Oil Products End of Day Summary: Diesel Cracks Rise

Diesel cracks are approaching US close trading higher, following a larger-than-expected draw in distillate stocks.

• US gasoline crack down -0.8$/bbl at 17.79$/bbl
• US ULSD crack up 2.2$/bbl at 40.94$/bbl
• EIA Weekly US Petroleum Summary - w/w change week ending Jan 26: Gasoline stocks +1,157 vs Exp +2,340, Implied mogas demand +264, Distillate stocks -2,541 vs Exp -347
• Vortexa has flagged a significant decrease in clean petroleum product (CPP) tankers transiting the Suez because of Red Sea transit risks.
• Although vessel tracking firms have highlighted Russian oil product cargoes are still transiting the Red Sea despite the risks, Russia cargoes are also diverting around the Cape of Good Hope according to LSEG data.
• Pemex increased its refinery runs in December but is struggling to return utilisation rates to levels seen before a spate of fires, according to Bloomberg.
• Russian oil product exports rebounded last week to a six-week high and sharply reversed the slump in the prior week according to Bloomberg analysis of Vortexa data.
• Russia cut its diesel exports by 23% on the year in January, according to the Ministry of Energy, cited by Bloomberg.
• A drone hit Russia’s Nevsky Mazut oil refinery near St Petersburg on Wednesday, causing an explosion at the refinery, the Moscow Times reported, citing local media.
• Phillips 66 has shut a section of the Oklahoma Panhandle natural gas pipeline following a fire and rupture on Tuesday morning, the company said.
• The ExxonMobil 191kbpd Rotterdam refinery is to shut for a turnaround from mid-February to late April according to Reuters.
• Global revenue passenger-kilometres (RPKs) increased 25.3% on the year in December to reach 94.1% of pre-pandemic levels, according to IATA.