California-Blend Gasoline Gains on Inventory Drop, Chevron Upset

California-blend gasoline strengthened against futures after the state said inventories of the fuel fell 12 percent and Chevron Corp. (CVX)’s El Segundo refinery reported an upset.

California-blend, or Carbob, stocks dropped 451,000 barrels to 5.49 million in the week ended April 6, the lowest level since Dec. 16, the state Energy Commission said in an e-mail late yesterday. Chevron’s 279,000-barrel-a-day El Segundo (CTESCRUD) plant reported an upset in a sulfur recovery unit yesterday.

California-blend gasoline, or Carbob, in Los Angeles (MOGLDB85) rose 5.25 cents to a discount of 3.5 cents a gallon against futures traded on the New York Mercantile Exchange, according to data compiled by Bloomberg. The fuel in Los Angeles previously fell for two days straight.

San Francisco (MOGSD85P) Carbob jumped 6.25 cents to a 4.5-cent discount to gasoline futures.

California-blend, or CARB, diesel in Los Angeles (DIEILCAD) rose 1.5 cents to a premium of 8.5 cents a gallon against Nymex heating oil futures. Inventories of the fuel tumbled 14 percent last week to 2.03 million barrels, the lowest level since November 2010, the state said.

San Francisco (DIEISCAD) CARB diesel was unchanged at an 8.5-cent premium versus futures.

Conventional, 87-octane gasoline in Portland (MOGHD87P), Oregon, rose 4.25 cents to reach parity with gasoline futures.

Low-sulfur diesel in Portland (DIEISTPD) dropped 9 cents to a 31-cent premium versus heating oil futures.

To contact the reporter on this story: Lynn Doan in San Francisco at ldoan6@bloomberg.net

To contact the editor responsible for this story: Dan Stets at dstets@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.