Vitol Sells More Naphtha; BP Buys French Diesel: Oil Products

Vitol Group sold three more cargoes of naphtha, bringing its total for this month to 17. The company also sold a shipment of jet fuel for a second day.

BP Plc bought a cargo of diesel for delivery to France. About 22,000 metric tons of diesel traded on the barge market with Morgan Stanley the main buyer.

Light Products

Trafigura Beheer BV bought naphtha for a second day, purchasing two of the cargoes, according to a survey of traders and brokers monitoring the Platts pricing window. Royal Dutch Shell Plc was the other buyer with all three trades being carried out at $903 a ton. That compares with yesterday’s deals at $888 and $889 a ton.

Naphtha’s discount to Brent widened to $8.33 a barrel as of 2:58 p.m. local time, according to data from PVM Oil Associates Ltd., a London-based broker. That compares with $7.97 in the previous session.

Gasoline for immediate loading in Amsterdam-Rotterdam- Antwerp traded at $1,020 to $1,024 a ton, according to a similar survey of the Argus Bulletin Board. That compares with yesterday’s deals at $1,014 to $1,022.

BP was the largest buyer of the Eurobob grade, to which ethanol is added to make finished fuel. Glencore International Plc and Vitol were among the sellers, with lots typically of about 1,000 or 2,000 tons.

Gasoline’s premium to Brent, or crack, fell for a third day to $11.60 a barrel, down from $11.75 yesterday, PVM data show.

Middle Distillates

BP bought the 30,000-ton cargo of jet fuel for delivery to the port of Rotterdam, the Platts survey showed. The deal was partially price at a $82 premium to September gasoil on the ICE Futures Europe exchange in London. That compares with yesterday’s deal at $80 more than September gasoil.

On the barge market, Shell purchased three lots of the aviation fuel at $3 and $4 discounts to benchmark prices.

Saras SpA sold the diesel shipment for delivery to Lavera at $33 more than August gasoil, the survey showed.

North Sea Group was the largest seller of diesel on the barge market. All 12 lots changed hands at $33 more than August gasoil, little changed from yesterday’s deals.

Heating oil barges traded at $2 less than front-month gasoil, the survey showed. That compares with discounts of $3.50 and $4 in the previous session.

Russia will ship 280,800 tons of gasoil this month from the port of Novorossiysk on the Black Sea, a loading schedule obtained by Bloomberg News shows. That’s up from 229,300 tons in July.

Gasoil for August delivery increased for a third day and was up 2 percent, or $19, at $949.25 a ton at 5:13 p.m. on the ICE exchange in London. The September contract was at $948.50 a ton, 75 cents less than the front-month.

Gasoil’s crack, a measure of refining profitability, fell to $15.64 a barrel as of 4:30 p.m. local time, down from $15.85 yesterday. Brent increased 2 percent to $111.75 a barrel.

Residues

High-sulfur fuel oil rose, trading from $625.25 to $626.50 a ton, the survey of Platts showed. That compares with $616 to $616.50 yesterday. The low-sulfur equivalent traded at $686 a ton, up from $668 to $670 in the previous session.

Russia will export eight cargoes of fuel oil, or 280,000 tons, from Novorossiysk this month, the loading program showed. That’s down from nine in July.

To contact the reporter on this story: Rupert Rowling in London at rrowling@bloomberg.net

To contact the editor responsible for this story: Stephen Voss at sev@bloomberg.net

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