25 May, 2018
Among Abu Dhabi crudes, the market for July-loading Murban fell back to parity to a small premium over OSP. Fresh demand failed to pick up after key end-users including Thailand’s IRPC and Taiwan’s CPC Corp skipped spot purchases of sour crudes. Unplaced barrels were detected in the hands of European Vitol and French Total, boosting downside pressure on the Murban market.
The Petroleum Authority of Thailand (PTT) procured US WTI Midlands together with a Nigerian crude, in its light sweet crude/condensate buy tender for July-August arrival on behalf of the country’s petrochemical firm IRPC. For Latin American crudes, India’s Oil and Natural Gas Corp (ONGC) awarded its term sell tender on Brazilian Ostra for June-November loading to Royal Dutch Shell. In condensate-related news, South Korea’s SK Energy picked up Nigerian Es Cravos condensate for May arrival from Azerbaijan’s state-owned Socar.
Thailand’s PTT procured Australian and Brunei crudes in its light sweet crude/condensate buy tender for July-August arrival on behalf of IRPC. With regards to Malaysian crudes, US Conoco Phillips awarded its Kimanis sell tender for July loading at a premium of the high $3 level over DTD Brent. Brunei’s state-run Petroleum Brunei did not award and withdrew its Kimanis sell tender for July loading due to unsatisfactory bids.