LONDON: Gasoline refining margins in northwest Europe extended their losses on Thursday, sliding below $8 a barrel for the first time since late July, as a supply overhang continued to weigh and as crude prices jumped.
Europe gasoline exports have been ticking along, but not at a rate high enough to soak up excess supplies, traders said.
Oil prices rose over 3 percent after comments from the Saudi oil minister about possible action to stabilize prices triggered a round of buying and the International Energy Agency forecast crude markets would tighten in the second half of 2016.
Gasoline stocks independently held in the ARA storage hub fell for a third straight week, dropping more than 5 percent in the week to Thursday as overseas demand for the motor fuel grew, Dutch consultancy PJK International said.
Several gasoline tankers left the region in recent days for the United States, Mexico, Brazil, and to West and North Africa, PJK's Patrick Kulsen said.
US gasoline stocks were also down, falling 2.8 million barrels last week.
But gasoline imports to the US East Coast (PADD1) rose sharply last week to 794,000 barrels per day, up nearly 200,000 bpd from the previous week.
GASOLINE
There were no Eurobob trades during the afternoon trading window, but bids came in at $437 a tonne fob ARA, compared with a trade the previous day at $428 a tonne.
Some 14,000 tonnes traded throughout the day at $422-$439 a tonne fob Amsterdam-Rotterdam, compared with $437-$443 a tonne.
Gunvor and Total sold to Shell and Rolympus.
Four barges of premium unleaded gasoline traded at $458-$460 a tonne fob ARA, up from $442 a tonne. Rolympus and Vitol sold to Total.
Gasoline barge refining margins fell to $7.45 a barrel, from $9.30 a barrel.
The September swap stood at around $445.50 a tonne at the close, up from $433 a tonne.
Brent crude oil futures were up $1.55 to $45.60 a barrel by 1542 GMT.
US August RBOB gasoline futures were up 3.27 percent at 1.3440 a gallon.
The US gasoline crack was trading at $13.25 a barrel, up slightly from $13.10 a barrel.
NAPHTHA
BP sold to Koch at $355 a tonne cif NWE.
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