Singapore oil products mostly up with crudes

Singapore oil products mostly up with crudes

SINGAPORE (Reuter): Most spot Singapore oil product prices were up with crudes yesterday. Continued shutdown of Indonesia's largest refinery at Cilacap provided additional support.

Gas oil and jet fuel prices rose along with crudes. Traders said Indonesia has emerged to buy November gas oil, which they believed is for their normal monthly needs and not related to the Cilacap storage tank fire. Indonesia's pre-fire requirement of gas oil in November was at 1.8-2.0 million barrels.

A trader raised its bid for late November gas oil to $20.70 a barrel from $20.40 fob Singapore. A local trader offered a mid- November cargo at $20.45 but withdrew, traders said.

Taiwan's purchase of two December jet fuel cargoes around $193.50 a tone c+f was reflective of prevailing strong market, traders said. Most traders expect jet fuel prices to soar on anticipated demand from Indonesia, Northeast Asia and India. India is expected to buy at least 250,000 tons of kerosene for December in its tender.

Naphtha prices edged up with crudes. A Chinese enduser bid for a November-December 20,000 tone cargo was heard at $155 c+f N.China, but received no firm offer.

High sulphur fuel oil prices held steady. A major continued to seek fuel oil following the shutdown of Cilacap refinery.

Its bid was around $92.50 for an early November cargo, against an offer around $93. Some S.Korean refiners have switched to produce more of distillates in place of fuel oil ahead of winter. As a result, fuel oil exports this winter from two traditional Korean exporters are expected to be limited.

To-date, Chinese buyers are estimated to have purchased close to 120,000 tones of fuel oil in October against its monthly imports of 300,000-400,000 tons, sources said. State trader, SINOCHEM, told Reuters that the company has received fewer orders from its endusers due to a 20 percent import deposit his company had imposed earlier.