The processing capacities of Europe will reduce by 20 mln tons – vice-president of LUKOIL

The processing capacities of Europe will reduce by 20 mln tons. Vice-president of LUKOIL for processing and marketing V.Nekrasov said.

“To date, the oil processing in Europe is in crisis because of the low margins in processing, i.e. the cost of the raw material and the cost of the basket of refined products are on a comparable level, the expenses for processing are not compensated. The European processing capacities went down by 90 million tons over the last 5 years, about 20 plants are idle. We expect European processing capacities to reduce by another 20 million tons in the near future,” he said.

According to the specialists of LUKOIL, oil production development and an increase of its processing in the USA has caused motor fuel import reduction from Europe.