Citgo Returns to Profit as Refinery Utilization Hits 99%

Citgo returned to profit in the first quarter as refinery throughput and crude processing rates climbed to near full utilization across its U.S. refining system.

(Reuters) — Venezuela-owned U.S. refiner Citgo Petroleum said on May 14 it made a first-quarter profit of $157 million, compared with an $82 million loss in the same period last year, thanks to a higher utilization of its 829,000 barrel-per-day processing capacity.

Citgo, which is subject to a U.S. court-ordered auction of its parent company to pay billions of dollars to Venezuela-linked creditors, had a refinery throughput of 851,000 bpd, including record-setting crude runs of 819,000 bpd, with an average crude utilization rate of 99% across its three refineries.

"Reliability remained strong during the quarter and our margin capture rate improved relative to the previous quarter," Citgo CEO Carlos Jorda said in a statement.

Total throughput was 833,000 bpd in the first quarter last year, with a 95% crude utilization rate.

High commodity prices contributed to the results, while Citgo also purchased and refined its first Venezuelan crude since 2019, but extreme price volatility triggered a 3% drop in sales volume to 417,000 bpd from 430,000 bpd the prior quarter.

Favorable market conditions are expected to continue throughout the year, Citgo said in the release.

Citgo projects full-year earnings before interest, tax, depreciation and amortization of $3.2 billion to $3.6 billion and a cash balance of up to $3.9 billion by the end of 2026.