Deutsche Bank

The devastating earthquake and tsunami in Japan last
week may have consequences for the regional oil balance
beyond the immediate impact observed in the Asian fuel
oil and gasoil markets. The potential for sustained refinery
outages in Japan and structurally higher oil demand for
power generation (assuming the quake-affected nuclear
power facilities will be offline for years if not permanently)
implies a tighter supply/demand balance in Asia, a market
already challenged by robust oil demand growth rates.
notably in China.