Updates comment from Total in final paragraph
French labour union CGT said Total is considering the conversion of its 93,000 b/d Grandpuits oil refinery to a biorefinery, and that a final decision will be made in the autumn.
At a meeting yesterday with the refinery's workers, Total's European refining and chemicals director Michel Charton raised the possible conversion of the plant to produce hydro-treated vegetable oil (HVO), similar to Total's former 160,000 b/d refinery at La Mede. Other uses could include carbon capture and storage (CCS), bio-plastics or the recycling of polypropylene.
Total is considering the future of Grandpuits because of long-standing problems with the pipeline that provides around 90pc of its crude feedstock. According to the CGT, Charton said the cost of repairing the 260km Pipeline d'Ile de France (Plif), which connects the plant with the Atlantic port of Le Havre, is an initial €250mn-300mn ($285mn-340mn).
Additionally the cost of a planned full turnaround at Grandpuits, planned for 2021, will inform Total's decision. The CGT said Charton also raised poor refining margins, large global stocks of oil products and the refinery's inland positioning that means it can only serve the domestic market.
Total said it would not comment on yesterday's meeting as it was private, but said that the "longer term future of Grandpuits rests on the viability of the pipeline."
