EU-bound Jet Fuel Stays at Sea
Tankers anchored off Europe, extend voyage seeking buyers; outlook dim as imports to the region rise. A jet fuel market in Europe saturated by imports from Asia and the Middle East has forced sellers to keep their oil offshore on tankers or chose longer voyages as they seek out buyers. Jet fuel and diesel stocks in Europe have been steadily building as refineries around the world operate at near-maximum capacity to benefit from a rare run of strong profit margins driven mainly by global gasoline demand. In a sign of the growing pressure, the 90,000 tonne tanker Mindoro anchored for nearly two weeks of the southern coast of England, according to shipping brokers, traders and Reuters ship tracking.
First Satorp Diesel Cargos to US Will Land This Week
The first United States-bound cargoes of diesel from Saudi Arabia's 400,000 barrel per day Satorp refinery will land in New York early this week, traders said on Monday. The cargoes of 10 ppm diesel on the SKS Driva and the Clio are scheduled to land in New York on Jan. 19 and 20, according to Reuters ship tracking data, after loading at Jubail last month. The joint venture refinery between Saudi Aramco and Total reached full capacity in mid-2014 but its diesel exports have so far been shipped to other regions, including Latin America and Asia. Traders said the United States is buying the diesel now due to colder weather, as well as a series of refinery outages in January that affected around a fifth of refinery capacity in the eastern half of the country.
