Story thread · 5 reports / 5 sources

Global refining crunch to keep fuel prices high into 2027

thenationalnews.com · 12dShare

The world is facing a shortage of refining capacity that could keep petrol, diesel and jet fuel prices elevated well into 2027, even if the Strait of Hormuz reopens and millions of barrels of crude stranded by the war return to the market. Damage to refineries in the Gulf and Russia , coupled with limited spare capacity elsewhere, has left too little infrastructure to turn crude into the fuels the world needs, creating an unusual divergence between prices for crude and refined products. There will be “a steep, steep fall” in the first quarter of 2027, said Nikhil Agarwal, managing director of Globestar Energy, at Energy Trading Week Middle East in Dubai, on Wednesday. “But refining capacity will not come back so soon. Bapco is gone, the GTL Qatar is gone, Russian refineries are gone. It will take years to build them back and bring them on board.” If the strait reopens, Mr Agarwal expects crude to sell off sharply while fuel markets remain constrained. “Crude is surplus globally, but th

First report: Africa: How Modern Oil Refining Is Driving Economic Growth in Africa — allafrica.com, 15d