California-blend gasoline in San Francisco rose to the highest level in almost 32 months on speculation that work at Phillips 66 (W:US), Tesoro Corp. (TSO:US) and Royal Dutch Shell Plc. (RDSA) refineries will cut supplies in the market.
California-blend gasoline inventories tumbled last week to the lowest level since Aug. 28, 2009, a state Energy Commission e-mailed report yesterday showed. Stocks dropped, 485,000 barrels, or 9.8 percent, to 4.46 million barrels, the agency’s report showed.
Tesoro shut the hydrocracker at the Golden Eagle refinery until around May 21 for work, a person with knowledge of the schedule said earlier this week. Phillips 66 is also performing a turnaround on a hydrocracker at the Rodeo plant, two people said April 26. Shell shut a catalytic cracker at the Martinez refinery April 21 for a month, a regulatory notice shows.
California-blend, or Carbob, gasoline in San Francisco advanced 9.5 cents to a premium of 51 cents a gallon against gasoline futures traded on the New York Mercantile Exchange at 1:40 p.m. East Coast time, according to data compiled by Bloomberg. That’s the highest level since Sept. 9, 2009.
Los Angeles Carbob rose 5 cents to a 41-cent-a-gallon premium to gasoline futures, the highest since Feb. 24.
Phillips 66 was scheduled to flare gases through today at the 139,000-barrel-a-day Los Angeles refinery, which is performing planned maintenance.
Supplies of California-blend, or CARB, diesel slipped 5,000 barrels, or 0.2 percent, to 2.25 million barrels, according to the state report.
California-blend diesel in San Francisco dropped 2.5 cents to a premium of 18.5 cents a gallon versus Nymex heating oil futures. The same fuel in Los Angeles fell 1.75 cents to a 9.75- cent-a-gallon premium to futures.
Conventional, 87-octane gasoline in Portland, Oregon, a benchmark for the U.S. Northwest, strengthened 10.5 cents to 33 cents a gallon above gasoline futures.
Gasoline inventories on the U.S. West Coast, known as the PADD 5 region, dropped 3.6 percent to 28.3 million barrels last week, the Energy Department said in a report yesterday. That’s the lowest level since Dec. 23.
Low-sulfur diesel in Portland fell 1 cent to a 25-cent premium to heating oil futures. Distillate fuel supplies on the West Coast fell 3.2 percent to 11.6 million barrels last week, the Energy Department said.
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