Asia’s gasoline refining profit margin hovered near $4 per barrel over Brent crude on Wednesday amid poor demand and high regional supplies.

However, traders and analysts said the crack may have bottomed out and markets could see a slight recovery in demand as the summer months progress.

At the deals window, 50,000 barrels of benchmark-grade of gasoline changed hands at $89.10 a barrel, market participants said.

In naphtha markets, the crack rebounded to $62.88 per metric ton over Brent crude on hopes of improving downstream demand. In tenders, Japan’s AMEC and Mitsubishi Chemical were heard seeking naphtha supplies for August, market sources said.

NEWS

– A blaze at an oil depot in the town of Azov in Russia’s southern region of Rostov has been raging for more than 24 hours, local emergency services said on Wednesday.

– Vietnam’s government said on Wednesday that it is seeking investments from Russian state oil firm Zarubezhneft in the Southeast Asian country’s green energy sector.

– Oil prices were largely steady on Wednesday, near their highest levels in seven weeks as the market weighed concerns over escalating conflicts against demand worries following an unexpected build in U.S. crude inventories.
Source: Reuters (Reporting by Mohi Narayan; Editing by Savio D’Souza)