Refining at the Crossroads

摘要

Last year (2005) was an eventful one for the oil industry. It has en-joyed very high operating rates and record profits as well as major energy legislation that included royalty relief for oil and gas production in the Gulf of Mexico. Major production and refining disruptions from two Gulf Coast hurricanes and the anger of consumers facing the ensuing record-high fuel prices were the downside. In this article, the key factors driving the refining industry's financial performance are reviewed and some potential events and issues for the coming year are discussed.