ARA Diesel/Gasoil Stockpiles Gain as Contango Widens

(Bloomberg) — ARA stockpiles of diesel and gasoil
increased to their highest level in a month as an emerging
contango in ICE gasoil futures for the next few months offered
an incentive to some market players to store, according to
Insights Global.
* Gasoil/diesel stockpiles, the highest
since mid-June and highest for the time of year since 2016
** Stockpiles also grew on higher imports from Russia, Saudi
Arabia and the U.S. in past week, Lars Van Wageningen of
Insights Global said by phone
** MIDEAST-EUROPE FUEL FLOWS: July Volumes Set to Mark Another
* Jet fuel stockpiles, highest for the
time of year in data starting from 2007
** Stockpiles increased on higher imports from other regions,
including larger LR2 shipments from India and Singapore; higher
volumes arriving in Europe to serve seasonally strong jet fuel
demand: Van Wageningen
** Exports to the U.S. were lower in the past week while inflows
to ARA increased from elsewhere in NW Europe, Russia and Spain;
those volumes are likely destined for future exports: Van
** Higher Baltic imports in past week including cargoes from
Lithuania, Poland and Russia outweighed exports to West Africa
and the Middle East, Van Wageningen said, adding that the
arbitrage opportunity to Asia is currently closed

Reporter: Bill Lehane

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