California Gasoline Premium Jumps After Exxon Plans Flaring

The premium for California-blend gasoline, or Carbob, rose after Exxon Mobil Corp. reported late yesterday its Torrance, California, refinery plans to flare between tomorrow and Oct. 31.

The emissions aren’t related to a breakdown, Exxon said in a notice to state regulators. The 150,000-barrel-a-day refinery resumed normal operations Oct. 5 after an Oct. 1 power failure that reduced output.

California gasoline premiums surged as a result of the outage and after a fire that knocked out a crude-processing unit at Chevron Corp. (CVX)’s plant in Richmond, near San Francisco, in August. The shutdown of a Chevron pipeline that delivers crude to Northern California because of contamination also reduced supplies.

The premium for California-blend gasoline in Los Angeles versus futures on the New York Mercantile Exchange surged 22.5 cents to 57.5 cents a gallon at 1:43 p.m. in New York, according to data compiled by Bloomberg. The same fuel in San Francisco jumped 22.5 cents to 49.5 cents above futures.

California-grade, or CARB, diesel in Los Angeles was unchanged at 15.5 cents a gallon higher than heating oil futures on the Nymex. The fuel in San Francisco was steady at 15 cents a gallon versus futures.

Conventional, 87-octane gasoline in Portland, Oregon, added 8 cents to 36 cents against gasoline futures.

To contact the reporter on this story: Aaron Clark in New York at

To contact the editor responsible for this story: Dan Stets at

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.