Asia’s naphtha refining profit margin declined on Tuesday after crude oil benchmarks and underlying prices rose, traders and analysts said.

The crack NAF-SIN-CRK fell by about $1 to $76.07 per metric ton over Brent crude and the second-half January naphtha rose by $3 to $665.50 per ton.

At the deals window, there were no trades for naphtha. A flurry of deals for benchmark grade of gasoline lifted the cracks for the fuel, market players said.

The refining profit margin for gasoline GL92-SIN-CRK rose to $9.41 per barrel over Brent crude, compared with $8.59 a barrel a day earlier.

NEWS

– Two multi-billion-dollar petrochemical plants are coming online in India in the next few months at a time of weaker-than-expected demand, setting the stage for fierce price competition domestically and internationally, industry officials and analysts said.

– Oil output cuts agreed by the OPEC+ group will take time to kick in, the Kremlin said on Tuesday, as it confirmed that President Vladimir Putin would visit the United Arab Emirates and Saudi Arabia on Wednesday.

SINGAPORE CASH DEALS O/AS

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