Asia Naphtha/Gasoline-Naphtha crack hits nearly one-month low on higher stocks, oil prices

Reuters01-08

SINGAPORE, Jan 8 (Reuters) -

Asia's naphtha refining margins declined to a near one-month low on Wednesday as inventories at global refining hubs climbed while crude oil prices strengthened.

The crack fell $4.25 to $93.82, its weakest level since Dec. 9.

Light distillate stocks at the Fujairah trading hub rose by 466,000 barrels to a near one-month high of 6.534 million barrels. The inventories last exceeded that level in the week of Dec. 16.

In the gasoline market, U.S. stockpiles were up 7.33 million barrels last week, according to market sources citing American Petroleum Institute Figures on Tuesday.

Gasoline cracking margins were unchanged at $7.21 as no deals for the benchmark octane grade took place by the end of the session.

NEWS

Oil prices rose on Wednesday as supplies from Russia and OPEC members tightened while data showing an unexpected increase in U.S. job openings pointed to expanding economic activity and consequent growth in oil demand.

OPEC oil output fell in December after two months of increases, a Reuters survey found, as a drop from the United Arab Emirates due to field maintenance and from Iran offset a hike from Nigeria and other gains elsewhere in the group.

Shell on Wednesday said its oil and gas trading results are expected to be significantly lower than in the previous three months.

Exxon Mobil signalled on Tuesday that sharply lower oil refining profits and weakness across all its businesses would reduce its fourth-quarter earnings by about $1.75 billion from the prior quarter.

SINGAPORE CASH DEALS

No naphtha and gasoline trades for the day.

PRICES

CASH ASIA CLOSE Change Prev RIC

OSN Naphtha CFR Japan 671.50 7.00 664.50 <NAF-1H-TYO

M1 ($/mt) >

OSN Naphtha CFR Japan 666.00 7.00 659.00 <NAF-2H-TYO

M2 ($/mt) >

OSN Naphtha Diff 5.50 0.00 5.50 <NAF-TYO-DI

($/mt) F>

Naphtha Netback FOB 72.61 0.83 71.78

Sing ($/bbl)

Naphtha Diff FOB Sing 0.40 0.00 0.40 <NAF-SIN-DI

Naphtha-Brent Crack 89.57 -4.25 93.82 <NAF-SIN-CR

($/mt) K>

Gasoline 97 ($/bbl) 88.04 1.50 86.54

Gasoline 95 ($/bbl) 88.70 1.50 87.20

Gasoline 92 ($/bbl) 84.80 1.50 83.30

Gasoline crack ($/bbl) 7.21 0.00 7.21 <GL92-SIN-C

RK>

For a list of derivatives prices, including margins, please double click

the RICs below.

Brent M1

Naphtha CFR Japan M1

Naphtha CFR Japan M1/M2

Naphtha CFR Japan M2

Naphtha Japan-Sing

Netback M1

Naphtha Japan-Sing

Netback M2

Naphtha FOB Sing M1

Naphtha FOB Sing M1/M2

Naphtha FOB Sing M2

Naphtha Cracks M1

East-West Naphtha M1

East-West Naphtha M2

NWE Naphtha M1

NWE Naphtha M1/M2

NWE Naphtha M2

Crack NWE Naphtha-Brent

*Sing refers to

Singapore

(Reporting by Gabrielle Ng; Editing by Varun H K)

((gabrielle.ng@thomsonreuters.com;))

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Asia Naphtha/Gasoline-Naphtha crack hits nearly one-month low on higher stocks, oil prices

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