Diesel Crack Spread Surges to Record $106 a Barrel
Goldman now sees U.S. diesel margins at $63 a barrel in 2027 as outages, strikes and export bans tighten supply.
- Goldman Sachs projects United States diesel refining margins will reach $63 per barrel in 2027, with European Union margins averaging $49 per barrel, up substantially from earlier forecasts of $27 and $19 per barrel.
- Global refining capacity faces severe constraints as outages remain 60% higher than seasonal averages. Analysts report, as quoted by Bloomberg, that strikes in the Middle East and Russia have damaged critical infrastructure, exacerbating supply pressure.
- Fuel exports from the Persian Gulf are running at 40% of pre-war levels, trailing crude oil exports at 70-80%. Moscow recently extended its diesel export ban until the end of September to address production shortages.
- The European Union faces additional supply complications due to a shortage of refineries. Climate regulations prompted companies to shut down capacity in anticipation of demand destruction that has not materialized.
- Diesel remains at the epicenter of the global energy crisis as stocks dwindle. Goldman expects the tightness in diesel supply to extend into next year, keeping global production capacity significantly constrained.
14 Articles
14 Articles
Goldman Sachs expects oil refining margins in the United States to reach US$63 per barrel (EUR54.33) in the United States in 2027, against the previous projection of US$27 per barrel (23.28), and in the European Union to reach US$49 per barrel (EUR42.26), against the previous estimate of US$19 per barrel (16.38).
Goldman Sachs tightens diesel fuel warning amid wars Goldman <p>Sachs has warned of a global shortage of processing capacity due to wars and strikes on refineries. Diesel Margin Forecast increased to $63 in the US and $49</p> in the EU.
Goldman Sachs Sees Diesel Refining Margins Soaring to $63 a Barrel
Refiners are set to reap stronger profits on the global diesel shortage, Goldman Sachs has said, revising its earlier profit forecast to double the total profits that refining companies would make from the squeeze. “Rising strikes on refineries in the Middle East and Russia have further constrained already-stretched global refining capacity, pushing refined-products margins to new highs,” the bank’s analysts wrote in a note, as quoted by Bloombe…
Economy - Goldman Sachs, one of the world's largest banks, has warned of a global diesel shortage, raising its profit outlook for refiners.
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