PSX - Phillips 66 sees tight gasoline diesel supplies in summer

Refiner Phillips 66 ( NYSE: PSX ) expects gasoline and diesel fuel supplies will be tight in summer 2023 , VP of investor relations Jeff Dietert said Thursday.

U.S. refineries have been running at least 90% of capacity since March, and were forecast to operate at 93% of capacity in Q4, but globally there has been a loss of ~4.7M bbl/day of processing capacity, Dietert said during a presentation at the Goldman Sachs energy conference.

"Last summer, we saw demand back close to 2019 levels and saw margins, frankly, I didn't think we'd see and hadn't seen historically," Dietert said, and "we expect gasoline and diesel to be tight again this summer."

Phillips 66 ( PSX ) is working to better integrate its seven U.S. refineries, CEO Mark Lashier told the conference.

"We want to standardize the way we run our refinery business, we want to optimize across the platforms, [and] technologies that we've put in place will enable that," Lashier said. "We really think it's the way to position ourselves competitively."

Phillips 66 ( PSX ) "has a high yield, strong and rising free cash flow used to support high dividend growth and a balance sheet that supports aggressive buyback," Leo Nelissen writes in an analysis newly posted on Seeking Alpha .

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