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OPEC+ Cuts to Hit EU Refiners: FGE

OIL

OPEC+ cuts will hit European refiners particularly hard according to FGE, having already lost a significant portion of medium-sour crudes as part of sanctions on Russian oil.

  • Global supply of medium-sour grades in the second half of this year will be 1.6m b/d lower following the cuts based on FGE estimates.
  • Of that, more than 1m b/d will be replaced with naphtha rich light crudes which will cause European naphtha markets to go from “bad to worse”.

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