Argus Group Three RBOB
Argus recently launched a calculated assessment for reformulated gasoline in Group Three. This move comes following recent changes that were made in gasoline specifications for the Denver, Colorado, area in 2024.
Summertime conventional gasoline sales in Denver, Colorado ended on 7 November 2023 when the US Environmental Protection Agency (EPA) mandated reformulated gasoline for the metropolitan area during the summer season. The shift in specifications was first announced by the EPA ruling in November 2022 when it found the region was not meeting federal ozone standards. Reformulated gasoline burns cleaner than its conventional counterpart but is also a more expensive fuel to produce.
For the winter months, Denver gasoline prices will likely change little from years past. The Reid Vapor Pressure (RVP) levels for reformulated gasoline will likely closely mimic those seen in Group Three’s conventional gasoline market for the southern portion of the midcontinent.
But come summer – which is defined as 1 June through 15 September – Denver area retailers will be required to sell 7.4 RVP reformulated gasoline, as opposed to a prior requirement of 7.8 RVP conventional fuel. This is expected to widen Denver's premium to conventional prices in nearby regions.
Denver reformulated gasoline's premium to sub-octane gasoline prices in adjacent states such as Oklahoma and Kansas should be similar to spreads between Gulf coast CBOB and Gulf coast RBOB. Denver's reformulated gasoline supply will come from a combination of shipments from the midcontinent and Gulf coast markets, as well as from Suncor's 103,000 b/d refinery in nearby Commerce City, Colorado.
Group Three RBOB Methodology
Prices for Regular RBOB are published year-round for 10,000 bl on a fob Tulsa, Oklahoma basis.
Prices are calculated by applying the spread between the prompt Argus Regular Texas Destination RBOB and Regular Colonial CBOB from the US Gulf coast markets to the respective prompt Magellan suboctane V grade price. The use of the spread value mitigates the end-of-summer shift in Colonial RVP specifications.
Your Go-To Source for Reliable Road Fuel Prices
As a trusted source in the industry, Argus delivers accurate, timely pricing for gasoline, diesel, jet fuel, RINs, ethanol, and more. Our data equips buyers, sellers, and refiners with the precision necessary to operate confidently in the dynamic market.
Explore our services and discover how we can support your business in mastering market dynamics.
Author: Paul Dahlgren, Editor, Refined Products Americas – Gasoline Markets
Spotlight content
Related news
Dangote CDU restarts, test runs on RFCC due next week
Dangote CDU restarts, test runs on RFCC due next week
London, 12 February (Argus) — The Dangote refinery's 650,000 b/d crude distillation unit (CDU) in Nigeria is operating again after maintenance, while the gasoline-producing residual fluid catalytic cracker (RFCC) is expected to begin test runs next week ahead of restarting, chief executive David Bird said. The CDU received 170,000 bl of crude on 8 February, followed by 450,000 bl on 9 February and 537,000 bl on 10 February, according to industry sources and a source at the refinery. Bird said this week that the CDU was "operating steadily at the full nameplate capacity of 650,000 b/d". The highest throughput achieved as of 20 January was 570,000 b/d, according to an internal company report seen by Argus at the time. The CDU was offline for around two weeks from 24 January for maintenance. Dangote imported intermediate products during the outage to maintain supply to customers. Bird's reference to the 650,000 b/d nameplate figure suggests that planned de-bottlenecking work — expected to lift capacity to 700,000 b/d — has not yet been completed. The RFCC, which has been offline since December, is scheduled to begin "performance test runs" next week, Bird said. The naphtha hydrotreater, isomerisation unit and catalytic reformer — which Dangote groups together as the "motor spirit block" — were running this week but had not yet reached full capacity following January maintenance, an industry source told Argus . Dangote told Argus on 11 February that "full restoration and optimisation" of the motor spirit block had been achieved. By Adebiyi Olusolape Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
PBF bullish on rising crude supplies, Venezuela
PBF bullish on rising crude supplies, Venezuela
Houston, 12 February (Argus) — US independent refiner PBF Energy is benefiting from rising medium and heavy crude supplies and expects the trend to continue as more Venezuelan crude comes to the market, the company said today. Sour crude differentials began widening in the middle of 2025 which carried through the fourth quarter with growing supplies, including from the Opec+ group of countries, chief executive Matthew Lucey said in an earnings call. The recent development of more Venezuelan crude entering the open market is an additional tailwind for US refiners and PBF in particular as the company can run up to 60pc of its system with heavy sour crude, he said. More Venezuelan heavy sour is hitting the global market after trading firms Trafigura and Vitol were approved by the US government to market unsanctioned Venezuelan oil following the US capture of former Venezuelan president Nicolas Maduro on 3 January. More recently, the US lifted sanctions on Venezuela's oil exports, with caveats prohibiting sales to Cuba, business deals involving many Chinese companies and oil-for-debt arrangements. "The impact to the US refining system with those sanctions being lifted is instantaneous," Lucey said, while also acknowledging that "there will be many, many years of investment and potential growth in Venezuela." Fellow US independent refiner Valero said last month that it has ramped up purchases of Venezuelan crude and expects it to be a major heavy feedstock this quarter. Two other large US refiners, Phillips 66 and Marathon Petroleum, said last week that they had recently purchased Venezuelan crude. US major Chevron, which has been operating in Venezuela with state-owned PdV under a special waiver from US sanctions, is also planning to run more Venezuelan crude in its US refineries. Chevron currently produces about 250,000 b/d in Venezuela through its joint ventures, but the company has said that it could grow this by 50pc over the next 18-24 months. By Eunice Bridges Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
US E15 group floats fewer biofuel mandate waivers
US E15 group floats fewer biofuel mandate waivers
New York, 12 February (Argus) — US lawmakers are weighing a proposal that would make it harder for oil refiners to win exemptions from annual biofuel mandates but still let regulators decide which companies deserve relief. The US House of Representatives last month punted on legislation that would allow year-round sales of 15pc ethanol gasoline (E15) and revamp the biofuel quota program, instead tasking a "rural domestic energy council" of more than 20 Republican lawmakers with hashing out reforms. One provisional plan circulated by the council this week would cap the total volume of future exemptions, according to four people familiar with the proposal and a draft framework shared with Argus . The US Environmental Protection Agency (EPA) requires oil companies to annually blend biofuels or buy Renewable Identification Number (RIN) credits from those that do, while letting small refineries bid for hardship exemptions that can save them tens of millions of dollars. Exemption decisions have varied wildly over time, from mass denials under former-president Joe Biden to generous exemptions under President Donald Trump that has frustrated farmers. 450mn RIN cap The House task force's proposal would make the program somewhat more predictable. EPA would initially have to exempt 450mn RINs from annual biofuel obligations but no more, prioritizing companies that prove the most hardship. That would be a substantial drop from the nearly 1bn RINs the Trump administration has already exempted from 2024 quotas, initially set at 21.5bn credits. If mandates rise over time, EPA must proportionally raise that 450mn RIN cap. One gallon of corn ethanol generates 1 RIN, while more energy-dense fuels like renewable diesel earn more. Unexpected exemptions can hurt RIN prices, cutting into biorefinery margins and curtail demand for crops like corn and soybeans. Other changes would limit — but not entirely eliminate — EPA's discretion. Regulators would have to largely stick to their current system for measuring hardship, which factors in criteria like a refinery's access to capital. EPA would also have to consider "additional materials" determined by the council to limit "abuse", though the framework does not elaborate on what this would entail. An earlier proposal backed by the American Petroleum Institute and ethanol groups would have restricted exemptions to companies with limited collective refining capacity, angering some larger companies that would have lost the ability to win exemptions for smaller units they own. The latest proposal would leave it to EPA to decide which facilities deserve relief, letting small companies, mid-sized refiners like Delek and even oil majors like Chevron still compete for a smaller pool of exemptions. EPA could not force larger oil companies to blend more biofuels to offset exemptions for their smaller rivals and would have to automatically extend exemptions if it takes more than six months to weigh a company's new request. The framework would also keep the program focused around fuels that retailers can easily blend, blocking EPA from ever reviving a Biden plan to credit biogas that powers electric vehicles. The proposal shared with Argus makes no explicit mention of removing summertime limits of E15, though that is the top priority for farm-state lawmakers on the council keen to help corn farmers. Trump has made clear too he wants to expand E15 access . The framework would require EPA to finalize E15 labeling and storage standards. The proposal includes no details on timing. Some biofuel advocates have pushed delaying any changes to 2028, worried that near-term shifts could delay the Trump administration's goal of finalizing new biofuel quotas before April. Not final, still an uphill battle The framework is just one idea the council is weighing and could change. A legislative source familiar with the debate told Argus that "nothing definitive has been decided". The council has a goal of aligning around fuel market reforms by 15 February. Afterwards, any plan would likely need to be added to larger legislation to have a chance of passing, such as a farmer aid package. Advocates of the plan face an uphill battle. Some Republicans, including in the US Senate, have long pushed for more substantial reforms to the biofuel mandates than what the task force has contemplated. The framework only alludes to these concerns, requiring a government watchdog agency to regularly study how the program impacts fuel prices and US refining capacity. Democrats, already frustrated they were left off the council, could also resist permanently excluding electricity. By Cole Martin Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Malaysia's Fathopes defers FID on biofuels plant
Malaysia's Fathopes defers FID on biofuels plant
Singapore, 12 February (Argus) — Malaysian biofuel feedstock supplier Fathopes Energy has postponed the final investment decision (FID) and commissioning target date for its upcoming 300,000 t/yr hydrotreated biofuels plant in Port Klang, Malaysia. Fathopes now targets an FID by the first quarter of 2027, instead of mid-2026 as announced in April 2025. It also aims to commission the plant in mid-2030, instead of 2029 — the original target for commissioning of the plant. The plant will produce sustainable aviation fuel (SAF) or hydrotreated vegetable oil (HVO) via the hydroprocessed esters and fatty acids (Hefa) pathway, depending on commercial considerations. It decided to commission operations later to ensure greater technical accuracy and bankability for the plant, Fathopes Energy told Argus . Fathopes integrated Abu Dhabi conglomerate Bin Zayed International (BZI) as a financial investor in the project in October 2025, after the companies signed an initial agreement to build the plant in April 2025. Fathopes has also allocated more time to find reliable technology partners for the plant's technical feasibility study, with a formal announcement expected in late February, they said. Front-end engineering design (FEED) for the plant is slated to begin in early third quarter 2026 and will be completed by the end of the year. Fathopes also pushed back the plant's commissioning date to incorporate standard oil and gas industry quality for the plant's FEED, as well as its engineering, procurement and construction (EPC) phases. Meanwhile, the plant's 300,000 t/yr capacity captures economies of scale and avoids higher capital outlays typically associated with larger projects, it said, adding that the plant's estimated capital expenditure (Capex) was within industry range. These findings come after the company completed an independent financial feasibility study for the plant, it said last week. Malaysia's access to competitively priced domestic natural gas for hydrogen production provides a cost advantage over plants reliant on imported LNG, Fathopes said. Proximity to regional feedstock supply, direct access to the jetty via pipeline and access to the Port Klang Free Zone, which affords duty exemptions on re-exported goods and streamlined customs procedures, are some of the plant's competitive advantages. The plant is also located near port operations manager and services provider Westports in Port Klang. Fathopes will tap on its original position as a biofuel feedstock aggregator and supplier to source feedstocks for the plant — with feedstock such as used cooking oil, palm oil mill effluent oil, empty fruit bunch oil, spent bleaching earth oil, among others — from locations including Malaysia, Indonesia, the Philippines, Singapore and Brunei, it said. It also has an advantage with its in-house applications — one for commercial partners like restaurants and industrial kitchens, and another for households and small vendors — which track each litre of feedstock to ensure compliance with International Sustainability and Carbon Certification (ISCC) requirements, it added. By Sarah Giam Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.