Europe Distillates-Diesel profit margins soften on oversupply

China Aviation Oil (Singapore)

28/10/2024 17:35

LONDON, Oct 28 (Reuters) - Northwest European diesel
barge profit margins fell slightly to $14.84 a barrel on Monday,
weighed down by high supplies.
    *         EU and UK diesel and gasoil imports are on track
to
reach 1.38 million barrels per day in October, according to
Kpler data, up from 1.23 million bpd in September.
      
    * Trading sources said Socar's STAR refinery in Turkey
recently
issued two tenders to sell ULSD cargoes for late October and
early November loading, indicating the refinery maintenance
shutdown was going according to plan. The 200,000 bpd plant
began the maintenance in early September and it was expected to
last for about two months.  
    * Chinese refiner Sinopec  0386.HK600028.SS  posted a 52.1%
year-on-year decline in net profit to 8.54 billion yuan ($1.2
billion) for the third quarter because of lower oil prices and
weak refining margins.
    * Refinery output was dragged down by a drop in diesel
production,
which fell 10.7% to 43.29 million tons. 
    * The company said China's apparent consumption of gasoline,
diesel and jet fuel fell 1% during the first nine months,
dragged down by falling diesel demand. Domestic consumption of
natural gas rose 9.5% during the period and ethylene consumption
grew 3.9%.
    * China Aviation Oil  CNAO.SI , a subsidiary of state-owned
China
National Aviation Fuel Group, is seeking to buy two cargoes of
jet fuel for November delivery into Shanghai and Huangpu via
tenders in a rare move, four sources with knowledge of the
matter said on Monday.


                   Trades  Bids   Offers  Previou  Seller  Buyer
                                          s                
                                          Session          
 0.1 GO Barge                                              
 diffs fob ARA                                             
 per tonne                                                 
  GO-ED-ARA                                                
 0.1 GO Cargo              Dec                             
 diffs cif NWE             +$4                             
 per tonne                                                 
  GO-CND-NWE                                               
 0.1 GO Cargo                     Med                      
 diffs cif Med                    +$5                      
 per tonne                                                 
  GO-CND-MED                                               
 50ppm barge                                               
 diffs fob ARA                                             
 per tonne                                                 
  GO50PPM-ED-ARA                                           
                                                           
 Diesel            Trades  Bids   Offers  Previou  Seller  Buyer
                                          s                
                                          Session          
 Diesel barge                                              
 diffs fob ARA                                             
 per tonne                                                 
  ULSD10-BD-ARA                                            
 Diesel cargo              Nov    Nov                      
 diffs cif NWE             +$5.7  +$6                      
 per tonne                 5                               
                                                          
 Diesel cargo      Med     Nov+$                           
 diffs cif Med     +$2     7.25                            
 per tonne                                                 
  DL-CIFD-MED                                              
                                                           
 Jet fuel          Trades  Bids   Offers  Previou  Seller  Buyer
                                          s                
                                          Session          
 Jet fuel barge                                            
 diffs fob FARAG                                           
 per tonne                                                 
  JET-BD-ARA                                               
 Jet fuel cargo                                            
 cif NWE per                      Nov                      
 tonne                            +$60                     
  JET-CD-NWE                                               
 
 Fuel Oil      Trades   Bids   Offers  Previous  Seller  Buyer
                                       Session           
 0.5% barge                            $510-$52          
 fob ARA per                           3                 
 tonne                                                   
 3.5% barge                            $478-$51          
 fob ARA per                           5                 
 tonne                                                   
  HFO-ARA                                                
 ICE Low Sulphur Gasoil   LGOc1           Previous
 Diesel ARA Barge        $14.84           $15.17
 Cracks vs Brent                          
 futures (per barrel)                     
 Diesel spread            LGOc1-LGOc2     
 
 (Reporting by Ahmad Ghaddar; Editing by Richard Chang)
 ((Ahmad.Ghaddar@thomsonreuters.com; +442075424435; Reuters
Messaging: ahmad.ghaddar.thomsonreuters.com@reuters.net))