Sinopec is expected to continue to give rewards to subsidiary refineries producing more oil products than scheduled in September, according to refinery sources.
The ex-refinery price of 90-Ron gasoline exceeding the production target will be 8,884/mt, up by Yuan 404/mt from that of planned gasoline; the price of excessive zero-pour-point gasoil will be Yuan 8,324/mt, up by Yuan 694/mt, the sources said.
It will be the seventh straight month that Sinopec implemented such measures, C1’s data showed.
However, gasoil output may still be affected by kerosene production in the month, market sources said.
Ex-refinery price of kerosene from refineries underlying Sinopec are expected to be Yuan 7,553/mt in September, Yuan 282/mt higher than the price of excessive gasoil, showed C1’s estimation.
Sinopec hiked the reward for excessive gasoline from Yuan 545/mt to Yuan 661/mt in late August because of less outsourcing of blended gasoline and falls in inventories.
In August, the rewards for excessive gasoline and gasoil are Yuan 545/mt and Yuan 844/mt, respectively.
