Total Seeks Forties Oil; Vitol Sells Urals Crude at Lower Price

Total SA failed to buy North Sea Forties crude at a higher price than yesterday’s bid. Vitol Group sold Russian Urals blend in northwest Europe at a bigger discount to Dated Brent than the previous trade.

Nigeria, Africa’s largest oil producer, plans to cut October exports of Akpo crude to one cargo from three in September, a loading program obtained by Bloomberg News showed.

North Sea

Total failed to buy Forties for Oct. 13 to Oct. 17 loading at 10 cents a barrel more than Dated Brent, 5 cents higher than its bid yesterday, according to a Bloomberg survey of traders and brokers monitoring the Platts trading window.

Reported crude 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 9 cents less than Dated Brent, compared with a discount of 26 cents yesterday, data compiled by Bloomberg show.

Brent for November settlement traded at $110.73 a barrel on the ICE Futures Europe exchange in London at the close of the window, up from $108.95 yesterday. The December contract was $110.04, a discount of 69 cents to November.

Forties cargo F1001 was delayed by three days to load on Oct. 6 to Oct. 8, according to two people with knowledge of the shipping schedule. This brings total deferrals to four.

“Some shipments of Forties oil from the North Sea will be delayed in October because production has not normalized quite as quickly as planned,” Carsten Fritsch, a Frankfurt-based analyst at Commerzbank AG said today in a report.

Mediterranean/Urals

Vitol sold 100,000 metric tons of Urals for loading on Oct. 1 to Oct. 5 to Eni SpA at $1.55 a barrel less than Dated Brent on a delivered basis to Rotterdam, the survey showed. This compares with a discount of $1.40 for the last deal on Sept. 18.

Urals was at 98 cents a barrel less than Dated Brent for delivery in the Mediterranean, unchanged from yesterday, data compiled by Bloomberg showed.

West Africa

The Akpo field will shut for one month of planned maintenance from Oct. 22, two traders with knowledge of the matter said on Aug. 20, declining to be identified because the information is confidential.

Nigeria will export three lots of Amenam, two of Yoho and one Pennington, separate plans showed. Shipments are for 950,000 barrels to 1 million barrels each. The shipping schedules of Escravos and Erha grades are not yet available.

Indian Oil Corp. bought from Total SA 1 million barrels each of Nigerian Qua Iboe and EA crudes for November loading, said three traders who asked not to be identified because the information is confidential.

Hindustan Petroleum Corp. is seeking to buy crude for loading in November, said two traders who participate in the market. The tender closes on Sept. 25, and offers are valid until the following day.

Cameroon plans to double exports of Kole crude for loading in October to two cargoes of 800,000 barrels each, according to a loading program.

Qua Iboe was unchanged at $1.74 a barrel more than Dated Brent, 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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