NEW DELHI: Asia’s naphtha crack gained on Tuesday as a 2% rise in crude oil benchmarks, due to easing Omicron fears, and boosted prices. The refining profit margin climbed to $148.78 per tonne from $140.68 in the last session. However, the upside remained capped due to muted oil consumption in the region.
In physical markets, Equinor and Shell purchased a cargo of first-half February loading naphtha each. Meanwhile, gasoline crack extended gains on strong demand prospects in the region. The refining profit margin rose to $9.47 a barrel, up 11 cents from last close.
On the consumption side, Pakistan’s state oil company PSO issued a series of tenders seeking February delivery of the benchmark 92-octane grade and the higher 95-octane grade gasoline.
Meanwhile, U.S. stockpiles of gasoline likely rose about 1.6 million barrels last week, according to a Reuter’s poll, indicating weak demand. Oil prices extended gains on Tuesday from a near 5% rebound the day before as concerns about the impact of the Omicron corona virus variant on global fuel demand eased and Iran nuclear talks stalled, delaying the return of Iranian crude.
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