Asia’s gasoline markets gained on Wednesday on fears of supply disruption due to unplanned outage at Thai Oil’s crude distillation unit.

The crack rose to $10.90 per barrel over Brent crude, compared with $10.81 a day earlier. A series of trades at the Singapore window also supported the crack.

Thailand on Wednesday ordered traders to suspend diesel exports, while Thai Oil Plc repairs its crude distillation unit in Chon Buri province.

It was unclear how long the exports suspension would last, but the ministry’s director-general, Sarawut Kaewtathip, said it was aimed at preventing local shortages of diesel during a 13-day maintenance period ending Jan. 28.

There are no problems with supply of gasoline and jet fuel but high-speed diesel supply is “quite tight”, he said.

In naphtha markets, the margin continued to fall for a second day even as stocks at key trading hub Fujairah declined.

NEWS

– Supply cuts by OPEC+, costly shipments from some traditional Middle East suppliers and geopolitical tension is driving India, the world’s third-biggest oil importer, to diversify its crude sources and accelerate its energy transition, its Oil Minister Hardeep Singh Puri said.

– Global oil markets will cope with Red Sea disruptions in the short run, although prolonged attacks by the Houthis on ships would lead to a shortage of tankers due to longer voyages and a supply delay, the CEO of Saudi oil giant Aramco said.

SINGAPORE CASH DEALS

Four gasoline trades, no naphtha deals.
Source: Reuters (Reporting by Mohi Narayan; Editing by Sohini Goswami)