Mid-Day Oil Products Summary: Cracks Climb on Day

Gasoline and diesel cracks are up on the day but are seeing a net decline again so far this week amid weak seasonal demand and healthy global supplies. However, strong summer demand could boost gasoline prices according to FGE.

• US gasoline crack up 0.5$/bbl at 25.95$/bbl
• US ULSD crack up 0.2$/bbl at 23.81$/bbl
• Global gasoline demand will remain robust this summer despite recent market signs of weakness, according to Rystad Energy cited by Bloomberg.
• ExxonMobil has finished annual maintenance at its 250,000 bpd Joliet refinery in Illinois according to Reuters sources.
• CVR has restarted several key units at its 75,000 bpd Wynnewood, Oklahoma refinery and expects normal operations by the end of Q2 Argus reports.
• Phillips 66’s Wood River oil refinery in Illinois had a compressor trip at 3:30am local time on May 14, according to an Illinois Emergency Management Agency filing.
• China’s Hualu Engineering has signed a deal to develop Iraq’s 300,000 bpd Al-Faw refinery according to INA reports.
• The Dung Quat refinery in Vietnam is running at full capacity after being shut down for major maintenance from mid-March according to company officials.
• Jet Fuel demand in Europe is set to rise amid a surge in flight numbers according to Rystad Energy.
• China’s gasoline price drop will slow in late May due to more intensive refinery maintenance and a narrow oversupply, despite an overall bearish picture, OilChem said.
• Oil stocks in Fujairah have dropped to a two-month low according to Fujairah Oil Industry Zone Data.