Oil Refiner Margins Poised to Rise as Shuttered Plants Increase

(Bloomberg) — Refiners from Germany to Hawaii are weighing plans to shut or sell plants amid the biggest drop in oil demand in almost three decades.

Petroplus Holdings AG told workers in Teesside, northern England, their jobs are at risk. Royal Dutch Shell Plc may sell or close two plants in Germany and another in Montreal. Total SA will dismantle 25 percent of France

Traders are buying contracts that appreciate as the so- called crack spread that reflects the return from breaking crude into gasoline, diesel and heating oil increases. Margins representing profits from making fuel will rise to $10.71 a barrel in July 2012 from $8.97 on July 17, futures prices show.

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