Europe Distillates-Diesel cracks hold steady
LONDON, Sept 9 (Reuters) -Northwest European diesel barge refining cracks were steady at about $16 a barrel on Monday in an oversupplied market.
Six barges of 10ppm diesel traded in the Platts window, down from seven on Friday. ExxonMobil and Mercuria sold to Mabanaft and Gunvor.
EU and UK diesel and gasoil imports are projected to reach 1.24 million barrels per day this month, Kpler data showed, compared with 1.27 million bpd in August.
Meanwhile, Gasoil stocks independently held in the ARA storage hub rose in the week to Sept. 5 by 1.4% to 2.45 million tons - their highest since May last year - on rising imports, data from Dutch consultancy Insights Global showed. ARA/
The diesel market outlook was bearish despite the upcoming seasonal refinery maintenance due to ongoing weakness in the Singapore area, Sparta Commodities analyst James Noel-Beswick said.
"It is increasingly clear that, despite the aforementioned global turnarounds, additional (refinery) run cuts will be necessary to address the oversupply," he said.
China's shift towards lower-carbon fuels and a sluggish economy are dampening oil demand growth in the world's largest crude importer, speakers at the APPEC conference said on Monday.
China's annual demand growth has slowed from around 500,000-600,000 barrels per day (bpd) in the five years before the COVID-19 pandemic to 200,000 bpd now, said Daan Struyven, head of oil research at Goldman Sachs.
Trades | Bids | Offers | Previous Session | Seller | Buyer | |
|---|---|---|---|---|---|---|
0.1 GO Barge diffs fob ARA per tonne GO-ED-ARA | Sept -$22 | Sept -$20 | Sept -$23 (2 barges) | |||
0.1 GO Cargo diffs cif NEW per tonne GO-CND-NWE | ||||||
0.1 GO Cargo diffs cif Med per tonne GO-CND-MED | ||||||
50ppm barge diffs fob ARA per tonne GO50PPM-ED-ARA | Sept -$9.50 (one barge) | Sept -$5 | TotalEnergies | Mabanaft | ||
Diesel | Trades | Bids | Offers | Previous Session | Seller | Buyer |
Diesel barge diffs fob ARA per tonne ULSD10-BD-ARA | Sept flat - Sept -$0.50 (6 barges) | Sept -$2.75 - flat (7 barges) | ExxonMobil, Mercuria | Mabanaft, Gunvor | ||
Diesel cargo diffs cif NWE per tonne ULSD10-ANYD-NWE | Sept +$10 | |||||
Diesel cargo diffs cif Med per tonne DL-CIFD-MED | Med -$1 (Valencia) | Oct +$10.25 | Oct +$12 | Exxon | Gunvor | |
Jet fuel | Trades | Bids | Offers | Previous Session | Seller | Buyer |
Jet fuel barge diffs fob FARAG per tonne JET-BD-ARA | Sept +$43 | Oct+$41.50 | ||||
Jet fuel cargo cif NWE per tonne JET-CD-NWE |
Fuel Oil | Trades | Bids | Offers | Previous Session | Seller | Buyer |
0.5% barge fob ARA per tonne | $476.5-$478 | $485.5-$490 (0 barges) | Shell, BP, Trafigura | TotalEnergies | ||
3.5% barge fob ARA per tonne HFO-ARA | $371-$372 (3 barges) |
ICE Low Sulphur Gasoil | LGOc1 | Previous |
Diesel ARA Barge Cracks vs Brent futures (per barrel) | $15.57 | $15.59 |
Diesel spread | LGOc1-LGOc2 |
Reporting by Ahmad Ghaddar; Editing by Richard Chang
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