Mid-Day Oil Products Summary: Gasoline Crack Eases Back

Gasoline cracks are trending down today after a net gain last week, with a US transportation fuel demand boost expected over the July 4 holiday period. Expectations of rising demand continue to weigh against healthy global supplies.

• US gasoline crack down 0.4$/bbl at 23.76$/bbl
• RBOB JUL 24 down 0.1% at 2.51$/gal
• US ULSD crack up 0.1$/bbl at 24.86$/bbl
• ULSD JUL 24 up 0.4% at 2.5$/gal
• US 321 crack down 0.2$/bbl at 24.13$/bbl
• Phillips 66 149kbpd Borger refinery, Texas, is performing maintenance on their electrostatic precipitators (ESPs) at the Unit 40 FCCU, according to a filing with the Texas Commission on Environmental Quality.
• China’s independent refineries’ combined gasoline and gasoil production will fall again in June for the third consecutive month, according to OilChem.
• Shandong’s 400k b/d Yulong refinery is expected to start commissioning by end-July and will come online by end of Q3, according to OilChem.
• China’s key oil majors are likely to export 0.6m-0.7m mt of diesel and 1.9m mt of jet fuel for July, industry sources told Reuters, largely stable on the month.
• Pemex’s flagship Olmeca (Dos Bocas) refinery in Mexico is unlikely to produce any commercially viable motor fuels before the end of the year, according to Reuters sources.