Jan. 4 (Bloomberg) -- Syncrude weakened to a discount to West Texas Intermediate oil for the first time in almost a year as Canadian producers boosted output.
Suncor Energy Inc. oil sands production increased 9.2 percent to 345,000 barrels a day in December, according to a statement on the company’s website today. The output, which includes upgraded synthetic crude oil, diesel, and non-upgraded bitumen, was the highest for any month of the year, according to the statement.
Syncrude Canada Ltd.’s December output rose 23 percent from a month earlier, according to a posting on the website yesterday of Canadian Oil Sands Ltd., a member of the joint venture. Production of synthetic oil averaged 282,800 barrels a day last month at the project.
Syncrude weakened $1 to a 50 cent discount compared to WTI at 2:08 p.m. in New York, according to data compiled by Bloomberg. Syncrude is a light, low-sulfur synthetic oil derived from the tar sands in Alberta.
Western Canada Select’s discount to WTI widened by $1.50 to $17.75 a barrel, the steepest level in five months.
Light Louisiana Sweet’s premium to WTI gained $1.15 to $10.75 a barrel. Heavy Louisiana Sweet added $1.45 to $11.75 over the U.S. benchmark.
Thunder Horse’s premium increased $1.25 to $8.50. Mars Blend added $1.45 to $7.25 over WTI. Poseidon’s premium widened $1.60 to $6.85 a barrel.
Southern Green Canyon gained $1.85 to $6.35 over WTI. West Texas Sour’s discount widened 25 cents to $1.65 a barrel.
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