European Sour Crude to Stay Tight on Iran, Fuel Oil: JBC
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Supplies of sour, or high sulfur, crude oil in Europe will continue to be tight because of the loss of Iranian and Syrian exports and “strong” refining margins for fuel oil, according to JBC Energy GmbH.
“Fuel oil is finding support in arbitrage to Asia,” and while exports of Urals crude from Russia may increase in June, “the continued loss of the bulk of Iranian and Syrian crude will keep the sour crude market tight in the region,” a JBC Energy team of analysts led by David Wech in Vienna said in a report today.