Europe Distillates-Diesel margins steady after ARA stocks rise

Reuters11-15
Europe Distillates-Diesel margins steady after ARA stocks rise

LONDON, Nov 14 (Reuters) - Northwest European diesel barge profit margins held steady on Thursday at $17.30 a barrel after data showed a sharp rise in regional stocks, which were however offset by a decline in U.S. inventories.

  • Gasoil stocks independently held in the Amsterdam-Rotterdam-Antwerp $(ARA)$ refining and storage hub rose by over 18% in the week to Thursday to their highest in six weeks, data from Dutch consultancy Insights Global showed.

  • Stocks stood at 2.42 million metric tons, rising as large cargoes from the Middle East discharged in the region, Insight Global's Lars van Wageningen said. He added that demand for heating oil from inland locations was robust.

  • U.S. distillate stockpiles, which include diesel and heating oil, fell last week by 1.4 million barrels to 114.4 million barrels, versus expectations for a 200,000-barrel rise, EIA data showed.

  • Global oil supply will exceed demand in 2025 even if OPEC+ cuts remain in place, the International Energy Agency $(IEA)$ said on Thursday, as rising production from the United States and other outside producers outpaces sluggish demand.

  • "European diesel demand begins to strengthen as winter approaches, supported by stock draws and a widening backwardation. Reduced inflows due to limited arbitrage opportunities are also providing support," said LSEG analyst Rakesh Varma.

  • EU and UK diesel and gasoil imports are on track to reach 1.41 million barrels per day this month, up from 1.26 million bpd in October, Kpler data showed.

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)

Diesel cargo

diffs cif Med

per tonne

DL-CIFD-MED

Dec $10 (Malta)

OMV

BP

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)

Fuel Oil

Trades

Bids

Offers

Previous Session

Seller

Buyer

0.5% barge fob ARA per tonne

3.5% barge

fob ARA per tonne HFO-ARA

ICE Low Sulphur Gasoil

LGOc1

Previous

Diesel ARA Barge Cracks vs Brent futures (per barrel)

$17.30

$17.24

Diesel spread

LGOc1-LGOc2

(Reporting by Ron Bousso;Editing by Marguerita Choy)

((ron.bousso@thomsonreuters.com))

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