San Francisco Gasoline Weakens a Second Day on Refinery Restarts

Spot gasoline in San Francisco weakened after Tesoro Corp.’s Golden Eagle refinery reported an equipment restart and Chevron Corp.’s Richmond plant worked to return its crude unit to service.

Tesoro’s 170,000-barrel-a-day Golden Eagle plant northeast of San Francisco was starting unspecified equipment yesterday, a notice to Contra Costa County regulators showed. The 240,000-barrel-a-day Richmond refinery, the largest in Northern California, plans to resume normal operations by the end of the month at the lone crude unit, shut since an Aug. 6 fire.

California-blend gasoline, or Carbob, in San Francisco weakened for a second day against gasoline futures traded on the New York Mercantile Exchange, losing 0.5 cent to a premium of 23 cents a gallon at 4:21 p.m. New York time, data compiled by Bloomberg show.

California-blend, or CARB, diesel in San Francisco dropped 5.5 cents to a discount of 0.5 cent a gallon against ultra-low-sulfur diesel futures on the Nymex, a three-month low.

Carbob in Los Angeles slipped 0.5 cent to a premium of 8 cents a gallon. CARB diesel there, which began trading for May delivery, declined 0.5 cent a gallon to 0.5 cent below June ULSD futures.

Exxon Mobil Corp. is restoring operations at the 150,000-barrel-a-day Torrance refinery in Southern California after a power failure yesterday, Gesuina Paras, a spokeswoman at the plant, said by e-mail today.

’No Impact’

“There is no impact to production,” Paras said. “ExxonMobil expects to be able to meet all its contractual commitments.”

The refinery may flare gases through April 26 related to the upset, a notice to the South Coast Air Quality Management District shows.

In Portland, Oregon, gasoline weakened 0.25 cent to a premium of 5.25 cents a gallon. Diesel there dropped 2 cents to a premium of 3 cents a gallon against futures.

The 3-2-1 crack spread of Alaska North Slope crude, Carbob in Los Angeles and CARB diesel in Los Angeles dropped 93 cents to $18.09 a barrel. The spread, a rough indicator of refinery margins, is down 38 percent from this year’s high of $29.09 a barrel on Feb. 5.

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