be back in operation in the second half of April.

As work and inspection activities have progressed it has become clear that a somewhat larger area of tubes and header materials need to be replaced. This expanded scope of work is expected to add another three weeks to the duration of the HPU and ICR shutdown, which means the units are expected to be back in operation mid-May. The rest of the refinery continues to operate normally (at around 90 % of full capacity).

Business interruption insurance will cover all income losses from end of April. Pay-out of this compensation could take up to 9 to 12 months.

 

For further information, please contact:

Magnus Heimburg, Chief Financial Officer
Office: +46 10 450 10 44
Email: magnus.heimburg@preem.se