Oil Markets – Details, episodes & analysis

Emerging trends in Asian oil consumption centers, enhancing energy security and the decarbonization strategies Asian countries are pursuing will be some of the themes in focus at the Asia Pacific Petroleum Conference or APPEC 2024, by S&P Global Commodity Insights, which is scheduled to take place from September 9-12 in Singapore.

In a wide-ranging discussion with Asian Energy Editor Sambit Mohanty, three senior market experts, Dave Ernsberger, head of market reporting and trading solutions, Calvin Lee, head of Asia content and  Kang Wu, global head of oil demand research, share their views on what APPEC delegates can expect to hear on those issues as well as on other topics, such as the evolving world of upstream, the supply strategy of OPEC and its allies, and the role of innovation in achieving net zero targets.

Economic growth has slowed in China, cutting into US crude exports and softening spot price differentials for US Gulf Mars crude. The expected supply surplus stemming from reduced Chinese buying has also helped to cushion the bullish impacts of the ongoing war between Israel and Hamas, keeping oil futures in a well-worn range. 

Jeff Mower speaks with US crude reporter Laura Huchzermeyer, crude analyst Ian Stewart and oil futures editor Chris van Moessner about the current arbitrage economics for US crude to Asia and Europe, as well as the timeline and indicators for Chinese demand recovery.

The Northern Hemisphere summer's regular star of the oil barrel, gasoline, has entered its traditional season of price strength with the market structure in contango and cracks far softer than usual for this time of year.
With strong refinery production, rising inventories and a modest demand picture, Joel Hanley and frontline reporters Matthew Tracey-Cook and Kelly Norways examine the key variables currently affecting gasoline markets and discuss the impact of returning refinery utilization on the wider oil product spectrum.

Links:
European gasoline crack hits multi-month low amid dull start to summer driving season (subscriber content)
Gasoline Prem Unleaded 10ppmS FOB Med Cargo - AAWZA00
Gasoline Eurobob 10ppm FOB ARA Barge Brent Crack Financial Mo01 (NextGen MOC) - ABWFL00
Gasoline Prem Unleaded 10ppmS FOB AR Barge - PGABM00 

China has been stepping up efforts to tighten supervision and standardize operations of its refining sector. It launched a series of investigations on refineries beginning April 2021. The latest round of inspections this month will focus mainly on tax issues, as small-scale private refiners often fail to fulfill their tax obligations in an attempt to stay competitive.

In this podcast, S&P Global Commodity Insights' experts Philip Vahn, Asia oil market managing editor and Oceana Zhou and Daisy Xu, senior analysts covering China market discuss Beijing's latest tax investigation and its impact on independent refineries' future operations.

Subscribe to Platts Dimensions Pro for access to assessments and premium content covering Platts Gasoline Unl 92 FOB Spore Cargo (PGAEY00), Platts Gasoil FOB Spore Cargo (POABC00) and much more.

Record low water levels are hindering the transportation of naphtha, LPG, gasoline blending components and diesel, amongst other commodities, along the Rhine into regions of Germany, France and Switzerland leading to critically low inland stocks and the release of strategic reserves for products already affected by the war in Ukraine and a rebound in transportation demand.

In this episode of the Oil Markets Podcast, S&P Global Platts Global editors Eklavya Gupte, Virginie Malicier and Vinicius Maffei discuss with Gary Clark the market implications of strained supply chains for clean oil products for Europe.

Price symbols on clean oil products discussed in this episode:

• Naphtha FOB ARA barges - PAAAM00
• Gasoline Eurobob FOB ARA barges - AAQZV00
• Diesel 10ppm FOB ARA barges - AAJUS00

Even after US gasoline prices reached historic highs during the coronavirus pandemic, they somehow found more room to rise in 2022 after Russia invaded Ukraine. Strong demand and a lack of imports into the US Atlantic Coast resulted in unprecedented interest to ship barrels on Colonial Pipeline. The only problem? It wasn't enough.

Light ends manager Andrea Salazar and US gasoline reporters Anna Trier and Jordan Daniel discuss how gasoline prices have fared in this tight market and whether prices are seeing any relief.

Subscribe to Platts Dimensions Pro for access to assessments and premium content covering Gulf Coast CBOB (AARQU00), New York Harbor barge RBOB (AAMGV00), and much more.

The days of vaccine certificates and COVID-19 tests for travel are long gone for most, and yet jet fuel demand doesn’t seem to have fully recovered from the pandemic. S&P Global Commodity Insights reporters Virginie Malicier and Maxim Kotenev tell Francesco Di Salvo how record-high physical premiums have led to a flurry of eastern cargoes sailing to Europe, and how short-staffed airlines and airports have had to cap passenger capacity growth despite ample pent-up travel appetite.

Check our Jet CIF NWE Cargo assessment (PJAAU00) on Platts Dimensions Pro: https://platform.platts.spglobal.com/web/client?auth=inherit&ignoreIDMContext=1#platts/priceprofile?symbol=PJAAU00

Based on early consumption trends in Asia, market participants believe that the second half of 2022 may turn out to be one of the strongest six-month periods of oil demand growth seen over the past three years.

That said, some pockets in China are still facing lockdowns due to the COVID-19 pandemic and high oil prices are threatening to pull down demand in other consuming nations.

In this podcast, S&P Global Commodity Insights' experts Calvin Lee, Asia head of content, and Kang Wu, head of global demand and Asia analytics discuss with Sambit Mohanty, Asia energy editor the potential top themes for Asian oil markets in the second half of 2022.

Subscribe to Platts Dimensions Pro for access to assessments and premium content covering Platts Jet Kero FOB Spore Cargo (PJABF00), Platts Gasoline Unl 92 FOB Spore Cargo (PGAEY00), Platts Gasoil FOB Spore Cargo (POABC00) and much more.

In Europe, with a hot summer ongoing and a cold winter expected, re-establishing secure sources of energy in light of Russia’s war in Ukraine is a top priority.

S&P Global Commodity Insights reporters Shivani Pandya and Sasha Foss speak with crude oil director Joel Hanley about plans to address the crunch in European natural gas supply, and how a return to oil-fired power generation is not as simple as some might suggest.

Subscribe to Platts Dimensions Pro for access to assessments and premium content covering the front-month TTF natural gas benchmark (GTFTM01), European fuel oil (AAYWT00), and much more.

S&P Global Commodity Insights recently made the decision to reflect WTI Midland barrels in the daily Platts Dated Brent global crude benchmark. See the note here.

Americas crude oil managing editor Laura Huchzermeyer speaks with Emma Kettley, global lead of the Brent complex, and Kristian Tialios, US Gulf Coast crude specialist, about what the market can expect from the inclusion of one of the top-produced US crude grades into the world’s most influential crude pricing benchmarks.

Subscribe to Platts Dimensions Pro for access to assessments and premium content covering Dated Brent (PCAAS00), WTI Midland (AAYBA00), and much more.