BP Seeks Forties Crude; Azeri Exports From BTC Pipeline to Fall

Glencore International Plc (GLEN) and BP Plc (BP/) failed to buy North Sea Forties crude at lower prices. No bids or offers were made for Russian Urals for a third session.

Daily exports of Azeri Light crude from a port in Turkey will decline by 4.1 percent in June from this month, according to a loading program obtained by Bloomberg News.

North Sea

Glencore was unable to buy Forties crude for May 26 to May 30 at 13 cents a barrel more than Dated Brent, while BP failed to buy at a premium of 14 cents to the benchmark, a Bloomberg survey of traders and brokers monitoring the Platts pricing window showed. The grade was bid at a premium of 20 cents yesterday.

Royal Dutch Shell Plc (RDSA) didn’t manage to sell Forties for May 22 to May 24 at 10 cents less than Dated Brent, the survey showed.

Statoil ASA (STL) failed to find buyers for Oseberg for June 1 to June 3 at $1.25 a barrel more than Dated Brent, according to the survey.

Reported crude trading typically occurs during the Platts window, which ends at 4:30 p.m. London time. Forties loading in 10 to 25 days was 29 cents a barrel more than Dated Brent, the highest since Feb. 14, compared with a premium of 21 cents yesterday, according to data compiled by Bloomberg.

Brent for June settlement traded at $103.88 a barrel on the ICE Futures Europe exchange at the close of the window, compared with $105.09 yesterday. The July contract was at $103.62 at the same time today, a discount of 26 cents to June.

One Forties crude cargo for shipment in May was deferred by two days, according to three people with knowledge of the loading program.

Consignment F0512 will now load on May 14 to May 16, the people said, declining to be identified because the information is confidential.

Mediterranean/Urals

Urals in the Mediterranean shrank by 1 cent from yesterday to a discount of 1 cent a barrel to Dated Brent, the narrowest since Aug. 20, data compiled by Bloomberg show. In northwest Europe, the discount was at 53 cents a barrel compared with 54 cents yesterday. That’s the least since Nov. 5, the data show.

Shipments of Azeri crude through the Baku-Tbilisi-Ceyhan pipeline will total 21.15 million barrels, or 705,000 barrels a day, compared with 735,484 barrels a day in May, the schedule showed.

Exports of Azeri Light crude from Georgia’s Black Sea port of Supsa for June will be four cargoes of 600,000 barrels, two more than this month, according to a loading schedule obtained by Bloomberg News.

West Africa

Benchmark Nigerian Qua Iboe blend fell by 7 cents to $3.50 a barrel more than Dated Brent, data compiled by Bloomberg show.

Hindustan Petroleum Corp. bought 2 million barrels of Qua Iboe from BP for loading in July, said three traders with knowledge of the matter.

PT Pertamina purchased two 950,000-barrel cargoes of Qua Iboe for delivery in July to its Balikpapan and Cilacap refineries, according to a company official, who asked not to be identified citing policy.

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

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.