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Asia Oil Swaps-Gasoil weakens on ample supply

(For 12-month forward curve, click

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SINGAPORE, Oct 2 (Reuters) - Asia's gasoil refining margin weakened on Tuesday, hurt by increasing supply in the market.

The front-month November margin fell 16 cents to a premium of $18.86 a barrel to Dubai crude, lowest in four sessions, according to Reuters data.

Middle Eastern and Indian refiners continued to offer cargoes, which weighed on the market. The latest offer was seen from Bahrain Petroleum Company, which issued a tender to sell 40,000 tonnes of November-loading cargo.

Naphtha's inter-month spreads held strong at a three-week high, supported by robust gasoline demand in the West.

Naphtha's refining margins also strengthened in early trade, with the front-month November contract narrowing to a discount of $6.44 a barrel to Brent crude, strongest in three weeks.

In the fuel oil market, inter-month spreads were weaker as demand from China and Japan was lacklustre.

Fixed-price swaps for products strengthened, except fuel oil and naphtha FOB Singapore, as Brent crude

gained 19 cents to $112.00 per barrel by 0430 GMT from Monday's Asian close.

For a full list of swaps trades:

GASOIL

Gasoil's October/November timespread was unchanged at a backwardation of 45 cents per barrel. The November/December backwardation was 3 cents higher at 55 cents per barrel.

The November crack eased 16 cents to a premium of $18.86, while the December premium was 17 cents lower at $18.96 per barrel to Dubai crude.

October's regrade, the spread between jet fuel and gasoil, inched up 3 cents to a premium of $1.60. The November premium was 3 cents higher at $1.20 per barrel.

October and November fixed-price contracts were at $127.81 and $127.36 per barrel respectively, up 8 cents, or around 0.1 percent.

NAPHTHA

Naphtha CFR Japan's October/November was unchanged at a backwardation of $11.00 a tonne, while the November/December backwardation was 25 cents higher, at $10.00 a tonne.

The CFR November crack narrowed $1.14 to a discount of $6.44 and the December discount was $1.06 narrower at $6.76 per barrel to Brent crude.

The CFR October swap gained $12.00 to $961.00 per tonne, while the FOB Singapore October swap was down $1.45 to $104.05 per barrel.

FUEL OIL

Fuel oil's October/November timespread edged down 13 cents to a backwardation of $2.75 per tonne, while the October/November backwardation was 13 cents lower at $2.50 per tonne.

The November crack widened 32 cents to a discount of $6.58, while December was 28 cents wider at a discount of $6.31 per barrel to Dubai crude.

October and November 180-cst fixed-price swaps were valued at $665.25 and $662.50 per tonne respectively, down 50-63 cents, or around 0.1 percent.

PRODUCTS Price Change Pct Change OCTOBER naphtha

103.95/104.15 -1.45 -1.37

NOVEMBER naphtha

102.90/103.10 -1.15 -1.10

OCTOBER naphtha

960.75/961.25 12.00 1.26

NOVEMBER naphtha

949.75/950.25 12.00 1.28

OCTOBER gasoil

127.71/127.91 0.08 0.06

NOVEMBER gasoil

127.31/127.41 0.08 0.06

OCTOBER fuel oil

665.00/665.50 -0.63 -0.09

NOVEMBER fuel oil

662.25/662.75 -0.50 -0.08

Product Price Change OCTOBER regrade 1.50/1.70 0.03 NOVEMBER gasoil crack 18.76/18.96 -0.16 OCTOBER 180/380 cst 11.25/11.75 0.00 NOVEMBER fuel oil crack -6.68/-6.48 -0.32 NOVEMBER jet fuel crack 19.96/20.16 -0.13 NOVEMBER naphtha crack -6.54/-6.34 1.14 Inter-month spread Mean Prev Change OCTOBER/NOVEMBER naphtha 1.05 1.35 -0.30

OCTOBER/NOVEMBER naphtha (CFR Japan) 11.00 11.00 0.00

OCTOBER/NOVEMBER gasoil 0.45 0.45 0.00 OCTOBER/NOVEMBER fuel oil 2.75 2.88 -0.13

(Reporting by Lee Yen Nee; Editing by Himani Sarkar)

((lee.yennee@thomsonreuters.com)(+65 68703823)(Reuters Messaging: lee.yennee.reuters.com@reuters.net))

Keywords: MARKETS SWAPS/ASIA