The stronger fundamentals were reflected in this week's cargoes sold out of India. Oil and Natural Gas Corp (ONGC) and its subsidiary Mangalore Refinery Petrochemicals Ltd (MRPL) garnered higher premiums for cargoes sold on late Wednesday to Petro-Diamond.
MRPL sold 35,000 tonnes for March 16-18 loading from New Mangalore to the Japanese trader at premiums of nearly $20 a tonne to Middle East quotes on a free-on-board (FOB) basis, traders said. This was the highest premium MRPL has achieved since it sold a cargo last year for August 2018 loading. ONGC sold 35,000 tonnes to Petro-Diamond for Feb. 8-9 loading from Mumbai at premiums slightly above $18 a tonne level, the trade sources added.
This was the highest ONGC had achieved for a naphtha cargo sold out of Mumbai since July 2018. ONGC also exports naphtha from Hazira but on an irregular basis due to domestic demand. Indian Oil Corp is to sell 35,000 tonnes of naphtha for Feb. 26-28 loading from Chennai through a tender closing on late Thursday.
Asia's gasoline crack stayed at a discount for the third straight week due to oversupply across regions of Europe, Asia and the United States. Although the Singapore onshore light distillates stocks fell 160,000 barrels from the previous week to 15.65 million barrels in the week to Jan. 30., this was just 2.8 percent below the record high levels on Jan. 2. Official data showed.