NEW DELHI: Asia’s naphtha crack rose for a second straight session on Tuesday after prices surged due to a spike in crude oil benchmarks.
The refining profit margin rose to $165.15 per tonne, up $2.52 from the last close, while the inter-month time spread widened in backwardation structure for a second day running to $26.25 a tonne.
The gasoline crack, on the other hand, inched lower to $12.55 per barrel, down 20 cents from the Monday close, but the downside remained limited on firm demand prospect from India. India’s demand for gasoline, used mainly in passenger vehicles, is expected to rise by 7.8% to 33.3 million tonnes in the next fiscal year beginning April 1, initial government estimates showed.
Oil hit its highest since 2014 as tensions between Russia and Ukraine escalated after Moscow ordered troops into two breakaway regions in eastern Ukraine, adding to supply concerns that are pushing prices to near $100 a barrel.
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