SINGAPORE: Asia’s cash premiums for 10 ppm gasoil slipped on Thursday, weighed by muted trading in the physical trade window.
Cash premiums for gasoil with 10 ppm sulphur content were down 9 cents at $2.21 a barrel to Singapore quotes.
The front-month time spread for the gasoil grade narrowed its backwardation on Thursday to trade at $2.40 per barrel, compared with $2.69 a barrel on Wednesday.
Refining margins, also known as cracks, for 10 ppm gasoil dipped to $17.98 a barrel over Dubai crude during Asian trade, down from $18.40 per barrel in the previous session.
Shell has become the first supplier of sustainable aviation fuel (SAF) in Singapore, and plans to start blending the fuel at its plant in the aviation hub, the company said on Thursday during an event at the Singapore Airshow. The first batch of SAF was blended in Europe, Shell said in a statement.
“We have delivered some (SAF) to our customers SIA Engineering Company and the Republic of Singapore Air Force,” said Doris Tan, head of aviation Asia Pacific & Middle East.
Shell has also completed an upgrade of its Singapore facility, which will enable it to blend SAF in the city-state itself, while it also aims to test the supply chain it is establishing for SAF in Asia.
Singapore’s middle distillate inventories inched up 0.3% to 7.5 million barrels in the week to Feb. 16, according to Enterprise Singapore data.
Weekly Singapore middle distillate inventories have averaged about 7.9 million barrels so far this year, compared with an average of 11.8 million barrels in 2021, Reuters calculations showed. This week’s stocks were 51.6% lower than a year earlier.
US distillate stockpiles fell by 1.6 million barrels in the week to Feb. 11, versus expectations for a 1.5 million-barrel drop, the Energy Information Administration said on Wednesday.
Comments
Comments are closed.