Benchmark northwest European gasoline refining margins edged lower on Tuesday, pressured by refineries returning from seasonal maintenance and higher oil prices. Industry monitor Genscape said on Tuesday that the gasoline-making fluid catalytic cracker at the 200,000 barrel per day (bpd) Sannazzaro Refinery was being prepared for a restart. JBC Energy said in a note that Indian product exports fell to a nine-year low in April, particularly for gasoline and diesel.
"While we maintain our position that additional upside to demand should weigh on exports out of the country overall, the downside from turnarounds should have eased by now," the note said. Indian Oil Corp (IOC), the country's top refiner, will turn to its traditional oil suppliers, mostly in the Middle East, if US sanctions against Iran result in supply disruptions, its head of finance said.
No EBOB barges traded in the afternoon trading window, but an offer emerged at $756 a tonne fob ARA, compared with bids at $755 and $756 a tonne fob ARA on Friday. Elsewhere, 5,000 tonnes of Eurobob gasoline traded. Two barges moved at $758 and one at $763 a tonne fob Amsterdam-Rotterdam, up from $753 on Monday. Gunvor sold all to Finco and Shell.
Gunvor also sold a barge of E10 at $758 a tonne, up from $749.50-$750.50 on Monday. Three barges of premium unleaded gasoline sold at $767 a tonne fob ARA. Statoil sold two to BP and AOT sold one to Statoil. The deals were up from $754 a tonne fob ARA. The June swap stood at $765.50 a tonne at the close, up from $754.50. The benchmark EBOB gasoline refining margin fell to $10.52 a barrel from $10.69. Brent crude futures were up 96 cents at $81.18 a barrel by 1618 GMT.