NEW DELHI: Asian gasoil markets continued to weaken on Tuesday after posting weekly decline for two straight weeks, due to poor demand outlook in China caused by COVID-19 restrictions.
Refining margins, also known as cracks, for 10 ppm gasoil fell to $34.85 a barrel over Dubai crude during Asian trading hours, compared with $36.29 per barrel on Friday.
Cash premiums for gasoil with 10 ppm sulphur content fell to $5.80 a barrel to Singapore quotes, compared with $6.59 per barrel in the last session.
Meanwhile, price reporting agency S&P Global Platts said on Tuesday it will no longer reflect products with Russian origin in its open origin European diesel and gasoil cargo assessments effective June 1.
The agency also said it will launch a new assessment for ultra-low-sulphur diesel cargoes on a cost, insurance and freight (CIF) basis in northwest Europe which reflects all origins, including Russia.
Russian crude output fell by nearly 9% to 9.16 million barrels per day (bpd) compared with March levels, according to assessments by OPEC+ secondary sources, an internal report seen by Reuters on Tuesday showed. Oil hit its highest in seven weeks on Tuesday, supported by the European Union’s ongoing push for a ban on Russian oil imports that would tighten supply and as investors focused on higher demand from an easing of China’s COVID lockdowns.