Los Angeles Gasoline Weakens as Refinery Restarts Unit This Week
Transportation fuels on the spot market in Los Angeles weakened as Chevron Corp. (CVX) was scheduled to bring the fluid catalytic cracker online this week at its El Segundo refinery in Southern California.
Chevron planned to restart the unit, which processes vacuum gasoil into gasoline and other light products, on April 15 after finishing repairs, a person with direct knowledge of operations at the refinery said.
The 279,000-barrel-a-day El Segundo plant, the largest in the state, supplies 40 percent of the jet fuel to Los Angeles International Airport and 20 percent of the region’s gasoline, San Ramon, California-based Chevron said on its website.
California-blend gasoline, or Carbob, in Los Angeles weakened by 1.75 cents to 8.5 cents a gallon above futures on the New York Mercantile Exchange at 4:07 p.m., according to data compiled by Bloomberg. California-blend diesel in Los Angeles was at parity with ultra-low-sulfur diesel futures on the Nymex, compared with a 1-cent premium yesterday. Jet fuel there weakened 2.75 cents to 3.25 cents below ULSD futures.
Carbob in San Francisco retreated 1 cent to a premium of 23.5 cents a gallon. Diesel there weakened by 1 cent to 5 cents a gallon above futures.
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