Med Crude Urals Weaken on April Cargo Overhang

Posted by Eric Haun
Thursday, April 10, 2014

Russian Urals crude weakened on Thursday in a flurry of deals as traders rushed to place end-of-April cargos.

Eni sold a cargo of Urals to Total in the Baltic at dated Brent minus $1.50 for April 20-24 delivery, some 20 cents weaker than previous price estimates. Also in the Baltic, Vitol sold an early May cargo to Shell at dated Brent minus $1.35, traders said.

In the Med, Eni sold a 80,000-tonne, April 26-30 cargo to Total at dated Brent minus 65 cents and Tenergy sold an April 22-26 cargo to Glencore at dated Brent minus 70 cents, traders said. That was 50-60 cents weaker than previous price estimates.

"There was clearly a certain overhang of Urals in the market but maybe the weakening is a bit overdone now," said a trader with a major.

"I'm sure that in the next few days people will start talking about Russian refineries returning from maintenance works, which should see May exports being lower than in April. That should support the market," he added.

In lighter grades, Total bid for CPC at dated Brent minus 35 cents, slightly stronger than on Wednesday, but found no sellers.

CPC Blend loadings are set to fall by 19.7 percent on a daily basis versus the April loading plan, traders said.

The first version of the CPC Blend loading schedule for May showed volumes at 2.777 million tonnes versus 3.345 million in April.

"Higher (April) exports have come on the back of the near-completion of the first phase of expansion of the pipeline," JBC analysts said in a note.

"From a regional perspective, given that China-bound volumes will likely increase over the coming years, the expected uptick in CPC loadings will decrease the amount of crude that Kazakhstan sends to Russia that is blended into Urals."

"Over the longer-term this could deteriorate the quality of the flagship Russian blend as Kazakh crudes are of a better quality than West Siberian output," JBC said.

Russian state-controlled oil producer Gazprom Neft said it had received positive responses from Asian clients about the possibility of using euros as a settlement currency instead of the dollar.

Libya's state National Oil Corp lifted force majeure for the eastern port of Hariga at 1200 local time (1000 GMT) on Thursday, a statement from NOC said. The force majeure on the other recently re-opened port of Zueitina was still in place.

(Reporting by Dmitry Zhdannikov, editing by David Evans)

Maritime Reporter August 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

G E Shipping delivers “Jag Aakash” to Buyers

The Great Eastern Shipping Company Ltd. delivered the new building Kamsarmax Dry Bulk Carrier “Jag Aakash” (81,600 dwt) to the buyers.  The vessel was contracted for sale in August 2015.

Dorian Acquires 2 ECO VLGC

Dorian LPG, an owner and operator of modern Very Large Gas Carriers ("VLGCs"), reported today that it has taken delivery of the ECO VLGC Commodore from Hyundai

Egypt Picks Jordan LNG Cargo Winners

Egypt has picked Shell, Vitol and Trafigura in a tender to supply four cargoes of liquefied natural gas (LNG) via Jordan's Aqaba import terminal, trade sources said.

Finance

Greece Wants EU Funding to Tackle Migrant Influx

Greece will ask the European Union for about 700 million euros to build infrastructure to shelter the hundreds of refugees and migrants arriving on its shores daily, the government said on Thursday.

Asia-Europe Box Rates Soar Again

Shipping freight rates for transporting containers from ports in Asia to Northern Europe jumped 29 percent to $763 per 20-foot container (TEU) this week data from

G E Shipping delivers “Jag Aakash” to Buyers

The Great Eastern Shipping Company Ltd. delivered the new building Kamsarmax Dry Bulk Carrier “Jag Aakash” (81,600 dwt) to the buyers.  The vessel was contracted for sale in August 2015.

News

A Great Passion for Small Ships

Gottfried Knöbel owns almost 1,500 miniature model ships, many of them are Hapag-Lloyd ships. How did he end up with this collection?   In a quiet residential district in Cologne,

Busan Port Names Woo Ye-jong as New CEO

The Busan Port Authority (BPA) announced Woo Ye-jong has been named as its new CEO, as appointed by the Korean Ministry of Oceans and Fisheries.   Woo took office on July 31,

CTruk Delivers Wind Farm Support Vessel

Shipbuilder CTruk Boats, a manufacturer of composite wind farm support vessels (WFSV), has delivered the second workboat in a two-craft order from CWind.   The

Logistics

Mary Anne Rooney Named APP President

Mary Anne Rooney, Harbor Commissioner at California’s Port of Hueneme, has been named President of the Association of Pacific Ports (APP), a trade and information

Kirby Selects ABS as Subchapter M Solutions Provider

Proactive effort shows commitment to safety and environmental protection. ABS, a provider of maritime shipping and offshore classification services, has been

Asia-Europe Box Rates Soar Again

Shipping freight rates for transporting containers from ports in Asia to Northern Europe jumped 29 percent to $763 per 20-foot container (TEU) this week data from

 
 
Maritime Contracts Maritime Security Offshore Oil Pipelines Pod Propulsion Port Authority Ship Simulators Shipbuilding / Vessel Construction Sonar 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: 0.5542 sec (2 req/sec)