North Sea Maintenance Offsets Lack of Sales to Asia

Posted by Eric Haun
Tuesday, April 22, 2014

North Sea Forties crude differentials were unchanged on Tuesday in light trade, supported by upcoming North Sea maintenance, but the forward curve weakened due to the lack of arbitrage opportunities to Asia.

Two potential VLCC shipments to Asia appeared to have been called off. The VLCC Phoenix Vanguard was sailing south past Portugal after calling at Exxon's Fawley refinery, even though some traders expected it to return to Hound Point to pick up another cargo of Forties this week.

The BW Utah was again anchored off Hound Point, having delivered a cargo from there to the Amsterdam-Rotterdam-Antwerp hub last week. Traders said it could still have time to load a cargo for Asia before Jetty 1 closes for two months of maintenance work, but most expressed doubts.

With little chance of arbitraging barrels to Asia in May and June, traders expected North Sea maintenance, which is expected to cut supplies, to drive crude values in the region in the coming weeks.

But later this summer, the gradual return of barrels from Libya may help offset North Sea maintenance.

Production in Libya is now around 220,000 barrels per day, and the eastern port of Hariga has exported its first tanker of crude since a deal to reopen the docks was struck between Tripoli and rebel militias.

Three other major ports still remain closed, however.

Forties
Shell sold a cargo of Forties to Statoil for loading May 4-6 at parity to dated Brent.

This was in line with the last trade, when Chevron sold a Forties cargo loading on May 4-6 to Shell at parity with dated Brent.

(Reporting by David Sheppard; editing by Jane Baird)

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter May 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Offshore

Mermaid Maritime Bags Subsea Contracts, Delays Newbuilding

Thailand’s Mermaid Maritime said it has been awarded a number of subsea contracts in the Middle East with a total worth of $11million.   It has also reached

Hercules Offshore Filing for Bankruptcy Again

Hercules Offshore Inc said it planned to file for prepackaged Chapter 11 bankruptcy, just six months after the rig contractor emerged from bankruptcy protection.

DONG Energy Listing to Value Group at up to $16 Bln

DONG Energy's has set a potential $16 billion price tag on its stock market debut, giving investors a chance to buy into the growth in offshore wind power, but

Finance

Harding Sold to Palfinger

The PALFINGER Group has signed today the acquisition of 100 per cent of the shares in Herkules Harding Holding AS and thus, the globally operating Harding Group.

Singapore Shipping Profits Up

Singapore Shipping Corporation(SSC)'s  net profit increased 7.8 per cent to US$9.6 million for the financial year ended March 31, 2016, compared to the previous year.

Shipping Corp Seafarers on Hunger Strike

Around 200 seafarers with Shipping Corporation of India (SCI), the country's largest shipping company, are on a hunger strike (industrial action) since Saturday over wages and arrears.

Energy

Trim Optimization – Saving Fuel on Offshore Supply Vessels

A joint development project (JDP) between DNV GL, Statoil and Farstad Shipping has demonstrated that offshore supply vessels (OSV) can save up to 21.000 Euros on their annual fuel bill,

The Impact of Hull Form on Efficiency

There is a growing interest in the fuel efficiency of ships because of fuel prices, climate change and energy security issues. This has resulted in, amongst other things,

Strike In France: Implications for Tanker Demand

After the oil industry suffered from a severe drought in Venezuela, forest fires in Canada and rebel attacks on oil installations in Nigeria, it is now facing

News

Strategic Marine Building Luxury Crewboat

Strategic Marine announced the kick-off of its first collaboration with PT. Pelayaran Tanjung Kumawa, expecting to deliver an exclusive luxury crewboat in November this year.

Harding Sold to Palfinger

The PALFINGER Group has signed today the acquisition of 100 per cent of the shares in Herkules Harding Holding AS and thus, the globally operating Harding Group.

First German-Latvian Maritime Forum in Riga

On 19 May, Ziemelblazma Culture Palace in Riga, the Latvian capital was the venue for a meeting between numerous representatives of the Ports of Liepaja, Riga, Ventspils, Lübeck, Kiel and Hamburg.

Offshore Energy

Trim Optimization – Saving Fuel on Offshore Supply Vessels

A joint development project (JDP) between DNV GL, Statoil and Farstad Shipping has demonstrated that offshore supply vessels (OSV) can save up to 21.000 Euros on their annual fuel bill,

Strike In France: Implications for Tanker Demand

After the oil industry suffered from a severe drought in Venezuela, forest fires in Canada and rebel attacks on oil installations in Nigeria, it is now facing

Floating Storage Flattens Fortunes of $50 Crude

The prices of WTI and Brent crude briefly rose above $50/bbl during intraday trading on Thursday, the highest level seen since the end of July 2015, giving traders a brief moment of optimism,

 
 
Maritime Contracts Maritime Security Naval Architecture Navigation Port Authority Ship Electronics Ship Repair Ship Simulators Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1033 sec (10 req/sec)