RTRS: Europe Products-Prices dip, distillate diffs up
LONDON, Feb 1 (Reuters) - European oil product prices dipped
on Monday, tracking the fall in crude oil prices late on Friday.
Differentials on physical diesel and gas oil firmed,
supported buy limited arbitrage imports, low refinery run rates
and planned maintenance shutdowns in European refineries.
"Structural low runs, the closed arbitrage.. and upcoming
February-March refinery maintenance will keep the market tight,"
a broker said.
GASOLINE AND NAPHTHA * Eurobob gasoline barges dipped to $666-$667 a tonne fob
ARA from $675 at Friday's close, putting its crack to dated
Brent at $8.25 a barrel.
* Dealing was relatively thin. Shell bought 3,000 tonnes out
of 5,000 tonnes traded by mid-day.
* Eurobob's crack has weakened from $11 on Friday, which was
the highest since August last year.
* Still it has risen from $5.80 at the start of January,
supported by low refinery runs in Europe and strong demand from
Nigeria, Iran and the United States.
* Nigeria is set to import 24 gasoline cargoes in February.
{ID:nLDE60S1C9]
* ICE Brent crude futures LGOc1 rose 65 cents to $72.11 a
barrel by 130 GMT.
* U.S. crude oil rose 57 cents to $73.46 a barrel, while New
York RBOB gasoline futures were up 0.24 percent to $1.9179 a
gallon.
MIDDLE DISTILLATES
* Differentials on 10ppm diesel barges firmed, with offers
at around $20 premiums a tonne fob ARA to February ICE gas oil
futures.
* On Friday, barges traded at premiums of $16/$18.50, and a
cargo was bid at $30 a tonne cif NWE.
* Extensive refinery maintenance in northwest Europe is
helping to support diesel levels, traders said. [REF/E]
* Further support came as the swap market showed the
arbitrage import window from Asia and the United States were
limited to term flows, traders said.
* Barges of gas oil with 0.1 percent sulphur also firmed.
Offers were around the benchmark plus $2 a tonne fob, compared
with Friday's deals at minus $3.
* February ICE gas oil futures LGOc1 fell to as low as
$576.50 a tonne, matching the intraday low on Friday. The level
was the lowest since mid-March.
* The February contract was trading $1.75 lower at $584.75
by 1411 GMT.
* The prompt crack fell to $7.20 a barrel from $7.58 on
Friday.
FUEL OIL * Barges of high sulphur fuel oil (HSFO) with 3.5 percent
sulphur were discussed at $425-$428 a tonne fob ARA, down from
$429-$431.
* HSFO's crack spread was around minus $3.55 a barrel.