Investor Presentaiton
Sensitivities to Potential IMO Factors
Key Metric
Blended 321 Crack
Gasoline Crack
Potential Impacts
Higher crack required to support increased refinery
production and meet elevated demand for low sulfur fuels
Refining yield shift to max distillate production and
reduced FCC utilization due to low sulfur FCC
feedstocks being blended into low sulfur marine fuels
EBITDA Impact
from $1/BBL change
~ $1,150 MM
~ $765 MM
-
Distillate Crack
Increased demand due to blending low sulfur distillate
in marine fuels
~ $385 MM
Heavy Crude Differential
Discount of high sulfur fuel oil reduces refining value of
heavy crudes
ULSD-3% Resid Fuel Oil
Drastic reduction in demand for high sulfur marine fuel oils
will drive large discounts
Note: Crack spreads based on 38% WTI, 38% LLS, and 24% ANS with mid-continent, USGC, and west coast product pricing, respectively.
~ $570 MM
~ $40 MM
M
MARATHON
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