NEW DELHI: Asia’s naphtha refining profit margin on Friday turned negative, for the first time since April 2020 amid poor demand and ample supplies, market watchers said.

The crack plunged to minus $3.23 a tonne, down $9.23 from Thursday. Naphtha margins have more than halved in May.

The gasoline crack in the region, however, climbed to $28.27 a barrel from $26.20 on Thursday amid robust driving season consumption.

“Looking ahead, we may see global gasoline cracks cool somewhat similar to middle distillates as supply increases on the back of a strong pick up in refinery runs amid this high margin environment,” energy consultancy Vortexa said in a note.

Sri Lanka’s Ceypetco issued a tender to buy 300,000 barrels of the benchmark 92-octane grade motor fuel for delivery during 16-17 July. The tender closes on June 7.

Oil prices rose on Friday and were on track for weekly gains, supported by a prospect of a tight market due to rising gasoline consumption in the United States in summer, and also the possibility of an EU ban on Russian oil.