Gulf Coast gasoline weakened to the lowest level in a month after Phillips 66 restarted its Alliance refinery, which was shut for Hurricane Isaac.
The 247,000-barrel-a-day refinery in Belle Chasse, Louisiana, shut Aug. 28 in preparation for Isaac, the company said in a statement on its website. Alliance is one of the last refineries to restart in the wake of Isaac, a Category 1 hurricane that closed seven refineries representing 13 percent of Gulf Coast capacity.
The premium for reformulated, 87-octane gasoline, or RBOB, on the Gulf Coast slid 5.13 cents to 2.50 cents a gallon versus futures traded traded on the New York Mercantile Exchange at 1:50 p.m. That’s the smallest premium since Aug. 23, according to data compiled by Bloomberg. Prompt delivery slid 8.28 cents to $2.9425 a gallon.
New York Harbor reformulated gasoline’s premium slid 1.25 cents to 15.75 cents a gallon.
Valero Corp.’s Meraux refinery continues to operate at reduced rates because the sole crude unit remains disabled from a July 22 fire. Restart of the unit was delayed when Meraux was shut for Isaac.