The US sanctions against Russia have caused a spike in global diesel prices
Analysts and LSEG data indicate that global diesel prices and refinery margins increased following the latest round U.S. sanctions against Russia's oil market on the expectation of tightening supplies. On Jan. 10, the United States imposed their toughest sanctions yet against Russian producers and tanks to reduce the revenue of the No. 2 oil exporter in world. The United States used the revenue of Russia's No. 2 oil exporter to fund its war in Ukraine.
Pertamina, Indonesia's gasoil producer, is seeking 1.2 million barrels in January.
Multiple trade sources confirmed on Friday that Indonesian state-owned oil company Pertamina wants to purchase around 1.2 millions barrels of 2,500ppm gasoil in order to be delivered within the next few days. They said that the company was looking for one 500,000 barrel cargo, two 200,000 barrel cargoes, and one 300,000. The tender will close on January 6, adding that all offers must be valid until Jan. The cargoes will be delivered to Tuban and Tanjung Uban, and Pulau Laut mainly between January 14 and 28.
MPOC expects palm prices to remain above 4,800 Ringgit
The Malaysian Palm Oil Council (MPOC), an agency of the Malaysian government, said Tuesday that palm oil prices will remain above 4,800 Ringgit ($1,075.03) by December due to the recovery in soybean oil prices. MPOC stated that the price rise would be dependent on the supply conditions in Malaysia, Indonesia and especially if monsoons continue to be severe throughout December. This would disrupt production. The agency also said that the low energy prices would be a factor limiting the price rise.
In 2025, the global diesel price will be supported by refinery closures
Analysts and traders said that the global diesel market would likely see a price boost in 2025 due to the closing of around 1% of the refining capacity. This will offset the current weakness of the market and the structural downward pressure caused by the shift towards cleaner fuels. Markets end 2024 in a shaky state, despite the peak season demand. Margins in key energy hubs around the world, such as Singapore, Northwest Europe…
US Diesel Exports to ARA Set to Rise
Diesel shipments from the U.S. Gulf Coast to Europe's main trading and refining hub, the Amsterdam-Rotterdam-Antwerp (ARA) region, are set to rise owing to improving export margins on the back of scarce supply in Europe and rising U.S. refinery production, according to traders and ship tracking data.Europe is seeking higher transatlantic diesel imports, as weaker export margins for shipments from east of Suez slowed flows on that route in the last two months.
Pertamina, Indonesia's gasoil company, is looking to purchase 1.1 million bbls.
Three trade sources, who have seen the tender document on Monday, said that Indonesia's Pertamina had sought to buy about 1.1 millions barrels of November gasoil with a sulphur content of 2500ppm for delivery mainly around mid-November. The state-owned energy company has announced a tender for the purchase of three 200,000 barrel cargoes to be delivered into Tanjung Uban on November 14-16, Balongan on November 13-15, and Pulau Laut between Nov. 18-20.
Pertamina Indonesia is looking for more than 1.6 million bbls of gasoil in October, according to sources
Three sources familiar with the matter confirmed on Tuesday that Pertamina, Indonesia's gasoil producer, is looking to procure more than 1.6 million barrels at a high sulphur level of 2500ppm for delivery during the second half of October. The state-owned energy giant is looking to purchase - through its trading arm- six cargoes ranging in volume from 200,000 barrels to 500,000 via an auction that will close on October 9, with bids valid until Oct. 11. The cargoes are: two 200,000 barrels to be loaded on Oct. 14-16, and Oct.
Sources say that Indonesia's Pertamina is looking for up to 1.1 million bbls Oct gasoil with high sulphur content.
Three trade sources on Wednesday said that Indonesia's Pertamina was seeking up to 1.1 millions barrels of gasoil with a sulphur content of 2500ppm for delivery in October's first half. They added that this could be because of refinery production issues. The state-owned firm wants to load up to two 200,000 barrels of cargo from Singapore or Malaysia between Sept. 28 and Oct. 6. It also wants to deliver a 300,000 to 500,000 barrel cargo to Tuban, on Oct.
New refineries bring down profits for global refiners
Oil refiners across Asia, Europe, and the United States have seen their profitability drop to multi-year-lows. This is a significant downturn in an industry which had previously enjoyed booming returns following the pandemic. It also highlights the global slowdown. This weakness is another sign of a softening consumer and industrial demand in China due to the slowing of economic growth and increasing penetration of electric cars.
Kemp: Oil bears focus attention on low demand and planned production boost
Investors remain resolutely pessimistic about the future of petroleum prices, despite growing confidence that the U.S. Federal Reserve is going to cut interest rates in order to stimulate consumer spending and business investment. Fund managers sold oil futures and option last week after the rally to cover shorts the previous week quickly lost momentum. In the seven-day period ending August 20, hedge funds and other money mangers sold equivalent to 48 million barrels of oil in six important futures and option contracts.
Kemp: Oil bears focus attention on low demand and planned production boost
Investors remain resolutely pessimistic about the future of petroleum prices, despite growing confidence that the U.S. Federal Reserve is going to cut interest rates in order to stimulate consumer spending and business investment. Fund managers sold oil futures and option last week after the rally to cover shorts the previous week quickly lost momentum. In the seven-day period ending August 20, hedge funds and other money managers sold equivalent to 48 million barrels of oil in six important futures and option contracts.
Kemp: Oil bears become cautious as financial markets ease.
Investors reduced their short positions on petroleum after the other financial markets stabilized following an abrupt plunge earlier in this month. Crude prices also found support above $75 a barrel. Over the course of the week ending August 13, hedge funds and other money mangers purchased the equivalent amount of 74,000,000 barrels on the six most important contracts for petroleum futures and option contracts. The majority of purchases were made to buy back existing bearish short positions (+19 million barrels)…
IEA reduces its 2025 oil consumption forecast as China offsets gains globally
The International Energy Agency (IEA), citing the impact of a weaker Chinese economy on consumption, kept its forecast for global oil demand growth in 2024 unchanged but lowered its estimate for 2025. This is the second report this week from the IEA (which advises industrialised nations) to warn that a slowing economy will likely curb the demand for oil in China, which is the world's largest oil importer and the second largest oil consumer.
Kemp: Oil investors reduce positions to a record low amid financial meltdown.
Investors reduced their positions in petroleum to the lowest levels for at least 10 years early last week as part of a general retreat from risk amid growing concerns about a global slowdown. Over the course of the week ending August 6, hedge funds and other money mangers sold 110 million barrels equivalent in six important contracts for petroleum futures and options. In each of the last five weeks, fund managers were net sellers. Their combined position has decreased by 372 million barrels from the beginning of July.
Kemp: Oil investors reduce positions to record lows amid financial meltdown.
Investors reduced their positions in petroleum to the lowest levels for at least 10 years early last week as part of a general retreat from risk amid growing concerns about a global slowdown. Over the course of the week ending August 6, hedge funds and other money managers sold 110 million barrels equivalent in six important contracts for petroleum futures and options. In each of the last five weeks, fund managers were net sellers. Their combined position has decreased by 372 million barrels from the beginning of July.
Fratelli Cosulich Inks Charter Deal for LNG Bunkering Vessel
Italian shipowner Fratelli Cosulich and PETCO Trading Labuan Company Limited (PTLCL), a trading arm of Malaysian energy company Petronas, have signed a two-year charter agreement for Paolina Cosulich LNG bunker barge.Operating under PTLCL, a global energy solutions provider in key bunker hubs with network in Southeast Asia, Japan, Middle East and South Africa, Paolina Cosulich will cater to the increasing demand for LNG as bunker fuel in the Straits.Fratelli Cosulich’s latest LNG bunger barge features a cargo capacity of 8…
Aramco to Acquire 40% Stake in Gas & Oil Pakistan
Aramco, one of the world’s leading integrated energy and chemicals companies, signed definitive agreements to acquire a 40% equity stake in Gas & Oil Pakistan Ltd. (“GO”).GO, a diversified downstream fuels, lubricants and convenience stores operator, is one of the largest retail and storage companies in Pakistan. The transaction is subject to certain customary conditions, including regulatory approvals.The planned acquisition is Aramco’s first entry into the Pakistani fuels retail market…
Finance: Investors Become Super-Bullish on Oil
Portfolio investors have piled into petroleum futures and options at the fastest rate since the first successful coronavirus vaccines were announced in late 2020.China’s exit from a zero-COVID strategy, along with hopes the global economy can avoid a recession and low oil inventories, have contributed to an extraordinary wave of buying across the petroleum complex.Hedge funds and other money managers purchased the equivalent…
Markets: As Omicron Threat Fades, Oil Bulls Return
Portfolio investors have started to rebuild bullish positions in the oil market, reassessing earlier fears about the likely impact of the Omicron variant of coronavirus on major economies and passenger aviation in 2022.Hedge funds and other money managers purchased the equivalent of 54 million barrels in the six most important petroleum futures and options contracts in the week to Dec. 28.Funds have purchased a total of 70 million barrels over the two most recent weeks…
NYK Signs Multi-Year Deal with GAIL (India) Limited for Charter of LNG Carrier
NYK signed a multi-year time-charter contract with GAIL (India) Limited, India's largest natural gas company, for a liquefied natural gas (LNG) carrier. Grace Emilia, the vessel that will be chartered, is equipped with a WinGD-made dual-fuel slow-speed X-DF diesel engine, a unit that has superior fuel-consumption efficiency and can operate on marine gas oil or boil off gas stored in the cargo tank. The vessel also features…
