Road fuels
Overview
Fuels for road transportation continue to drive the refining industry. But gasoline and diesel are coming under increasing pressure from low-carbon targets being implemented around the world.
Global oversupply, new regulatory measures and rapidly increasing competition for export markets are affecting refining margins. The need for accurate insight and data is more critical than ever.
Argus road fuels coverage includes price assessments and key insights into both conventional fuels - gasoline, distillates and blending components – as well as biofuels, in each key region. Our trusted prices are delivered alongside the latest market-moving news, in-depth analysis, supply and demand dynamics, price forecasts and forward curves data.
Latest road fuels news
Browse the latest market moving news on the global road fuels industry.
North Germany sees May holiday gasoline surge
North Germany sees May holiday gasoline surge
Hamburg, 6 May (Argus) — Driving activity in Germany increased around the public holiday on 1 May, leading to a rise in regional demand for fuels, particularly gasoline, in the past week. Oversupply of diesel is also pressuring premiums in Europe. Daily volumes of diesel and E5 gasoline reported to Argus this week were higher than the average for the current year. Demand for gasoline in the North region notably increased, with reported volumes in the past week reaching the highest daily average in 2024. The filling station sector is almost entirely responsible for the increased demand, market participants said. Many end-users took Monday and Tuesday off as additional holidays, leading up to 1 May. This resulted in a temporary increase in travel activity. In anticipation of this, filling station operators stocked up on fuel. But compared with previous years, overall demand for diesel in Germany remains weak. Coupled with plenty supply of diesel on the international market, this has led to premiums of cif Hamburg in April reaching their lowest level since July 2023. In the face of oversupply the difference between cif Hamburg diesel and cif ARA assessment fell further as well over the past week. The volume of diesel imported to northern Germany increased by 18pc in April compared with March, reaching around 71,000 b/d, data from Vortexa show. The low premiums of the diesel cif assessments, along with the ICE Gasoil Future's contango — which has encouraged the storage of product in tanks since mid-April — have particularly boosted import demand. By Johannes Guhlke Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Pemex fuel output surges, imports down in March
Pemex fuel output surges, imports down in March
Mexico City, 29 April (Argus) — Mexico's state-owned Pemex increased its gasoline and diesel output by 32pc in March from a year earlier, cutting its road fuels imports by 25pc year over year. Pemex's gasoline and diesel output at its six domestic refineries amounted to 562,300 b/d in March, up from 427,100 b/d in the same month of 2023, according to the company's monthly data published on 26 April. Gasoline production rose by 27pc to 350,400 b/d in March year over year. Gasoline output increased by 13pc from February. Pemex's gasoline imports fell by 16pc in March from a year prior, driven by increased domestic production. On a monthly basis, gasoline imports fell by 18pc from February. The company's diesel output surged by 40pc to 211,900 b/d in March year over year, driving imports down by 43pc to 112,500 b/d (see table) . Diesel production was 26pc higher in March compared with February. Road fuels output increased as Pemex's refining system processed 23pc more crude — 1.06mn b/d — in March from the prior year, as result of billion-dollar investments since 2019 to rehabilitate Pemex's refineries and a decline in crude exports . Pemex's regular 87-octane gasoline domestic sales remain almost steady at 527,400 b/d in March from a year earlier. In contrast, 92-octane premium gasoline sales rose by 11pc to 132,800 b/d year over year, as demand for premium gasoline in Mexico has increased this year. The company's diesel sales ticked up by 1pc in March from a year earlier and were 3pc above February sales. Pemex's domestic sales of refined products accounted for 75.6pc of the company's total revenue in the first quarter, Pemex said during its earnings call on 26 April. This compares to a 70.8pc share in full-year 2023, the company said. By Antonio Gozain Pemex fuel production, imports and sales '000 b/d Product Mar 24 Feb 24 Mar 23 YOY ±% Monthly ±% Production Gasoline 350 310 275.5 27.2 12.9 Diesel 212 168 152 39.8 26.0 LPG 110.0 104.0 100.3 9.7 5.8 Jet fuel 38 38 46 -17.1 1.6 Imports Gasoline 307 376 366.0 -16.1 -18.4 Diesel 112 119 196 -42.5 -5.1 LPG 69 100 101 -31.8 -31.1 Internal sales Regular gasoline 527 520 527 0.1 1.5 Premium gasoline 133 134 120 10.9 -0.7 Diesel 261.0 254.0 258 1.2 2.8 ULSD 30.0 28 32 -4.8 8.3 Jet fuel 95 97 94 1.0 -2.3 LPG 167 194 164 2.0 -13.8 Jet fuel and premium gasoline imports and ULSD imports and production are not broken out Pemex Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
High inventories pressure Brazil biodiesel prices
High inventories pressure Brazil biodiesel prices
Sao Paulo, 26 April (Argus) — Logistical differentials for Brazilian biodiesel contracts to supply fuel distributors in May and June fell from March and April values, reflecting higher inventories and a bumper crop of soybeans for crushing, which could increase vegetable oil production. The formula for the logistics differential of plants includes the quote of the soybean oil futures contract in Chicago, its differential for export cargoes in the port of Paranagua and the Brazilian real-US dollar exchange rate. It is the portion in the pricing linked to producers' margin. Negotiations for May and June started with plants seeking higher values to recover part of the losses incurred by unscheduled stops , the result of retailers' delays in collecting biodiesel. But the supply glut has not abated, leading to a drop in prices. With higher inventories in the market, fuel distributors stuck close to acquisition goals established by oil regulator ANP for the May-June period. Sales are expected to gain traction over the next two months, as blended diesel demand traditionally gets a seasonal boost from agricultural-sector consumption linked to grain and sugarcane crops. The distribution sector expects an extension of the current supply-demand imbalance, exacerbated by significant volumes of imported diesel at ports and lower-than-expected demand. The situation has generated concern among many participants, who see this trend as a potential sign of non-compliance with the biodiesel blending mandate. ANP data show that the compliance rate with the Brazilian B14 diesel specification dropped to 83.4pc in April from 95.2pc in March, reaching the lowest level since the 2016 start of monitoring. Non-compliance with the minimum biodiesel content accounted for 67pc of the infractions recorded during the period compared to a historical average rate of 47pc. The recent end to a special tax regime for fuel importing companies offered by northern Amapa state's secretary of finance should end a significant source of diesel price distortions and help rebalance supply in the country. Variations The steepest decline in differentials took place in northeastern Bahia state, where premiums for the period ranged from R600-830/m³ (44.35-61.35¢/USG), down from R730-1,020/m³ in the March-April period, according to a recent Argus survey. In the northern microregion of Goias-Tocantins states, the premium range also dropped by around R142/m³ to R300-535/m³ from R440-680/m³. By Alexandre Melo Brazil biodiesel plant differentials R/m³ May/June March/April ± Low High Low High Rio Grande do Sul 110 380 280 450 -120 Sorriso-Nova Mutum 50 340 220 350 -90 Cuiaba-Rondonopolis 80 405 280 450 -123 Northern of Goiás-Tocantins 300 535 440 680 -142 Southern of Goias 350 500 450 650 -125 Parana-Santa Catarina 150 450 400 480 -140 Bahia 600 830 730 1,120 -210 Source: Argus survey Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Indonesia's Pertamina to complete gasoline unit in Aug
Indonesia's Pertamina to complete gasoline unit in Aug
Singapore, 25 April (Argus) — Indonesian state-controlled refiner Pertamina aims to finish building its new 90,000 b/d residual fluid catalytic cracker (RFCC) in the Balikpapan refinery in August, the firm said. The RFCC is a gasoline production unit, which typically uses residual fuel as a feedstock. The unit will be able to produce propylene, LPG and 92R gasoline that will meet the Euro V specifications, said Pertamina last week, without disclosing further details such as the start-up date. The newly built RFCC unit will be the largest in Indonesia, with the second-largest being the 83,000 b/d RFCC in Balongan and the third-largest the 54,000 b/d RFCC in Cilacap. The new RFCC will also help reduce Indonesia's reliance on gasoline imports. Indonesia currently imports around 9mn-11mn bl/month of gasoline, making it the largest gasoline buyer in the Asia-Pacific. The new RFCC will increase Pertamina's gasoline production by a conservative estimate of 45,000 b/d or 1.3mn bl, or around 10pc of Pertamina's current import demand, according to estimates from an oil analyst. The installation of the new RFCC is part of Pertamina's Refinery Development Master Plan (RDMP), which will take place in two phases. The first phase includes revamping existing units at the Balikpapan refinery, such as the crude distillation unit, vacuum distillation unit, and hydrocracking unit. It also involves building new units, such as the aforementioned RFCC, a gasoline hydrotreater, diesel hydrotreater, and naphtha hydrotreater. The second phase includes building a new residue desulphurisation unit. The RDMP also includes expanding the capacity of the Balikpapan refinery from 260,000 b/d to 360,000 b/d, said Pertamina's chief executive officer Nicke Widyawati. The Balikpapan expansion is expected to be completed in May. By Aldric Chew Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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