Asia-Pacific Crude-Weaker; ONGC sells Sokol

Maritime Activity Reports, Inc.

February 24, 2014

By Jacob Gronholt-Pedersen and Florence Tan, Reuters

The Asia-Pacific crude market weakened on Monday with differentials for Russian Sokol depressed by slow demand during peak maintenance season, but a recovery in the naphtha market offset some of the losses.

India's ONGC sold 700,000 barrels of light sweet Sokol crude for May 1-4 loading to Glencore at $7.50 per barrel above Oman/Dubai quotes on a cost and freight (CFR) basis, traders said.

The company last sold Sokol for April loading at a premium of $8.50 per barrel.

Sentiment in the crude market has weakened with many regional refiners undergoing maintenance, however, slight gains in the naphtha and middle distillate markets were supportive.

Brent-Dubai Exchange of Futures for Swaps (EFS) <DUB-EFS-1M>, or Brent's premium to Dubai swaps, widened 11 cents to $4.01 per barrel.


Indonesia's Petral bought 600,000 barrels of Azeri Light for April 15-20 arrival in a tender. That brings the company's crude imports for April arrival to about 5.6 million barrels.


China's commercial crude oil inventories rose 3.57 percent over December in January following record high imports, breaking a three-month sequence of stock drawdowns, the official news agency Xinhua said on Monday.

Some Libyan government ministries are struggling to cover expenditures because of budget problems, a minister said on Sunday after protesters shut down another vital oilfield in the OPEC producer.

South Sudan has reversed a plan by local authorities to partially shut down oil production and evacuate foreign workers in its main oil-producing region after it was hit by the worst fighting since a January ceasefire.

A force majeure on Angola's Plutonio grade of crude oil has been lifted, a spokesman at operator BP said on Friday.

(Editing by Keiron Henderson)

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