Los Angeles Gasoline Advances After Report Shows Supplies Fell
California-blend gasoline in Los Angeles gained against futures for the first time in five days after a report showed supplies of the motor fuel dropped 3.9 percent last week.
California-blend gasoline, or Carbob, inventories fell for the third straight week to 4.55 million barrels in the week ended June 15 from 4.74 million a week earlier, the state Energy Commission said in an e-mailed report. Non-California-blend gasoline, for use outside the state, also dropped 4.1 percent to 1.18 million barrels, the state said.
Carbob in Los Angeles rose 2 cents to 15 cents a gallon under futures traded on the New York Mercantile Exchange at 3:59 p.m. New York time, according to data compiled by Bloomberg. The fuel weakened 7.5 cents yesterday as traders sold extra barrels on the spot market.
A summary of the state’s report shows Southern California Carbob and blendstock inventories dropped last week to the lowest level for that time in at least five years.
BP Plc (BP/) is performing routine maintenance at the 266,000- barrel-a-day Carson refinery in Southern California that may cause the plant to flare gases through June 25, a person familiar with operations there said June 18.
Exxon Mobil Corp. (XOM)’s 150,000-barrel-a-day Torrance refinery started planned work June 4 on units, including a hydrogen plant, a coker and a pretreater, that was expected to last for several weeks.
Carbob in San Francisco gained for the first time in seven days, rising 1 cent to 17 cents a gallon below futures.
California-blend, or CARB, diesel in Los Angeles, which rolled into July, strengthened 1.63 cents to a 4.13 cent premium over Nymex heating oil futures. San Francisco CARB diesel, still trading for June, was unchanged at 3.75 cents a gallon above futures.
CARB inventories rose for the second week, increasing 6.7 percent to 2.36 million barrels last week, the state said.
The discount for conventional, 87-octane gasoline in Portland, Oregon, slipped 1 cent to a discount of 21.5 cents a gallon versus gasoline futures. Low-sulfur diesel in Portland was unchanged at 5.25 cents a gallon above heating oil futures.
Motor gasoline inventories on the U.S. West Coast, known as the Padd 5 region, rose for a fourth consecutive week, increasing 1.3 percent to 27.4 million barrels, the Energy Department said. Distillate fuel oil supplies in the region climbed 1.9 percent to 11.9 million barrels, the agency said.
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