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Markets

Diesel cracks slip on higher crude prices

Published Updated

LONDON: Benchmark northwest European diesel refining margins fell on Tuesday, pressured by rising oil prices.

* Diesel demand in the barge market was slow on Tuesday, with a single barge changing hands in the afternoon trading window.

* Looming refinery maintenance in Europe is expected to support margins, traders said.

* Traders expect about 1.5 million barrels per day (bpd) of refining capacity to be offline in Europe in September.

* BP said it will begin a planned shutdown at the end of August on "some production facilities" at the Scholven site of its Gelsenkirchen oil refinery in Germany.

* Various units at the plant will be shut down for about seven weeks, BP said.

* Industry monitor Genscape detected slowing furnace stack activity on the vacuum distillation and fluid catalytic cracking units at Total's Antwerp oil refinery. Total declined to commend on the plant's operations.

Copyright Reuters, 2019

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