Tough times ahead for US refiners
Slumping global oil consumption, tightening margins and throttled-back throughput pile on the pressure
The US refining industry has been on an upward trajectory over the past decade. Global oil consumption growth has been solid, while trapped Western Canadian and sometimes US crude has contributed towards significant price discounts and a strong competitive advantage among US refiners compared with their global competitors. But the ride came to a sudden end in the last third of March, when the sector suffered massive demand destruction as Covid-19 closed down economies and enforced global lockdowns. 66.2mn bl/d – global crude throughput in May US refining margins initially looked as if they might hold up, despite a large drop off in crude runs, because of the short-lived oil price w
Also in this section
10 December 2024
Sector at economic and strategic crossroads, but clear path ahead for midstream additions
30 November 2024
Decades of turmoil have left Iraq’s vast energy potential underutilised, but renewed investment and strategic reforms are transforming it into a key player in the region
29 November 2024
The country's fifth and sixth oil and gas bid rounds have attracted a range of new players with gas as well as oil ambitions—and there’s a seismic shift in the contracting process
28 November 2024
Iraq is charting a new path for its indigenous resources and its youth, hoping to electrify the future with a mix of reforms and modernisation to fuel growth
