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California Gasoline Weakens After Tesoro Refinery Starts Unit

California-blend gasoline in Los Angeles fell to the lowest premium against futures in almost two weeks after Tesoro Corp. said the Wilmington refinery finished work on a process unit.

Carbob in Los Angeles dropped 4 cents to 20 cents a gallon above gasoline futures on the New York Mercantile Exchange at 2:07 p.m. New York time, according to data compiled by Bloomberg. That’s the weakest level since Dec. 21.

“Planned maintenance is complete on the unit (unspecified) at Tesoro’s Los Angeles (Wilmington) refinery,” Tina Barbee, a company spokeswoman in San Antonio, said in an e-mail today.

The San Antonio-based company said last week that the 97,000-barrel-a-day planned work that might lead to flaring from Dec. 28 to Dec. 30. The plant started a process unit Dec. 29, according to a filing with state regulators.

Carbob in San Francisco fell 4 cents to 16.5 cents over gasoline futures, also the lowest level since Dec. 21.

The premium for California-blend diesel in Los Angeles against Nymex heating oil futures climbed 1 cent to 4.25 cents. The same fuel in San Francisco rose 0.25 cent to a premium of 3.75 cents.

Conventional, 87-octane gasoline in Portland, Oregon, strengthened 4 cents to a premium of 7.5 cents to futures, the highest level since Nov. 11.

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