Jet fuel
Overview
Jet fuel market volatility, whether from crude prices, supply issues from refining capacity, or ongoing regulation changes, is a continual risk to your bottom line.
Having a choice in fuel pricing is the best way to mitigate risk and stay on top of market changes. Argus constructs price indexation in a way that is appropriate for each market. By doing so, market participants can align their day-to-day operations, improve management of fuel costs and directly impact their net earnings.
Jet fuel makes up more than 40% of an airline’s total operating expense. The rise in importance of sustainable aviation fuel (SAF) from government mandates and self-regulations from airlines has a direct implication on these operating costs.
Argus helps the jet fuel market participants to make informed decisions and optimize their strategies with price assessments and information on deals done for conventional jet fuel and SAF, as well as the latest market-moving news, in-depth analysis, supply and demand dynamics, and price forecasts.
Latest jet fuel news
Browse the latest market moving news on the global jet fuel industry.
Australia’s NT seeks federal backing for Gove fuels hub
Australia’s NT seeks federal backing for Gove fuels hub
Singapore, 3 August (Argus) — Australia's Northern Territory (NT) government is urging Canberra to incorporate Rio Tinto's fuel infrastructure at Gove into the country's proposed A$3.2bn fuel security reserve, arguing the site could provide 220mn litres (1.38mn bl) of storage capacity. Chief minister Lia Finocchiaro, alongside the Gumatj and Rirratjingu Aboriginal corporations, wrote to prime minister Anthony Albanese on 31 July seeking federal funding to refurbish fuel tanks that may otherwise be decommissioned as Rio Tinto winds down its Gove bauxite operations, which are expected to cease towards the end of the decade. The federal government has outlined plans for a 1bn litre (6.29mn bl) reserve of diesel and jet fuel , with the Gove tanks potentially representing around 22pc of that capacity. The site comprises seven fuel-compliant storage tanks and a deep-water port capable of receiving and distributing bulk fuel. The NT government says decisions on the future of the infrastructure will need to be made by mid-2027. According to a Rio Tinto asset memorandum, the fuel infrastructure includes a tanker wharf used to unload oil products into a harbour tank farm and a separate light-fuel tank farm connected by pipeline. The operational tanks comply with relevant fuel-storage standards and were identified as assets with potential future use for petroleum storage. Retaining the tanks would strengthen Australia's fuel security while supporting jobs and economic transition in the region, Finocchiaro said. Rio Tinto plans to close both the Gove mine and the Andoom mine , which forms part of its broader Weipa operations, towards the end of the decade. While the site offers substantial storage capacity and deep-water port access, Gove is located far from Australia's major fuel consumption centres, potentially raising questions about distribution costs and response times during supply disruptions. About 121,000t of gasoil, 11,000t of gasoline and 5,000t of jet fuel were imported into Gove last year, vessel tracking data from Kpler show. The Gove facilities form part of a broader industrial precinct that includes cargo and export wharves, workshops, warehousing and an airport — assets that stakeholders have been assessing for post-mining uses. Traditional owners, Rio Tinto and the NT government have been exploring opportunities to repurpose infrastructure and support economic activity in East Arnhem Land after mining ends. Rio Tinto did not immediately respond to a request for comment on whether the company has held discussions with the federal government, the defence sector or potential commercial operators about taking over the Gove fuel assets, or whether demolition of the tank farm remains its preferred option. Australia held 39 days' worth of gasoil consumption, equivalent to 22.89mn bl of gasoil stocks in-country or within its exclusive economic zone on 28 July, latest government data show. The country held 34 days' worth of jet fuel consumption, equivalent to 5.87mn bl, and 43 days' worth of gasoline consumption, equivalent to 11.48mn bl of stocks. By Tom Woodlock Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Australia, Singapore sign energy security, defence deal
Australia, Singapore sign energy security, defence deal
Sydney, 27 July (Argus) — Canberra and Singapore have deepened ties in energy trade and defence, concluding a new protocol signed to strengthen co-operation, Australia's federal government said today, as Australia grapples with supply uncertainty due to the ongoing Middle East conflict. The new Protocol on Economic Resilience and Essential Supplies signed on 27 July delivers on a commitment made in April between the governments , to bolster security of essential supplies, including gasoline, an Australian ministerial statement said. Singapore makes up 55pc of Australia's gasoline imports. Meanwhile, the city-state supplies 15pc of gasoil and 23pc of jet fuel imports. Singapore and Australia have committed to refraining from adopting or maintaining export restrictions on agreed essential items, according to a statement by Singapore's trade and industry ministry on 27 July. This includes items such as diesel and LNG. The protocol is also set to be included in the Singapore-Australia Free Trade Agreement. Singapore's gasoline stocks rose by more than 92pc on the week to 22 July , while exports held steady, with Australia one of three key export destinations for Singaporean gasoline. But Australia is vulnerable to supply chain shocks due to the country's reliance on imported fuels. Less than 25pc of demand can be met by domestic refining, due to a spate of facility closures in the past two decades. State support Concern about supply and high prices has led Canberra to underwrite fuel imports and temporarily cut the taxation rate for gasoil and gasoline , a measure intended to expire on 2 August. Gasoline demand in Australia however may have peaked with significant demand reduction in reaction to rising prices following outbreak of the US-Iran war. Consumption fell by 7.1pc on the year to 251,000 b/d in May, official data released this month show . Electric vehicle (EV) demand is also surging in Australia, with battery EV sales during June totalling 23.4pc of all purchases , up from just 8.3pc for all of 2025. A new defence agreement was also signed between the parties today, with the Australia-Singapore Industrial Base Resiliency Arrangement to build upon existing co-operation between defence industries. Australia hosts Singaporean troops at vast training bases in Queensland state and also undertakes joint manoeuvres with Singapore. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
European refinery economics shift back to road fuels
European refinery economics shift back to road fuels
London, 9 July (Argus) — European refinery economics are shifting back towards road fuels as diesel and gasoline markets tighten and concerns over jet fuel supply ease. Market participants expect the shift to encourage refiners to dial back some of the jet fuel production increases made earlier in the US-Iran war in favour of diesel and gasoline. European refiners boosted jet fuel production in March-June as concerns over supply pushed jet fuel margins above $100/bl. But tightening road fuel markets and softer jet fuel fundamentals are beginning to reverse that trend. European diesel and gasoline values have strengthened in recent weeks. Diesel cracks are around $70/bl , their highest in three months, while gasoline cracks are at four-year highs of around $40/bl. In contrast, jet cracks have fallen to around $60/bl. Russia, the world's second-largest diesel exporter, announced a ban on diesel exports on 8 July , raising the prospect of tighter global supply. Europe will now face greater competition for remaining diesel cargoes, as Turkey and buyers in north Africa seek to replace Russian supplies. The US could help fill some of Europe's diesel shortfall, although Europe will face competition from Brazil for US cargoes. Diesel has priced above jet fuel for the past three weeks, after moving above jet for the first time this year . Argus Consulting expects the spread to remain in diesel's favour over the coming months. Meanwhile, gasoline demand has picked up in Europe in recent weeks, especially in the Mediterranean and Germany, traders said. Export demand from Europe's secondary markets has also firmed, and shipments to Brazil, Canada, Egypt, Libya and Syria are expected to rise sharply in July. Market participants said demand is outstripping availability. Refiners have increased blending activity in recent weeks, drawing down blending component stocks. Naphtha prices have rallied, supported by demand from gasoline blenders and petrochemical buyers, lifting naphtha cracks to a 10-year high. Jet fuel prices remain supported by strength across the wider middle distillate complex, but jet fundamentals look softer. Europe has coped with the loss of Middle Eastern flows and supply concerns have eased. European jet fuel imports hit an eight-month high in June , supported by record US and Nigerian deliveries. More jet fuel from east of Suez is due to arrive in Europe this month, while Chinese jet fuel exports are set to increase , supporting global balances. Spain's Repsol has already begun prioritising diesel and gasoline production after previously boosting jet fuel output. Refiners can typically shift a portion of output between kerosine and gasoil pools. Refining margins for secondary units have strengthened at the same time. Margins for an average hydrocracker, producing diesel and gasoline at a 70:30 ratio, rose to a $30.46/bl premium to Ice Brent crude earlier this week, Argus calculations show. Margins for a typical fluid catalytic cracker (FCC), producing gasoline and diesel at a 70:30 ratio, rose to a $23.42/bl premium. Both margins were trading at discounts to crude in early June. Heavier naphtha-grade material will probably return to the gasoline blending pool instead of the kerosine pool, according to one market analyst. Some refiners had been taking larger kerosine cuts from petrochemical units , but this has probably also decreased now. A pivot away from jet fuel output could leave the market exposed if supply tightens again. European jet fuel inventories remain heavily depleted and will probably not rebuild until the new year, according to Argus Consulting, leaving little cushion if supply gaps re-emerge. By Amaar Khan and Atishya Nayak Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Australia's gasoil, jet stocks rise, EV sales increase
Australia's gasoil, jet stocks rise, EV sales increase
Sydney, 6 July (Argus) — Australia's gasoline stocks have dipped on the week to 30 July but gasoil and jet fuel levels have increased, as electric vehicle (EV) sales rose for the month of June, according to Australia's federal government. Australia's fuel importers held stocks of 22.2mn bl of gasoil, 11.1mn bl of gasoline and 5.9mn bl of jet fuel of stocks in-country and within Australia's exclusive economic zone on 30 June, Australia's energy minister Chris Bowen said on 4 July, or about 38 days of gasoil supply, 41 days of gasoline and 34 days of jet fuel. This is one more day's supply of gasoil than a week earlier, three days fewer of gasoline and five more days' worth of jet fuel over the same period. EV sales have soared during June, with 23.4pc of purchases battery EVs, according to the Federal Chamber of Automotive Industries (FCAI). This compares FCAI data showing just 8.3pc of new vehicle sales comprising battery EVs last year . China is now the leading source of Australia's total new vehicle sales with 35.5pc of sales, followed by Japan with 20.7pc and Thailand with 17.8pc. Australia's temporary cut to fuel excise and the heavy vehicle road user charge was rolled back by half but extended by a month , effective 1 July. The temporary discount both taxes has been lowered to 16A¢/litre, (11¢/litre) raising the effective excise rate to 36.6A¢/litre until 2 August. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
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