American oil refineries are operating at maximum capacity as ongoing military conflicts in the Middle East and Ukraine continue to disrupt global fuel supplies.
The dual-front instability has created a significant bottleneck for key products such as diesel, forcing US processors to run hot to meet demand amid dwindling crude availability.
This supply squeeze is driving a massive boom in processing margins for US refiners.
According to Handelsavisen analysis, American oil refiners are positioned to more than triple their profits as the conflict with Iran triggers a sharp widening of the spread between crude input costs and refined product prices.
The disruption to global supply chains has created a significant arbitrage opportunity for domestic processors who can secure feedstock.
The broader energy sector is also seeing a divergence in profitability.