Asia Naphtha, Fuel Oil Decline; Gasoil Profits Rise: Oil Product
Asia refining margins from naphtha and fuel oil fell this week. Profits from making gasoil rose for the first week in three.
December swaps for naphtha, a petrochemicals and gasoline feedstock, slid 1.3 percent to $882 a metric ton at 11:35 a.m.Singapore time, according to data from PVM Oil Associates Ltd, a London-based broker. Prices gained 2.1 percent this week.
The swap value was at a premium of $57.85 a ton to Brent oil, down from $61.88 a ton at the end of Asian trading Nov. 24, according to data compiled by Bloomberg.
Singapore’s stockpiles of light distillates rose to the highest level in more than eight months, data from the Ministry of Trade and Industry yesterday showed.
High-sulfur fuel-oil swaps fell $8.50, or 1.3 percent, to $656.25 a ton today, PVM data showed. Prices rose 25 cents from a week earlier.
Fuel oil’s discount to Dubai crude, a measure of refining losses from the fuel, widened 33 percent to $5.34 a barrel from $4 a week earlier.
The premium of 180-centistoke fuel oil to the 380-centistoke grade was at $13.50 a ton from $14.50 on Nov. 25.
Gasoil’s premium to Dubai crude rose 51 cents, or 2.7 percent, to $19.17 a barrel this week. The spread has gained for the first time in three weeks.
January swaps for gasoil gained 52 cents, or 0.4 percent, to $125.47 a barrel today and has increased 1.7 percent this week. Jet fuel’s premium to gasoil, also known as the regrade, was at $1.25 from $1.50 a week earlier.
Why Spencer Ogden
We’ve won awards for what we do
Proactive, professional and passionate about recruitment is how we do it. Our Graduate Academy is an intensive training ground for the world’s top graduates. Thanks to the know-how of leading managers and directors, we turn them into the best recruitment professionals in the industry.Join our team