Asia’s naphtha backwardation between prompt and front months widened to $9.50 per metric ton on Thursday after underlying price for first-half November cargo jumped by $7 a ton and price of first-half December cargo declined.

The refining profit margin was steady at about $103 per ton over Brent crude.
At the trading window, energy trader Vitol sold 25,000 tons of second-half November naphtha at $611 a ton.

The gasoline crack was also steady above $10 per barrel over Brent crude on Thursday amid thin window activity.

INVENTORIES

Singapore light distillate stocks rose to a five-week high of 14.616 million barrels in the week to September 24, Enterprise Singapore data showed.

NEWS

– Indian oil refiners are increasing gasoline and diesel exports to their highest levels in several years, driven by expanded crude processing capacity and increased domestic ethanol blending that has freed up fuel supplies for overseas markets, traders and analysts said.
– Eight oil companies operating in Iraqi Kurdistan, representing over 90% of production, reached agreements in principle with Iraq’s federal and Kurdish regional government (KRG) to resume oil exports, an industry umbrella group said on Wednesday.

SINGAPORE CASH DEALS

One naphtha trade.
Source: Reuters