Asia Distillates-Diesel structure eases; jet fuel window deals brisk

SINGAPORE, Feb 4 (Reuters) - Asia's diesel market structures eased from the previous session, though March spot discussions were at higher levels month-on-month, while jet fuel window activity stayed upbeat.

Spot refiner sales for March cargoes were at higher floating price levels compared with February shipments, with deals at premiums of 10 to 25 cents per barrel.

More offers are expected to surface in the next few trading sessions. The February-March timespread went back to around $1 a barrel, giving back previous session gains.

However, ample supplies are expected drive markets in the near term, with multiple traders expecting more China exports to surface for March, given recent robust export margins.

Refining margins GO10SGCKMc1 barely moved, hovering at $20.3 a barrel.

Cash differentials GO10-SIN-DIF eased slightly, reflecting the softer market shape for February and March swaps, though firm bids on window limited declines.

Meanwhile for jet fuel, some traders were expecting better fundamentals to resurface on improving demand in the next two months amid regional holidays.

On demand, Indonesia's Pertamina started seeking for March delivery of the aviation fuel, while Vitol continued its buying spree on the window. MDIS/TENDA

Jet fuel cash differentials JET-SIN-DIF climbed further and closed at one-week high premiums of 66 cents per barrel.

SINGAPORE CASH DEALS O/AS

- No gasoil deal, one jet fuel deal

INVENTORIES

- U.S. crude and distillate stocks fell while gasoline inventories rose last week, market sources said, citing American Petroleum Institute figures on Tuesday. API/S

- Middle distillates stockpiles held at the Fujairah Oil Industry Zone declined for a second straight week to a three-week low of 2.893 million barrels in the week ended February 2, according to industry information service S&P Global Commodity Insights. FUJAIARAH/

REFINERY NEWS REF/OUT

- Marathon Petroleum plans to operate its 13 refineries at 85% of their combined 3-million barrel-per-day (bpd) capacity in the first quarter of 2026, said Maria Khoury, the refiner's new chief financial officer, during a Tuesday conference call.

NEWS

- Indonesia imported two cargoes of Russian oil in December and January, ship tracking data showed on Tuesday, rare purchases by the Southeast Asian country and a possible signal of Russian oil sellers seeking new markets in response to international pressure on other buyers.

- China's Shandong Nanshan Group plans to build an oil refinery on Indonesia's Bintan island, where the privately controlled firm operates a large alumina plant, according to three Chinese sources and an Indonesian official.

- A group of Iranian gunboats approached a U.S.-flagged tanker in the Strait of Hormuz north of Oman, maritime sources and a security consultancy said on Tuesday.

PRICES

(Reporting by Trixie Yap; Editing by Diti Pujara)

((trixie.yap@thomsonreuters.com;))