Production at Eastern Refinery Limited, the country’s only state-owned oil refinery, has been halted due to a shortage of crude oil, officials said.

The production at the two major units of the refinery was suspended on Tuesday noon. The third unit is, however, running partially, producing an insignificant amount of petrol and octane, UNB reports. 

Spokesperson for the Energy and Mineral Resources Division Monir Hossain Chowdhury confirmed the matter. However, no officials from the refinery agreed to comment.

Sources said the crisis stems from a lack of crude oil supply, worsened by disruptions linked to the Middle East conflict.

A crude oil shipment remains stuck in Saudi Arabia, leading to a depletion of existing stock since the beginning of the current month.

The refinery had been operating through alternative measures since April 5.

Eastern Refinery usually processes around 4,500 tonnes of crude oil daily, producing about 13 types of fuel, including octane, petrol, diesel and furnace oil.

However, output had already been reduced to around 3,500 tonnes per day over the past month due to the crude oil shortage.

Officials said crude imports have remained suspended for nearly two months amid instability caused by the US-Israel war on Iran. The next shipment is expected to arrive in the first week of May.

The refinery has a crude storage capacity of around 150,000 tonnes and can store up to 250,000 tonnes of refined fuel.

Despite the shutdown, officials said there is no immediate risk of fuel shortage in the country as the government has ensured sufficient reserves of refined petroleum products, even purchasing at higher prices since the start of the conflict.