1. No category

Tuesday, February 03, 2015
West Coast 30-Day Average Snapshot
Los Angeles CARB No. 2 Basis (cts/gal)
Los Angeles CARBOB-R Basis (cts/gal)
Los Angeles Jet-Pipe LAX Basis (cts/gal)
WEST COAST PRICES HIKE ON FUTURES STRENGTH, SUPPLY CONCERNS
2/3 - The NYMEX petroleum complex had an impressive run today, but the gains
are being whittled away a bit in after-hours trading.
Although the market is pulling back, the gains seen today were impressive, and
perhaps even more impressive were the volumes futures markets have seen so
far this week.
Front-month WTI futures have to this point seen 600,000 lots traded, and
yesterday more than 475,000 lots were seen transacting. Total WTI volumes
topped 1 million contracts for the first time in about two weeks.
March WTI this afternoon raced out to a high of $54.24/bbl, but eventually
backed off of that level to settle at $53.05/bbl, up by $3.48. There was some aid
for crude oil markets as the dollar index was off by 1% today. Brent futures also
saw impressive gains of more than $3 with the contact ending at $57.91/bbl today.
Since settlement though, both WTI and Brent are off by $1 plus. WTI has
struggled since inventories grew by a little more than 6 million bbl, according to
the most recent API statistics.
Refined product futures, particularly ULSD futures, had a strong run. Weather
expectations over the next few weeks are seen as supportive for No. 2 oil in
general and the ULSD contract was the strongest leg of the complex today. March
ULSD futures picked up 8.9cts to settle at $1.8465/gal, after seeing gains that
were more than double digits.
ULSD futures have dropped further since settling, as the contract is off by
almost 2cts, last trading at $1.828/gal.
RBOB futures also had an up day, but even though the March contract settled
up more than a nickel, the contract largely lagged the rest of the petroleum
complex. March RBOB futures reached a high of $1.626/gal, but pulled back more
than 2cts from there to settle at $1.6013/gal, up 5.67cts. The March contract has
lost a little more than 2.5cts after API said gasoline inventories were up by 2
million bbl.
(Continued on Page 3)
New York Mercantile Exchange at Settlement
WTI Crude Oil ($/bbl)
Month
Price
Change
MAR
53.05
3.48
APR
53.86
3.41
MAY
54.95
3.40
RBOB Unleaded (cts/gal)
Month
Price
Change
MAR
160.13
5.67
APR
182.32
6.63
MAY
183.66
6.84
Month
MAR
APR
MAY
ULSD (cts/gal)
Price
Change
184.65
8.90
181.99
8.54
181.87
8.41
L.A. 3-2-1 Crack Spread*
Price ($/bbl)
Change
20.98
-0.02
*Crack is based on midpoints for L.A.
CARBOB Gasoline, CARB and ANS
Snapshot of OPIS Mean West Coast Prompt Month Spot Pipeline Prices and Basis Differentials (cts/gal)
Product
ULS No. 2
CARB No. 2
Sub-oct Reg
Sub-oct Pre
CARBOB-R**
CARBOB-P**
JET **
JET-WTG AVG
B5
AZRBOB-R
AZRBOB-P
CARB RFG-R
CARB RFG-P
Los Angeles
Physical Prices
Basis Diff.
Mean
Change
Mean
Change
179.150
9.650
-5.500
0.750
180.650
9.650
-4.000
0.750
171.880
7.545
11.750
1.875
191.880
7.545
31.750
1.875
176.380
7.545
16.250
1.875
191.880
7.545
31.750
1.875
172.150
8.900
-12.500
-- -171.900
8.790
-12.750
-0.110
-- --- --- --- -174.880
7.545
14.750
1.875
190.380
7.545
30.250
1.875
174.492
7.240
-- --- -188.442
7.241
-- --- --
Bay Area
Physical Prices
Basis Diff.
Mean
Change
Mean
Change
185.150
13.650
0.500
4.750
185.150
13.650
0.500
4.750
174.630
8.170
14.500
2.500
188.630
8.170
28.500
2.500
174.630
8.170
14.500
2.500
186.630
6.170
26.500
0.500
169.150
8.900
-15.500
-- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- -172.917
7.803
-- --- -183.717
6.003
-- --- --
Pacific Northwest
Physical Prices
Basis Diff.
Mean
Change
Mean
Change
182.650
11.900
-2.000
3.000
-- --- --- --- -161.130
8.170
1.000
2.500
181.880
8.170
21.750
2.500
160.130
8.170
-- -2.500
180.880
8.170
20.750
2.500
172.150
8.900
-12.500
-- --- --- --- --- -184.150
11.900
-0.500
3.000
-- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --- --
Full price display on page 2. Note: **L.A. Jet Fuel is JET-PipeLAX, Bay Area Jet Fuel is JET-Pipe, PNW CARBOB-R is Suboctane-Reg (FOB Seattle), PNW CARBOB-P is Sub-octane-Pre (FOB Seattle).
(c)Copyright by Oil Price Information Service, a division of UCG, Two Washingtonian Center 9737 Washingtonian Blvd, Suite 200 Gaithersburg, MD 20878. Reproduction without permission is prohibited. OPIS
West Coast Report is published each business day. OPIS does not guarantee the accuracy of these prices. Pricing/Editorial Office: (800)275-0950. For a limited copyright waiver, call (888)301-2645. To order
additional copies, fax your request to (301)816-8945. To have your information emailed to you, please send an e-mail request to [email protected]. Customer Support:(888)301-2645. Editor: Lisa Street
(747)333-8792; Fax (301)287-2820.
OPIS West Coast Spot Market Report
February 03, 2015
OPIS West Coast Prompt Spot Pipeline Prices and Basis Differentials (cts/gal)
Los Angeles
Product
ULS NO. 2
CARB No. 2
JET-PipeLAX
Sub-Oct Reg 13.5 RVP
Sub-Oct Pre 13.5 RVP
AZRBOB-R 8.0 RVP
AZRBOB-P 8.0 RVP
CARBOB-R 5.99 RVP
CARBOB-P 5.99 RVP
CARB-RFG Reg
CARB-RFG Pre
Timing
FEB
FEB
FEB
FEB
FEB
FEB
FEB
FEB
FEB
DEC
DEC
Low
178.65
180.15
171.65
171.13
191.13
174.13
189.63
175.63
191.13
173.67
187.62
Physical Prices
High
Mean
179.65
179.150
181.15
180.650
172.65
172.150
172.63
171.880
192.63
191.880
175.63
174.880
191.13
190.380
177.13
176.380
192.63
191.880
175.32
174.492
189.27
188.442
Change
9.65
9.65
8.90
7.54
7.54
7.54
7.54
7.54
7.54
-- --- --
Low
-6.000
-4.500
-13.000
11.000
31.000
14.000
29.500
15.500
31.000
-- --- --
Basis Differentials
High
Mean
-5.000
-5.500
-3.500
-4.000
-12.000
-12.500
12.500
11.750
32.500
31.750
15.500
14.750
31.000
30.250
17.000
16.250
32.500
31.750
-- --- --- --- --
Change
0.750
0.750
-- -1.875
1.875
1.875
1.875
1.875
1.875
-- --- --
Wt. Avg
-- -180.525
171.9
-- --- --- --- -176.355
-- --- --- --
San Francisco
Product
ULS NO. 2
CARB No. 2
JET-Pipe
Sub-Oct Reg 14.0 RVP
Sub-Oct Pre 14.0 RVP
CARBOB-R 14.0 RVP
CARBOB-P 14.0 RVP
CARB-RFG Reg
CARB-RFG Pre
Timing
FEB
FEB
FEB
FEB
FEB
FEB
FEB
FEB
FEB
Low
184.65
184.65
168.65
174.13
188.13
174.13
186.13
172.32
183.12
Physical Prices
High
Mean
185.65
185.150
185.65
185.150
169.65
169.150
175.13
174.630
189.13
188.630
175.13
174.630
187.13
186.630
173.52
172.917
184.32
183.717
Change
13.65
13.65
8.90
8.17
8.17
8.17
6.17
-- --- --
Low
-- --- --16.000
14.000
28.000
14.000
26.000
-- --- --
Basis Differentials
High
Mean
1.000
0.500
1.000
0.500
-15.000
-15.500
15.000
14.500
29.000
28.500
15.000
14.500
27.000
26.500
-- --- --- --- --
Change
4.750
4.750
-- -2.500
2.500
2.500
0.500
-- --- --
Wt. Avg
-- -185.15
-- --- --- -174.63
-- --- --- --
Timing
PMT FEB
PMT FEB
PMT FEB
PMT FEB
PMT FEB
PMT FEB
PMT FEB
Low
181.65
171.65
183.15
160.63
181.38
159.63
180.38
Physical Prices
High
Mean
183.65
182.650
172.65
172.150
185.15
184.150
161.63
161.130
182.38
181.880
160.63
160.130
181.38
180.880
Change
11.90
8.90
11.90
8.17
8.17
8.17
8.17
Low
-3.000
-13.000
-1.500
0.500
21.250
-0.500
20.250
Basis Differentials
High
Mean
-1.000
-2.000
-12.000
-12.500
0.500
-0.500
1.500
1.000
22.250
21.750
0.500
-- -21.250
20.750
Change
3.000
-- -3.000
2.500
2.500
2.500
2.500
Timing
MAR
APR
MAY
MAR
MAR
APR
Low
179.82
182.66
183.24
178.99
172.99
173.87
Physical Prices
High
Mean
181.07
180.45
183.66
183.16
184.24
183.74
179.99
179.49
173.99
173.49
174.87
174.37
Change
7.76
8.34
8.50
8.54
8.54
8.41
Low
-2.500
-1.000
-0.500
-3.000
-9.000
-8.000
Basis Differentials
High
Mean
-1.250
-1.875
-- --0.500
0.500
0.000
-2.000
-2.500
-8.000
-8.500
-7.000
-7.500
Change
1.125
1.500
1.500
0.000
-- -0.000
Pacific Northwest
Product
ULS NO. 2
JET-Pipe
B5
Sub-Oct Reg 15.0 RVP
Sub-Oct Pre 15.0 RVP
Sub-Oct Reg 15.0 (Seattle)
Sub-Oct Pre 15.0 (Seattle)
Los Angeles Physical Forward Curve Prices
Product
CARBOB-R 5.99 RVP
CARBOB-R 5.99 RVP
CARBOB-R 5.99 RVP
CARB No. 2
JET-PipeLAX
JET-PipeLAX
*NOTE: L.A gasoline prices are WEST LINE, and S.F. gasoline prices are NORTH LINE-ZERO LINE. Las Vegas gasoline is represented by L.A. regular sub-octane and premium sub-octane. AZRBOB
is the year around gasoline product for Arizona. Pacific Northwest gasoline and No.2 oil prices are FOB Portland Olympic Pipeline; PNW Jet Fuel is FOB Seattle Barge. CARB RFG-R and CARB RFGP in L.A. and S.F. is not a fungible pipeline product, but a reflection of the value of blending CARBOB with 10% ethanol. Ethanol quotes on page 4 are for ethanol delivered rail car to West Coast
locations.
LA vs. SF CARBOB Differential Spread (cts/gal)
2 of 7
LA vs. SF CARB Diesel Differential Spread (cts/gal)
Copyright© Oil Price Information Service (OPIS)
www.opisnet.com
OPIS West Coast Spot Market Report
--Denton Cinquegrana, [email protected]
L.A. Paper Forward Curve Basis Differential (cts/gal)
Product
CARBOB
CARBOB
CARBOB
CARBOB
CARB No. 2
CARB No. 2
CARB No. 2
JET-PipeLAX
JET-PipeLAX
JET-PipeLAX
Timing
MAR
APR
Q2
Q3
MAR
APR
Q2
MAR
APR
Q2
Low
-1.500
-0.500
2.500
5.000
-4.750
-4.500
-4.000
-8.000
-7.500
-7.000
High
-0.500
0.500
3.500
6.000
-3.750
-3.500
-3.000
-7.000
-6.500
-6.000
Mean
-1.000
-- -3.000
5.500
-4.250
-4.000
-3.500
-7.500
-7.000
-6.500
Change
5.500
4.500
0.000
0.000
-- -0.000
-- --- --- --- --
Week
Change
-631
388
216
593
75
1,829
54
Year
Change
-1,954
2,050
2,117
-1,143
416
802
-7
PADD 5 EIA Inventory - Week Ending 01/23
Location
Gasoline
No. 2 Oil
ULSD < 15ppm
Kerosene Jet
Residual Fuel
Crude Oil
Crude Input
This
Week
32,586
16,009
14,748
9,519
5,211
51,364
2,366
Last
Week
33,217
15,621
14,532
8,926
5,136
49,535
2,312
Last
Year
34,540
13,959
12,631
10,662
4,795
50,562
2,373
Note: Inventory levels are in thousands of barrels.
California CEC Inventory - Week Ending 01/23
Location
CARB RFG
Non-Calif.
Gasoline
Gasoline Blend.
Components
CARB-Diesel
Other Diesel
Kerosene Jet
Crude Oil
Crude Input
February 03, 2015
This
Week
6,151
Last
Week
5,937
Last
Year
6,724
Week
Change
214
Year
Change
-573
1,243
1,418
652
-175
591
6,335
5,838
6,816
497
-481
2,595
1,359
3,694
13,921
11,389
2,162
1,334
3,757
14,633
11,755
2,314
1,875
3,910
14,377
11,659
433
25
-63
-712
-366
281
-516
-216
-456
-270
Note: Inventory levels are in thousands of barrels.
PADD 5 EIA Gasoline Inventories - 12 Week Trend (thousand bbl)
PADD 5 EIA Distillate Inventories - 12 Week Trend (thousand bbl)
EXXONMOBIL TORRANCE HYDROTREATER UNIT AT
REDUCED RATES: REFINERY SOURCE
ExxonMobil was operating a cat feed hydotreater at reduced
rates Tuesday at its 155,800-b/d Torrance, Calif., refinery, a
source familiar with plant operations told OPIS.
A cat feed hydrotreater unit cleans the vacuum gasoil stream
and the coker gasoil stream that feeds the fluid catalytic cracker.
"Hydrotreater is running at reduced rate," the source said,
adding that the refinery had the option to pull FCC feedstock
from storage tanks as well.
However, an ExxonMobil spokeswoman said in an e-mail that
operations at the Torrance refinery were normal, and declined to
comment further on the refinery status.
"As a matter of practice, ExxonMobil does not discuss the
status of individual units or details of day-to-day operations or
timelines of maintenance activities," spokeswoman Gesunia
Paras said.
The U.S. West Coast trade community showed some concern
about the impact that potential reduced operations would have
on the Torrance refinery's available gasoline supplies.
"Once the refinery burns through the low sulfur VGO in tank,
they will have to cut gasoline production substantially. If [rates]
are below 50%, they will chew through inventory fast," one
USWC gasoline trader said.
Previously, ExxonMobil completed a multi-unit turnaround at
the Torrance refinery last week, which included planned
maintenance on a VGO hydrotreater and a hydrogen unit.
--Lisa Street, [email protected]
UNIT UPSET AT TESORO'S LOS ANGELES REFINERY;
FLARING EXPECTED
Tesoro is expecting flaring at its 276-000-b/d Los Angeles
refinery located in Carson, Calif., due to a unit upset, the
company told OPIS Tuesday morning.
The company submitted a notice to the South Coast Air Quality
Management District indicating that it anticipates flaring at the
facility over the next few days.
"The filing is associated with an unspecified unit upset and
unplanned maintenance activities at Tesoro's Los Angeles
refinery. We do not anticipate any impact upon our ability to fulfill
product supply commitments as a result," company
spokesperson Tina Barbee said in an e-mailed response to an
OPIS inquiry.
The Carson refinery is one of the three West Coast Tesoro
refineries impacted by the work stoppage called by the United
Steelworkers union (USW) over the weekend.
As previously reported by OPIS, Tesoro announced yesterday
that they plan to continue operating the Carson refinery despite
the USW strike, successfully making the operating transition
Sunday morning.
--Kylee West, [email protected]
WEST COAST RACK PRICES CONTINUE TO RISE
West Coast gasoline and diesel rack suppliers continued to
raise wholesale prices late on Monday and early Tuesday in
response to supply concerns due to ongoing refinery strikes.
The latest price adjustments at the racks have inverted the
price relationship between branded and unbranded, with
branded fuel offered a discount to unbranded. Typically,
unbranded fuel is a few cents per gallon cheaper than branded.
An inverted rack market reflects the refiners' first priority to
(Continued on Page 4)
3 of 7
Copyright© Oil Price Information Service (OPIS)
www.opisnet.com
OPIS West Coast Spot Market Report
OPIS Spot Feedstocks Values
Range (cts/gal)
Product
Low Sulfur VGO
High Sulfur VGO
Light Cycle Oil
Low
172.20
168.70
151.30
February 03, 2015
Diff to 70/30 (cts/gal)
High
174.20
169.70
153.30
Low
-5.00
-8.50
-27.85
High
-3.00
-7.50
-25.85
Diff to WTI ($/bbl)
Diff to ANS ($/bbl)
Low
19.30
17.80
2.50
Low
18.65
17.15
-- --
High
20.10
18.25
3.25
High
19.45
17.60
-- --
OPIS Spot NGL Ranges (cts/gal)
Propane
Market
Delivered LA Basis
Delivered Bakersfield
Delivered Bay Area
Date
2/03
2/03
2/03
Low
69.00
70.00
66.00
N.Butane
High
71.00
71.00
67.00
Low
84.00
74.00
84.00
Butane Mix
High
86.00
76.00
86.00
Low
84.00
74.00
84.00
Isobutane
High
86.00
76.00
86.00
Low
104.00
-- -104.00
High
106.00
-- -106.00
N. Gasoline
Low
-- -71.00
-- --
High
-- -73.00
-- --
WC/WTI-NYMEX/Atlantic Basin Crude Values ($/bbl)
Product
Alaska North Slope
Line 63
THUMS
High
53.95
49.95
37.52
Low
53.45
49.45
37.02
Last
53.70
49.70
37.27
Change
3.48
3.48
0.22
Product
SJV
WTI
Brent
Low
36.27
49.78
54.84
High
36.77
54.24
59.00
Last
36.52
53.05
57.91
Change
0.22
3.48
3.16
U.S. West Coast Crude Oil Postings ($/bbl)
Location
Buena Vista
Hunt. Beach
Kern River
Long Beach
Midway Sunset
Wilmington
Effective Date
API
26.0
-- --- --- -13.0
-- --
Chev
49.86
-- --- --- -45.31
-- -02/02
API
26.0
20.0
13.0
27.0
13.0
17.0
PMTC
44.43
38.87
35.87
42.32
39.70
36.62
01/30
API
26.0
-- --- --- -13.0
-- --
MOBIL
48.71
-- --- --- -42.86
-- -02/02
U.S. West Coast Crude Oil Postings ($/bbl)
Location
Buena Vista
Midway Sunset
Effective Date
API
26.0
13.0
STUSCO
49.70
44.35
02/02
API
26.0
13.0
UNION 76
47.35
41.75
02/02
Today's Closing Singapore Prompt Jet Kerosene Prices
Market
FOB Singapore ($/bbl)
Low
69.89
High
69.99
Low
156.00
153.00
156.00
153.00
154.00
148.00
High
159.00
157.00
159.00
157.00
156.50
153.00
Mean
69.94
Change
3.600
OPIS Ethanol Prices (cts/gal)
Market
LA CI 90.10
LA CI 90.10
SF CI 90.10
SF CI 90.10
Phoenix Eth.
P.N.W. Eth.
Timing
PROMPT
ANY
PROMPT
ANY
PROMPT
PROMPT
Mean Change
157.500 4.500
155.000 4.500
157.500 4.500
155.000 4.500
155.250 2.500
150.500 7.500
OPIS California Low Carbon Fuel Standard
Product
Low
Carbon Credit ($/MT)
19.00
Carbon Intensity Pts ($/CI)
0.0015
Carbon CPG Diesel (cts/gal)
0.2500
Carbon CPG Gasoline (cts/gal) 0.2800
High
22.00
0.0018
0.2900
0.3200
Mean Change
20.50
-- -0.00165
-- -0.27000
-- -0.30000
-- --
OPIS U.S. RIN Values (cts/gal)
Product
Corn Ethanol
Corn Ethanol
Biodiesel
Biodiesel
Adv. Biofuel
Adv. Biofuel
Year
2014
2015
2014
2015
2014
2015
Low
72.00
71.00
76.00
88.00
73.00
83.00
High
73.00
72.00
78.00
90.00
76.00
86.00
Mean
72.50
71.50
77.00
89.00
74.50
84.50
Change
1.250
1.000
-2.750
-1.500
2.000
-3.000
supply to branded customers while allocating or shutting
supplies to unbranded racks. Sometimes, suppliers would jack
unbranded prices significantly to take themselves out of the
market.
After Tesoro's first salvo on a price hike early on Monday,
other rack suppliers followed suit. As of early Tuesday
afternoon, Tesoro is no longer the most expensive fuel at the
racks in Los Angeles and San Francisco.
In Los Angeles, Valero branded gasoline offers the lowest
price at $1.5695/gal, more than 20cts/gal cheaper than the
highest price offered by Phillips 66 unbranded, according to
OPIS' real-time rack price database.
Tesoro is offering one of the cheapest unbranded gasolines
in Los Angeles, along with Petro-Diamond. However, the
cheapest unbranded price is about 13cts/gal higher than the
lowest branded.
In the past 24 hours, rack suppliers in L.A. have raised
gasoline prices in a range of 3-10cts/gal, but Petro-Diamond
cut prices by 2cts/gal.
For diesel, suppliers have raised prices in a range of 510cts/gal for each adjustment. Tesoro raised diesel prices by
10cts early on Monday, tagging an additional 8ct increase on
Tuesday. On Tuesday, Valero branded offers the lowest diesel
price at $1.7255/gal, 20cts/gal lower than the highest price
offered by Shell branded. Tesoro unbranded is at $1.87/gal,
about 2.5cts higher than the cheapest unbranded offered by
Valero.
In San Francisco, Valero branded offers the lowest gasoline
price at $1.5355/gal, about 18cts/gal cheaper than the lowest
unbranded price offered by the same supplier.
Phillips 66 unbranded has the highest gasoline price at
$1.7850/gal, and Tesoro unbranded is about 5cts/gal lower
than Phillips 66.
For diesel, Valero branded dominates the lowest price again,
posting a 7ct price discount to the next lowest price offered by
Tesoro unbranded.
Shell unbranded and branded have the highest price at
$1.9330/gal, about 20cts/gal higher than the lowest rack diesel
price.
The rack price hikes are supported by an increase in spot
values, extended shutdown of Tesoro's Martinez, Calif.,
refinery due to the ongoing union workers' strike and Phillips
66's Wilmington, Calif., refinery issues. Tesoro is continuing to
(Continued on Page 5)
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OPIS West Coast Spot Market Report
Calif. Carbon Allowance Assessments ($/mt)
Vintage
Current Yr.
Current Yr.
Previous Yr.
Previous Yr.
Timing
PMT FEB '15
FWD DEC '15
PMT FEB '15
FWD DEC '15
Low
12.79
12.96
12.81
12.98
High
12.81
12.98
12.83
13.00
Mean
12.800
12.970
12.820
12.990
Prompt Calif. Cap-at-the-Rack Prices (cts/gal)
Product
CARB No.2
B5 Biodiesel
Winter CARB RFG-R
Winter CARB RFG-M
Winter CARB RFG-P
Propane
Price Wk Avg 30-Day Avg
13.099
13.11 13.106
12.440
12.45 12.446
10.283
10.29 10.286
10.283
10.29 10.286
10.295
10.30 10.302
7.164
7.160
7.17
Today's Spot-to-Rack-to-Retail Snapshot
Gasoline ($/gal)
Basket of Racks
Retail Average
L.A. CARBOB-R
Price
1.690
2.529
1.764
Change
0.072
0.059
0.075
Diesel ($/gal)
Basket of Racks
Retail Average
L.A. CARB No. 2
Price
1.814
2.890
1.807
Change
0.105
0.011
0.097
30-Day Spot-to-Rack-to-Retail Trend
Gasoline
Diesel
February 03, 2015
operate both its Carson, Calif., and Anacortes, Wash., refineries with backup personnel despite the strikes.
--Edgar Ang, [email protected]
REFINED PRODUCTS...
The supply worries that appeared to be at the forefront of many market
players' minds yesterday were again supporting West Coast gasoline cash
differentials in Tuesday's session. Coupled with another strong showing
from refined products futures, prices up and down the coast picked up
nickel-plus gains Tuesday.
February Pacific Northwest ultra-low-sulfur diesel traded at 3ct/gal and
1ct/gal discounts to March ULSD futures today, 3cts/gal above where diffs
left the board last night, and about 7-8cts stronger than week-ago levels.
Cash prices rounded the session up nearly 12cts/gal, to $1.8265/gal.
San Francisco CARB diesel for February delivery, which traded at
4.25cts under the March NYMEX diesel contract yesterday, was heard
stronger today, bid at Merc level and offered at 5cts/gal over futures, with
prices picking up a sizable 13.65cts/gal to $1.8565/gal.
Deals for February Los Angeles CARB diesel were inked at 4.50cts/gal,
4cts/gal and 3.5cts/gal under March futures, up about a half penny on the
day. Paper strength intensified those gains, driving prices up 9.40cts/gal to
$1.8040/gal.
L.A. jet fuel had another steadily active session, trading multiple times
between 13cts/gal and 12cts/gal under the March ULSD futures contract,
leaving cash differentials flat on the day. Prices shadowed the NYMEX
8.90cts/gal higher, to $1.7215/gal.
Like CARB Diesel in Southern California, L.A. CARBOB has yet to see
the same dramatic cash differential increases as the other two West Coast
markets. February barrels showed some early strength, trading as high as
17cts/gal above March RBOB futures. Cash differentials faded a bit in the
afternoon, last getting done at 15.50cts/gal over the Merc, to land diffs
1.875cts/gal above where diffs left the board Monday. Cash prices ticked
up 7.54cts/gal to $1.7713/gal, an over 70ct/gal jump within the past three
weeks.
News of Tesoro's decision to keep its Bay Area Martinez refinery in
turnaround amid worker strikes rocketed cash differentials for February
San Francisco CARBOB higher yesterday with a strong round of refiner
buying. Spot trading levels held on to the strength Tuesday, with buyers at
a 14ct premium to March ULSD futures and sellers at 20cts/gal over the
Merc. Outright prices added on 8.17cts/gal, to $1.7463/gal.
Pacific Northwest gasoline spot trading levels, also getting a boost
yesterday off supply worries amid the USW strike and impending planned
maintenance at Shell's Puget Sound refinery later this month, continued to
march higher Tuesday. February sub-octane barrels changed hands at a
penny over the March RBOB futures contract after last getting done
yesterday at Merc level. Prices landed at $1.6163/gal, adding 8.17cts/gal
on the day.
Legend
L.A. CARBOB-R
Basket of Racks
L.A. CARB No. 2
Retail Average
NOTE: The methodology for the Rack-to-Retail
Trend Snapshot can be found at:
http://www.opisnet.com/about/methodology.aspx.
5 of 7
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OPIS West Coast Spot Market Report
February 03, 2015
OPIS West Coast Spot Market Deal Log
Los Angeles
Product
CARBOB Regular 5.99 RVP Prompt
Timing
FEB
Differential
+16.00
Reference
Mar RBOB
kbbl
25
CARBOB Regular 5.99 RVP Prompt
FEB
+16.00
Mar RBOB
25
CARBOB Regular 5.99 RVP Prompt
FEB
+16.00
Mar RBOB
25
CARBOB Regular 5.99 RVP Prompt
FEB
+16.00
Mar RBOB
25
Notes
CARBOB Regular 5.99 RVP Prompt
FEB
+17.00
Mar RBOB
25
CARBOB Regular 5.99 RVP Any
MAR
+(-1.25)
Apr RBOB
25
CARBOB Regular 5.99 RVP Other
APR
+(-0.50)
May RBOB
25
CARBOB Regular 5.99 RVP Prompt
FEB
+17.00
Mar RBOB
25
CARBOB Regular 5.99 RVP Prompt
FEB
+17.00
Mar RBOB
25
CARBOB Regular 5.99 RVP Prompt
FEB
+16.00
Mar RBOB
25
CARBOB Regular 5.99 RVP Prompt
FEB
+15.75
Mar RBOB
25
CARBOB Regular 5.99 RVP Prompt
FEB
+15.50
Mar RBOB
25
CARBOB Regular 5.99 RVP Any
MAR
+(-2.50)
Apr RBOB
25
CARB No2 Prompt
FEB
+(-4.50)
Mar No2
25
CARB No2 Prompt
FEB
+(-4.50)
Mar No2
25
CARB No2 Prompt
FEB
+(-4.00)
Mar No2
25
CARB No2 Prompt
FEB
+(-3.50)
Mar No2
25
Jet LAX Prompt
FEB
+(-13.00)
Mar No2
25
Jet LAX Prompt
FEB
+(-13.00)
Mar No2
25
Jet LAX Prompt
FEB
+(-13.00)
Mar No2
50
Jet LAX Prompt
FEB
+(-13.00)
Mar No2
25
Jet LAX Prompt
FEB
+(-12.75)
Mar No2
25
Jet LAX Prompt
FEB
+(-12.25)
Mar No2
25
Jet LAX Prompt
FEB
+(-12.00)
Mar No2
25
Jet LAX Prompt
FEB
+(-11.75)
Mar No2
25
Received after 5:15 p.m. EST
Product
Sub-Octane Unleaded 15.0 RVP Prompt
Timing
PMT FEB
Differential
+1.00
Reference
Mar RBOB
kbbl
10
Notes
ULS No2 Prompt
PMT FEB
+(-3.00)
Mar No2
10
ULS No2 Prompt
PMT FEB
+(-1.00)
Mar No2
20
San Francisco
No deals confirmed.
Pacific Northwest
Los Angeles Paper
No deals confirmed.
California
No deals confirmed.
6 of 7
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OPIS West Coast Spot Market Report
February 03, 2015
U.S. West Coast Price Discovery Methodology
Editors confirm and record deals done for gasoline and distillate products with a minimum pipeline size of 10,000 bbl in California and
5,000 bbl in the Pacific Northwest. As the majority of the market is done on an EFP basis, we follow deals as basis discounts or premiums
to the New York Mercantile Exchange. We consider fixed-price deals only if they fall within the full-day differential range based off the
NYMEX at settlement. Fixed price deals in California spot markets are converted to an EFP when reported and confirmed and then
reapplied to the NYM EX settlement price.
OPIS does publish "prompt" ranges, which are trades that reflect "any month / buyers option" transactions. "Buyers option" gives the
buyer the choice of taking delivery in any of the four cycles in throughout the month. In Los Angeles, OPIS identifies the prompt Kinder
Morgan cycle for timing clarity but ranges are buyer option/any month lifting.
OPIS works with the Kinder Morgan Pipeline to determine the timing of the various cycles throughout the month. Typically, each month
has four pumping cycles. In cases where it is close to the end of the months trading cycle, OPIS reserves the right to roll coverage forward
to the more liquid month.
For the Los Angeles market, OPIS follows the Kinder Morgan West Line, and in the Bay area the OPIS assessment is for the Kinder
Morgan Zero Line. In the Pacific Northwest, prices are FOB Portland - Olympic Pipeline and jet fuel is FOB Seattle barge.
Director - Data, Pricing & Info:
Ben Brockwell
+1 732.730.2519
Yahoo! brock_opis11
[email protected]
West Coast:
Lisa Street
+1 747.333.8792
Yahoo! lisas_opis
[email protected]
Gulf Coast:
Cory Wilchek
+1 301.287.2010
Yahoo! cwilchek
[email protected]
European Products:
Paddy Gourlay
(75) 95117236
Yahoo! paddygourlay
[email protected]
Ethanol/Biodiesel:
Spencer Kelly
+1 301.287.2731
Yahoo! spencerk_opis
[email protected]
Director - Content Development:
Robert Gough
+1 301.287.2496
Yahoo! rgough_opis
[email protected]
Midwest:
Corey Walker
+1 301.287.2395
Yahoo! cjwalker_opis
[email protected]
Gulf Coast:
Kylee West
+1 301.287.2298
Yahoo! kylee_opis
[email protected]
Asian Products:
Jiwon Chung
(65.63)373.519
Yahoo! jiwon_chung
[email protected]
Executive Editor, Refined Spots:
Jennifer Brumback
+1 860.426.2215
Yahoo! opismidwest
[email protected]
Northeast:
Carly Wright
+1 301.287.2530
Yahoo! cwrightopis
[email protected]
Market News Coverage:
Denton Cinquegrana
Edgar Ang
Beth Heinsohn
Rachel Gantz
Brad Addington
ANY QUESTIONS ABOUT THIS REPORT, CALL LISA STREET AT 747333-8792. COVERAGE FOR WEEK OF 2/2/15: 2/2-6 LISA STREET.
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