BP Buys Fifth Forties Cargo for March; BFOE Exports to Rise 10%

BP Plc bought a cargo of North Sea Forties (EUCSFORT) crude, bringing its total for March to five shipments. Gunvor Group Ltd. failed to sell Russian Urals blend in northwest Europe for the second day after it raised its offer price from yesterday.

Exports of the North Sea Brent, Forties, Oseberg and Ekofisk crude blends will rise by 10 percent in April from this month to 1.05 million barrels a day, loading programs obtained by Bloomberg News show.

North Sea

BP bought one cargo of Forties for loading on March 27 to March 29 from Trafigura Beheer BV at $2.25 a barrel more than the cash cost of North Sea crude for May, according to a Bloomberg survey of traders and brokers monitoring the Platts trading window. Yesterday, BP bought one shipment at a premium of $1.70 to Dated Brent.

Vitol Group failed to buy Forties for March 23 to March 25 loading at $1.45 more than Dated Brent, according to the survey.

Reported North Sea trading typically occurs during the Platts window, which ends at 4:30 p.m. London time. Before the session, Forties loading in 10 to 25 days was $1.75 a barrel more than Dated Brent (EUCRBRDT), down from yesterday’s five-month high of $1.76, according to data compiled by Bloomberg.

Brent for April settlement traded at $122.96 a barrel on the ICE Futures Europe exchange in London at the close of the window, up from $122.72 yesterday. The May contract was at $122.44, a discount of 52 cents to April.

The loading program of Forties crude for April is scheduled at 22 cargoes of 600,000 barrels each, a plan obtained by Bloomberg News shows.

Including two cargoes deferred from March, total exports in April will be 24 shipments, compared with a revised 22 this month, according to the plans.

A cargo of Forties crude with parcel number F0319 was delayed by three days to March 27 to March 29, two people with knowledge of the export program said, bringing the total deferrals of March shipments to at least 10.

Exports of Troll crude will increase to 17 cargoes of 600,000 barrels each in April, two more than this month, a plan shows.

Loadings of Gullfaks will drop by one shipment to five in April, while Statfjord export will increase to four cargoes, compared with three this month, the schedules show.

Exports of Grane will be unchanged at seven 600,000-barrel cargoes and Alvheim exports will be stable at five shipments of 780,000 barrels each, according to the plans.

The share of Buzzard crude in the Forties blend was at 41 percent in the week to March 4, unchanged from a week earlier, BP Plc (BP/) said on its website.

Mediterranean/Urals

Gunvor failed to sell 100,000 metric tons of Urals for March 18 to March 22 delivery to Rotterdam at $1.30 a barrel less than Dated Brent, compared with its yesterday’s offer of a discount of $1.80, the survey showed.

OAO Lukoil was unable to sell 80,000 tons of the blend for March 17 to March 21 in the Mediterranean at a discount of $1.45 to Dated Brent, according to the survey.

Urals (EUCSURNW) was at $1.80 a barrel less than Dated Brent in northwest Europe, the lowest since Jan. 6, compared with a discount of $1.23 yesterday, according to data compiled by Bloomberg.

OAO Rosneft sold one cargo of Urals crude for loading on March 18 to March 19 from the Baltic Sea port of Primorsk to BP via a tender, two traders who participate in the market said.

West Africa

Indonesia’s PT Pertamina is seeking to buy 950,000 barrels of Nigeria’s Qua Iboe, Bonny Light and Escravos grades for May to July delivery, according to a document e-mailed to potential suppliers obtained by Bloomberg News.

The state-owned company is also seeking to buy as much as 950,000 barrels of low-sulfur crude in a separate tender for May, the document showed.

Qua Iboe (AFCSQUA1) crude was at $2.72 a barrel more than Dated Brent, compared with $2.76 yesterday, according to data compiled by Bloomberg.

To contact the reporter on this story: Sherry Su in London at lsu23@bloomberg.net

To contact the editor responsible for this story: Stephen Voss at sev@bloomberg.net

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