Asia Naphtha/Gasoline-Naphtha prices, crack surge amid supply worries, high freight costs

NEW DELHI, Oct 12 (Reuters) - Asia's naphtha markets gained steam on Monday as shipping attacks in the Strait of Hormuz reignited supply concerns and as higher freight costs dented arbitrage opportunities, analysts said.

The refining margin for naphtha rose to $239 per metric ton over Brent crude, the highest level since July 28. The price for second-half November cargo climbed over $1,000 per ton in a steep backwardation of $31 a ton.

In the gasoline market, the crack was little moved on Monday after coming off record highs last week; however, prices and margins are still firm on strong demand pull from key buyers, traders said.

Asia's largest gasoline importer Indonesia sought up to 5.6 million barrels of 90-octane grade gasoline for delivery over November and December, while a tender for 500,000 barrels of benchmark grade fuel from Pertamina closed on Friday and is valid until October 15, market participants said. MOG/TENDA

NEWS

- Saudi Aramco CEO Amin Nasser said the company was studying additional crude oil export routes and working to expand its overseas storage capacity, as global energy markets face disruptions stemming from ongoing conflicts in the region.

- Goldman Sachs raised its December 2026 Brent crude price forecast to $90 a barrel from $85, citing persistent supply risks that are likely to keep near-term oil market premiums elevated.

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One gasoline trade.

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