Page 31 - Policy Economic Report - December 2024

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

Figure 20: Refining Margins ($/bbl)

Source- Argus and OPEC
The Southeast Asia gasoline 92 crack spread against Dubai rose to a three-month high and benefitted from
the policy changes in China that led to stronger export interest ahead of the implementation of the export
tax rebate cuts. This came against a backdrop of lower wholesale gasoline 92 prices, m-o-m, which were
63? lower in November, reflecting a decline in feedstock prices. Going forward, seasonality, soft East-West
flow incentives and solid upside potential for gasoline refinery output are expected to outweigh the
downside risk in post-tax cut rebate gasoline exports, placing Asian gasoline markets under pressure. Any
potential strength to sustain Asian gasoline markets, for the time being, will have to emerge from within
the region, assuming all other factors remain unchanged. The product’s margin averaged $6.30/b in
November, up $1.31, m-o-m, but down $2.73, y-o-y.
Figure 21: Singapore crack Spreads vs. Dubai ($/bbl)

Source- Argus and OPEC Page | 30

December 2024