Shell expects refineries to almost double the profit from every barrel of fuel made

Global fuel shortages driven by war-related refinery shutdowns in the Middle East and Russia have sent pump prices surging to unprecedented levels worldwide. With demand outstripping supply, energy giant Shell is projecting record profit margins of over $40 per barrel for the upcoming quarter, a sharp rise from the $24 per barrel seen earlier this year. The sharp increase reflects both the strain on global oil markets and the company’s ability to capitalize on tightened supply conditions. Analysts will be watching whether these elevated margins signal long-term market shifts or a temporary spike in volatility.

Record prices caused by global shortages amid shutdown of war-damaged refineries in Middle East and RussiaShell’s refineries are expected to make record profits on each barrel of fuel produced after shortages in the global market caused pump prices around the world to climb to all-time highs.In a trading update on Wednesday, the energy supermajor forecast profit margins of $42 a barrel in the July to September period, far above the margins of $24 a barrel in the second quarter. Continue reading...