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Los Angeles Gasoline, Diesel Premiums Fall as Valero Starts Unit

California-blend gasoline and diesel in Los Angeles weakened to the lowest level since August after Valero Energy Corp. returned a hydrotreater to service at its Benicia, California, refinery.

The premium for California-blend gasoline, or Carbob, in Los Angeles fell 5 cents to 5.5 cents a gallon above gasoline futures traded on the New York Mercantile Exchange at 4:29 p.m. New York time, according to data compiled by Bloomberg. That’s the fuel’s narrowest premium since Aug. 17.

California-blend diesel’s premium over heating oil futures shrank 5 cents to 3 cents a barrel, the smallest since Aug. 25.

Valero reported emissions from Nov. 12 to today at the refinery associated with a planned unit startup, according to a filing with state regulators. The report was a follow-up to a Nov. 8 filing, according to Valero spokesman Bill Day.

Carbob in San Francisco lost 4.5 cents to 1 cent a gallon above futures, the lowest level since Aug. 16.

Conventional, 87-octane gasoline in Portland, Oregon, dropped 7.5 cents to a premium of 1.5 cents above futures.

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