California Gasoline Drops as Exxon Scheduled to Finish Repairs

Spot gasoline in California tumbled to the lowest level against futures in a week as Exxon Mobil Corp. was expected to finish maintenance on a unit at the Torrance refinery in Southern California.

Flaring at the 150,000-barrel-a-day plant, related to repairs on a unit, was scheduled to end today, a Nov. 2 notice to the South Coast Air Quality Management District shows. Daymond Rice, an Exxon spokesman in Torrance, declined by e-mail to comment on the work, saying the company doesn’t discuss the status of units at the plant.

Spot California-blend gasoline, or Carbob, in Los Angeles declined for the fourth day, losing 3 cents to 13 cents a gallon above gasoline futures traded on the New York Mercantile Exchange at 4:34 p.m. East Coast time, according to data compiled by Bloomberg. That’s the lowest premium for the fuel since Nov. 5.

Carbob in San Francisco also slipped by 2 cents, to a premium of 2.5 cents a gallon.

Tesoro Corp.’s 170,000-barrel-a-day Golden Eagle refinery in Northern California was operating at “planned rates” after performing unplanned maintenance last week, Tina Barbee, a spokeswoman at the company’s headquarters in San Antonio, said by e-mail today. The plant shut a unit on Nov. 8 after a vapor leak, a filing with the Contra Costa County hazardous materials division shows.

California-grade, or CARB, diesel in San Francisco fell 2 cents to 3.75 cents a gallon over Nymex heating oil futures, the lowest since Oct. 24. CARB diesel in Los Angeles dropped 2.5 cents to a 10-cent-a-gallon premium to futures.

Portland Market

Conventional 84 sub-octane gasoline to be blended with ethanol in Portland, Oregon, weakened 1.5 cents to a discount of 10 cents a gallon against gasoline futures. Low-sulfur diesel in Portland gained 1 cent to 23.5 cents a gallon over heating oil futures.

BP Plc shut the 315,000-barrel-a-day Olympic pipeline for work that’s expected to last for five days, a person with knowledge of the situation said Nov. 7. The line delivers fuel from refiners in northwest Washington to customers in Seattle and other markets along the I-5 corridor and supplies jet fuel to the Sea-Tac and Portland International Airports, the company’s website shows.

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