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Oil Products End of Day Summary: Diesel Cracks Find Support

OIL PRODUCTS

Diesel cracks have found support during the day, likely boosted by disrupted Russian refinery operations. However, diesel cracks could face some pressure due to weaker near-term US demand

  • US ULSD crack up 0.8$/bbl at 24.48$/bbl
  • US gasoline crack down 0.8$/bbl at 29.81$/bbl
  • Russian refining has slipped to near an 11-month low as flooding impacts refinery operations adding to difficulties after the March drone attacks.
  • Global diesel demand is forecast to increase by 340kb/d y/y in 2025, led by a 150kb/d rise in the East of Suez region, according to Energy Aspects via Bloomberg.
  • US gasoline demand rose 2.3% last week from the week prior according to GasBuddy data.
  • Valero reported an emissions event due to a loss of integrity on piping at complex 6 of its Corpus Christi, Texas refinery west plant according to a community alert.
  • Phillips 66’s 356kb/d Wood River refinery in Illinois plans turnarounds for September and late Q1 2025, according to Bloomberg sources.
  • Nigeria’s new mega Dangote refinery is aiming to start supplying 10ppm diesel by 2Q or 3Q according to an email exchange with Bloomberg.
  • Purchases of Nigeria’s Crude for May loading are slow with as much as half of cargoes for the month still for sale, according Bloomberg sources.
  • European oil refinery output fell 4% in March m/m to 9.457 mn bpd according to Euroilstock data – but nearly 1% higher y/y.
  • Kuwait’s Al Zour refinery has offered a spot VLSFO tender comprising 120,000 metric tons – expected to load May 2-3, with the tender closing Monday according to a Reuters source.
  • CDU capacity utilisation rates at China’s state-owned refineries are projected to keep falling in the week to April 25, according to OilChem.
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Diesel cracks have found support during the day, likely boosted by disrupted Russian refinery operations. However, diesel cracks could face some pressure due to weaker near-term US demand

  • US ULSD crack up 0.8$/bbl at 24.48$/bbl
  • US gasoline crack down 0.8$/bbl at 29.81$/bbl
  • Russian refining has slipped to near an 11-month low as flooding impacts refinery operations adding to difficulties after the March drone attacks.
  • Global diesel demand is forecast to increase by 340kb/d y/y in 2025, led by a 150kb/d rise in the East of Suez region, according to Energy Aspects via Bloomberg.
  • US gasoline demand rose 2.3% last week from the week prior according to GasBuddy data.
  • Valero reported an emissions event due to a loss of integrity on piping at complex 6 of its Corpus Christi, Texas refinery west plant according to a community alert.
  • Phillips 66’s 356kb/d Wood River refinery in Illinois plans turnarounds for September and late Q1 2025, according to Bloomberg sources.
  • Nigeria’s new mega Dangote refinery is aiming to start supplying 10ppm diesel by 2Q or 3Q according to an email exchange with Bloomberg.
  • Purchases of Nigeria’s Crude for May loading are slow with as much as half of cargoes for the month still for sale, according Bloomberg sources.
  • European oil refinery output fell 4% in March m/m to 9.457 mn bpd according to Euroilstock data – but nearly 1% higher y/y.
  • Kuwait’s Al Zour refinery has offered a spot VLSFO tender comprising 120,000 metric tons – expected to load May 2-3, with the tender closing Monday according to a Reuters source.
  • CDU capacity utilisation rates at China’s state-owned refineries are projected to keep falling in the week to April 25, according to OilChem.