SINGAPORE, Sept 27 (Reuters) - Asian gasoil margins slipped below the $19-barrel mark on Thursday as demand waned from China amid a slowing economy. The October diesel crack fell 53 cents to $18.86 a barrel above Dubai crude, the lowest in nearly two weeks, Reuters data showed. China is not expected to import diesel for domestic use for the rest of the year due to weak demand and high inventory, industry sources said. China's top refiner Sinopec Corp0386.HK is exporting about 60,000 tonnes of diesel a month, two Asia-based traders said, after it made its first significant export in six months in June.ID:nL3E8HS3B0 This is in sharp contrast to last year when Chinese refiners started making enquiries around this time and imported more than 300,000 tonnes of diesel for November and December, one of the biggest purchases of the year for domestic use. "Demand in China is not good at all, so it doesn't look like state-owned companies will be importing much this year," said a source at a company that imports diesel into China.ID:nL4E8KR00I Separately, Sinopec has ordered the closure of three plants, including two refineries with a combined crude processing capacity of 370,000 barrels-per-day (bpd), in the southern province of Guangdong for environmental checks. Sinopec did not specify the problems at the plants or the length of the shutdown. But industry sources said the impact of the closure in the market is likely to be minimal as diesel demand is currently quite weak.ID:nL4E8KR0OS PetroChina should also have ample inventory to fill supply gaps, one of the sources said. Australia's imports of diesel continued to be robust with the country importing nearly 134,000 tonnes from Singapore in the week ended Sept. 26, up about 30 percent from a week ago, data from International Enterprise showed. Overall imports for September into Australia from Singapore is also to be up by nearly 30 percent from August, the data showed, likely due to the closure of Shell's Clyde refinery and an ongoing maintenance at Kurnell refinery. In the jet fuel market, Bahrain Petroleum Corp re-issued a cargo for November loading after earlier cancelling the tender due to low bids and supply issues at its refinery. This could likely ease prices further as arbitrage economics to send the product west is still lacklustre. Meanwhile, passenger traffic in Asia continued to grow with Asia Pacific airlines carrying a total of 18.5 million international passengers in August, up 6.8 percent from the previous month, data from the Association of Asia Pacific Airlines showed. Air freight markets, however, remain depressed, as a result of weakening consumer confidence in the major developed economies leading to a corresponding slowdown in exports from Asia, the association said. * TENDERS: Ceylon Petroleum Corp is seeking a combination cargo of 110,000 barrels of 0.25 percent sulphur gasoil and 200,000 barrels of jet fuel for Oct. 27-28 delivery. The tender closes on Oct. 2, with up to 72-hours validity. - Bapco has offered 60,000 tonnes of jet fuel for Nov. 9-12 loading. The tender closes on Sept. 27. * SINGAPORE CASH DEALS: No jet deals, two gasoil trades. - Shell bought 150,000 barrels of 10 ppm sulphur diesel for Oct. 12-16 loading from Vitol at a premium of $4.20 a barrel above Singapore quotes. - Total bought 150,000 barrels of 0.5 percent sulphur gasoil from BP for Oct. 23-27 loading at a premium of 60 cents a barrel above the average of Oct 22-29 Singapore quotes. MID-DISTILLATES CASH ($/T) ASIA CLOSE Change % Change Prev RIC Close Spot Gas Oil 0.5% 126.79 0.18 0.14 126.61GO-SIN GO 0.5 Diff 0.56 0.00 0.00 0.56GO-SIN-DIF Spot Gas Oil 0.25% 128.34 0.18 0.14 128.16GO25-SIN GO 0.25 Diff 2.10 0.00 0.00 2.10GO25-SIN-DIF Spot Gas Oil 0.05% 129.39 0.18 0.14 129.21GO005-SIN GO 0.05 Diff 3.15 0.00 0.00 3.15GO005-SIN-DIF Spot Gas Oil 130.39 -0.07 -0.05 130.46GO10-SIN 0.001% GO 0.001 Diff 4.16 -0.25 -5.67 4.41GO10-SIN-DIF Spot Jet/Kero 128.93 0.41 0.32 128.52JET-SIN Jet/Kero Diff 1.15 0.05 4.55 1.10JET-SIN-DIF SWAPS ($/T) ASIA CLOSE Change % Change Prev PM (1130 GMT) (0830 GMT) Close Brent M1 110.39 0.80 0.73 109.59BRENTSGMc1 Gasoil M1 126.30 0.20 0.16 126.10GOSGSWMc1 Gasoil M1/M2 0.48 0.05 11.63 0.43GOSGSPDMc1 Gasoil M2 125.82 0.15 0.12 125.67GOSGSWMc2 Regrade M1 1.60 0.21 15.11 1.39JETREGSGMc1 Regrade M2 1.18 0.09 8.26 1.09JETREGSGMc2 Jet M1 127.90 0.41 0.32 127.49JETSGSWMc1 Jet M1/M2 0.90 0.17 23.29 0.73JETSGSPDMc1 Jet M2 127.00 0.24 0.19 126.76JETSGSWMc2 Gasoil 0.5%-Dubai 18.86 -0.53 -2.73 19.39GOSGCKMc1 Cracks M1 Gasoil 0.5%-Dubai 18.93 -0.59 -3.02 19.52GOSGCKMc2 Cracks M2 Jet Cracks M1 20.46 -0.32 -1.54 20.78JETSGCKMc1 Jet Cracks M2 20.11 -0.50 -2.43 20.61JETSGCKMc2 East-West M1 -29.57 -1.51 5.38 -28.06LGOAEFSMc1 East-West M2 -27.02 -1.89 7.52 -25.13LGOAEFSMc2 LGO M1 970.50 3.00 0.31 967.50LGOAMc1 LGO M1/M2 6.13 0.00 0.00 6.13LGOASPDMc1 LGO M2 964.38 3.00 0.31 961.38LGOAMc2 Crack LGO-Brent M1 19.06 -0.39 -2.01 19.45LGOACKMc1 Crack LGO-Brent M2 18.78 -0.31 -1.62 19.09LGOACKMc2 (Reporting by Jessica Jaganathan; editing by James Jukwey) ((jessica.jaganathan@thomsonreuters.com)(+65 6870 3822)(Reuters Messaging: jessica.jaganathan.reuters.com@reuters.net)) Keywords: MARKETS DISTILLATES/ASIA
Asia Distillates-Gasoil margins fall as demand from China wanes
Asian gasoil margins slipped below the USD 19-barrel mark as demand waned from China amid a slowing economy.
September 27, 2012




















