Asia Distillates-Markets claw back some losses; refiner sales underway
SINGAPORE, Sept 3 (Reuters) -Asia's middle distillates markets started clawing back some of their losses from the previous session on Tuesday, as more spot sales activity was underway for both September and October cargoes.
Paper swap markets also rebounded, but the September and October price difference was little changed from the previous trading session.
Some support came from the wider east-west arbitrage price spread in the past two trading sessions, with the price difference between Asia and northwest Europe at a one-and-a-half-month high.
Talks of some production run cuts resurfaced given the squeezed refining margins regionally in the past four trading sessions, some sources said. Further details could not be confirmed.
Refining margins GO10SGCKMc1 for the transport and industrial fuel were at $13.18 a barrel at the market's close, 20 cents higher than the previous session.
Spot cash discounts GO10-SIN-DIF fell back to discounts of around 46 cents a barrel, with lower-priced offers still continuing for a second straight session this week.
Buying interest for second-half September cargoes stayed tepid in the open trading window.
For jet fuel, at least two northeast Asian refiners resumed their September sales, contributing to slightly more trading liquidity, likewise gasoil, as sale prices continued to be slightly more lucrative than gasoil.
Regrade JETREG10SGMc1 narrowed slightly to a discount of 30 cents a barrel.
SINGAPORE CASH DEALS O/AS
- No gasoil deal, one jet fuel deal.
REFINERY NEWS REF/OUT
- Gazpromneft Moscow refinery suspended operations at combined refining unit Euro+, which includes crude distillation unit CDU-6, after a fire on Sunday, three sources told Reuters on Monday.
NEWS
- Top oil exporter Saudi Arabia is expected to cut prices for most of the crude grades it sells to Asia in October after Middle East benchmark Dubai slumped last month, industry sources said on Monday.
- Indonesia issued a presidential regulation to set up energy buffer stocks to be used when there was an energy shortage or disruption of energy infrastructure, a document from the president's office and reviewed by Reuters on Tuesday showed.
PRICES
MIDDLE DISTILLATES | ||||
CASH ($/BBL) | ASIA CLOSE | Change | Prev Close | RIC |
Spot Gas Oil 0.5% | 83.29 | 0.57 | 82.73 | GO-SIN |
GO 0.5 Diff | -6.45 | 0.00 | -6.45 | GO-SIN-DIF |
Spot Gas Oil 0.25% | 88.32 | 0.57 | 87.76 | GO25-SIN |
GO 0.25 Diff | -1.42 | 0.00 | -1.42 | GO25-SIN-DIF |
Spot Gas Oil 0.05% | 87.76 | 0.57 | 87.20 | GO005-SIN |
GO 0.05 Diff | -1.98 | 0.00 | -1.98 | GO005-SIN-DIF |
Spot Gas Oil 0.001% | 89.29 | 0.54 | 88.75 | GO10-SIN |
GO 0.001 Diff | -0.46 | -0.03 | -0.43 | GO10-SIN-DIF |
Spot Jet/Kero | 89.66 | 0.49 | 89.17 | JET-SIN |
Jet/Kero Diff | -0.05 | 0.01 | -0.06 | JET-SIN-DIF |
For a list of derivatives prices, including margins, please double click the RICs below. | ||||
Brent M1 | BRENTSGMc1 | |||
Gasoil M1 | GOSGSWMc1 | |||
Gasoil M1/M2 | GOSGSPDMc1 | |||
Gasoil M2 | GOSGSWMc2 | |||
Regrade M1 | JETREGSGMc1 | |||
Regrade M2 | JETREGSGMc2 | |||
Jet M1 | JETSGSWMc1 | |||
Jet M1/M2 | JETSGSPDMc1 | |||
Jet M2 | JETSGSWMc2 | |||
Gasoil 500ppm-Dubai Cracks M1 | GOSGCKMc1 | |||
Gasoil 500ppm-Dubai Cracks M2 | GOSGCKMc2 | |||
Jet Cracks M1 | JETSGCKMc1 | |||
Jet Cracks M2 | JETSGCKMc2 | |||
East-West M1 | LGOAEFSMc1 | |||
East-West M2 | LGOAEFSMc2 | |||
LGO M1 | LGOAMc1 | |||
LGO M1/M2 | LGOASPDMc1 | |||
LGO M2 | LGOAMc2 | |||
Crack LGO-Brent M1 | LGOACKMc1 | |||
Crack LGO-Brent M2 | LGOACKMc2 | |||
Reporting by Trixie Yap; Editing by Shreya Biswas
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