Mercuria Fails to Buy Brent Oil; October Oseberg Exports Stable

Mercuria Energy Trading SA bid unsuccessfully for North Sea Brent crude for a second day. BP Plc failed to sell Azeri Light.

Shipments of North Sea Oseberg for October are planned at six cargoes of 600,000 barrels each, unchanged from this month, a loading program obtained by Bloomberg News showed.

North Sea

Mercuria bid for Brent crude loading Sept. 28 to Sept. 30 at $1.20 a barrel more than Dated Brent, according to a Bloomberg survey of traders and brokers monitoring the Platts pricing window. That’s 15 cents more than its offer yesterday.

The trading group didn’t manage to buy Forties at a 65-cent premium to Dated Brent for Sept. 23 to Sept. 25 loading.

Royal Dutch Shell Plc offered Forties for Sept. 17 to Sept. 19 at either a 35-cent premium to Dated Brent or $1.75 more than the cash cost of North Sea crudes for November. The company also offered Forties for Sept. 19 to Sept. 21 at a 45-cent premium to Dated Brent or $1.85 more than the cash cost of North Sea crudes for November. Both offers weren’t met, the survey showed.

Brent for October settlement traded at $115.33 a barrel on the ICE Futures Europe exchange at the close of the window, unchanged from the previous session. The November contract was at $113.73, a discount of $1.60 to October.

Oseberg exports will total 3.6 million barrels, or about 116,000 barrels a day, according to the plan. Loading programs for Brent, Forties and Ekofisk, the other three crudes that make up the Dated Brent benchmark, will be issued tomorrow.

Statfjord crude loadings are scheduled at five cargoes in October, Gullfaks at six lots and Troll at 13 shipments. Loadings of Norwegian crudes Norne, Njord, Skarv and Aasgard will rebound next month as maintenance at these fields ends.

Urals/Mediterranean

BP failed to sell 650,000 barrels of Azeri Light crude for loading Sept. 20 to Sept. 24 at a premium of $5.95 to Dated Brent on a delivered basis to Augusta, Italy.

There were no bids or offers for Urals crude in the window, the survey showed.

PKN Orlen, Poland’s largest oil company, is seeking to buy 100,000 metric tons of Urals for loading Sept. 22 to Sept. 26 from the Baltic Sea, say two people who have received the tender, asking not to be identified because the information is confidential. The tender closes today.

The Caspian Pipeline Consortium, operator of the only oil-export link in Russia that has shared foreign ownership, will cut daily September crude exports from the Black Sea to the lowest in six months, a final loading program obtained by Bloomberg News showed.

CPC will ship 2.57 million metric tons this month, compared with 2.87 million tons in August, according to the schedule. That’s equal to 664,724 barrels a day, the least since March and down 7.6 percent from last month.

Iraq resumed pumping of Kirkuk crude to the Turkish port of Ceyhan today at 2 a.m. local time, according to port agent Boutros Maritime & Transport SA.

West Africa

Three out of four August shipments of Angolan Saturno crude and all four lots in September have been delayed by 13 to 18 days, a revised program obtained by Bloomberg News showed.

August exports have been reduced to two cargoes from four, September shipments are stable at four lots, while two September cargoes will now load in October. All cargoes are 950,000 barrels each. BP lifted the force majeure on Saturno exports on Sept. 3.

PT Pertamina is seeking to buy 600,000 to 950,000 barrels of crude oil for November delivery to Cilacap or Balikpapan in Indonesia in a tender, according to a tender document obtained by Bloomberg News. The tender closes Sept. 9 at 5pm Singapore time, with offers valid until 6pm the following day.

To contact the reporters on this story: Laura Hurst in London at lhurst3@bloomberg.net; 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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