Shell Sells Forties Crude; Bharat Petroleum Buys Qua Iboe, Akpo

Royal Dutch Shell Plc (RDSA) sold two cargoes of North Sea Forties at the highest price in five weeks. The company failed to buy CPC Blend in Europe at a smaller discount than the previous trade.

Bharat Petroleum Corp. Ltd. bought via a tender 1 million barrels each of Nigerian Qua Iboe and Akpo crude for August loading from China International United Petroleum & Chemical Corp., known as Unipec, according to four traders who participate in the market.

North Sea

Shell sold Forties cargo F0707 for July 7 to July 9 to Mercuria Energy Trading SA at a premium of 15 cents a barrel more than Dated Brent, a Bloomberg survey of traders and brokers monitoring the Platts pricing window showed. This is the highest since May 16 and compares with a premium of 5 cents for three shipments sold yesterday.

Shell also sold Forties lot F0710 for July 13 to July 15 to Total SA (FP) at 40 cents a barrel less than the cash cost of North Sea crude for August, the survey showed.

Eni SpA (ENI) withdrew its offer for July 11 to July 13 at a premium of 15 cents a barrel more than Dated Brent, while Total’s bid for July 16 to July 22 at parity to the benchmark was canceled, according to the survey.

For Ekofisk, Total failed to buy a shipment for July 8 to July 13 at 60 cents a barrel more than Dated Brent, according to the survey. This compares with a premium of 75 cents for a cargo the company bought yesterday.

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 5 cents more than Dated Brent, compared with a premium of 21 cents yesterday, according to data compiled by Bloomberg.

Brent for August settlement traded at $100.82 a barrel on the ICE Futures Europe exchange at the close of the window, compared with $101.75 in the previous session. The September contract was at $100.48 at the same time today, a discount of 34 cents to August.

The Aasgard oil and gas field was evacuated after a gas alarm was triggered yesterday at about 8:30 p.m. local time, Stavanger Aftenblad reported, citing Statoil ASA (STL)’s spokesman Ola Anders Skauby.

Production was automatically shut down and all personnel were evacuated except for some with emergency response duties, according to the report.

Mediterranean/Urals

No bids or offers were made for Urals in Europe for a third session. Urals in the Mediterranean rose by 3 cents to a discount of 22 cents a barrel to Dated Brent, data compiled by Bloomberg showed. In northwest Europe, the grade was at 17 cents a barrel more than Dated Brent, compared with a premium of 19 cents yesterday.

Shell failed to buy 85,000 metric tons of CPC blend for July 11 to July 19 loading at 85 cents a barrel less than Dated Brent, the survey showed. The grade was last sold at a discount of $1.05 on May 9.

West Africa

Nigerian Benchmark Qua Iboe fell 2 cents to $2.20 a barrel more than Dated Brent, data compiled by Bloomberg showed.

Angola will keep crude exports in August unchanged at 56 cargoes, according to a final loading program obtained by Bloomberg News.

Exports will be 53.69 million barrels, or 1.73 million barrels a day, the plan shows. That compares with revised shipments of 53.81 million barrels, or 1.74 million barrels a day, in July.

The final plan has one more August cargo than a preliminary schedule released on June 17 after one shipment of Pazflor was added.

An earlier July program was revised, adding one Palanca cargo for loading on July 9 to July 10, bringing that month’s tally to 56 as well, said three traders with knowledge of the loading program, asking not to be identified because the information is confidential.

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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