Overview

Out of fuel: The declining price of crude oil has caused large revenue declines

IBISWorld’s Petroleum Refining and Petroleum Fuel Manufacturing market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

REPORT SNAPSHOT

Industry Threats & Opportunities

  • Declines in refinery output and crude oil prices have negatively affected the industry
  • Major players are increasingly focusing on more profitable extraction activities
  • The price of crude oil is projected to increase as multiple producers reduce their supply

  • shopping_cartBUY NOW TO READ MORE

    Industry Analysis & Industry Trends

    Four major oil refiners generate the majority of revenue in the Petroleum Refining and Petroleum Fuel Manufacturing industry. These oil refiners process crude oil into a range of fuels and secondary products that are then sold to downstream markets. Crude oil purchase costs dominate the industry's cost structure. The cost of this input, in conjunction with exchange rate movements, contributes to significant revenue volatility as world crude oil prices are quickly passed on to domestic markets.

    Significant declines in refinery output and crude oil prices have negatively affected the industry over the past five years, with industry revenue expected to decline by an annualised 8.1% over the five years through 2016-17, to total $22.7 billion...

    shopping_cartBUY NOW TO READ MORE

    Industry Report - Starting a New Business Chapter

    Entry barriers for new firms to the industry are substantial. Extremely large amounts of capital are required to construct and maintain refineries. For example, a new catalytic cracker costs several hundred million dollars. Most existing refiners also either have a strong brand presence in the retail market (Viva, Caltex and BP) or supply agreements with prominent retailers (ExxonMobil and 7-Eleven). To compete with these existing operators, a prospective entrant needs to either acquire a retail network or negotiate an off-take agreement with fuel retailers.

    Substantial economies of scale ensure that only large refineries are viable. To compete, new entrants need to construct extremely large refineries. Even existing Australian refineries are small by world standards. The..

    shopping_cartBUY NOW TO READ MORE

    Additional Insights for the Petroleum Refining and Petroleum Fuel Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Petroleum Refining and Petroleum Fuel Manufacturing Industry are

  • Ability to alter mix of inputs in line with cost
  • Downstream ownership links
  • Access to the latest available and most efficient technology and techniques
  • IBISWorld analysts also discuss how external factors such as World price of crude oil and US dollars per Australian dollar in the Petroleum Refining and Petroleum Fuel Manufacturing industry impact industry performance..

    shopping_cartBUY NOW TO READ MORE

    Look under the hood?

    Download a FREE sample report

    Top 500 Companies List
    has been released

    Click here for more

    Industry Products

    What is the Petroleum Refining and Petroleum Fuel Manufacturing Industry?

    Industry companies primarily refine crude oil or condensate (a light form of oil) to produce petrol, fuel oil, aviation fuel, grease base stock, petroleum gases and other petroleum products. Companies also blend materials into petroleum fuels and manufacture fuels from the liquefaction of petroleum gases. These products are then marketed by wholesalers and retailers, which may be owned by firms that operate the refineries.

    Industry Products
    Petroleum
    Diesel
    Aviation turbine fuel
    Other refined petroleum products
    Industry Activities
    Automotive petroleum
    Automotive and industrial diesel
    Aviation fuel
    Gas oil, fuel oil and heating oil
    Jet fuel
    Kerosene
    Liquefied petroleum gas (in conjunction with petroleum refining)
    Motor spirit
    Oil or grease base stock
    Petroleum refining and blending

    Table of Contents

    About this Industry
    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry at a Glance
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Industry Performance
    Executive Summary
    Key External Drivers
  • World price of crude oil
  • US dollars per Australian dollar
  • Aircraft kilometres flown
  • Electricity service price
  • Number of motor vehicles

  • Current Performance
  • Chart: Revenue Growth

  • Industry Outlook
  • Table: Petroleum Refining and Petroleum Fuel Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Petroleum Refining and Petroleum Fuel Manufacturing Industry Lifecycle vs The Economy

  • Products & Markets
    Supply Chains
    Key Buying Industries
  • Road and Bridge Construction
  • Petroleum Product Wholesaling
  • Fuel Retailing

  • Key Selling Industries
  • Electricity Retailing
  • Engineering Consulting
  • Oil and Gas Extraction
  • Port Operators
  • Water Freight Transport

  • Products & Services
  • Petroleum
  • Diesel
  • Aviation turbine fuel
  • Other refined petroleum products
  • Chart: Petroleum Refining and Petroleum Fuel Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Petroleum and diesel wholesalers
  • Petroleum and diesel retailers
  • Aviation and other fuel wholesalers
  • Export markets
  • Chart: Major Market Segmentation for the Petroleum Refining and Petroleum Fuel Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Competitive Landscape
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Depreciation
  • Rent and utilities
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Petroleum Refining and Petroleum Fuel Manufacturing

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Petroleum Refining and Petroleum Fuel Manufacturing Industry

  • Industry Globalization
    Major Companies
    BP Australia Investments Pty LtdViva Energy Holding Pty LtdCaltex Australia LimitedExxonMobil Australia Pty Ltd
  • Table: BP Australia Investments Pty Ltd - financial performance
  • Table: Viva Energy Holding Pty Ltd - financial performance
  • Table: Caltex Australia Limited - financial performance
  • Table: ExxonMobil Australia Pty Ltd - financial performance

  • Operating Conditions
    Capital Intensity
  • Chart: Level of Capital Intensity for the Petroleum Refining and Petroleum Fuel Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Key Statistics
    Table: Industry Data for the Petroleum Refining and Petroleum Fuel Manufacturing Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Exports (2008-2022)
  • Imports (2008-2022)
  • Wages (2008-2022)
  • Refinery Output (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Jargon & Glossary
    Catalytic Hydrocracking
  • A refining process that uses hydrogen and catalysts under pressure to convert residual oil products from conventional refining into lighter fuels such as petrol, aviation gasoline and diesel.
  • Fractional Distillation
  • The process of separating a mixture into fractions. The parts are separated according to boiling point. Upon heating, the fractions vaporise at a desired temperature and are individually collected.
  • Kerosene
  • Most jet fuels are based off this fraction produced from fractional distillation.
  • Naphtha
  • A broad classification of the lighter fractions produced from fractional distillation.
  • Why buy this report?

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Petroleum Refining and Petroleum Fuel Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Petroleum Refining and Petroleum Fuel Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Petroleum Refining and Petroleum Fuel Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Want to speak to a representative? Call us.

    clear