Refining margin for 10ppm sulphur gasoil logged weekly increases of over 10% as of Friday, with regional supplies still poised for some tightness.
December gasoil crack GO10SGCKMc1 closed higher from the previous session at premiums above $17 a barrel on Friday.
Meanwhile, spot premiums GO10-SIN-DIF held near levels of about 50 cents a barrel, with one window trade emerging.
Regional supplies of gasoil could further tighten due to limited outflows from China, based on LSEG Oil Research this week.
On the jet fuel front, spot premiums also held to their recent strength, with higher-priced bids emerging on the window.
Reflecting the stronger performance in gasoil derivatives, the regrade spread JETREG10SGMc1 narrowed to a premium of 60 cents a barrel by Friday.
SINGAPORE CASH DEALS O/AS
– One gasoil deal, no jet fuel deal.
INVENTORIES
– U.S. distillate stockpiles, which include diesel and heating oil, fell by 100,000 barrels in the week to 114.3 million barrels, versus expectations for a 20,000-barrel decline. EIA/S
– ARA gasoil stocks, which include diesel and heating oil, declined by 2% to 2.37 million tons due to strong demand in inland markets up the Rhine river, data from Dutch consultancy Insights Global showed.
NEWS
– The United States imposed new sanctions on Russia’s Gazprombank on Thursday, the Treasury Department said, as President Joe Biden steps up actions to punish Moscow for its invasion of Ukraine before he leaves office in January.
– China’s crude oil imports are set to rebound in November after sharp price cuts boosted demand for Iraqi and Saudi oil, offsetting a drop in Iranian supply, according to analysts, traders and shiptracking data.
– Several ships in Singapore and Rotterdam reported operational problems in recent months after using marine fuel blended with cashew nutshell liquid biofuel, fuel testing agency CTI-Maritec said in an advisory.
Source: Reuters (Reporting by Jeslyn Lerh; Editing by Shreya Biswas)