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Asia Distillates-Margins up on demand, but below $16
March 14, 2012 / 11:18 AM / 6 years ago

Asia Distillates-Margins up on demand, but below $16

SINGAPORE, March 14 (Reuters) - Asian gasoil margins
inched up, erasing the previous day's losses, as demand from
Yemen and Sri Lanka supported, industry sources said.	
    But, overall demand is still not adequate to cause a huge
increase in margins despite limited supply from refinery
turnarounds in Asia, they added.	
    Gasoil's crack for April and May gained 48 cents and 53
cents to $15.52 and $16.78 a barrel over Dubai crude. While July
cracks are at around $18 a barrel, the value looks too high
given that more supply will be added once the refineries
complete maintenance, a Singapore-based trader said.	
    Yemen has bought at least 400,000 tonnes of gasoil for April
to June delivery, a higher volume than it initially sought as
its main refinery remains shut, industry sources said.
 	
    Aden has bought at least eight cargoes of 50,000 tonnes each
of high sulphur gasoil per month from April to June in the spot
market.  	
   Swiss oil trader Vitol will supply most of the cargoes, with
the remaining cargoes to be supplied by France's Total SA
, the sources said.  	
   Aden will pay premiums of between $4.50 and $4.80 a barrel to
Middle East quotes on a delivered basis for all the cargoes,
they added.  	
    In Sri Lanka, Ceylon Petroleum Co is set to award its March
and April gasoil and gasoline combination cargoes to Vitol and
ENOC Singapore respectively. 	
    More support was also seen from Lebanon and Zambia as both
countries emerged in the spot market seeking large volumes,
which could potentially be supplied from Asia.	
    Lebanon is seeking 150,000 tonnes of 0.5 percent sulphur
gasoil for delivery for April-June while Zambia is seeking
nearly 1.36 million barrels (183,000 tonnes) of 500 ppm sulphur
diesel for land deliveries.  	
    	
    For exchange of futures for swaps (EFS) curve, click
     	
    	
    * TENDERS: Formosa has offered 300,000 barrels of jet fuel
for loading over Apr. 17-23. The tender closes on Mar. 15 and is
valid for the same day.	
    - Lebanon is seeking 150,000 tonnes of gasoil for delivery
over Apr.-Jun. The tender closes on Mar. 15.	
    - Zambia is seeking 1.36 million barrels for delivery over
one year starting from June. The tender closes on Mar. 23.	
     	
    * CASH DEALS: No jet deals, three gasoil deals.	
    -  BP Singapore bought 150,000 barrels of 0.5 percent
sulphur gasoil for loading over Mar. 29-Apr. 2 from Hin Leong at
$137.20 a barrel.	
    - Hin Leong sold 200,000 barrels of 0.5 percent sulphur
gasoil for loading over Apr. 1-5 to Trafigura at a discount of
20 cents a barrel to the average of Mar. 28-Apr. 3 Singapore
quotes.	
    - Shell sold 150,000 barrels of 0.5 percent sulphur gasoil
for loading over Mar. 29-Apr. 2 to BrightOil at a discount of 30
cents a barrel to  the average of Mar. 29-Apr. 4 Singapore
quotes.     	
    	
 MID-DISTILLATES                                                                        
 CASH ($/T)               ASIA CLOSE       Change   % Change   Prev      RIC
                                                               Close     
 Spot Gas Oil 0.5%                 137.66     0.45       0.33    137.21  GO-SIN
 GO 0.5 Diff                        -0.18    -0.03      20.00     -0.15  GO-SIN-DIF
 Spot Gas Oil 0.25%                138.75     0.44       0.32    138.31  GO25-SIN
 GO 0.25 Diff                        1.00     0.05       5.26      0.95  GO25-SIN-DIF
 Spot Gas Oil 0.05%                139.45     0.44       0.32    139.01  GO005-SIN
 GO 0.05 Diff                        1.70     0.05       3.03      1.65  GO005-SIN-DIF
 Spot Gas Oil 0.001%               140.85     0.39       0.28    140.46  GO10-SIN
 GO 0.001 Diff                       3.10     0.00       0.00      3.10  GO10-SIN-DIF
 Spot Jet/Kero                     137.42     0.60       0.44    136.82  JET-SIN
 Jet/Kero Diff                      -0.45     0.00       0.00     -0.45  JET-SIN-DIF
                                                                                        
 SWAPS  ($/T)             ASIA CLOSE       Change   % Change   Prev      PM (1130 GMT)
                          (0830 GMT)                           Close     
 Brent M1                          125.72    -0.13      -0.10    125.85  BRENTSGMc1
 Gasoil M1                         137.68     0.40       0.29    137.28  GOSGSWMc1
 Gasoil M1/M2                       -0.11     0.03     -21.43     -0.14  GOSGSPDMc1
 Gasoil M2                         137.79     0.37       0.27    137.42  GOSGSWMc2
 Regrade M1                         -0.15     0.22     -59.46     -0.37  JETREGSGMc1
 Regrade M2                          0.30     0.16     114.29      0.14  JETREGSGMc2
 Jet M1                            137.53     0.62       0.45    136.91  JETSGSWMc1
 Jet M1/M2                          -0.56     0.09     -13.85     -0.65  JETSGSPDMc1
 Jet M2                            138.09     0.53       0.39    137.56  JETSGSWMc2
 Gasoil 0.5%-Dubai                  15.52     0.48       3.19     15.04  GOSGCKMc1
 Cracks M1                                                               
 Gasoil 0.5%-Dubai                  16.78     0.53       3.26     16.25  GOSGCKMc2
 Cracks M2                                                               
 Jet Cracks M1                      15.82     0.64       4.22     15.18  JETSGCKMc1
 Jet Cracks M2                      17.10     0.60       3.64     16.50  JETSGCKMc2
 East-West M1                       -8.59    -0.24       2.87     -8.35  LGOAEFSMc1
 East-West M2                       -7.60     0.98     -11.42     -8.58  LGOAEFSMc2
 LGO M1                           1035.13     3.00       0.29   1032.13  LGOAMc1
 LGO M1/M2                          -0.50     1.00     -66.67     -1.50  LGOASPDMc1
 LGO M2                           1035.63     2.00       0.19   1033.63  LGOAMc2
 Crack LGO-Brent M1                 13.22     0.53       4.18     12.69  LGOACKMc1
 Crack LGO-Brent M2                 13.81     0.31       2.30     13.50  LGOACKMc2
 	
 (Reporting by Jessica Jaganathan)

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