PNW ULSD Basis Spikes by 9.5cts on Demand

MIAMI, FL (DTN) — Pacific Northwest ultra-low sulfur (ULSD) basis surged by 9.5cts on Tuesday (4/7) to a 58cts premium over May NYMEX ULSD futures contract, on firm buying interest amid supply tightness.

Bids for PNW ULSD basis were heard in the market at a 57.5ct premium, with no trades confirmed at that level. 

The move, driven by firm demand, had its basis pegged at a 48.5cts premium to May futures contract in the previous trading session on Monday (4/6).

Refinery closures are contributing to tightness, including the planned fourth-quarter 2025 shutdown of Phillips 66’s 139,000-bpd Wilmington, California, refinery and Valero’s pending closure of its 145,000-bpd Benicia, California, refinery by end of April 2026.