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European Refining Margins Plunge, Threatening 500,000 bpd Cuts

4/15/2026

Summary

Story summary

The International Energy Agency says European refining margins turned negative due to rising crude costs and competition from Asian buyers.
In the week starting April 6, light hydroskimming margins averaged minus $6.45 per barrel.
Analysts say negative margins could force some European refineries to cut runs by up to 500,000 barrels per day (bpd).
Some refiners, such as Italy's Sarroch refinery, have postponed maintenance to capitalize on higher fuel prices.

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Story summary

The International Energy Agency says European refining margins turned negative due to rising crude costs and competition from Asian buyers.
In the week starting April 6, light hydroskimming margins averaged minus $6.45 per barrel.
Analysts say negative margins could force some European refineries to cut runs by up to 500,000 barrels per day (bpd).
Some refiners, such as Italy's Sarroch refinery, have postponed maintenance to capitalize on higher fuel prices.