Middle East Crude-Benchmarks extend gains as good summer demand supports

Reuters
03 Jul
Middle East Crude-Benchmarks extend gains as good summer demand supports

SINGAPORE, July 3 (Reuters) - Middle East crude benchmark spot premiums Oman, Dubai and Murban jumped on Thursday, extending a rally supported by healthy demand and some concerns about limited supply.

Iran suspended cooperation with the U.N. nuclear watchdog, raising concerns that the lingering dispute over the Middle East producer's nuclear program may again devolve into armed conflict.

This, coupled with U.S. and Vietnam reaching a preliminary trade deal, sent both Brent and WTI up by 3% to a one-week high on Wednesday. Both contracts retreated by 0.9% on Thursday. O/R

Abu Dhabi National Oil Company $(ADNOC.AU)$ has restored most of the Murban crude oil supply going to equity holders in July after making a sharp cut earlier, multiple trade sources said on Thursday.

During the Israel-Iran conflict last month, ADNOC notified equity holders that it would cut their Murban crude supply by 3 million to 4 million barrels in July, the sources said.

Most of these volumes have since been restored, they said.

ADNOC did not immediately respond to a request for comment.

SINGAPORE CASH DEALS

Cash Dubai's premium to swaps rose 29 cents to $3.34 a barrel.

SELLER-BUYER

PRICE ($/BBL)

PETROCHINA-VITOL

69.64

PETROCHINA-GUNVOR

69.64

PETROCHINA-EXXONMOBIL

69.60

GLENCORE-GUNVOR

69.64

HENGLI-VITOL

69.64

PETROCHINA-VITOL

69.62

GLENCORE-VITOL

69.61

PETROCHINA-EXXONMOBIL

69.62

PETROCHINA-VITOL

69.60

PRICES ($/BBL)

CURRENT

PREV SESSION

GME OMAN

69.78

68.70

GME OMAN DIFF TO DUBAI

3.50

3.15

CASH DUBAI

69.62

68.60

NEWS

The provincial government of Shandong, China's refining hub, has increased fuel oil import tax rebates for six independent refineries to improve their profitability as they struggle with low margins and fuel demand, industry sources said this week.

U.S. crude oil and gasoline inventories rose unexpectedly last week as both exports and demand fell sharply, the Energy Information Administration $(EIA)$ said on Wednesday.

The U.S. cleared the way to resume ethane exports to China on Wednesday, sending letters to producers Enterprise Products Partners EPD.N and Energy Transfer ET.N rescinding a restrictive license requirement put in place just weeks ago, a sign that the U.S.-China trade truce was on track.

Commodities trader Glencore GLEN.L is in talks with the British government over the status of its supply and offtake contract with the insolvent Lindsey oil refinery, according to a source familiar with the situation.

For crude prices, oil product cracks and refining margins, please click on the RICs below.

Brent

BRENTSGMc1

Dubai

DUBSGSWMc2

GME Oman

OQc1

Brent/Dubai EFS

DUB-EFS-1M

PRODUCT CRACKS

Fuel oil crack

FO180SGCKMc1

Gasoil crack

GO10SGCKMc1

Naphtha crack

NAF-SIN-CRK

Gasoline crack

GL92-SIN-CRK

Complex refining margins

REF/MARGIN1

(Reporting by Siyi Liu in Singapore; Editing by Janane Venkatraman)

((siyi.liu@thomsonreuters.com;))

RECENT CRUDE OIL TRADES:
Asia ACRU/T  Europe CRU/T Americas CRU/TU
      
CRUDE OIL MARKET NEWS      
Crude oil tenders in Asia                       CRU/TENDA
Crude oil supply outages in Asia                CRU/OUT-ASIA-O      
Refinery outages in Asia                        REF/OUT-ASIA-O      
Global arbitrage news and flows                 O/CRUDEARB      
W.African crude imports to Asia,  monthly       O/WAFRICA1      
REFINERY MAINTENANCE DIARIES      
Asia REF/A   Middle East REF/ME   Europe REF/E      
                       
NATIONAL CRUDE IMPORT DATA      
Japan     METI/JP1   China   O/CHINA1      
India     O/INDIA2   S.Korea O/KOREA1      
Indonesia O/INDO1-CRU         
                       
CRUDE OIL INVENTORY DATA      
Japan O/JAPAN1  US EIA/S  Europe O/EUROIL1      
                    
CRUDE OIL PRODUCTION/OILFIELD NEWS      
OPEC output survey OPEC/O          New Africa fields    AFR/NEW 
New projects       ENERGY/NEW      New Americas  fields AM/NEW
CRUDE OIL MARKET REPORTS      
Middle East             CRU/MAsia-Pacific         CRU/AP      
West Africa             CRU/WAF  North Sea            CRU/E      
Asia outlook            ASIA/CRU Europe outlook       EUR/CRU      
Global futures report   O/R      Technicals report    O/I      
                            
PRICES      
For all Official Selling  Prices       OSP/O      
For a POLL on oil  prices              O/POLL      
NYMEX and ICE oil  futures             OILOIL      
TOCOM crude oil  futures               0#JCO:      
Dubai, Oman swaps and  spread          ASIA/SWAP/CRUDE      
Middle East physical crude diffs       CRUDE/ASIA2      
Australia physical crude, Tapis swaps  CRUDE/ASIA1      
Asia-Pacific physical crude            CRUDE/ASIA3      
All Asian crude oil  differentials     0#C-DIF-A
All Asian crude oil outright  prices   0#C-A

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