Mid-Day Oil Products Summary: Cracks Continue Gains

Diesel and gasoline cracks are continuing to climb with diesel yesterday up to the highest since early April.

• US gasoline crack down 0.6$/bbl at 24.4$/bbl
• US ULSD crack down 0.9$/bbl at 26.61$/bbl
• API weekly oil stock data from late yesterday according to Bloomberg: Gasoline +2.47mbbl, Distillate -0.74mbbl
• Naval drones attacked the Russian port city of Novorossiysk on the Black Sea coast overnight on July 3, the city's mayor, Andrey Kravchenko said earlier.
• Port of Fujairah oil product stocks slipped to a 9-month low as of July 1 according to Fujairah Oil Industry Zone data.
• Oman’s 230k b/d Duqm refinery is looking to operate at 10% above its nameplate capacity and is considering diversifying its product portfolio, according to the operator, cited by Argus.
• Japan’s Cosmo Oil restarted the 102,000 bpd no.2 crude distillation unit at its Chiba refinery on June 25 after planned maintenance according to Reuters reports.
• Taiwan’s FPCC restarted the residue fluid catalytic cracking units at its Mailiao refinery this month after it was shut during in the second half of June according to Bloomberg reports.
• State and independent oil refiners in China may increase crude processing rates to 69.4% of capacity in July, according to OilChem cited by Bloomberg.
• China’s exports of refined oil, including gasoil, and jet fuel totalled 2.80m mt in June, down 0.05m mt in May, according to OilChem.