China's jet fuel exports hit record high in August

[SHANGHAI] China exported a record volume of jet fuel last month as refiners in the world's largest energy consumer boosted production.

Overseas sales of jet kerosene rose to 1.01 million tonnes in August, according to data e-mailed by the General Administration of Customs in Beijing. . That's about 260,000 barrels a day. Petrol exports increased to 487,380 tonnes, the highest level in a year, while diesel shipments gained 21 per cent from July to 407,800 tonnes.

"Chinese refineries have been raising jet fuel output since last year as profit margins are better than for diesel," Liang Dan, an analyst at ICIS-C1 Energy, a Shanghai-based consultant, said by phone from Guangzhou.

"Shipment of the fuel will probably remain at high levels after CNOOC's Huizhou refinery recently obtained a new licence to export."

China's kerosene output climbed 19 per cent from a year earlier to 2.7 million tonnes in August, data from the National Bureau of Statistics showed on Sept 16. China National Offshore Oil Corp said it shipped its first oil product cargo from the Huizhou plant in the nation's south on Sept 5, delivering 12,000 tonnes of jet fuel to Hong Kong's airport.

Imports of fuel oil, used as a refinery feedstock and to power ships, expanded 24 per cent from a year earlier to 1.45 million tonnes in August, the highest in four months, according to Monday's data. Purchases in July were 1.04 million tonnes, the least since at least 2003.

China bought 135,580 tonnes of fuel oil from Iran in August, its first shipments since January. Venezuela was the largest supplier last month with 405,986 tonnes of shipments, followed by South Korea with 197,429 tonnes. - Bloomberg