Gasoil margins saw a rebound as fresh estimates for China exports came in less than 500,000 tonnes for March-loading - with a slew of shutdowns expected in domestic China starting now which could cap gasoil production, one trading source said.
Refining margins for 10ppm sulphur gasoil closed the session at $22.69 per barrel, down by 29% month-on-month compared with January levels.
However, cash differentials for 10 ppm sulphur gasoil continued the decline to $1.07 a barrel, down 63% month-on-month and 14% on the week.
Buying interest in the open market was tepid.
Likewise, jet fuel refining margins were firmer 5% week-on-week, closing the trading session at $21.24 per barrel, as positivity on domestic China demand recovery outweighed weakness in the West.
Regrade narrowed to a discount $1.45 per barrel, compared with a discount of $2.25 a barrel the previous Friday.
SINGAPORE CASH DEALS - One gasoil deal, no jet fuel deal.
INVENTORIES
- Gasoil stocks held in independent storage in the Amsterdam-Rotterdam-Antwerp (ARA)
refining and storage area rose to a fresh two-year high last week, data from Dutch
consultancy Insights Global showed on Thursday. Gasoil stocks are at their highest since
Feb 2021 on continued strong imports, which have nevertheless slowed down from recent
weeks, said Insights Global's Lars van Wageningen. - U.S. crude oil inventories rose for the ninth week in a row, surging to their most
since May 2021, as refiners ran less oil during a strong maintenance season, data from
the U.S. Energy Information Administration showed on Thursday. Distillate stockpiles , which include diesel and heating oil, rose 2.7 million barrels versus
forecasts for a 1.1 million-barrel draw. At 121.9 million barrels, distillate supplies
were at their highest since January 2022. NEWS
- Exxon Mobil Corp is attempting to start the new crude distillation unit
(CDU) at its 369,024 barrel-per-day (bpd) Beaumont, Texas, refinery, people familiar with
plant operations said on Thursday.
- Ecuador's energy ministry issued a decree on Thursday declaring force majeure for
its oil industry, a day after a bridge collapse forced the closure of crude and gas
pipelines.
- China's top oil and gas major CNPC has completed a months-long reshuffle with the
addition of six regional offices that report to Beijing headquarters to better coordinate
and supervise its sprawling global portfolio, three company executives said.
- Kuwait is set to ramp up refined oil product exports from its new Al Zour refinery
in the second half of 2023 to plug Russian shortfalls in Europe and meet growing demand
in Asia and Africa, industry sources and analysts said.
- Oil prices extended gains for a second session on Friday as the prospect of lower
exports from Russia offset rising inventories in the United States. - Companies in Singapore will have to consider and manage any potential impact on
their business activities, transactions, and customer relationships when dealing with
Russian crude oil and refined products, a government official said on Friday.
PRICES
MID-DISTILLATES
CASH ($/T) ASIA CLOSE Change % Change Prev RIC
Close
Spot Gas Oil 0.5% 97.29 2.49 2.63 94.8 GO 0.5 Diff -6.57 -0.02 0.31 -6.55 Spot Gas Oil 0.25% 97.31 1.97 2.07 95.34 GO 0.25 Diff -6.55 -0.54 8.99 -6.01 <GO25-SIN-DIF
>
Spot Gas Oil 0.05% 100.13 2.49 2.55 97.64 GO 0.05 Diff -3.73 -0.02 0.54 -3.71 <GO005-SIN-DI
F>
Spot Gas Oil 0.001% 104.93 2.49 2.43 102.44 GO 0.001 Diff 1.07 -0.02 -1.83 1.09 <GO10-SIN-DIF
>
Spot Jet/Kero 103.37 2.92 2.91 100.45 Jet/Kero Diff 0.96 0.01 1.05 0.95 For a list of derivatives prices, including margins, please
double click the RICs below.
Brent M1 Gasoil M1 Gasoil M1/M2 Gasoil M2 Regrade M1 Regrade M2 Jet M1 Jet M1/M2 Jet M2 Gasoil 500ppm-Dubai Cracks M1
Gasoil 500ppm-Dubai Cracks M2
Jet Cracks M1 Jet Cracks M2 East-West M1 East-West M2 LGO M1 LGO M1/M2 LGO M2 Crack LGO-Brent M1 Crack LGO-Brent M2 (Reporting by Trixie Yap; Editing by Sherry Jacob-Phillips)
