Asia Distillates Jet fuel cash premiums rise, inter-month spread widens

  • 1/14/2022
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NEW DELHI, Jan 14 (Reuters) - Asia"s cash differentials for jet fuel rose on Friday to their highest premiums since Dec. 20, while the inter-month spread for the fuel widened in backwardation. Cash premiums for jet jumped to 81 cents per barrel to Singapore quotes, and the Jan/Feb time spread traded at 87 cents per barrel on Friday. However, the upside remained limited due to surging Omicron cases across the world. "The impact of the Omicron variant on air travel demand is starting to become apparent, with U.S. government passenger throughput figures and flight data from Eurocontrol both weakening so far over January compared to their respective 2019 baseline," consultancy JBC said in a note. Refining profit margins or cracks for jet fuel rose 50 cents to $13.74 per barrel over Dubai crude during Asian trading hours. INVENTORIES Jet fuel stocks held in independent storage in the Amsterdam-Rotterdam-Antwerp (ARA) refining and storage area were down 2% at 879,00 tonnes in the past week, data from Dutch consultancy Insights Global showed on Thursday. Gasoil stockpiles were up 4% at 1.830 million tonnes from prior week"s 1.754 million tonnes. SINGAPORE CASH DEALS O/AS - No gasoil deals, no jet fuel trades. OTHER NEWS - Oil futures rose on Friday on course for a fourth weekly gain boosted by supply constraints and a weaker dollar and despite sources saying China is set to release crude reserves around the Lunar New Year. read more - China"s annual crude oil imports slid 5.4% in 2021, dropping for the first time since 2001, as Beijing clamped down on the refining sector to curb excess domestic fuel production while refiners drew down massive inventories. read more ASSESSMENTS MID-DISTILLATES CASH ($/T) ASIA CLOSE Change % Change Prev Close RIC Spot Gas Oil 0.5% 97.93 1.42 1.47 96.51 GO 0.5 Diff -1.00 0.10 -9.09 -1.10 Spot Gas Oil 0.25% 98.18 1.47 1.52 96.71 GO 0.25 Diff -0.75 0.15 -16.67 -0.90 Spot Gas Oil 0.05% 98.55 1.47 1.51 97.08 GO 0.05 Diff -0.38 0.15 -28.30 -0.53 Spot Gas Oil 0.001% 100.13 1.36 1.38 98.77 GO 0.001 Diff 1.20 0.05 4.35 1.15 Spot Jet/Kero 97.13 1.36 1.42 95.77 Jet/Kero Diff 0.81 0.14 20.90 0.67 For a list of derivatives prices, including margins, please double click the RICs below. Brent M1 Gasoil M1 Gasoil M1/M2 Gasoil M2 Regrade M1 Regrade M2 Jet M1 Jet M1/M2 Jet M2 Gasoil 500ppm-Dubai Cracks M1 Gasoil 500ppm-Dubai Cracks M2 Jet Cracks M1 Jet Cracks M2 East-West M1 East-West M2 LGO M1 LGO M1/M2 LGO M2 Crack LGO-Brent M1 Crack LGO-Brent M2

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