Profits are flowing faster than expected through Monroe Energy’s oil refinery in Trainer, despite the fact that lower oil prices have derailed cheap supplies from North Dakota.

Greater gas and diesel demand from Latin America and a narrowing of the price spread between heavy crude oil and Monroe Energy’s light sweet crude oil – because of OPEC’s squeeze on oil output – have both opened up the flow of profits, according to a Philadelphia Inquirer report by Andrew Maykuth.

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“In effect, Latin American demand is pulling surplus refined product supply from the Atlantic Basin and keeping prices higher than usual on the East Coast,” said Morningstar Director of Oil and Products Research Sandy Fielden.

The rebound in demand bodes well for Monroe Energy in the coming years.

“These market developments are certainly positive news today for refineries like PES, Monroe, and Bayway,” Fielden said. “We believe they will continue to benefit light sweet crude processing margins for some time.”

Read more about the latest oil refining developments in the Philadelphia Inquirer here, and check out previous DELCO Today coverage of Monroe Energy here.