SINGAPORE: Asia’s cash premiums for 0.5% very low-sulphur fuel oil (VLSFO) climbed on Monday, lifted by steady buying interests and firmer deals in the physical market.

Cash differentials for Asia’s 0.5% VLSFO were at a premium of $22.16 a tonne to Singapore quotes, compared with $21.30 per tonne on Thursday.

The front-month VLSFO crack rose to $23.85 per barrel against Dubai crude during Asian trade on Monday, compared with $23.33 per barrel on Thursday.

Cash premiums for 380-cst high sulphur fuel oil (HSFO) climbed to $24.58 per tonne to Singapore quotes, compared with $23.68 per tonne on Thursday.

The cash differentials for 180-cst HSFO were at a premium of $39.50 per tonne to Singapore quotes, 15 cents lower from Thursday.

China refined 2% less oil in March than a year earlier, with throughput falling to its lowest level since October as a surge in crude oil prices squeezed margins and tight COVID-19 lockdowns hurt fuel consumption.

Refining volume last month was 58.59 million tonnes, equivalent to 13.8 million barrels per day (bpd), data from the National Bureau of Statistics (NBS) showed on Monday. That compares with 14.08 million bpd in March 2021 and 13.98 million bpd in the January-February period this year.

First-quarter throughput in China fell 1.5% year-on-year to 171.44 million tonnes, or 13.91 million bpd, the data showed.

Oil edged lower on Monday as worries over slowing demand in China balanced support from concern over tight global supply and the deepening Ukraine crisis.

The Kremlin said on Monday there was still time for so-called “unfriendly” countries to switch to payments for gas in roubles. Spokesman Dmitry Peskov declined to disclose information on how many countries have agreed to do so.