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Europe Gasoline/Naphtha-Gasoline margins climb to 3-month high

ReutersFeb 3, 2025 5:40 PM

- Northwest European gasoline refining profit margins on Monday to a more than 3-month high of $9.49 a barrel on Monday as trading volumes improved and as the market weighed the impact of U.S. tariffs.

  • A total of 8,000 metric tons of E5 gasoline traded, following a quiet session of Friday, as TotalEnergies and Sahara sold to BP and Mabanaft.

  • Another 5,000 tons of E10 gasoline traded as Varo and BP picked up barges from TotalEnergies and Sahara.

  • In the Platts window, Vitol bid for a fob Mediterranean cargo.

  • U.S. President Donald Trump paused new tariffs on Mexico for one month after Mexico agreed to reinforce its northern border with 10,000 National Guard members, he said on Monday. Tariffs on Canada and China remain poised to take effect on Tuesday, however, and Canada has announced retaliatory tariffs.

  • Analysts were expecting the tariffs to be advantageous to European refiners.

  • "Less U.S. diesel exports would support European margins, while more export opportunities may remain in the strongly pressured gasoline market," consultancy Vortexa's chief economist David Wech said.

  • "So overall a positive for European refiners, but likely not for European consumers," he added.

  • "European margins may improve because the U.S. Northeast will have to import more gasoline," an executive at a brokerage said. "I think European and Asian refiners are the big winners."

  • Meanwhile, EU and UK gasoline exports reached 883,000 barrels per day (bpd) in January, Kpler data showed, down from 944,000 bpd in December.

Trade

Bid

Offer

Prev.

Seller

Buyer

Ebob Barges MOC Platts E5

(fob ARA)

EUROBOB-ARA

Ebob Barges E10 Platts (fob ARA)

Ebob Barges Argus E5 (fob AR)

$728 (8KT)

$716.25 assessed

TotalEnergies, Sahara

BP, Mabanaft

Ebob Barges E10 Argus (fob AR)

$724.50 on 5KT

$715 on 5KT

Sahara, TotalEnergies

Varo, BP

March swap (fob ARA)

$719.50

$714 (Feb.)

Premium Unleaded (fob ARA)

PU-10PP-ARA

Cargoes

(fob MED)

Feb -$2

Feb +$4.50

Cargoes (cif NWE)

Naphtha

(cif NWE)

NAF-C-NWE

Ebob crack (per barrel)

$9.49

Prev. $8.34

Brent futures

LCOc1

Rbob

RBc1

Rbob crack

RBc1-CLc1

Disclaimer: For information purposes only. Past performance is not indicative of future results.