Oil refiners in Asia, Europe, and the U.S. are experiencing a sharp drop in profitability due to the emergence of new refineries, such as Nigeria’s 650,000 bpd Dangote Refinery and petrochemical plant. Other notable plants include Mexico’s Dos Bocas, Kuwait’s Al Zour, and Oman’s Duqm refinery. Analysts attribute the slump to excess refining capacity and reduced demand, particularly in China. Refiners like TotalEnergies and Glencore, which enjoyed high profits in recent years, are now facing tougher competition and lower margins.
