LONDON: Diesel refining margins in northwest Europe rose on Monday amid volatile crude trading, but expected higher imports into the region weighed on the outlook.
The arbitrage from the US Gulf Coast remained closed as demand from Latin America remained strong, traders said.
Imports from the Middle East and Asia were also low but were expected to sharply increase in the coming weeks as refiners in the Middle East complete maintenance.
Around 15 tankers have been booked in recent days with options to go to Europe and the Mediterranean, traders said.
Demand in the region remained stable. Heating oil buying was stronger as cold weather hit northwest Europe.
Peru's state-run oil company Petroperu has launched a tender to sell a 240,000-barrel cargo of high-sulfur diesel (HSD) for delivery Jan. 23-27 at Talara terminal, according to a document seen by Reuters on Monday. GASOIL
No barges of 0.1 pct sulphur gasoil traded.
No cargoes traded.
Glencore sold to BP one barge of 50 ppm gasoil at a discount of $2.50 a tonne fob ARA to Ice December low-sulphur gasoil futures, down from discounts of $3.50 a tonne on Friday.
December Low-Sulphur Gasoil futures were trading $8.50 a tonne higher at $441 by 1731 GMT.
The December contract traded at a discount of $3.50 a tonne to the January contract, 50 cents narrower.
Benchmark diesel refining margins were at $11.30 a barrel, up from $10.92 a barrel. DIESEL Fourteen diesel barges traded at discounts of 75 cents to $1.25 a tonne fob ARA to Ice December low-sulphur gasoil futures, unchanged from Friday's trades. Litasco, Vitol and Licorne sold to BP.
No cargoes traded.
JET FUEL No barges of jet fuel traded.
Shell sold to BP one cargo at a premium of $29 a tonne cif Rotterdam to the December diesel futures.
FUEL OIL
Barges of 3.5 percent sulphur content fuel oil traded at $252.50-$254 a tonne fob ARA, down from $256.75 - $257.50 a tonne on Thursday.
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