Refinery margins are expected to recover this summer
Summer sun set to shine on European refining
The warmer months ahead promise margins upside
A surge in summer driving and flying will be welcome news for European refineries. Oil product margins, especially jet fuel, have borne the brunt of low demand during the pandemic but should see a recovery as vaccines and fewer restrictions bring people out of their homes. More people should be travelling—most likely by road, initially, but also by plane as air corridors re-open—boosting consumption of transport fuels. Europeans also have money to spend, as lockdowns led to ballooning savings. The eurozone’s household savings rate (the share of a household’s income going to savings) reached record highs at the end of 2020, according to statistics body Eurostat. $1.70/bl – OMV’s Q1 Euro
Also in this section
17 July 2025
US downstream sector in key state feels the pain of high costs, an environmental squeeze and the effects of broader market trends
16 July 2025
Crude quality issues are an often understated risk to energy security, highlighted by problems at a key US refinery
15 July 2025
Government consultations on the windfall tax and the exploration licence ban are positive steps, but it is unclear how long it will take for them to yield tangible outcomes
15 July 2025
A brutally honest picture about the potential role of oil and gas in 2050 should prompt policymakers to not only reflect but also change course to meet vital energy needs
