Oil Products End of Day Summary: Cracks Rebound

Gasoline and diesel crack spreads have rebounded during US hours to be approaching the close trading higher. Nonetheless, refined products remain under pressure due to relatively lacklustre summer demand.

• US gasoline crack up 0.6$/bbl at 23.48$/bbl
• US ULSD crack up 0.7$/bbl at 22.26$/bbl
• Rosneft’s Tuapse refinery was damaged following a Ukrainian drone strike early on Monday according to Russian officials.
• A fire at Rosneft’s Tuapse refinery caused by a Ukrainian drone attack has been extinguished. A total of 75 drones were intercepted and destroyed over Russia on Monday morning.
• The wholesale price of Russian high-octane Ai-95 gasoline jumped by around 44% in the past month and a half, close to an all-time peak, Reuters said.
• TotalEngies 109,000 bpd Feyzin refining complex in France had a production unit glitch on July 19 according to an official statement.
• U.S. retail gasoline demand fell 0.5-1.0% for the week ending July 20 (Sun-Sat), according to GasBuddy estimates.
• U.S. oil refiners are expected to have about 579,000 bpd of refinery capacity offline in the week ending July 26 according to IRR Energy.
• The 265kb/d Phillips 66 Sweeny refinery and petrochemical complex, Texas reported planned maintenance on control equipment at unit 27.1, according to Reuters citing a Texas Commission on Environmental Quality filing.
• Nigeria’s Dangote refinery will hit 550,000 bpd production this year its CEO said on Saturday
• The Dangote group has defended the quality of diesel output after Nigeria’s downstream regulator said it contained much higher sulphur levels than imported product.
• Nigeria’s Dangote refinery is in talks with Libya and Angola to secure crude supplies as its mega refinery seeks to boost production.
• CDU capacity utilisation rates at China’s state-owned refineries are expected to rise in the week to July 25, according to OilChem, as Dushanzi Petrochem continues ramping up after maintenance.