The company mentioned the diesel short fall in its current two year forecast of global refining capacity.
ESAI Energy reported that the additional diesel production capacity will not be able to fill the gaps created by the increasing demand in Latin America, and by the closure of refineries in Australia.
ESAI refining analyst Chris Barber said key markets should increase utilization rates of the existing capacity to balance the market.
"This will have a bearing on refinery rationalization plans," Barber added.
Although, North American and Middle East will add over 500,000 barrels per day (bpd) of clean diesel, the delay in Latin America’s planned diesel production expansions will result in larger volumes of diesel import in the region.
It also mentioned that though the actual production will be lower the additional capacity of 515,000bpd of new clean diesel will not be sufficient to meet the demands.
