The Middle East crude market weakened further on Thursday with benchmark Dubai easing to the widest discount against swaps in 1-1/2 months. WINDOW: No cash deal amid wide price gap between bids and offers for August Dubai partials. Cash Dubai assessed at 83 cents below swaps, down 20 cents from the previous session.
QATAR: Al-Shaheen crude for August-loading trades at wider discount than the previous month after demand on Platts window cooled, trade sources said. P66 has sold one cargo to a Japanese end user at 70 cents below Dubai quotes, they said, down from a discount of about 25 cents last month. “There seems to be more downside,” a trader said. Qatar Petroleum will close its tender to sell another five cargoes later on Thursday.
ABU DHABI: Ceypetco is likely to buy Murban crude from Swiss SG which has put in the best offer at 95 cents a barrel above its OSP. The 700,000-barrel cargo will be delivered on July 23-27.
IRAQ: State oil company SOMO has stopped issuing monthly Basra crude export programmes from July even though it has informed equity and term holders how much oil they’ll lift that month, trade sources said. The reason was not immediately known. RUSSIA: Surgutneftegaz offered two ESPO cargoes for loading end-July to early August in a tender. ESPO crude export volume in August is expected to hold steady from July. There could be a pipeline maintenance in September which could reduce exports.
Dubai +$1.7 QP/Idemitsu DFC Aug 2*500KB discounts to ENOC,QP/SK Dubai quotes Energy
COUNTRY/COMPANY GRADE VOL CLOSE (VALID) LOADING DATE
**RUSSIA/SURGUT s:ESPO 2*740KB June 16 (June 16) July 31-Aug 5, Aug 3-8
RUSSIA/ONGC s:Sokol 700KB June 19 (June 20) Aug 11-17
**BAHRAIN/BAPCO s:Banoco AM 500KB June 16 (June 20) Aug SRI s:Murban 700KB June 13 (June 16) July 23-27
LANKA/CEYPETCO delivery QATAR/QP s:DFC/LSC NA June 13 (June 14) August
QATAR/QP s:al-Shaheen 5*500-60 June 15 (June 19) Aug 4-5,18-19, 0KB 26-27,27-28,29 -30 PRICES ($/BBL)
CURRENT PREV SESSION DME OMAN 45.68 46.93 DME OMAN DIFF TO DUBAI -0.51 -0.45 CASH DUBAI 45.36 46.75
REFINERY PetroChina’s Fushun refinery in North China’s Liaoning province started a 45-day overhaul on June 1, an official with the refinery and PetroChina’s official newspaper said. A major fire broke out at Mexican state oil producer Pemex’s Salina Cruz refinery on Wednesday after a crude spill, injuring nine people and extending the shutdown of the plant into a second day, the company said.
South Korea’s Iranian crude oil imports dropped in May to their lowest in eight months as refiners bought less of the Middle Eastern nation’s condensate, while Tehran struggled to maintain shipment volumes after exhausting stocks stored on tankers. India’s top explorer Oil and Natural Gas Corp (ONGC) is keen to acquire the government’s stake in oil refiner Hindustan Petroleum Corp (HPCL), the country’s oil minister said. Oil giant Saudi Aramco wants to enter into exclusive talks with India to buy a stake in the planned 1.2 million barrels per day (bpd) refinery on the South Asian nation’s west coast, India’s oil minister said. For crude prices, oil product cracks and refining margins, please click on the RICs below. Brent Dubai DME Oman Brent/Dubai EFS PRODUCT CRACKS Fuel oil crack Gasoil crack Naphtha crack Complex refining margins
Source: Reuters (Reporting by Florence Tan and Olga Yagova; Editing by Biju Dwarakanath)