Global oil refiners shut down as coronavirus destroys demand

Global oil refiners shut down as coronavirus destroys demand

The resulting slump in demand for oil products, along with Saudi Arabia and Russia's decisions to increase crude output after last month's collapse of OPEC's oil supply pact, is expected to overwhelm refiners as storage capacity dwindles.. Overall products supplied in the United States fell by 2.1 million bpd in the most recent week, representing close to a 10% drop, while IHS Markit estimates that gasoline demand in the world's biggest oil consumer could drop by nearly half in the coming weeks.. In Europe, some refineries in Britain and Germany have scaled back production, with traders expecting many others to follow as demand falters.. Demand is likely to slump by 18.7 million barrels per day (bpd) globally in April, against a 10.5 million bpd drop in March, Goldman Sachs analysts said.. A complex refinery in Singapore stands to lose nearly $2 for every barrel of crude it processes, including losses of more than $6 a barrel on gasoline production, Reuters calculations show.. Japan is also considering more cuts after run rates fell nearly 7% for the first 12 weeks in 2020, data from the Petroleum Association of Japan showed.. In India, refiners are facing a tough situation with cash flow,