Europe Distillates-Diesel margins edge lower on higher supplies

Reuters
2024-12-04
Europe Distillates-Diesel margins edge lower on higher supplies

LONDON, Dec 3 (Reuters) - Northwest European diesel profit margins softened by about 50 cents to $17.80 a barrel on Tuesday on expectations that Russian supplies will rise this month.

  • In the Platts window, Aramco Trading and TotalEnergies sought ULSD cargoes in the Mediterranean for a second consecutive session, while Petroineos posted an offer. A Gunvor offer was at front month diesel futures +$13 a barrel was withdrawn. In the Mediterranean high-sulphur gasoil cargo market, Bayegan again sought a cargo, without attracting any selling interest. Gunvor offered a UK winter grade cargo for Amsterdam delivery.

  • Russia's exports of ultra low-sulphur diesel (ULSD) from the Baltic Sea port of Primorsk are set to rise by 23.2% in December to 1.4 million metric tons from 1.1 million scheduled for November, two traders said on Tuesday.

  • Diesel exports are increasing on rising fuel production as seasonal maintenance — and unplanned work — on refineries was completed, market sources added.

  • Russia expects to have 1.1 million tons of refining capacity offline in December, down from 2.4 million in November, Reuters calculations based on data from industry sources show.

  • Meanwhile, EU and UK diesel and gasoil imports are forecast to reach about 833,000 barrels per day (bpd) in December, according to Kpler, compared with 1.03 million bpd last month.

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

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 +$11

Diesel cargo

diffs cif Med

per tonne

DL-CIFD-MED

Dec +$4

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

Dec +$33

Fuel Oil

Trades

Bids

Offers

Previous Session

Seller

Buyer

0.5% barge fob ARA per tonne

$482.50

3.5% barge

fob ARA per tonne HFO-ARA

$438.25

ICE Low Sulphur Gasoil

LGOc1

Previous

Diesel ARA Barge Cracks vs Brent futures (per barrel)

$17.80

$18.30

Diesel spread

LGOc1-LGOc2

(Reporting by Ahmad Ghaddar; Editing by Alan Barona)

((Ahmad.Ghaddar@thomsonreuters.com; +442075424435; Reuters Messaging: ahmad.ghaddar.thomsonreuters.com@reuters.net))

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