Asia’s middle distillates market activity were slightly muted, with price fluctutations also minimal, though January refiner sales were ongoing.
January discussions remained underway for some northeast Asia spot cargoes, with traders saying that buying interest remains mostly at discounted levels.
More refiner spot sales could emerge in the next few trading sessions from northeast Asia, though trading activity is still likely to slow ahead of the holiday season.
India refiners were the main sellers in action today, with both MRPL and Nayara Energy offering their January cargoes via sale tenders that close the next two days.
Refining margins closed the trading session little changed at two-week high levels, slightly above $16 a barrel.
Cash differentials dipped 11 cents from the previous session to 42 cents a barrel, a reflection of the narrower market backwardation and roll over in assessment months.
Regrade for January widened back to a discount of 60 cents a barrel.
SINGAPORE CASH DEALS
– No deals for both markets
NEWS
– China’s refinery throughput in November recorded its first rise in eight months, official data showed on Monday, as Beijing’s stimulus underpinned manufacturing activities and oil demand.
– China’s industrial output growth quickened slightly in November, while retail sales disappointed, keeping pressure on Beijing to ramp up stimulus for a fragile economy as it braces for more U.S. trade tariffs under a second Trump administration.
– Fires that broke out in a number of reservoirs in Libya’s Zawiya refinery have been brought under control, Khaled Abulgasem Gulam, spokesperson for the country’s National Oil Corporation (NOC), said in a statement on Sunday.
– Singapore’s ChemOne Group has delayed the start of its Pengerang Energy Complex (PEC) to the fourth quarter of 2028, with construction set to begin by mid-2025, it said on Monday, after securing more financing for the project.
– China’s refined oil consumption peaked in 2023 at 399 million metric tons (7.98 million barrels per day) and is expected to fall 1.3% to 394 million tons in 2024, CNPC Economics & Technology Research Institute said on Friday.
– Two Russian tankers that spilled oil into the Kerch Strait after sustaining serious damage during a heavy storm on Sunday were carrying 9,200 metric tons (62,000 barrels) of oil products at the time, the state TASS news agency reported.
Source: Reuters (Reporting by Trixie Yap; Editing by Mohammed Safi Shamsi)