World refinery throughput is set to rise as the global demand for jet kerosene, along with petrol, diesel and gasoil products, ramps up during the third quarter of this year, according to the latest forecast from research and consulting firm GlobalData.
The new report states that jet kerosene will enjoy a 150,000 barrel per day quarter-on-quarter rise, while global refinery throughputs are expected to witness growth of 2.2 million barrels a day over Q2 2013 levels. This has been attributed to new atmospheric distillation capacity coming on stream in the Middle East, India and China. This increase will raise total global throughput to 77 million bpd – the highest level in at least five years.
Jeffrey Kerr, GlobalData's managing analyst for downstream oil and gas, says: 'Despite the positive outlook, these figures will be limited by various underlying economic issues, not least of all the European recession. The slowdown in Chinese demand and the rapid decline in Indian demand are also contributing factors. The US is the only country showing any signs of pushing through its economic woes.
Jet kerosene can expect to witness a drop of 55,000 bpd over the course of 2014, says Kerr, thanks to a decrease in air travel caused by the recession and the Chinese economic slowdown.
Kerr continues: 'The key for the global economy moving forward is which of these trends are the strongest: the US moving higher or the rest of the world moving lower, and currently it seems that the refined products markets are supporting the US position.'
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