Some European regions have begun to face a shortage of middle distillates – diesel, jet fuel, and fuel used for space heating. This was reported by Bloomberg with reference to the CEO of the Spanish oil refinery Repsol SA, Josu John Imaz.
“We are running out of middle distillates in some European countries. There is a chance to see high diesel prices in the coming months,” he said.
According to Imaz, the deficit was formed due to two factors: the first is the reduction in Russian gas supplies to Europe, as a result of which many households and companies have had to look for alternatives to gas, the second is the strikes at refineries in France, which reduced the production of distillates. In addition, the United States is currently also experiencing a shortage of diesel, so it has not yet been possible to quickly find an alternative.
But oil refineries are in a big plus. The head of Repsol admitted that the margin from refining one barrel of oil reached a historical record and amounted to $26, in the fourth quarter the company expects an average of $15 per barrel.
Europe continues to look for ways to survive the winter and smoothly pass the heating season. The authorities of many countries have already approved national programs to combat the energy crisis, Germany alone intends to spend about $ 200 billion on special measures, however, the German authorities are experiencing liquidity problems, because investors are in no hurry to buy government bonds.