The differential for Southern California blendstock fell 12.5 cents to NYMEX February RBOB futures plus 59 cents/gal Monday on market talk that the fluid catalytic cracker at Tesoro's 265,000 b/d refinery in Carson, California, would restart next weekend, market sources said.
The dip marked the biggest one-day fall in Los Angeles CARBOB in more than four months.
The FCC, a primary source of gasoline for West Coast markets, went down November 22.
Tesoro spokesman Brendan Smith said the Carson refinery, part of the company's refinery complex that includes the Wilmington plant, was undergoing unplanned maintenance, but the company does not reveal details on individual units, he said.
Los Angeles CARBOB for delivery anytime through January 31 on the Kinder Morgan pipeline was assessed Monday at 59 cents over gasoline futures on a trade at that level. The assessment marked the largest one-day fall since August 19.
Los Angeles CARBOB for delivery in mid- to late January was heard done at 52.5 cents over February futures. That trade suggests a market in backwardation and supports the expectation that the market is anticipating the return of the Tesoro FCC.
San Francisco CARBOB held value against Los Angeles assessed at 35 cents over futures, unchanged from Thursday.
