]

www.platts.com EUROPEAN MARKETSCAN

[OIL ]

Volume 45 / Issue 18 / January 25, 2013

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European products ($/mt) ICE futures
Code Mid Change Code Mid Change
Platts ICE 1630 London assessments* (PGA page 703)
Mediterranean cargoes (PGA page 1114)
Gasoil Low Sulfur Gasoil
FOB Med (Italy) CIF Med (Genova/Lavera)

a
Naphtha* PAAAI00 914.50–915.00 914.750 +2.250 PAAAH00 936.50–937.00 936.750 +2.250
Prem Unl 10ppm AAWZA00 1057.50–1058.00 1057.750 +13.500 AAWZB00 1072.00–1072.50 1072.250 +13.500
Feb AARIN00 968.00 Feb AAGL001 979.50
Mar AARIO00 960.75 Mar AAGL002 981.00
Apr AARIP00 953.75 Apr AAGL003 976.00

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Jet AAIDL00 1019.50–1020.00 1019.750 -8.500 AAZBN00 1047.00–1047.50 1047.250 -8.500
10ppm ULSD AAWYY00 968.50–969.00 968.750 -10.000 AAWYZ00 985.75–986.25 986.000 -10.000
Gasoil 0.1% AAVJI00 953.50–954.00 953.750 -10.250 AAVJJ00 973.50–974.00 973.750 -10.250
Fuel Oil 1.0% PUAAK00 651.25–651.75 651.500 -8.250 PUAAJ00 666.00–666.50 666.250 -8.250
Brent Brent NX
Mar AAYES00 113.03 Mar AAXZL00 113.06
Apr AAYET00 111.94 Apr AAXZM00 111.96

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Fuel oil 3.5% PUAAZ00 604.50–605.00 604.750 -3.500 PUAAY00 619.25–619.75 619.500 -3.500
May AAXZY00 111.06 May AAXZN00 111.08
Jet FOB Med premium AAIDN00 9.75/10.25 10.000 -0.500
Jun AAYAM00 110.29 Jun AAYAP00 110.31

Ev
*Naphtha FOB Med is basis East Med
*Platts ICE assessments reflect the closing value of the ICE contracts at
Northwest Europe cargoes (PGA page 1110) precisely 16:30 London time.

FOB NWE CIF NWE/Basis ARA
Naphtha (Feb) PAAAJ00 940.25–940.75 940.500 -1.500
Naphtha PAAAL00 948.25–948.75 948.500 +2.250
Gasoline 10ppm AAXFQ00 1043.00–1043.50 1043.250 +13.000
ICE gasoil settlements (PGA page 702)
Gasoil Low Sulfur Gasoil
Feb AAQSG00 968.50 Feb AAGS001 977.50

F
Jet PJAAV00 1031.50–1032.00 1031.750 -8.500 PJAAU00 1048.50–1049.00 1048.750 -8.500
ULSD 10 ppm AAVBF00 957.50–958.00 957.750 -8.000 AAVBG00 979.50–980.00 979.750 -8.000
Diesel 10ppm NWE AAWZD00 961.00–961.50 961.250 -8.000 AAWZC00 983.50–984.00 983.750 -8.000
PD
Diesel 10 ppm UK AAVBH00 985.75–986.25 986.000 -8.000
Gasoil 0.1% AAYWR00 946.25–946.75 946.500 -8.000 AAYWS00 970.50–971.00 970.750 -8.000
Fuel oil 1.0% PUAAM00 647.25–647.75 647.500 -4.000 PUAAL00 659.25–659.75 659.500 -4.000
Fuel oil 3.5% PUABB00 595.25–595.75 595.500 -2.000 PUABA00 609.75–610.25 610.000 -2.000
Straight run 0.5-0.7% PKABA00 743.00–744.00 743.500 -3.000
VGO 0.5-0.6% AAHMX00 799.00–800.00 799.500 -2.500 AAHMZ00 802.00–803.00 802.500 -2.500
VGO 2% max AAHNB00 793.00–794.00 793.500 -2.000 AAHND00 796.00–797.00 796.500 -2.000
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Mar AAQSH00 961.75 Mar AAGS002 979.00
Apr AAQSI00 954.75 Apr AAGS003 976.00
May AAQSJ00 948.25 May AAGS004 972.50
Jun AAQSK00 942.75 Jun AAGS005 966.50
Jul AAQSL00 939.00 Jul AAGS006 962.50
Expiry AAQSM00 NA*
*Value at 12:00 London time will only appear on day of expiry
ICE gasoil GWAVE (Previous day’s values) (PGA page 702)
Feb PXAAJ00 972.25 Mar PXAAK00 964.50

Northwest Europe barges (PGA page 1112)

FOB Rotterdam Eurobob swaps ($) NYMEX futures (16:30 London time)
Naphtha PAAAM00 944.25–944.75 944.500 +2.250
pe

Eurobob AAQZV00 1029.00–1029.50 1029.250 +13.000 1200 NYMEX WTI (PGA page 703)
98 RON gasoline 10 ppm AAKOD00 1069.75–1070.25 1070.000 +11.000
Premium gasoline 10 ppm PGABM00 1049.75–1050.25 1050.000 +11.000 $/barrel $/barrel
Jet PJABA00 1044.75–1045.25 1045.000 -5.000 Mar AASCR00 95.69 Apr AASCS00 96.18
Diesel 10 ppm AAJUS00 977.00–977.50 977.250 -7.000
NYMEX heating oil (PGA page 703)
Ex

Gasoil 50 ppm AAUQC00 972.50–973.00 972.750 -8.000 1000

Gasoil 0.1% AAYWT00 968.50–969.00 968.750 -7.750 ¢/gal ¢/gal
Fuel oil 1.0% PUAAP00 645.75–646.25 646.000 +3.000 Feb AASCT00 306.13 Mar AASCU00 305.28
Fuel oil 3.5% PUABC00 614.00–614.50 614.250 -2.000
Rotterdam bunker 380 CST PUAYW00 619.00–620.00 619.500 -1.000 NYMEX RBOB (unleaded gasoline) (PGA page 703)
VGO 0.5-0.6% AAHNF00 799.00–800.00 799.500 -2.500 800 ¢/gal ¢/gal
VGO 2% max AAHNI00 793.00–794.00 793.500 -2.000 Mar May Jul Sep Nov Jan
MTBE* PHALA00 1243.75–1244.25 1244.000 -6.000 Feb AASCV00 286.65 Mar AASCW00 288.15

*FOB Amsterdam-Rotterdam-Antwerp

The McGraw Hill Companies


Market Update (PGA page 724)
NYMEX crude and heating oil slid during late-morning
US trade on Friday as new residential sales data from
the US proved disappointing. NYMEX March crude was
25 cents lower at $95.70/barrel, up from a session low
of $95.43/b at 10:46 a.m. EST (1546 GMT). Between
10:15-10:45 a.m. EST, the front-month crude contract
shed nearly $1. ICE March Brent was down 11 cents
at $113.17/b. It fell below $113/b briefly, hitting a
session low of $112.83/b before rebounding back
above $113.10/b. Data on December new home sales
released by the US Census Bureau showed a 7.3% drop
from November, to a seasonally adjusted annual rate of
369,000 units. The annually adjusted rate in November
was 398,000; analysts had expected a rate of 385,000
units. “The macroeconomic news was mixed, with the
latest German business survey confirming a confident
forward view, but UK Q4 GDP a clear disappointment
that sparked talk of a ‘triple dip’ recession,” Tim Evans,
commodities analyst at Citi Futures Perspective, said in
a note. A string of favorable macroeconomic indicators,
particularly in China and the US, have prompted equities
markets to soar to highs not seen since 2007 in the
last several weeks, though oil futures have proved more
resistant to the trend.
Gasoline (PGA page 1399)
The Northwest Europe gasoline market flipped into
backwardation on an uptick in Nigerian demand and
a tight Mediterranean market, sources said Friday. At
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Friday’s European close, the February FOB Rotterdam
EBOB gasoline crack swap was assessed at $10.75/
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barrel, up from Thursday’s $9.10/b. The February-March
FOB Rotterdam EBOB swap spread was assessed at
$4/mt, up from Thursday’s $0/mt, Platts data showed.
Despite the closure of the arbitrage from NWE to the US
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Atlantic Coast, sources said market fundamentals were
strong overall, highlighting Nigerian demand. Nigeria had
bought at least three spot Northwest Europe cargoes in
January as premiums for West African blends had fallen
into a discount versus the Platts 10ppm benchmark,
EUROPEAN MARKETSCAN
Euro-denominated assessments 16:30 London (€/mt)
Med cargoes (PGA page 1120)
FOB Med CIF Med
(Italy) (Genova/Lavera)
Naphtha* ABWHE00 679.859 ABWHD00 696.210
Prem Unl 10ppm ABWGV00 786.139 ABWGU00 796.916
Jet ABWGZ00 757.897 AAZBO00 778.335
10ppm ULSD ABWHM00 719.993 ABWHH00 732.813
Gasoil 0.1% ABWGQ00 708.844 ABWGO00 723.709
Fuel Oil 1.0% ABWGH00 484.207 ABWGF00 495.169
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Fuel oil 3.5% ABWGM00 449.461 ABWGK00 460.424
Jet FOB Med premium ABWHA00 7.432
*Naphtha FOB Med is basis East Med
Northwest Europe cargoes (PGA page 1116)
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FOB NWE CIF NWE/
Basis ARA
Naphtha AAQCE00 704.942
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Gasoline 10ppm ABWGS00 775.362
Jet ABWHB00 766.815 AAQCF00 779.450
ULSD 10 ppm ABWHO00 714.418 ABWHI00 731.141
Diesel 10ppm NWE ABWHP00 711.817 ABWHK00 728.168
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Diesel 10 ppm UK ABWHJ00 732.813
Gasoil 0.1% ABWGR00 703.456 ABWGP00 721.479
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Fuel oil 1.0% AAQCG00 481.234 ABWGG00 490.152
Fuel oil 3.5% ABWGN00 442.586 ABWGL00 453.363
Straight run 0.5-0.7% ABWHG00 552.583
Euro/US$ forex rate: 1.3455. Platts Euro denominated European & US product
assessments are based on market values and a Euro/US$ forex rate at 4:30
PM local London time.
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Foreign exchange rates (PGA page 1151)
January 25, 2013 London 16:30
PD
Dollar/Swiss franc BCADC00 0.9243
GB pound/Dollar BCADB00 1.5798
Dollar/Yen BCACW00 91.0300
Euro/Dollar BCADD00 1.3455
Dollar/Ruble AAUJO00 30.0480
traders said Friday. “The Nigerian market has a bit
more appetite for doing spots out of Northwest Europe
as premiums [versus Platts 10ppm barges] have fallen
into discounts and this price is more attractive to
Nigerian buyers,” a trader said. Two spot cargoes had
moved from NWE to Nigeria in the past two weeks and
a further cargo was fixed yesterday, the trader said, but
declined to comment further. Shipping sources said the
Stavanger Eagle was fixed at Worldscale 167.50 on a
NWE-WAF route for January 30 loading dates. A charterer
for this vessel could not be confirmed. Sources also
said the Alexandros II was fixed on this route, but a rate
Copyright © 2013, The McGraw-Hill Companies
january 25, 2013
Northwest Europe barges (PGA page 1118)
FOB Rotterdam
Naphtha ABWHF00 701.970
Eurobob ABWGT00 764.957
98 RON gasoline 10 ppm ABWGX00 795.243
Premium gasoline 10 ppm AAQCH00 780.379
Jet ABWHC00 776.663
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Diesel 10 ppm AAQCI00 726.310
Gasoil 50 ppm AAUQF00 722.965
Gasoil 0.1% AAYWY00 719.993
Fuel oil 1.0% ABWGI00 480.119
Fuel oil 3.5% AAQCK00 456.522
Rotterdam bunker 380 CST AAUHE00 460.424
New York Harbor cargoes 16:30 London (PGA pages 1350 & 1450)
FOB NY Harbor
(€ cent/gal)
Unleaded 87 AAPYV00 214.89
Unleaded 89 AAPYW00 223.23
Unleaded 93 AAPYX00 235.73
No. 2 AAPYY00 228.82
European clean product barge freight rates
ARA ($/mt) (PGT page 1918)
Rotterdam — Rotterdam TCAEI00 2.00
Rotterdam — Flushing TCAEJ00 3.00
Rotterdam — Ghent TCAEK00 3.50
Rotterdam — Antwerp TCAEL00 3.00
Germany ($/mt) (PGT page 1918)
Rotterdam — Duisburg TCAEM00 6.75
Rotterdam — Cologne TCAEN00 10.00
Rotterdam — Karlsruhe TCAEO00 15.25
Antwerp — Duisburg TCAEP00 7.25
Switzerland ($/mt) (PGT page 1918)
Rotterdam — Basel TCAEQ00 16.00
could not be confirmed. The Mediterranean market was
still priced at steep premiums to Eurobob, leading to talk
of three NWE cargoes moving into the region, a second
trader said, but could not provide further details. In
other news, Libya’s National Oil Corporation had revised
down its year requirements for FOB Mediterranean
gasoline starting February from its original tender to a
maximum of two million mt, market sources said Friday.
Traders said that Libya’s NOC was expected to buy four-
six 25,000/mt (plus or minus 10%) FOB Mediterranean
cargoes a month. NOC’s original tender Wednesday had
been seeking seven-eight cargoes, Platts reported. It
2

means NOC will now buy a maximum of two million mt
for February to January 2014, down from a possible total
of around 2.6 million mt in Wednesday’s tender.
Gasoline deals (PGA page 5)
GASOLINE: MOC SUMMARY: PREM UNL: Trafigura-Total
at $1050/mt MW; Nich-Gunvor at $1050/mt MW
Naphtha (PGA page 1398)
The week ended on a rather quiet note for the
naphtha complex which strengthened nonetheless
on the back of tight supply in the prompt market,
said traders. According to market sources, the front
is clearing as there is no more stock for cargo to be
delivered in the front window. “Everything has gone,
there is no overhang,” noted a market player. Only
one trade occurred during the Platts Market on Close
assessment process, with BASF hitting Glencore’s bid
at $947/mt for delivery between February 15 and 19.
Platts assessed CIF Northwest European cargoes at
$948.5/mt, up from 946.25/mt January 24. Cracks
strengthened as well but did not return to Wednesday’s
levels: The February CIF NWE crack was assessed at
minus $6.7/barrel, up from minus $7.05/b Thursday,
while February/March spread rose slightly to $10.25/
mt from $9.5/mt. In the meantime, the gasoline/
naphtha paper spread for February widened to $85.25/
mt. “There is good demand for naphtha from blenders
in Europe and the US,” added another trader. The open
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arbitrage from Europe to Asia continued to be supportive
despite Asian naphtha cracks slipping Friday with Platts
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assessing the CFR Japan second-half March naphtha/
front-month ICE Brent crack spread down by $8.25/mt
to $128.15/mt. Sentiment was also boosted by an open
arbitrage from Europe to the US, said traders, while one
Ex
of them cited the example of two fixtures it achieved for
this route the week of January 21-25. There was some
talk amongst traders about petrochemical end-users
buying naphtha out the window for prompt delivery, but
this could not be confirmed.
EUROPEAN MARKETSCAN
Subscriber notes (PGA page 1500)
■■ Effective January 1, 2013, Platts has removed a range
of biofuel assessments from European Marketscan. The
Platts MTBE assessment (code PHALA00) will continue
to be published in European Marketscan. From 2013
forward, the only Platts publication to carry biofuels is
Platts Biofuelscan. The codes affected are: Fuel grade eth-
anol codes AAWUQ00, AAYDT00, AAVLD00, AAYDS00;
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Biodiesel FAME -10 codes AAWGY00, AAWGH00; FAME
0 codes AAXQL00, AAWGI00; Soy Methyl Ester (SME)
codes AAUCB00, AAWGJ00; Rapeseed Methyl Ester
(RME) codes AAUCA00, AAWGK00.
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■■ ICE has released a document covering Frequently
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Asked Questions regarding the transition from swaps
to futures effective October 15, 2012. The document is
available at www.theice.com/publicdocs/Platts_Swaps_
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to_Futures_FAQ.pdf. The move by ICE to convert swaps
into futures has raised questions over whether the
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change has also affected the nomenclature of Platts
assessments. The nomenclature of Platts assessments in
all its publications remains the same and there are no
changes envisioned as a result of the ICE move. Platts
methodologies are also unaffected by ICE changes. For
more information about our methodology please access
F
Platts.com or contact the various commodity sectors
including oil@platts.com and pricegroup@platts.com.
PD
■■ Effective January 2, 2014 and following industry
feedback to a previous subscriber note, Platts will cal-
culate the CIF Mediterranean naphtha assessment by
only applying the freight value between Alexandria and
Lavera to the FOB Med naphtha assessment. This freight
value will be calculated using the Platts cross Med clean
tanker assessment for 27,500 mt naphtha cargoes only.
Currently the CIF Med naphtha assessment is calculated
by applying the freight value between Alexandria and
Lavera plus an allowance of $3/mt for port costs. Platts
proposes to remove the port costs from the calculation
of this assessment. Please send feedback and questions to
europe_products@platts.com with a cc to
pricegroup@platts.com
■■ Following feedback to its proposal published on
June 27, 2012, Platts has discontinued its FOB NWE
Premium Gasoline Non-Oxy and Regular Unleaded
Copyright © 2013, The McGraw-Hill Companies
january 25, 2013
Non-Oxy assessments as planned. The assessments
will be suspended with effect from January 2, 2013.
Platts proposed to discontinue the assessment because
the quality reflected in the two assessments no longer
reflects an actively traded or supplied grade in north-
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west Europe. Please send questions and feedback to
europe_products@platts.com with a CC to
pricegroup@platts.com.
■■ Effective January 2, 2013, Platts is reflecting an
updated specification in all European cracked LSFO
cargoes in response to changes in supply and demand
patterns in the European low sulfur fuel oil market.
Under its revised specifications, Platts assessments will
reflect the following qualities: EU-qualified, 1.00%
sulfur, 0.991 kg/l density, 380 CST viscosity, 60 ppm
aluminium/silicon, 7% asphaltenes, 30 degrees Celsius
pour point, 65 degrees Celsius flash point, 15% CCR,
0.1% ash, 0.5% water, 150 ppm vanadium, 9650 kcal/
kg NCV, 0.1% TSP. This represents a change from the
previous Platts assessment specifications of 0.995 kg/l
density, 420 CST viscosity, 80 ppm aluminium/silicon,
6% asphaltenes and 120 ppm vanadium. All other spec-
ifications remain unchanged from the current specifi-
cation reflected. Platts will continue to consider other
merchantable LSFO specifications in its assessment
process, and normalize to the updated specifications.
Please send comments to europe_products@platts.com
with a cc to pricegroup@platts.com.
■■ In preparation for a change to the benchmark
Singapore FOB gasoil assessment, the Gasoil Reg 0.5%
assessment was renamed Gasoil on January 3, 2012.
The renamed Gasoil assessment will continue to reflect
the same underlying methodology and quality speci-
fications, including a sulfur content of 0.5% sulfur,
all through calendar year 2012. The specification will
change to 500 ppm sulfur on January 2, 2013. This
name change has now also been made in the Platts
European Marketscan.
Correction
■■ No corrections reported today
3

Naphtha deals (PGA page 5)
Naphtha MOC deal: BASF-Glencore 12,500 mt 15-19
February $947/mt.
Jet (PGA page 1497)
European jet cargo premiums softened over the week,
owing to improved spot supply of 30,000 mt jet fuel
cargoes in Northwest Europe and steeperg asoil
backwardation. A pickup in dual-purpose kerosene
demand and pockets of buying of Jet-A1, brought to
the fore the low stocks in the region as an underlying
supportive factor for the jet complex. The CIF NWE
jet cargo differential was assessed at a premium of
$80.75/mt to gasoil futures Friday, down 50 cents
on the day, leaving the value $4.75/mt lower over the
week, Platts data shows. Trading sources said arbitrage
arrivals from outlets the Persian Gulf and Asian were
down in January against December, with opinion pointing
to steady-to-slightly lower flows in February. Maintenance
at Indian refiner Reliance’s behemoth Jamnagar complex
next month is expected to put a strain on availability,
with Europe also facing greater competition for barrels
from Asia and Africa, sources said. A combination of
factors need to align to create a viable arbitrage. The
Platts assessment for a 65,000 mt cargo, which would
be carried by Long Range 1 vessels typically used on
the Persian Gulf-NWE route, continued to fall over the
week, and was assessed at $1.825 million Friday. The
value has fallen sharply since the beginning of the year,
down from $2.35 million on January 2, with the Persion
rt
Gulf-Med route sliding from $2.25-1.725 million over the
same period. The Exchange of Futures for Swaps -- the
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spread between Singapore Gasoil swaps and European
ICE 0.1% sulfur gasoil futures -- is commonly traded
to hedge against the movement of physical cargoes
from Asia and the Middle East to Europe. The wider the
Ex
negative spread between the two forward values, the
more economically viable the movement of oil between
the regions. The EFS was at minus $19.77/mt Friday,
down from minus $13.25/mt the previous week. Wider
backwardation in the benchmark ICE gasoil futures has
EUROPEAN MARKETSCAN
also driven a steeper contango in the underlying jet
swap differentials, adding to the pressure on jet physical
premiums. The backwardation between the February and
March gasoil contracts steepened to a near three-month
high of $9.25/mt at 1630 GMT Tuesday, and pushed
the CIF NWE jet cargoes Feb-Mar swaps spread from 25
cents to $2.25/mt contango. The respective structures
were $7.25/mt backwardated, and $3/mt contangoed
tio
Friday. A rally in the outright gasoil price was also a
supportive factor to distillate refining margins, while a
bearish diesel spell granted jet continued dominance as
the most value product to refiners. The FOB Rotterdam
a
jet barge crack -- the product’s value versus crude -- was
at $18.62/b Friday, with its diesel counterpart more
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than $1.5/b lower. Jet’s relative strength has seen
refiners maximize production of the lightest distillate,
a
with barges weighed down by weak seasonal aviation
demand and ample supply. With an end in sight to the
Ev
current period of cold weather, there could also be a
pickup in dual-purpose kerosene demand, as consumers
look to replenish some of their stocks. The FOB
Rotterdam barge premium was assessed at $77/mt, up
$3/mt day-on-day. Vitol sold a BP bid at Feb gasoil plus
F
$76, FOB FARAG, loading between Feb 5-9.
PD
Jet deals (PGA page 5)
Jet cargo MOC deal summary: None reported. Jet barge
MOC deal summary: BP-Vitol 2kt FARAG 05-09 Feb at
Feb plus 75.
Jet Index (PGA page 115)
January 24, 2013 Index $/mt
Europe & CIS PJECI00 360.25 PJECI09 1053.63
MidEast & Africa
Global
PJMEA00
PJGLO00
384.70
363.21
PJMEA09
PJGLO09
1016.41
1047.14
Gasoil (PGA page 1499)
The February ICE 0.1% gasoil futures contract
continued to price at a significant premium to its
March equivalent, with traders pointing to oil exports
Copyright © 2013, The McGraw-Hill Companies
january 25, 2013
out of the region behind the backwardated structure.
“Exports are good out of the region...look around,
there is not much oil around, not much cheap gasoil,”
a trader said. A second trader added “[Baltic export]
volumes are high, but still 90% of the high volumes
are going out of Amsterdam-Rotterdam-Antwerp.”
n
West Africa continued to draw gasoil cargoes, traders
said. “The Ivory coast refinery is in turnaround and
the first quarter is always peak [WAF] demand.. we
had rainy season July-November, people come back
after Christmas and they start buying from then.” In
addition the US and the west Mediterranean were also
a current demand points for gasoil, market sources
said. “The question is what is the resupply to the
region,” the first trader said. The February/March ICE
0.1% gasoil spread was trading around $7.25/mt
backwardated at 16:30 London time, this is from a
$7.75/mt backwardation at the same time Thursday,
Platts data showed. The backwardation is also putting
pressure on volumes in tank, with no incentive to
store gasoil, sources said. Other sources added that
the backwardation also makes buying and moving oil
in this market difficult. In the Platts Market on Close
assessment process Gunvor hit a 0.1% barge bid by
Vitol at February flat, FOB ARA for front window loading.
Gunvor were also offering FOB ARA front window at
February plus $1/mt. The FOB Rotterdam 0.1% gasoil
barge value was assessed $0.75/mt over the front
month ICE 0.1% gasoil futures contract, from a $0.50/
mt premium Thursday, Platts data showed. Demand
for 0.1% gasoil for heating purposes in France and
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4

the Benelux region was described as reasonable, the
German heating oil market however remained under
pressure from limited demand and stable supply from
the German refiners. This has resulted in limited
draw of 50 ppm gasoil from the ARA region, with
the FOB ARA barge premiums sustaining their eight-
month low levels over the week. The FOB ARA 50 ppm
barge premium was assessed at $4.75/mt above
the February gasoil contract, unchanged over the day,
Platts data showed. The Med 0.1% gasoil market
continued to price at a premium to the Northwest
European gasoil market, however increased availability
in the region bought downward pressure to the cargo
differential. Med CIF 0.1% gasoil cargo differential was
assessed $5.75/mt over the front month ICE 0.1%
gasoil futures contract, a day-on-day fall of $2.25/mt,
Platts data showed.
Gasoil deals (PGA page 5)
n Gasoil 0.1% barge MOC deals: Gunvor-VSA , 01. FOB
ARA 2kt lifting 30-3 at Feb plus 0.
n Gasoil 50 ppm barge MOC deals: Glencore-Cargill, fob
ara 30-03 [FW] 1.2kt Feb plus 5; Glencore-VSA, 1.2kt
50 ppm FOB ARA, FW[30-3] at Feb plus 5.
n Gasoil 0.1% cargo MOC deals:Gunvor-Vitol for 25-30kt
of 0.1 Spanish B+C Winter 15-19 Feb cif basis Koper,
neobig +Tunisia+Egypt med +algeria+ other cp options
available/obtainable at cost, ENI&BP&Totsa acceptable
rt
vessel. 0.1 cif med mean plus $1.50 pricing 9 -15 feb
for 25kt, bal march ipe plus 13.50.
pe
Diesel (PGA page 1498)
Ultra low sulfur diesel cargo prices tested new lows
Ex
Friday as traders sought to place unsold material with
end-users against a background of comfortable supply
in Europe. Mediterranean cargoes were assessed at
February ICE 0.1% gasoil plus $18/mt CIF Lavera, down
$2/mt from Thursday and at a $6.25/mt premium to
EUROPEAN MARKETSCAN
Northwest European cargoes, which were at February
ICE 0.1% gasoil plus $11.75/mt CIF ARA. In the
Platts Market on Close assessment process, Gunvor
offered a vessel loading February 7-11 CIF Lavera at
an implied February ICE 0.1% gasoil plus $18.58/mt,
showing the assessment to be lower day-on-day. “Diesel
is fairly unremarkable with a weight of supply and,
overall, the winter has been fairly mild and inventories
tio
are pretty well stocked,” said one trader. “Our retail
demand is down but you’d expect things to improve
going into February... we’ve been able to buy fairly
discounted cargoes on the prompt. It seems traders
a
are reassessing the situation beyond February 10.”
A second trader said: “it’s a balanced ULSD picture
lu
with a potential to move up due to reduced runs, low
inventory and low imports.” The Northwest European
a
barge premium was assessed at February ICE 0.1%
gasoil plus $9.25/mt FOB Rotterdam, up $1/mt day-on-
Ev
day, but stubbornly holding in the single digits. In the
MOC process, Vitol and Mercuria bid diesel barges on a
floating priced basis, with BP, Glencore and Unipec all
showing oil to sell. Vitol picked up 22,000 mt of diesel
in eight barge transactions, with BP selling the majority
F
of the volume and all trades done at February plus $9/
mt. In January, higher 10 ppm diesel out of Russia’s
PD
Primorsk helped tip the balance to the downside and
traders were watching closely for news about Baltic
export flows for February. “It’s probably going to be
again another couple of hundred thousand tons above
the Q4 level,” said the first trader. By contrast, traders
saw relatively low volumes of flows from the US into
Europe, as US refineries are reportedly sending surplus
volumes to South America to benefit from better
diesel premiums there. While refining margins across
Europe have improved in the past week or so, not all
traders were convinced this would have an immediate
impact on the Mediterranean market, which has seen
lower runs than in Northwest Europe and a generally
tighter products supply situation. “Refineries are not
that quick in responce to the margins. I think we need
to see sustained improvement on margins before it
translates into higher runs,” said one.
Copyright © 2013, The McGraw-Hill Companies
january 25, 2013
Diesel deals (PGA page 5)
n ULSD MOC barge deals: BP-Vitol SA Feb +$9/mt 10
ppm ger win spec fob ara, 1-5 feb, 3kt; BP-Vitol SA Feb
+$9/mt 10 ppm ger win spec fob ara, 5-9 feb, 3kt;
Glencore-Vitol SA Feb +$9/mt 3kt 10ppm FOB ARA,
30/1 - 3/2; Unipec Spore Ltde-Vitol SA at feb +$9/
n
mt, fob AR 30 jan 03 feb winter ulsd 2ktes; BP-Vitol SA
Feb +$9/mt 10 ppm ger win spec fob ara, 1-5 feb, 3kt;
BP-Vitol SA Feb +$9/mt 10 ppm ger win spec fob ara,
5-9 feb, 2kt; BP-Vitol SA Feb +$9/mt 10 ppm ger win
spec fob ara, 5-9 feb, 3kt; BP-Vitol SA Feb +$9/mt 10
ppm ger win spec fob ara, 1-5 feb, 3kt.
n ULSD MOC cargo deals: No deals reported.
Fuel oil (PGA page 1599)
The European high sulfur fuel oil market
strengthened Friday Friday despite tepid Chinese
demand ahead of the Lunar New Year, sources said.
FOB Rotterdam 3.5% sulfur barges were assessed
at a $1.50/mt premium to the comparable February
swap, up from Thursday’s $0.25/mt discount.
“February arrivals [in to Singapore] look high, China
demand is low, but might come up after the Lunar
New Year,” a trader said. The ChemChina import
quota deal was also on the mind of some traders,
with the attention turning to how European fuel oil
demand from Asia would be affected. “We’re waiting
for the impact of ChemChina being awarded an
imported crude quota. It looks like upwards of one
VLCC a month of demand will be lost,” said a trader.
In the Mediterranean, continued adverse weather
conditions were still taking a toll on operations in
Malta and Gibraltar, traders said. Fundamentally,
the market appeared balanced, with demand low,
as would be expected for this time of year. “People
don’t seem desperate for oil at the moment.
There are some cargoes floating around, but no
real demand,” a trader said. The physical Med/
north was assessed at a minus $9.50/mt from a
previous minus $8/mt. Meanwhile in the Northwest
5
 EUROPEAN MARKETSCAN january 25, 2013

Fuel Oil deals (PGA page 5)

European low sulfur fuel oil market Friday, barges
recovered significantly, with an aggressive bid from
Shell trading at $646/mt in the Platts Market on
Close assessment process. The barge/cargo spread
jumped to minus $1.50/mt from minus $8.50/mt
the previous day, even while FOB NWE 1% cargoes
n LSFO barge MOC deal summary: 1) BP-STR $647/mt,
1kt, FOB Rdam, FE; 2) Chemoil-OWgt $647/mt, 1kt, FOB
Rdam, FE; 3) Argos Bunkering-STR $646/mt, 3kt, FOB
Rdam, FE.
$614.25/mt, 2kt, FOB Rdam, FE; 28) Mercuria-Vitol
$614.25/mt, 2kt, FOB Rdam, MW; 29) Mercuria-Totsa
$614/mt, 2kt, FOB Rdam, FE; 30) Litasco-Gunvor
$614.5/mt, 2kt, FOB Rdam, MW.
n LSFO cargo MOC deal summary: Totsa-BP, Platts LSFO

n
recovered $0.75/mt against front-month swaps to a n HSFO barge MOC deal summary: 1) Litasco-Vitol NWE Crg FOB bss Antwerp 10-25, February 10-February
discount of $0.75/mt. In the Platts Market on Close $614/mt, 2kt, FOB Rdam, MW; 2) Litasco-Wiljo $614/ 14 100% 1% FOB NWE cargoes, Full Mnth Feb at

assessment process, BP’s bid for a 30,000 mt FOB
Antwerp LSFO cargo, pricing on February FOB NWE
1% assessments minus $1/mt, was sold by TOTSA.
TOTSA also offered two FOB Antwerp cargoes that
tio
mt, 2kt, FOB Rdam, MW; 3) OWnv-Vitol $614/mt, 2kt,
FOB Rdam, FE; 4) Litasco-Vitol $614/mt, 2kt, FOB
Rdam, MW; 5) Litasco-Mercuria $614/mt, 2kt, FOB
Rdam, BE; 6) Mercuria-Vitol $614/mt, 2kt, FOB Rdam,
$-1.00 for 27000 “optol: 0-6kt (pricing 3 quotes after
bl) differential as per main volume specs: EU qualified
ISO8217 2010 RMG380 with max 1.00% sulf.

a
didn’t trade, while Trafigura bid for one. Gunvor FE; 7) Litasco-Wiljo $615/mt, 2kt, FOB Rdam, FE; 8) VGO (PGA page 1597)
offered one FOB Slagen cargo, and one CIF Malta, Mercuria-Gunvor $614/mt, 2kt, FOB Rdam, MW; 9)

lu
neither trading. Supply of LSFO remained abundant, OWnv-Gunvor $614/mt, 2kt, FOB Rdam, FE; 10) Litasco- In the Northwest European vacuum gasoil market
said traders, although some sellers were reportedly Gunvor $614/mt, 2kt, FOB Rdam, BE; 11) Litasco-Wiljo Friday, high sulfur VGO barge and cargoes rose $0.20/

a
holding onto cargoes in the hope of higher prices. $614.5/mt, 2kt, FOB Rdam, FE; 12) Litasco-Aegean barrel against the ICE March Brent crude futures
“The sheer volume of HSFO coming in means you $614.5/mt, 2kt, FOB Rdam, FE; 13) Litasco-Gunvor contract to a $2.95/b premium, with a little tightness

have to sell on, whereas because absolute volumes
of LSFO are a bit lower, a few players are able to
absorb a few cargoes,” said one trader. “We’ve seen
a number of guys able to sell, but they don’t have
to, they’re waiting for the right price”. The arbitrage
Ev
$614/mt, 2kt, FOB Rdam, MW; 14) Litasco-Gunvor
$614/mt, 2kt, FOB Rdam, MW; 15) Litasco-Gunvor
$614.5/mt, 2kt, FOB Rdam, FE; 16) Litasco-ArgosBunk
$614.5/mt, 2kt, FOB Rdam, FE; 17) Litasco-Nioc
$614.5/mt, 2kt, FOB Rdam, BE; 18) Litasco-Gunvor
on supply forcing buyers to step up, according to trade
sources. The 100,000 mt Ligovsky Prospect was fixed
by Repsol for the Tallinn/UKC-Med route, loading
February 4 at Worldscale 110-130, said shipping
sources. While Repsol was said to be looking for

to Singapore remained closed on paper for both high
and low sulfur grades, said traders, but there was
reportedly some opportunistic last-minute loading of
low sulfur for already fixed vessels East. “There’s
still a couple of vessels loading to go East, probably
taking a little low sulfur with them,” said one trader.
“Singapore is full (of 1%) but if you’ve got some
space on the vessel, you might as well take some
rt
F
$614.5/mt, 2kt, FOB Rdam, MW; 19) Litasco-Aegean
$614.5/mt, 2kt, FOB Rdam, FE; 20) Litasco-Aegean
PD
$614.5/mt, 2kt, FOB Rdam, FE; 21) Koch-Gunvor
$614.25/mt, 2kt, FOB Rdam, FE; 22) Litasco-Gunvor
$614.5/mt, 2kt, FOB Rdam, FE; 23) Litasco-Gunvor
$614.5/mt, 2kt, FOB Rdam, MW; 24) Litasco-Vitol
$614.25/mt, 2kt, FOB Rdam, FE; 25) Litasco-ArgosBunk
$614.5/mt, 10kt, FOB Rdam, MW; 26) Koch-Vitol
HSVGO from February onwards, the cargo could be high
sulfur straight run or M100, said traders. A Repsol
trader could not be reached for comment. Meanwhile
FOB NWE low sulfur VGO cargoes and barges were
assessed up $0.15/b against ICE March Brent crude
futures to reach a $3.85/b premium, with improving
gasoline cracks feeding through into LSVGO demand
expectations. One trader said he thought the arbitrage

over in the hope that Singapore premiums improve.” $614.25/mt, 2kt, FOB Rdam, BE; 27) Koch-Vitol to the US could work because of improving values for
Meanwhile in West Africa, Shell had fixed the 55,000
pe

mt United Ambassador to load fuel oil from Yombo,

in the Republic of Congo, on January 20. “Very low
sulfur stuff comes out of there,” said one trader who
thought it could go East. South Korea has no nuclear ] EUROPEAN MARKETSCAN Volume 45 / Issue 18 / January 25, 2013
Editorial: Gasoil: +44-20-7176-6166 Diesel: +44-20-7176-6684 Gasoline: +44-20-7176-6120 Jet: +44-20-7176-6206 Naphtha: +44-20-7176-3144
Ex

Crude: +44-20-7176-6114 Fuel Oil: +44-20-7176-6104 Feedstocks: +44-20-7176-6112

stations on, maybe some low sulfur will make its
way there”. A trader at Shell could not be reached
for comment. Nuclear reactors in South Korea have
recently suffered a series of malfunctions that have
led to temporary shutdowns.
Client services information: North America: 800-PLATTS8 (800-752-8878); direct: +1 212-904-3070, Europe & Middle East: +44-20-7176-6111,
Asian Pacific: +65-6530-6430 Latin America: +54-11-4121-4810, E-mail: support@platts.com
Copyright © 2013 The McGraw-Hill Companies. All rights reserved. No portion of this publication may be photocopied, reproduced, retransmitted, put into a compu-
ter system or otherwise redistributed without prior written authorization from Platts. Platts is a trademark of The McGraw-Hill Companies Inc.Information has been
obtained from sources believed reliable. However, because of the possibility of human or mechanical error by sources, McGraw-Hill or others, McGraw-Hill does not
guarantee the accuracy, adequacy or completeness of any such information and is not responsible for any errors or omissions or for results obtained from use of
such information. See back of publication invoice for complete terms and conditions.

Copyright © 2013, The McGraw-Hill Companies 6


LSVGO on the Gulf Coast, but others still saw the route
as uneconomic, depending on what short was available
at the other side.
VGO deals (PGA page 5)
No deals
North Sea crude (PGA page 1299)
The Forties crude differential to Dated Brent fell Friday,
reversing the trend of a week of strengthening for the
differential. Total came to the Platts Market on Close
assessment process bidding for Forties crude loading
February 9-11. The bid, at Dated Brent plus $0.65/b,
was $0.10/b weaker than Total had bid for exactly the
same dates Thursday. With the buying interest that had
been supporting the Forties crude market ebbing, Forties
fell to Dated Brent plus $0.72/b. The Forties structure
remained backwardated, with little sign of buying interest
further out. “Total have been good buyers for Forties over
the last week or so,” a trader said. “I would have thought
the later loading barrels were still not quite as strong
though.” Meanwhile, the Buzzard oil field had recovered
from a disruption to normal operations, a source at an
equity holder of the Forties crude oil grade said Friday.
“There was a small problem [with Buzzard], but that
problem has now been rectified,” the source said. It was
not immediately clear how long the problem had lasted,
or whether production had been affected. After several
days of steadily increasing differentials across the other
rt
North Sea grades, traders said that the market was
now stabilising and even starting to fall. Trading activity
pe
was also heard to be slowing down. “To me the market
feels like it’s levelling out to be honest,” one trader
said. “I don’t see any massive bullishness of grades, or
bearishness either. It feels like the market has [fallen],
Ex
and its got to the point where interest is on the third
decade now.” A second trader said: “My guess is that
the third decade in the grades will be that little bit later
to be traded. The thing is there is a lot of time when not
(continued on page 9)
EUROPEAN MARKETSCAN january 25, 2013
Asia products
Code Mid Change Code Mid Change
Singapore (PGA page 2002)
FOB Singpore ($/barrel)
Naphtha PAAAP00 107.14–107.18 107.160 -0.400
Gasoline 92 unleaded PGAEY00 121.94–121.98 121.960 +0.970
Gasoline 95 unleaded PGAEZ00 125.10–125.14 125.120 +1.060
n
Gasoline 97 unleaded PGAMS00 126.73–126.77 126.750 +1.080
Kerosene PJABF00 129.33–129.37 129.350 +0.120
Gasoil 0.05% sulfur AAFEX00 127.83–127.87 127.850 +0.280
tio
Gasoil 0.25% sulfur
Gasoil
AACUE00
POABC00
126.88–126.92
127.83–127.87
126.900
127.850
+0.390
+0.280
Fuel oil 180 CST 2% ($/mt) PUAXS00 650.10–650.14 650.120 +3.930
HSFO 180 CST ($/mt) PUADV00 636.47–636.51 636.490 +4.630
HSFO 380 CST ($/mt) PPXDK00 634.72–634.76 634.740 +5.220
a
Indonesia (PGA page 2516)
FOB Indonesia ($/barrel)
lu
LSWR Mixed/Cracked PPAPU00 112.25–112.29 112.270 -0.010
Gasoline components (PBF page 2010)
FOB Singapore ($/mt)
a
MTBE PHALF00 1178.00–1180.00 1179.000 +7.000
Singapore Swaps (PPA page 2654)
Ev
February ($/barrel) March ($/barrel)
Naphtha Japan ($/mt) AAXFE00 959.25–959.75 959.500 -2.500 AAXFF00 945.50–946.00 945.750 -1.500
Naphtha PAAAQ00 105.88–105.92 105.900 -0.350 PAAAR00 104.33–104.37 104.350 -0.250
Gasoline 92 unleaded AAXEL00 121.38–121.42 121.400 +0.850 AAXEM00 120.33–120.37 120.350 +0.900
Reforming Spread AAXEO00 15.48/15.52 15.500 +1.200 AAXEP00 15.98/16.02 16.000 +1.150
Kerosene PJABS00 128.90–128.94 128.920 +0.200 PJABT00 128.26–128.30 128.280 +0.350
F
Gasoil POAFC00 127.93–127.97 127.950 +0.300 POAFG00 127.84–127.88 127.860 +0.370
HSFO 180 CST ($/mt) PUAXZ00 641.78–641.82 641.800 +4.800 PUAYF00 645.53–645.57 645.550 +4.850
Middle East (PGA page 2004)
PD
FOB Arab Gulf ($/barrel)
Naphtha ($/mt) PAAAA00 934.10–944.60 939.350 -3.410
Naphtha LR2 ($/mt) AAIDA00 941.51–952.01 946.760 -3.420
Kerosene PJAAA00 126.89–126.93 126.910 +0.140
Gasoil 0.005% sulfur AASGJ00 125.75–125.79 125.770 +0.310
Gasoil 0.05% sulfur AAFEZ00 125.25–125.29 125.270 +0.310
Gasoil 0.25% sulfur AACUA00 123.85–123.89 123.870 +0.310
Gasoil POAAT00 125.25–125.29 125.270 +0.310
HSFO 180 CST ($/mt) PUABE00 621.62–621.66 621.640 +4.720
Japan (PGA page 2006)
C+F Japan ($/mt) Premium/Discount
Naphtha PAAAD00 967.50–978.00 972.750 -3.750
Naphtha MOPJ Strip AAXFH00 939.75–940.25 940.000 -1.000 AAXFI00 32.50/33.00 32.750 -2.750
Naphtha 2nd 1/2 Mar PAAAE00 987.25–987.75 987.500 -3.750
Naphtha 1st 1/2 Mar PAAAF00 977.50–978.00 977.750 -3.750
Naphtha 2nd 1/2 Apr PAAAG00 967.50–968.00 967.750 -3.750
Gasoline unleaded ($/barrel) PGACW00 124.60–124.64 124.620 +0.950
Kerosene ($/barrel) PJAAN00 131.27–131.31 131.290 +0.140
Gasoil ($/barrel) POABF00 130.68–130.72 130.700 +0.220
HSFO 180 CST PUACJ00 649.28–649.32 649.300 +4.630
Copyright © 2013, The McGraw-Hill Companies 7
 EUROPEAN MARKETSCAN january 25, 2013

US Products: January 24, 2013

Code Mid Change Code Mid Change Code Mid Change
New York harbor (PGA page 152)
CIF cargoes (¢/gal) RVP
Unleaded 87 0.3% AAMHG00 288.81–288.91 288.860 +2.520 AAMHGRV 15.0
Unleaded-89 0.3% AAMIW00 300.03–300.13 300.080 +2.150 AAMIWRV 15.0
Unleaded-93 0.3% AAMIZ00 316.85–316.95 316.900 +1.570 AAMIZRV 15.0

n
Jet PJAAX00 324.42–324.52 324.470 -2.420
Low sulfur jet PJABK00 335.17–335.27 335.220 +0.080
ULS Kero AAVTH00 347.17–347.27 347.220 +0.080

tio
No. 2 POAEH00 309.42–309.52 309.470 +0.080
$/barrel 1% strip NYH cargo vs 1% strip
No. 6 0.3% HP PUAAE00 113.53–113.63 113.580 +0.540 AAUGA00 9.89/9.99 9.940 +0.150
No. 6 0.3% LP PUAAB00 122.03–122.13 122.080 +2.740 AAUGB00 18.39/18.49 18.440 +2.350

a
No. 6 0.7% PUAAH00 108.47–108.57 108.520 +0.460 AAUGC00 4.83/4.93 4.880 +0.070
No. 6 1.0%** PUAAO00 104.33–104.43 104.380 +0.390 AAUGG00 103.63–103.65 103.640 +0.390 AAUGD00 0.69/0.79 0.740 0.000
No. 6 2.2% PUAAU00 98.99–99.09 99.040 +0.560 AAUGE00 -4.65/-4.55 -4.600 +0.170

lu
No. 6 3.0% PUAAX00 97.21–97.31 97.260 +0.560 AAUGF00 -6.43/-6.33 -6.380 +0.170
Residual swaps ($/barrel)
No. 6 1.0% paper Bal M AARZS00 NA–NA NA NANA

a
No. 6 1.0% paper 1st month PUAXD00 103.50–103.60 103.550 +0.400
No. 6 1.0% paper 2nd month PUAXF00 102.90–103.00 102.950 +0.350
No. 6 1.0% paper next quarter PUAXG00 101.90–102.00 101.950 +0.330

Ev
Boston cargoes (PGA pages 152)
¢/gal
Low sulfur jet PJABL00 337.17–337.27 337.220 +0.080
ULS Kero AAVTJ00 349.17–349.27 349.220 +0.080
No. 2 POAEA00 311.92–312.02 311.970 +0.080
No. 6 2.2% ($/barrel) PUAWN00 100.41–100.51 100.460 +0.560

F
NY/Boston numbers include duty. **This assessment reflects 150 max al+si
FOB Gulf Coast (PGA page 156 & 338)
PD
¢/gal RVP
Unleaded 87 PGACT00 267.83–267.93 267.880 +2.780 PGACTRV 13.5
Unleaded 89 PGAAY00 279.83–279.93 279.880 +3.180 PGAAYRV 13.5
Unleaded 93 PGAJB00 297.83–297.93 297.880 +3.780 PGAJBRV 13.5
MTBE PHAKX00 356.05–356.15 356.100 -1.150
Alkylate* AAFIE00 41.70/41.80 41.750 -1.250
Naphtha PAAAC00 286.08–286.18 286.130 +2.030
Jet 54 PJABM00 314.42–314.52 314.470 -0.120
rt

Jet 55 PJABN00 319.42–319.52 319.470 -0.120

ULS Kero AAVTK00 329.42–329.52 329.470 -0.120
No. 2 POAEE00 304.42–304.52 304.470 -0.170
pe

Low sulfur No. 2 POAES00 307.17–307.27 307.220 -0.420

*Premium to US Gulf Coast pipeline gasoline
$/barrel 3% strip vs 1% strip
Slurry Oil PPAPW00 97.14–97.16 97.150 +0.570 AAUGS00 -0.14/-0.12 -0.130 0.000
No. 6 1.0% 6 API PUAAI00 104.09–104.11 104.100 +0.500 AAUGT00 6.81/6.83 6.820 -0.070
Ex

No. 6 3.0% PUAFZ00 96.99–97.01 97.000 +0.570 AAUGW00 97.27–97.29 97.280 +0.570 AAUGU00 -0.29/-0.27 -0.280 0.000
RMG 380 PUBDM00 98.69–98.71 98.700 +0.670 AAUGV00 1.41/1.43 1.420 +0.100
Residual swaps ($/barrel)
No. 6 3.0% paper 1st month PUAXJ00 97.05–97.15 97.100 +0.550
No. 6 3.0% paper 2nd month PUAXL00 96.55–96.65 96.600 +0.450
No. 6 3.0% paper next quarter PUAXN00 96.00–96.10 96.050 +0.400

Copyright © 2013, The McGraw-Hill Companies 8


much Ekofisk is around, and a lot of people take to their
system.” The February 24 Ekofisk cargo was heard to
have been last offered by Trafigura at Dated Brent plus
$1.70/b before trading Thursday, although the traded
value and buyer were not heard. Meanwhile, the Forties
parcel F0214, loading February 20-22, was entered into
the 10-25 day nomination procedure. The cargo, which
was originally Suncor equity, was kept by BP. In addition,
Chevron’s F0215, loading February 21-23, was also
entered into the 10-25 day nomination procedure. It was
not clear by the end of business who held the cargo.
rt
pe
Ex
EUROPEAN MARKETSCAN january 25, 2013
LSSR (PGA page 1598)
possibility of a near-term impact as LSSR is typically not
In the Northwest European low sulfur straight run market bought as far forward as crude. “LSSR fills the gaps of
Friday, FOB NWE LSSR cargoes were assessed up the crude buying program,” said one trader. “Of course
$0.10/barrel at a discount of $3.30/b to the March everything is bought for some time ahead, so is VGO,
ICE Brent crude futures contract, with traders describing due to logistics etc, but refineries should see worse
good demand in the region from refineries such as economics for buying LSSR today, and this will drizzle
n
Valero’s Pembroke refinery in the UK. One trader said down into bid-offer levels eventually.”
that the refinery bought high quality Libyan or Angola
tio
LSSR. However, as crude margins have recovered over LSSR deals (PGA page 5)
the last few weeks, there is less projected demand
for straight run as a feedstock, said traders, with the No deals
a
a lu
Ev
F
PD
Copyright © 2013, The McGraw-Hill Companies 9
 BELARUSIAN OIL REFINING AND OIL PRODUCTS EXPORTS
VI International Conference supported by Belneftekhim Concern
8 - 10 April 2013, Minsk, Belarus
LEADING INDUSTRY EXPERTS ARE GOING TO COVER THE FOLLOWING ISSUES IN THE COURSE OF

n
THE CONFERENCE:

tio
How will Russia's entry to the World Trading Organisation (WTO) impact Belarusian oil and gas sector?
What is the impact of Customs Union on oil and oil products exports to the European Union?

a
Have the terms of sales transactions with Kazakhstan changed after the formation of the Common Free Market Zone? What is the role of Russia

lu
in this collaboration?
What are the consequences of oil and oil products export duties change in Russia and Belarus?

a
Have tax regime 60/66 in Russia worked out as it was intended to? What was its influence on Belarus oil and gas sector?

Ev
What prospects will construction of third refinery bring to Belarus?
Will oil products export volumes change in the near future?
Which trading routes will be mainly used?

REASONS TO ATTEND: F
PD
Effective business network development and information exchange with representatives of the oil and gas sector and authorities of Belarus,
Russia and Europe
Discussion sessions and opportunities for talking direct to leaders and specialists in the Belarusian oil sector
rt

Technical visit to oil refinery – overview of operational capacity and meeting refinery management
Amongst previous years’ expert speakers and participants - key oil and gas companies in the region and their international partners, leading
pe

traders and transportation companies, international banks, amongst which are: Belneftekhim Concern, Mozyr Refinery, Naftan, Gomeltransneft Druzhba,
Belarusian Railways, Belorusneft, Belarusian Oil Company, Belarusian Oil Trade House, Rosneft, Lukoil, TNK-BP, Alfa-Bank, Alliance Oil Ukraine, Freight
One, Gazpromtrans, BP, Litasco, Neste Oil, TOTSA, Orlen, Klaipedos Nafta, Trafigura, BNP Paribas, SGS, Transbunker, Shell, Vitol and others.
Ex

For more information, registration and sponsorship opportunities please contact:

Confidence Capital, Ekaterina Poluyanova, e_poluyanova@ccapital.co.uk, +44 (0) 20 8349 1999
http://www.ccapital.co.uk