Portugal's oil company sees 2.7% year-on-year drop in total refined oil product sales.

Galp Energia, Portugal’s oil and natural gas integrated company and the operator of two oil refineries, with a combined capacity of 330,000bpd, has issued a trading update with preliminary data for 4Q11. Its refining and marketing operations processed 20.973mbbl in the quarter, up 16% year-on-year (YoY) and up 1.1% quarter-on-quarter (QoQ). Total refined product sales fell to 4.2Mt in 4Q11, down 2.7% YoY and down 1.1$ QoQ. Exports rose to 0.8Mt for the quarter, compared with the 0.7Mt and 0.5Mt seen in 3Q11 and 4Q10, respectively.

Galp Energia reports the Rotterdam cracking refining margin at  –US$0.40/bbl for 4Q11, unchanged from the previous quarter and down from the US$1.6/bbl seen in 4Q10. This measure is indicative of the profitability of the 220,000bpd Sines refinery, according to a company spokesman.

The Rotterdam hydroskimming + aromatics + base oil refining margin fell to –US$1.2/bbl in 4Q11, from the –US$0.6/bbl seen in 3Q11 and the US$0.5/bbl recorded for 4Q10. This reflects the economics of the 110,000bpd Porto refinery. The refinery had its capacity increased last year from 97,000bpd.