Los Angeles Gasoline Tumbles After Valero Starts Refinery Units
California-blend gasoline in Los Angeles tumbled by the most in three months after Valero Energy Corp. (VLO) started a crude unit and a coker at the Wilmington refinery in Southern California following maintenance.
Carbob in Los Angeles (MOGLDB85) fell for the first time in four days, by 6 cents to a premium of 30 cents a gallon against gasoline futures traded on the New York Mercantile Exchange at 4:16 p.m. East Coast time, according to data compiled by Bloomberg. That’s the largest drop for the fuel since Nov. 15.
Valero’s 135,000-barrel-a-day Wilmington (VAWICRUD) refinery has started the crude and coker units following a maintenance turnaround that began last month and is increasing rates, said Bill Day, a Valero spokesman at the company’s headquarters in San Antonio.
“Other units at the refinery have not begun restarting yet,” Day said in an e-mail.
The premium for Carbob in San Francisco (MOGSD85P) also fell 6 cents to 24 cents a gallon above gasoline futures, the lowest level for the fuel in four days.
Conventional, 87-octane gasoline in Portland, Oregon (MOGHD87P), slipped 1.5 cents to a premium of 6.5 cents versus gasoline futures. The fuel jumped 12.5 cents yesterday to the highest level against futures since Jan. 5.
California-blend, or CARB, diesel in San Francisco strengthened 0.63 cent to a premium of 3.13 cents against Nymex heating oil futures.
Houston-based ConocoPhillips (COP) may cut diesel output at the 128,000-barrel-a-day Rodeo (CPACCRUD) refinery in Northern California for two and a half weeks while working on a hydrogen plant, according to Contra Costa County regulators.
Los Angeles Carbob (DIEILCAD) was unchanged at a premium of 4.5 cents to Nymex heating oil futures.
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