LONDON: Gasoline refining margins in northwest Europe slipped on Thursday, tracing lower gasoline prices as markets refocused on global crude oversupply, underscored by an International Energy Agency report warning of a continued glut next year.
Gasoline stocks independently held at the ARA hub dropped 9 percent in the week to Thursday, data from PJK International showed.
In the US, gasoline stocks fell 2.8 million barrels last week, surpassing expectations in a Reuters poll for a 1 million-barrel drop.
Some 38 million barrels of gasoline, middle distillates and fuel oil have disappeared from the world's tanks since January, a rate of 140,000 bpd, helping drain some of the 400 million-barrel excess the IEA noted at the end of 2015.
Stocks "still have some way to go" before hitting the "normal" historical range, the IEA said adding more energy demand is being supplied from outside the refining sector, via naphtha and LPG.
The US EPA said it plans to deny petitions from oil groups to make changes to the country's biofuels program that would ease pressure off merchant refiners now obligated to spend millions of dollars to comply with biofuels regulations.
PES is attempting to restart the 50,000 bpd FCC unit at the Point Breeze section of its refinery complex after a failed restart earlier this week, according to a source familiar with the plant's operations.
Puma Energy, co-owned by Trafigura and Angola's state oil company, has expanded its UK footprint by acquiring from Britain's BP a Belfast, Northern Ireland, storage terminal for gasoline, diesel and jet fuel.
GASOLINE
No barges trades of benchmark Eurobob gasoline emerged in the afternoon trading window.
Bids surfaced at $442 a tonne fob ARA but there were no offers.
Earlier in the day, 7,000 tonnes of benchmark gasoline traded at between $456.00 and $446.50 a tonne fob ARA towards the end of the day with Vitol and Rolympus selling to Varo, Finco and Mabanaft.
That compares to trades at $449-450 a tonne fob ARA on Wednesday.
Shell and Gunvor sold barges of premium unleaded gasoline to Total both at $456 a tonne fob ARA, a touch below $457 on Wednesday.
The December swap stood at around $441 a tonne at the close, just below the $442 on Wednesday.
Gasoline barge refining margins stood at $9.047 a barrel, down from $9.30 a barrel on Wednesday.
US December RBOB gasoline futures were trading 1.4 percent lower at $1.3385 a gallon.
The US gasoline crack traded at $11.50 a barrel, down from $11.82 at the previous close.
NAPHTHA
No trades were reported.
Comments
Comments are closed for this article.