Jet fuel margins hit 2-month highs on warmer demand for kerosene before winter

  • Date: 05-Oct-2020
  • Source: Zawya
  • Sector:Oil & Gas
  • Country:GCC
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Jet fuel margins hit 2-month highs on warmer demand for kerosene before winter

SINGAPORE - Asian refineries' profit margins for jet fuel have hit their highest levels in two months as demand for heating oil kerosene picked up before North Asia's winter, but analysts do not expect margins to fully recover until the coronavirus-hit aviation sector is back to normal.Singapore jet fuel refining margins, Asia's benchmark, rose last week to their highest level since late July as regional refineries also cut production, helping to drain excess supply and boost prices. The benchmark also determines the profitability of kerosene, which belongs to the same grade of oil products as jet fuel.Japan and South Korea have started stockpiling kerosene ahead of winter, trade sources said, with some weather models pointing to colder-than-normal temperatures in Japan at the turn of the year.But with coronavirus travel curbs