Total Seeks Forties Crude; Qua Iboe July Price at Four-Month Low

Total SA (FP) failed to buy North Sea Forties at a higher price than its bid yesterday. Vitol Group sold Urals in the Mediterranean at the same differential as the last trade. The grade rose to 10-month high in northwest Europe.

Nigeria reduced its July official selling price for benchmark Bonny Light and Qua Iboe crudes to the lowest level in four months, the Nigerian National Petroleum Corp. said in an e-mailed statement.

North Sea

Total was seeking Forties at 10 cents a barrel more than Dated Brent for loading on July 9 to July 14, 5 cents higher than its bid yesterday, a Bloomberg survey of traders and brokers monitoring the Platts pricing window showed.

Mercuria Energy Trading SA was unable to buy a cargo for July 4 to July 10 at parity to Dated Brent, the survey showed.

Eni SpA sought to sell without success two consignments of Forties at 20 cents a barrel more than Dated Brent, according to the survey. The first was for loading on July 7 to July 9, two days earlier than the original schedule. The second for July 11 to July 13.

Statoil ASA sold Oseberg cargo 20130701 for July 8 to July 10 to Gunvor Group at $1.05 a barrel more than Dated Brent, compared with a premium of 80 cents for the last trade on June 3, the survey showed.

Total failed to buy Ekofisk for July 11 to July 17 at a premium of 80 cents a barrel to Dated Brent and didn’t manage to buy Brent for July 10 to July 15 at 20 cents more than the benchmark, 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 3 cents more than Dated Brent, compared with a discount of 16 cents yesterday, according to data compiled by Bloomberg.

Brent for August settlement traded at $100.60 a barrel on the ICE Futures Europe exchange at the close of the window, compared with $102.96 in the previous session. The September contract was at $100.23 at the same time today, a discount of 37 cents to August.

Mediterranean/Urals

Vitol sold 80,000 metric tons of Urals for July 4 to July 8 to OAO Lukoil at 30 cents a barrel less than Dated Brent on a delivered basis to Augusta, Italy, unchanged from the last transaction on June 11, the survey showed.

Lukoil didn’t manage to sell 80,000 tons of the blend for July 5 to July 9 delivery in the same region at a discount of 5 cents, according to the survey.

Vitol failed to sell 100,000 tons of Urals for July 12 to July 16 at 15 cents a barrel more than Dated Brent on a delivered basis to Rotterdam, the survey showed.

Urals in the Mediterranean rose by 9 cents to a discount of 10 cents a barrel to Dated Brent, data compiled by Bloomberg showed. In northwest Europe, the grade was at 20 cents a barrel more than Dated Brent, compared with a discount of 10 cents yesterday. This is the highest since Aug. 16, 2012.

Libya’s state-run National Oil Corp. reduced its official selling price of benchmark Es Sider crude for July to a discount of 5 cents a barrel to Dated Brent, compared with a premium of 15 cents for June, according to a price list obtained by Bloomberg News.

OAO Surgutneftegas issued a new tender to sell two 100,000-ton cargoes for July 7 to July 8 loading in July, two people with knowledge of the matter said. One lot will load from Primorsk and the other from Ust-Luga. The tender closes on July 24.

West Africa

Bonny Light and Qua Iboe were set at $2.25 a barrel more than to Dated Brent for July, the least since March and compares with a premium of $3.20 for this month, according to the official selling price list.

Qua Iboe fell 2 cents to $2.24 a barrel more than Dated Brent, data compiled by Bloomberg showed.

Nigeria will maintain its exports of Qua Iboe for August at 13 cargoes of 950,000 barrels each, according to a loading program obtained by Bloomberg.

Royal Dutch Shell Plc’s Nigerian unit shut its Trans Niger Pipeline on June 19 after an explosion, the company said yesterday in an e-mailed statement. The closure affects 150,000 barrels a day of crude, which goes to the Bonny export terminal.

In a separate statement today, Shell’s joint venture with the state oil company and Total announced a $1.5 billion final investment decision on the Trans Niger Pipeline Loop-Line, which will include better protection from theft and sabotage.

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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