Sinopec has recently resumed outsourcing of blended gasoline from independent traders in South China after nearly 1-month pause, according to local market sources.
The outsourced gasoline should be produced by qualified producers and quality of the product should be in accordance with latest quality standard, said the sources.
Gasoline exchanged from PetroChina and CNOOC is far from enough to meet outsourcing targets of some sales branches of Sinopec, denoted the sources. In addition, the former two oil majors may not have sufficient gasoline for exchange amid approaching maintenance peak.
Domestic gasoline supply is expected to be tightening from June, when major refineries will enter the year's second maintenance peak period, lasting about two months, C1's research showed.
It is also economic and necessary for Sinopec's sales branches to sell blended gasoline at present, prices of which have dropped to low levels after most private petrol stations reduced prices.
Sinopec's inner settlement price of 93-Ron gasoline between regional marketing companies and provincial sales branches is Yuan 9,350/mt in South China currently, Yuan 650/mt higher than prices of blended gasoline, C1's data indicated.
