MARKETWIRE ALERTS

MARKETWIRE ALERTS 

MarketWire Afternoon News for September 25^th

Updated at 5:30 PM ET 

HEADLINES:

— Chicago CBOB Basis Recovers from Multi-day Decline

— Filing: Chevron El Segundo to Flare Sept. 29–Oct. 1

— CEC: California Diesel Stocks Up 23K Bbl W-o-W

— EIA reports 75Bcf Injection into US NatGas Storage Last Wk

— Clean Energy Wins L.A.’s 2nd Hydrogen Fueling Bus Station

— Rockport Launches U.S. O&G Development Projects Fund

NEWS:

Chicago CBOB Basis Recovers from Multi-day Decline

Chicago September CBOB basis rebounded Wednesday (9/25), halting a multi-day downtrend as BP emerged as a buyer in the Midwest gasoline market, shifting from its more typical role as a seller.

CBOB for West Shore delivery was assessed at an 8.50cts discount to NYMEX October RBOB futures. That is a steep increase of 3.50cts from Tuesday’s 12 cts discount, breaking the downward trend of the past several trading sessions.

“The shift in price sentiment has to do with today BP becoming a buyer of gasoline. Usually, BP is a seller, and that shift alone put a lot of pressure on prices,” one source familiar with Midwest trading said.

The unusual buying activity follows reduced operating rates at BP’s Whiting, Indiana refinery, the Midwest’s largest fuel producer, after a recent shutdown.

Similar market moves were seen in the past when Whiting faced unplanned outages or extended maintenance, prompting BP to step in as a buyer to balance supply needs.

BP did not respond to request for comment as of publication time.

Filing: Chevron El Segundo to Flare Sept. 29–Oct. 1

Chevron reported planned flaring at its 269,000 bpd El Segundo refinery in Los Angeles County, California, beginning Monday (9/29) at 10:30 a.m. PT through Wednesday (10/1) at 2:30 p.m. PT, according to a notice filed with the South Coast Air Quality Management District. The event, tied to start-up and shutdown operations, is expected to exceed a vent gas flow of 500,000 SCF for the duration.

CEC: California Gasoline Stocks Down 118Kb Wk-on-Wk

California gasoline inventories moved lower in the week ending September 19, with Northern California gasoline showing the largest movement, according to the California Energy Commission’s Weekly Fuels Report released Thursday (9/25).

Statewide gasoline stocks, including CARB reformulated, non-California grades, and blending components, fell by 118,000 bbl to 11.467 million bbl, up by 11% from 2024.

In Northern California, overall gasoline stocks dropped by 341,000 bbl to 5.184 million bbl, up by 26% from 2024. CARB reformulated gasoline in the north fell by 365,000 bbl to 3.104 million bbl, up by 21% compared to last year. Non-California grades rose by 64,000 bbl to 284,000 bbl, but were down by 19% from 2024. Blending components eased by 40,000 bbl to 1.796 million bbl, up by 49% from 2024.

Southern California gasoline stocks climbed by 168,000 bbl to 6.283 million bbl, up by 1% from 2024. CARB reformulated gasoline in the south dropped by 68,000 bbl to 2.915 million bbl, down by 2% from 2024. Non-California grades fell by 47,000 bbl to 687,000 bbl, but were down by 4% from 2024. Blending components in the south climbed by 57,000 bbl to 2.681 million bbl, down by 10% from 2024.

Statewide gasoline production climbed by 79,000 bbl to 5.974 million bbl, up by 6% from 2024.

Southern California production led the gains, climbing by 253,000 bbl to 4.175 million bbl, up by 2% from 2024. CARB reformulated gasoline output rose by 284,000 bbl to 3.631 million bbl, flat versus 2024. Non-California grades dropped by 31,000 bbl to 544,000 bbl, but were up by 18% from 2024.

Northern California gasoline production was unchanged at 1.973 million bbl, up by 26% from 2024. CARB reformulated output dropped by 160,000 bbl to 1.661 million bbl, up by 19% compared to last year. Non-California grades eased by 14,000 bbl to 138,000 bbl, down by 19% from 2024.

CEC: California Diesel Stocks Up 23K Bbl W-o-W

California diesel stocks increased slightly in the week ending September 19, with Southern California diesel showing the largest movement, according to the California Energy Commission’s Weekly Fuels Report released Thursday (9/25).

Statewide diesel stocks, including CARB and other grades, climbed by 23,000 bbl to 3.103 million bbl in the reference week and 12% year over year.

In Northern California, overall diesel stocks fell by 50,000 bbl to 1.269 million bbl for the week ended September 19 but remained up 18% year-on-year. CARB diesel stocks in the north dropped by 5,000 bbl to 806,000 bbl week-on-week, while other diesel inventories fell by 45,000 bbl to 463,000 bbl.

Southern California diesel stocks climbed by 73,000 bbl to 1.834 million bbl and were up 8% on the year. CARB diesel stocks in the region dropped by 87,000 bbl to 756,000 bbl, while other diesel increased by 160,000 bbl to 1.078 million bbl.

Statewide diesel production climbed by 5,000 bbl to 1.473 million bbl but fell almost 11% year-on-year.

Southern California diesel production led the gains in output, rising by 48,000 bbl to 952,000 bbl week-on-week, although year-on-year it was down 11% — similar to the annual statewide drop.  CARB diesel output in the south climbed by 97,000 bbl to 440,000 bbl, while other diesel dropped by 49,000 bbl to 512,000 bbl.

Northern California diesel production fell by 43,000 bbl to 521,000 bbl and was down almost 10% from a year ago. CARB diesel output in the north climbed by 86,000 bbl to 475,000 bbl, while other diesel dropped by 129,000 bbl to 46,000 bbl.

EIA reports 75Bcf Injection into US NatGas Storage Last Wk

Energy Information Administration data released midmorning Thursday show a 75 billion cubic feet injection into U.S. natural gas storage to 3.508 trillion cubic feet in the week ended September 19.
Natural gas in U.S. storage is 0.6% higher than last year and 6.1% above the five-year average of 3.305 Tcf.
Regionally, EIA reports the East registered a 26 Bcf injection to 807 Bcf, 1.1% less than a year ago and 2.4% higher than the five-year average.
Natural gas in storage in the Midwest increased 25 Bcf week-on-week to 945 Bcf, a 4.5% deficit compared to the same week a year ago and 0% lower than the five-year average.
Mountain region natural gas in storage increased 5 Bcf, down 4.3% year-on-year to 20.4% above the five-year average.
South Central storage rose 16 Bcf to 1190 Bcf, 6.9% more than in the same week last year and 10.1% above the five-year average.

Clean Energy Wins L.A.’s 2nd Hydrogen Fueling Bus Station

Clean Energy Fuels announced on Thursday (9/25) that it has won the design, build and maintenance contract for a second hydrogen fueling station to be constructed for Foothill Transit, a bus operator serving 11 million customers in Los Angeles.

The second station, costing $11.3 million, will be at Foothill Transit’s Arcadia bus yard, which also serves as fueling depot for the operator’s renewable natural gas bus fleet, Clean Energy said in a statement.

An initial order of 19 new hydrogen fuel cell buses will be delivered to operate out of the new site, which will be partly funded by federal and state grant assistance, Clean Energy stated.

Foothill Transit carries over 11 million customers a year across San Gabriel Valley, Pomona Valley and downtown Los Angeles. Its first hydrogen-fueled Pomona station is also operated and maintained by Clean Energy, which built and launched the project in 2023.

The new Arcadia station will store liquid hydrogen and dispense it in gaseous form at the site, which is now in design stage with construction scheduled to begin in mid-2026.

Rockport Launches U.S. O&G Development Projects Fund

Rockport Companies said Thursday (9/25) it has launched a fund to provide investors access to its oil and gas development projects.

The Rockport Energy Fund is designed to channel investor capital towards a dedicated fund structure backed by Rockport’s pipeline of short-cycle, drill-ready opportunities, CEO Ted Williams said in a statement.

“This approach allows us to pursue multiple oil and gas projects at scale, provide diversification, and ensure that our investors directly benefit from the same disciplined development strategy we apply across our operated assets,” Williams said.

Austin-based Rockport said it now operates three projects with a combined production of approximately 10,000 bpd.

It said the fund will pursue projects in proven U.S. oil and gas basins, with a focus on providing investors differentiated entry points into those developments, while striving for consistent cash flow and attractive risk-adjusted returns.