JAMAICA’S Petrojam refinery has tripled its asphalt production through a US$2 million investment that boosts export potential and supports infrastructure growth, and calls for the long talked about upgrade to help it adapt to shifting fuel demands and global sustainability standards.

The refinery has significantly increased its asphalt output to 230,000 barrels annually—nearly triple the previous 84,000 barrels. The expansion is a strategic response to evolving market demands and a declining heavy fuel oil (HFO) market, positioning Petrojam not only as a key supplier for local infrastructure but also as a growing exporter to several Caribbean nations.

Telroy Morgan, Petrojam’s general manager, explained that this project “aligns directly with our strategic outlook, in terms of increasing our export business potential, and more so, reducing our carbon footprint”. He underscored the dual role of the initiative: “Whilst not energy, we’re also supporting infrastructural works, not only in Jamaica, but we’re looking at the wider region.”

This advancement follows an earlier announcement by Minister of Science, Energy, Telecommunications and Transport Daryl Vaz, who disclosed that efforts to boost Jamaica’s asphalt production capacity were well underway as part of the 2025/26 Sectoral Debate presentation in Parliament.

Morgan highlighted that this pivot to asphalt production supports infrastructure projects across Jamaica and the wider region, with exports already flowing to Trinidad, Guyana, Barbados, and Antigua. “With asphalt it’s mostly to Trinidad and Guyana, with HFO it’s Trinidad, Guyana, Antigua, Barbados,” he noted.

In Jamaica, the asphalt has found its way in projects such as the recent SPARK and REACH road and infrastructure projects, and the resurfacing of runways and tarmacs at the Sangster International Airport in Montego Bay and Norman Manley International Airport in Kingston.

The shift in product focus comes amid fundamental changes in fuel demand driven by transitions towards cleaner energy. When Jamaica Public Service Company (JPS) moved from heavy fuel oil to liquefied natural gas (LNG), it left Petrojam with a market shortfall of about three million barrels of HFO domestically forcing the refinery to cut output of the fuel and seek new markets.

“Petrojam had to pivot more towards the marine fuels market in terms of its own sustainability,” Morgan explained.

However, even the marine fuel sector is trending away from heavy fuel oil towards cleaner alternatives like LNG, hydrogen, ammonia, and methanol, driven by International Maritime Organization regulations.

“In this context, Petrojam converting this heavy fuel oil into asphalt is one way of pivoting, and the other way is to be able to convert the same fuel oil into cleaner products such as gasoline, diesel, et cetera,…and that accords well with our plans to move the refinery forward in an upgraded fashion. So this current move is perhaps the first in that regard in being able to positively dispose of our fuel oil that we produce in voluminous quantities as well.”

“The upgrade is now inevitable and that’s the short answer,” Morgan said. “The asphalt is one way of getting us there, but we really need to push for that upgrade.”

Jamaica’s attempt to upgrade its Petrojam refinery has faced significant setbacks over the years, largely due to financial constraints, shifting market dynamics, and regulatory challenges. Efforts to modernize the refinery began as early as the 2000s, aiming to improve efficiency, environmental standards, and product diversity to meet changing global fuel demands. However, these plans were repeatedly delayed or scaled back due to high costs and political debates over investment priorities.

The US$2 million investment in asphalt production facilities is already yielding financial returns, with expected additional earnings of US$2.4 million annually—a conservative estimate that indicates the project will pay for itself within a year.

Despite these challenges, Petrojam remains committed to fueling Jamaica’s growth and economic development while embracing innovation and a carbon-conscious approach. “We do it all while we continue to function as Jamaica’s energy safety net — always there to keep our country going and growing,” Morgan concluded.

Petrojam has tripled asphalt production and called for refinery upgrades as demand for HFO falls.

MORGAN…Petrojam converting this heavy fuel oil into asphalt is one way of pivoting, and the other way is to be able to convert the same fuel oil into cleaner products such as gasoline, diesel, et cetera,…and that accords well with our plans to move the refinery forward in an upgraded fashion.