California Gasoline Slides First Time in Four Days on Restarts

Spot gasoline in California tumbled against futures for the first time in four days after Exxon Mobil Corp. (XOM)’s Torrance refinery restored operations following maintenance and a power failure.

Exxon’s 150,000-barrel-a-day plant reported planned flaring through yesterday and was running normally today, Gesuina Paras, a company spokeswoman in Torrance, said by e-mail. The refinery had been restarting units after a turnaround that began May 3 and a power failure May 30.

Tesoro Corp. (TSO) said June 7 that its 266,000-barrel-a-day Carson plant, the second-largest in California, was running at “planned rates.” The refinery reported scheduled flaring through tomorrow and was expected to shut a coker this month for work, two people with knowledge of the schedule said May 15.

California-blend gasoline, or Carbob, in Los Angeles slid 6.5 cents to 13 cents a gallon above Nymex gasoline futures, data compiled by Bloomberg at 3:59 p.m. New York time show. Prompt-delivery tumbled 8.84 cents to $2.9781 a gallon.

Carbob in San Francisco dropped 7.5 cents to a premium of 9 cents a gallon, its lowest level in three days.

The discount for San Francisco Carbob versus the same fuel in Los Angeles widened 1 cent to 4 cents a gallon.

Regular gasoline at pumps in California gained 0.1 cent to $3.961 a gallon, according to Heathrow, Florida-based AAA, the nation’s largest motoring organization.

Diesel Prices

California-blend, or CARB, diesel in Los Angeles declined 2.63 cents to a 2.5-cent-a-gallon premium against ultra-low-sulfur diesel futures, the lowest level for the fuel in four days. CARB diesel in San Francisco slipped 1 cent to a premium of 1.5 cents a gallon.

Conventional gasoline in Portland, Oregon, dropped 2.5 cents versus futures to a premium of 3.5 cents a gallon. Low-sulfur diesel there fell 0.5 cent against ULSD futures to a discount of 3.5 cents a gallon.

Portland gasoline’s discount to Los Angeles Carbob narrowed 4 cents to 9.5 cents a gallon. The fuel dropped to 15 cents a gallon below Los Angeles last week, the lowest since March.

The 3-2-1 crack spread of Alaska North Slope crude, Carbob in Los Angeles and CARB diesel in Los Angeles narrowed for the first time eight days, losing $2.71 to $21.29 a barrel at 4:18 p.m. New York time.

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

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