Supply Chain Optimization

Oil is down - why isn't diesel a lot cheaper? Port problems - T|WO

Written by Tom Moore | Aug 24, 2021 12:00:00 AM

 

Oil is down substantially, yet diesel hasn’t declined nearly as much because refiners are making more money.  Over the past year, refiners have averaged $10/barrel for processing – the so-called “crack spread”.  Now the crack spread is running around $25/barrel.
 
Meishan terminal at China’s Ningbo port, the third largest port in the world, closed for 2 weeks because of a single COVID case.
 
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