Refining margins dive as recession kicks in

REFINING margins for operators at the world's largest refining centres dived towards the end of last year – and failed to recover this summer. The decline in the last quarter of 2008 came as throughputs were cut, in response to rising world stocks of refined products and falling consumption. This year's spring and summer brought no relief, with stocks remaining high through the driving-season. Refiners in Europe as well as North America had grown accustomed to the US' tight gasoline market, driving margins to high figures in the spring and summer, often followed by spikes in the autumn if stocks began to seem low. With US gasoline demand now in decline, such high margins are no longer a feat