Los Angeles Gasoline Falls From 12-Week High After Plant Restart
Spot gasoline in Los Angeles fell from a 12-week high against futures after Phillips 66 (PSX) began restarting a fluid catalytic cracker at a Southern California refinery and gasoline supplies on the West Coast increased.
California-blend gasoline in Los Angeles weakened by 6 cents to a premium of 36.5 cents a gallon more than futures on the New York Mercantile Exchange at 1:20 p.m. East Coast time, according to data compiled by Bloomberg. It fell from a premium that was the highest since June 20.
Phillips 66 began restarting the FCC at its refinery near Los Angeles yesterday after a transformer failed over the weekend. The refinery flared gases as it was starting the unit, which upgrades vacuum gasoil into higher-value products such as gasoline, according to a filing with the California Governor’s Office of Emergency Services.
Gasoline supplies on the West Coast increased by 244,000 barrels to 28.8 million last week, according to data released by the Energy Information Administration.
State-blend gasoline in San Francisco weakened by 2 cents to a premium of 49 cents a gallon to New York futures. That was the highest level since Oct. 5.
State-blend diesel in San Francisco weakened 0.5 cent to a 7-cent premium to ultra-low-sulfur diesel on the Nymex. The fuel in Los Angeles was unchanged at a premium of 3.25 cents.
West Coast diesel stockpiles grew by 955,000 barrels, the largest jump in two months, to 12.3 million.
Conventional, 84-octane gasoline in Portland, Oregon, strengthened by 2.5 cents to a premium of 24 cents a gallon above New York futures. It’s now at the highest level since July 11. Low-sulfur diesel in the city strengthened by 0.25 cent to a premium of 1.25 cents.
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