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Mercuria Bids for Brent; BFOE Crude Exports at Eight-Month High

Mercuria Energy Trading SA failed to buy North Sea Brent crude for a third day even after raising its bid. Glencore Xstrata Plc sought to sell Russian Urals blend in the Mediterranean without success.

Daily exports of Brent, Forties, Oseberg and Ekofisk grades, which make up the Dated Brent benchmark, will jump to the most in eight months, loading programs obtained by Bloomberg News showed.

North Sea

Mercuria bid Brent for loading Sept. 28 to Sept. 30 at $1.26 a barrel more than Dated Brent, 6 cents more than its bid yesterday, according to a Bloomberg survey of traders and brokers monitoring the Platts pricing window.

The trading group was also unable to buy Forties at 74 cents a barrel more than Dated Brent, compared with its bid yesterday at a premium of 65 cents, the survey showed.

Brent for October settlement traded at $116.45 a barrel on the ICE Futures Europe exchange at the close of the window, compared with $115.33 from the previous session. The November contract was at $114.75, a discount of $1.70 to October.

BFOE shipments will average 909,677 barrels a day, up 11 percent from 820,000 barrels in September, according to the plans. This is the highest since February.

Exports of Forties will increase by 7.5 percent from September to 387,097 barrels a day, the highest since June, a shipping schedule showed. The volume includes three consignments that were deferred from this month.

Ekofisk shipments will rise by 29 percent to 309,677 barrels a day in October after an unplanned outage at three fields triggered a delay of all cargoes in the September schedule. The plan also includes three deferred consignments.

Brent exports for October are planned at five cargoes of 600,000 barrels each, unchanged from this month, according to a loading program.

Shipments from Dansk Undergrunds Consortium will be four consignments of 600,000 barrels each, one less than this month, a shipping schedule showed.

Exports of Aasgard for October will be five cargoes totaling 4.275 million barrels, up from 1.455 million barrels this month, while Alvheim loadings will fall to four lots of 780,000 barrels each from five in September, according to loading programs.

Urals/Mediterranean

Glencore failed to sell 140,000 metric tons of Urals for Sept. 18 to Sept. 22 loading at 40 cents a barrel less than Dated Brent, the survey showed. The grade was last sold at a discount of 20 cents for an 80,000-ton cargo on Aug. 30.

PKN Orlen SA bought 100,000 tons of Urals for Sept. 22 to Sept. 26 loading from the Baltic Sea via a tender, said three people who participate in the market, asking not to be identified because the information is confidential. The cargo was bought at a discount of about 85 cents to Dated Brent, delivered to Rotterdam, two of them said.

OAO Rosneft was scheduled to award its tender for Urals and CPC Blend for loading from October to March on Sept. 5. The result was not known yet.

OMV AG’s oil production in Libya halted since the “last few days” as unrest spread west, spokesman Robert Lechner said by telephone today.

West Africa

Indian Oil Corp. bought two cargoes of Nigerian Qua Iboe from Exxon Mobil Corp., one Agbami from Chevron Corp. and one Amenam grade from Total SA via a tender, said four traders who participate in the market, asking not to be identified because the information is confidential. All shipments are 1 million barrels each, and for loading in November.

Vitol Group offered 950,000 barrels of Escravos for Sept. 15 to Sept. 20 delivery to Rotterdam or Lavera, France at $6.25 a barrel more than Dated Brent, the Platts survey showed.

To contact the reporters on this story: Sherry Su in London at lsu23@bloomberg.net; Laura Hurst in London at lhurst3@bloomberg.net

To contact the editor responsible for this story: Stephen Voss at sev@bloomberg.net

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