SINGAPORE, Oct 13 (Reuters) - Asian refining margins for 10 ppm gasoil slipped on Tuesday, as feedstock crude prices gained, while cash differentials for the industrial fuel edged higher amid steady buying interest for physical cargoes. Refining margins, also known as cracks, for 10 ppm gasoil dropped 9 cents to $4.20 a barrel over Dubai crude during Asian trading hours. The gasoil cracks have climbed 75.7% over the last two weeks, but they are still at their weakest seasonal levels on record, according to Refinitiv Eikon data that goes back to 2014. Ongoing run cuts at some regional refineries have helped tighten supplies, but demand continues to struggle amid extended coronavirus lockdowns in several markets, trade sources said. Meanwhile, the likelihood of Chinese refiners trying to exhaust their export quotas for the year would keep the regional gasoil market well-supplied in the near-term, traders added. Cash discounts for gasoil with 10 ppm sulphur contentwere at 46 cents a barrel to Singapore quotes, the smallest since Aug. 28. They were at 50 cents a barrel on Monday. The exchange of futures for swaps (EFS), which determines the gasoil price spread between Singapore and Northwest Europe, traded around minus $5 per tonne on Tuesday, typically making it unworkable for arbitrage shipments, thus keeping the available supplies trapped mostly within the region. Arbitrage is usually profitable when the EFS trades at about minus $15 a tonne or below, though it also depends on other factors such as freight rates, according to traders. SINGAPORE CASH DEALS - One jet fuel trade, no gasoil deals OTHER NEWS - China's crude oil imports rose 2.1% in September from a month ago as some delayed cargoes finally cleared customs after a months-long port congestion eased, while onshore storage capacity was expanded. - Oil prices rebounded on Tuesday, drawing support from robust China data although concerns about waning demand elsewhere and supply resumptions in Norway, the Gulf of Mexico and Libya weighed. ASSESSMENTS MID-DISTILLATES CASH ($/T) ASIA CLOSE Change % Change Prev Close RIC Spot Gas Oil 0.5% 43.80 0.38 0.88 43.42 GO 0.5 Diff -1.72 -0.01 0.58 -1.71 Spot Gas Oil 0.25% 44.26 0.38 0.87 43.88 GO 0.25 Diff -1.26 -1.16 1160.00 -0.10 Spot Gas Oil 0.05% 44.40 0.37 0.84 44.03 GO 0.05 Diff -1.12 -0.02 1.82 -1.10 Spot Gas Oil 0.001% 45.06 0.43 0.96 44.63 GO 0.001 Diff -0.46 0.04 -8.00 -0.50 Spot Jet/Kero 42.31 -0.03 -0.07 42.34 Jet/Kero Diff -0.48 0.02 -4.00 -0.50 For a list of derivatives prices, including margins, please double click the RICs below. Brent M1 Gasoil M1 Gasoil M1/M2 Gasoil M2 Regrade M1 Regrade M2 Jet M1 Jet M1/M2 Jet M2 Gasoil 500ppm-Dubai Cracks M1 Gasoil 500ppm-Dubai Cracks M2 Jet Cracks M1 Jet Cracks M2 East-West M1 East-West M2 LGO M1 LGO M1/M2 LGO M2 Crack LGO-Brent M1 Crack LGO-Brent M2 (Reporting by Koustav Samanta; Editing by Sherry Jacob-Phillips)
Our Standards: The Thomson Reuters Trust Principles.