Mars Blend fell to the lowest level in three years against domestic benchmark West Texas Intermediate on speculation unplanned outages and seasonal maintenance will reduce crude demand.
A 325,000-barrel-a-day crude unit remained shut at the nation’s largest refinery, Motiva Enterprises LLC’s Port Arthur, Texas, plant. Eight analysts surveyed by Bloomberg estimated the Energy Information Administration will report tomorrow a 0.2 percentage point drop in U.S. refinery utilization last week.
Mars Blend fell 55 cents to a discount of $2.70 a barrel versus WTI at 4:05 p.m. in New York, according to data compiled by Bloomberg. It’s the largest gap since Aug. 25, 2010.
Gross inputs at PADD 3 refineries, the Gulf Coast region, fell by an average of 7.8 percent in September for the past five years, according to data compiled by Bloomberg.
Southern Green Canyon weakened by $2.65 to a $4.15 a barrel discount to WTI and Poseidon weakened by $1.15 to a discount of $4 a barrel.
The premium for Light Louisiana Sweet narrowed by 40 cents to $2.80 a barrel. Heavy Louisiana Sweet weakened by 10 cents to $2.90 over WTI.