Pakistan State Oil is set to buy 25,000 tonnes of jet fuel for delivery over December 20-31 from Glencore at a premium of $4.73 a barrel above Middle East quotes, industry sources said. This would be the company's first jet fuel purchase since June, traders said. In Japan, kerosene stocks fell in the week to December 1, while jet fuel exports reduced despite a higher refinery run rate suggesting that domestic demand for the heating fuel is strong, traders added.
Japan will see mostly normal to below average temperatures in the three months from December, its official forecaster said in November, implying that demand for electricity and kerosene for heating may be higher than previously thought. Support was also seen for gasoil from Sri Lanka with Ceylon Petroleum Corp to import 280,000 barrels of gasoil and 110,000 barrels of jet fuel from PetroChina, sources said. PetroChina had the best out of four offers for each of the tenders, they added. Bahrain Petroleum Co (Bapco) re-issued a tender offering gasoil for late December after cancelling a previous tender likely due to low bids.