Ryanair chief says no Europe jet fuel shortages likely before summer 2027

Ryanair's CEO, Michael O'Leary, has stated that he sees no likelihood of jet fuel shortages in Europe this winter or before summer 2027, despite the ongoing Iran conflict disrupting global supply chains. The low-cost airline had previously announced it would cut flights during the winter months due to escalating fuel costs, reducing its full-year passenger forecast to 214 million from 216 million.

O'Leary made these remarks at a press conference organized by the A4E association of European airlines in Brussels. He emphasized that while there is no doubt about the availability of jet fuel in Europe during the coming winter and summer, the situation could change if there were unexpected events. However, he noted that jet fuel prices have surged more than oil prices since the start of the Iran war, with Iranian strikes on Gulf refining infrastructure and other disruptions causing the price to become about 50% higher than that of Brent crude.

O'Leary attributed the current high price of jet fuel to the ongoing conflicts in Ukraine, where Russian refineries are being targeted by Ukrainian forces, as well as strikes targeting refinery capacity in the Middle East by both Houthis and Iranian forces. He highlighted that refinery or tanker shortages and capacity challenges are expected to pose significant difficulties in the next 12 to 18 months, given the ongoing attacks on infrastructure and supply chains.