Weekly Refining & Marketing Margin

Research evidence excerpt

Weekly Refining & Marketing Margin

Australia | Refining & Marketing EquityMayResearch22, 2026

Figure 5 - ALD & VEA PE ratioWeekly Refining & Marketing Margin

20x

VEA ALD

Refining margins improved this week and remain well above historical 18x16x

14x

12xlevels given ongoing supply disruption in the Strait of Hormuz. Retail

10x

margins remain relatively solid in 2Q to date, particularly in diesel which 8x6x

is offsetting gasoline margin weakness. We prefer ALD given solid Apr-25 May-25 Jun-25 Jul-25 Aug-25 Sep-25 Oct-25 Nov-25 Dec-25 Jan-26 Feb-26 Mar-26 Apr-26 May-26

.Management execution & recent disclosure suggesting U-GO is delivering Source: Factset. NB: 12mth fwd

ahead of already-attractive business case which may deliver further upside

to expected EG Australia synergies. Figure 6 - Aus Refining SWAM - US$/bbl by qtr

33.3 34.9

24.6 23.6 23.8 21.7 23.4 20.9 18.8 19.9A weekly summary of refining & marketing margins across Australia & NZ - We monitor 16.8 16.7 16.4 12.6 13.6 14.2 14.2

a Singapore Weighted Average Margin (SWAM), which we construct based on a typical

Australian refiner product slate, as well as a published Minas211 benchmark. Both metrics

have been highly correlated with ALD and VEA refining margins over time (refer to Appendix 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 3Q25 4Q25 1Q26 2Q26*

for correlation). We also show individual product cracks and crude premia, as well as product .

Source: Jefferies analysis. NB: Based on a fixed pre-COVID

inventory. In addition, we monitor weekly Australian retail margin data from AIP, and NZ product slate. 2Q26 is period to date

importer margins from Government data.

Refining margins averaged US$41/bbl this week - Minas211 averaged US$40.72/bbl this