Oil Products End of Day Summary: Cracks Soften

Diesel cracks are trading lower on the day, driven by lower production with the four-week implied demand remaining below the five-year average. Gasoline cracks also have moved to rangebound amid a stock build and weakening demand.

• US gasoline crack down 0$/bbl at 18.97$/bbl
• US ULSD crack down -1$/bbl at 36.44$/bbl
• EIA Weekly US Petroleum Summary - w/w change week ending Jan 19: Gasoline stocks +4,912 vs Exp +1,414, Implied mogas demand -389, Distillate stocks -1,417 vs Exp +578, Implied dist demand +139
• Shell is planning start maintenance at the 404kbpd Pernis refinery in Rotterdam by the end of January, the firm said via X.
• Equinor plans to undergo maintenance at the Mongstad refinery in Nordhordland, Norway, from the beginning of April until the middle of May, a spokesperson told Bloomberg.
• Russia’s Novatek has resumed fuel loadings at its Baltic Sea Ust-Luga terminal on Wednesday after a recent drone attack according to Reuters sources and data.
• Russia’s refined fuel exports fell to the lowest in seven weeks but remained above the Q1 target according to Bloomberg based on Vortexa data.
• At least three fuel oil tankers carrying Russian fuel on Greek vessels have diverted away from Red Sea passage despite assurances that it’s vessels would not be targeted according to Lloyds List reports.
• Russia’s gasoline production rose by 8.4% on the week in the seven days to Jan. 21, according to Rosstat. Meanwhile, diesel production was down 2.4% on the week to 1.695m mt.
• Fujairah oil product stockpiles rose 2.9% in the week ended Jan. 22 - the first gain in three weeks - according to Fujairah Oil Industry Zone data.