Los Angeles Gasoline Drops a Second Day as Exxon Restores Output
Spot gasoline in Los Angeles weakened for a second straight day as Exxon Mobil Corp. (XOM) restored operations at the Torrance refinery following a power failure last week and a maintenance turnaround.
Exxon’s 150,000-barrel-a-day Torrance plant near Los Angeles was scheduled to flare gases through June 5 as it restarted units, Gesuina Paras, a spokeswoman at the refinery, said by e-mail. The refinery is “working to normalize” operations after a power failure May 30.
The Torrance complex also began a turnaround on equipment, including crude, alkylation and coker units, around May 3 that was expected to last several weeks.
California-blend gasoline, or Carbob, in Los Angeles dropped 3.25 cents to a premium of 4.25 cents a gallon against futures traded on the New York Mercantile Exchange at 3:23 p.m. New York time, data compiled by Bloomberg show. Prompt delivery there slipped 0.23 cent to $2.8276 a gallon.
Carbob in San Francisco declined 3.25 cents to a premium of 6.25 cents a gallon. Prompt-delivery dropped 0.23 cent to $2.8476 a gallon.
The premium for San Francisco Carbob versus the same fuel in Los Angeles was unchanged at 2 cents a gallon.
Retail gasoline in the state, which typically trails the spot market, fell 0.5 cent to $3.987 a gallon, Heathrow, Florida-based AAA, the nation’s largest motoring organization, said today on its website. Prices at the pump are down 5.8 percent from a year ago.
California-blend, or CARB, diesel in San Francisco was unchanged versus ultra-low-sulfur diesel futures on the Nymex at a discount of 1.5 cents a gallon. The same fuel in Los Angeles gained 2 cents to a premium of 3 cents a gallon, the largest since April 12.
BP Plc (BP/)’s 266,000-barrel-a-day Carson refinery in Southern California was scheduled to shut a coker this week for planned repairs, according to two people familiar with the schedule.
The oil-products tanker Nave Bellatrix, anchored off the coast of Panama, was scheduled to load clean products June 9 on the U.S. West Coast for delivery to Chile, ship-fixture data compiled by Bloomberg show.
The U.S. West exported 73,000 barrels of distillate fuel oil a day in March, up 22 percent from a year earlier, according to data from the Energy Information Administration, the Energy Department’s statistical arm.
Portland gasoline’s discount to Los Angeles Carbob narrowed 3.75 cents to 4.75 cents a gallon versus Los Angeles Carbob, after the gap stretched to the widest in a month last week.
The 3-2-1 crack spread of Alaska North Slope crude, Carbob in Los Angeles and CARB diesel in Los Angeles widened a third day, gaining 1.4 cents to $18.76 a barrel at 4:24 p.m. New York time. The spread, a rough measure of refining margins, is at the highest level in more than two weeks.
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