Europe Distillates-Diesel margins climb at contract expiry
LONDON, Nov 12 (Reuters) -Northwest European diesel barge profit margins rose to about $17.60 a barrel on Tuesday, after the front month diesel futures contract expired.
Deliveries of low-sulphur gasoil LGOc1 for November fell to 854 lots or 85,400 tonnes at expiry, down from 3,290 lots in October, InterContinental Exchange (ICE) data showed on Tuesday.
The contract expired at $664.5 a tonne, down from $706 a tonne at the October expiry.
Litasco sold a diesel cargo to Trafigura for Thames delivery in the Platts afternoon trading window.
In the Mediterranean market, trading sources said that Greece's Hellenic was offering a ULSD cargo through a tender for 20-27 November loading. Meanwhile, Socar also offered a ULSD cargo loading in Aliaga, Turkey, on 26-28 November.
Traders were also engaged in discussions over term tenders, sources added.
EU and UK diesel and gasoil imports are on track to reach 1.07 million barrels per day this month, down from 1.26 million bpd in October, Kpler data showed.
The Dangote Oil Refinery has capacity to produce winter diesel for the European market, an executive said on Tuesday, a further indication of its potential to disrupt the global refining market.
The refinery, which is obliged by the government to sell locally to reduce demand for U.S. dollars, has struggled to distribute petrol in Nigeria, largely due to pricing. Last month, Aliko Dangote said the refinery had a stockpile of 500 million litres of petrol.
OPEC cut its forecast for global oil demand growth this year and next on Tuesday, highlighting weakness in China, India and other regions, marking the producer group's fourth consecutive downward revision in the 2024 outlook.
Trades | Bids | Offers | Previous Session | Seller | Buyer | |
|---|---|---|---|---|---|---|
0.1 GO Barge diffs fob ARA per tonne GO-ED-ARA | ||||||
0.1 GO Cargo diffs cif NWE per tonne GO-CND-NWE | ||||||
0.1 GO Cargo diffs cif Med per tonne GO-CND-MED | Dec +$5 | |||||
50ppm barge diffs fob ARA per tonne GO50PPM-ED-ARA | ||||||
Diesel | Trades | Bids | Offers | Previous Session | Seller | Buyer |
Diesel barge diffs fob ARA per tonne ULSD10-BD-ARA | ||||||
Diesel cargo diffs cif NWE per tonne ULSD10-ANYD-NWE | Dec +$8 (Thames) | Litasco | Trafigura | |||
Diesel cargo diffs cif Med per tonne DL-CIFD-MED | Dec +$9.50 | |||||
Jet fuel | Trades | Bids | Offers | Previous Session | Seller | Buyer |
Jet fuel barge diffs fob FARAG per tonne JET-BD-ARA | ||||||
Jet fuel cargo cif NWE per tonne JET-CD-NWE | CCM -$2.50 (IoG) | Glencore | BP |
Fuel Oil | Trades | Bids | Offers | Previous Session | Seller | Buyer |
0.5% barge fob ARA per tonne | $484-$488 | |||||
3.5% barge fob ARA per tonne HFO-ARA | $440-$460 |
ICE Low Sulphur Gasoil | LGOc1 | Previous |
Diesel ARA Barge Cracks vs Brent futures (per barrel) | $ | $16.40 |
Diesel spread | LGOc1-LGOc2 |
Reporting by Ahmad Ghaddar; editing by Alan Barona
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
