U.S. Cash Products-Gulf gasoline slides on refinery work delay
* Chicago ULSD stronger, most Midwest steady or little changed
* NY harbor RBOB slightly weaker, M2 conventional gasoline steady
HOUSTON, May 18 (Reuters) - U.S. Gulf Coast cash gasoline differentials slid
on Monday as the market absorbed a report from last week that Marathon Petroleum
Corp had postponed work on a key unit at its Louisiana refinery, traders
said.
Industry publication Energy News Today reported on Friday that Marathon
postponed up to a four-week shutdown for work on the lone gasoline-making fluid
catalytic cracking unit (FCCU) at its 522,000 barrels per day (bpd) refinery in
Garyville, Louisiana. ENT had reported earlier last week that the unit would
shut by week's end for work.
On Friday ENT said the company delayed the work, allowing crude runs to
return to normal. The same FCCU and an alkylation unit are scheduled for up to
two months of work in the fall of 2016, ENT said.
On Monday A2 CBOB, or conventional regular gasoline blendstock formulated
for blending with 10 percent ethanol, fell 0.75 cent per gallon to a 17.50-cent
discount to June RBOB futures on the New York Mercantile Exchange, while
conventional M2 gasoline slipped 1.25 cents per gallon to a 14.25-cent discount
to futures, traders said.
Gasoline in the Midwest was steady, even with a report by industry
information provider Genscape that the BP-Husky joint-venture refinery in
Toledo, Ohio, had shut a 55,000-bpd FCCU.
Several Midwest brokers said they had not heard chatter about Toledo and had
not seen differentials move on talk of an FCCU problem.
Chicago CBOB gasoline for cycle-3 May delivery was steady at 7 cents below
June RBOB and Group Three gasoline was pegged only 0.25 cent stronger, with
sellers seen asking 12.50 cents below June RBOB.
Chicago ultra-low sulfur diesel (ULSD) for cycle-3 May supply gained a penny
to 2 cents below June ULSD futures. Group ULSD steadied at 4.25 cents
below June ULSD.
New York harbor gasoline was mixed. F2 RBOB was 0.25 cent weaker at 0.50
cent below June RBOB, while M2 conventional gasoline was steady at 8.50 cents
below.
ULSD traded little changed at 0.30 cent above June ULSD. Jet fuel was a
quarter cent stronger at 5.50 cents below June ULSD.
Ethanol Renewable Identification Number (RIN) credits for 2015 traded from
72.50 to 73 cents each, a weaker range than Friday's trades from 73.25 to 74
cents. Credits for 2014 traded at a two-cent premium to 2015 credits.
Biodiesel credits for 2015 traded at 87.75 cents, stronger after being
pegged on Friday at 86 cents. Credits for 2014 were pegged at a 3.50- to 4-cent
deficit to 2015 credits.
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Latest day
Timing NYMEX Bid Offer Change
Contract
U.S. GULF COAST * Scheduling
A2 CBOB gasoline Cycle 29 RBOB -17.75 -17.25 -0.75
M2 conventional gasoline Cycle 29 RBOB -14.50 -14.00 -1.25
62-grade ULSD * Cycle 27 HO -4.75 -4.25 0.00
54-grade jet fuel Cycle 28 HO -12.50 -11.50 0.00
Heating oil Cycle 27 HO -18.50 -18.00 -0.50
NEW YORK HARBOR
M4 conventional gasoline Prompt RBOB -8.75 -8.25 0.00
Any-Month RBOB -8.75 -8.25 0.00
F4 RBOB Prompt RBOB -0.75 -0.25 -0.25
Any-Month RBOB -0.75 -0.25 -0.25
ULSD Prompt HO 0.00 0.50 0.00
Any-Month HO 0.00 0.50 0.00
Heating oil Prompt HO -13.00 -12.50 0.25
Any-Month HO -13.25 -12.75 0.00
Jet fuel Prompt HO -5.75 -5.25 0.25
Any-Month HO -5.75 -5.25 0.25
MIDWEST
Chicago CBOB gasoline Cycle 3 RBOB -7.25 -6.75 0.00
Chicago ULSD Cycle 3 HO -3.00 -1.00 1.00
Group Three gasoline RBOB -12.75 -12.50 0.25
Group Three ULSD HO -4.50 -4.00 0.00
(Reporting by Kristen Hays in Houston and Robert Gibbons and Chris Prentice in
New York; Editing by Alan Crosby)