Oil companies operating in Argentina said Saturday that fuel supply will “normalize in the upcoming days” after several parts of the country experienced shortages.
According to a joint communiqué signed by state-owned YPF, and private companies Raizen, Trafigura, and Axion, the fuel supply system experienced “a series of events” that “pushed it to its limits.”
The first event was an “extraordinary level of demand” that took place in the last 15 days due to the mid-October long weekend, the elections, and the beginning of the agricultural sowing season. The second was a higher-than-usual dependence on fuel imports due to scheduled shutdowns at some refineries. The third event was a situation of overdemand which, according to the companies, was caused by a shortage expectation.
“Argentina’s fuel production and supply infrastructure is robust,” the communiqué said. “Argentina produces crude oil and biofuels in large quantities and has a refinery park large enough to produce more than 80% of the domestic demand for gas and diesel [fuel].”
The press release added that the country is currently experiencing “record [numbers] in crude oil production and transportation.” Refineries are working at full capacity, with the exception of two that are undergoing total or partial technical stoppages due to expansion and maintenance works. Regarding the stoppages, they said they are “totally normal and necessary in our activity to protect people and assets, as well as product quality and volume.”
“Crude oil will continue to flow, refineries will continue to process, imports will enter the country, and the logistic structure for supply will be normalized, considering the large extension of the country,” the communiqué ended.
The government announced it would import 10 tanker ships of fuel to avoid supply shortages. According to the Energy Secretariat, the demand has grown up to 15% compared to 2022.