U.S. Gulf Coast oil premiums were mixed as the discount narrowed for West Texas Intermediate oil compared to Brent, the European benchmark.
The gap between the two oils decreased 10 cents to $11.43 at 12:39 p.m. in New York based on the contracts for March delivery, according to data compiled by Bloomberg.
When Brent decreases versus WTI, it weakens the value of low-sulfur U.S. grades that compete with West African oil priced against the European benchmark.
In the U.S. Gulf Coast, Light Louisiana Sweet’s premium to WTI added 40 cents to $11.30 a barrel. Heavy Louisiana Sweet decreased 65 cents to $12.85 over the U.S. benchmark.
Thunder Horse’s premium narrowed 20 cents to $11.25. Mars Blend increased 15 cents to $8.65 over WTI. Poseidon’s premium added 55 cents to $8.60.
Southern Green Canyon increased 65 cents to $7.50 over WTI. West Texas Sour’s discount widened 20 cents to $1.85 a barrel.
Syncrude’s discount was unchanged at $3.20 a barrel. Syncrude is a light, low-sulfur synthetic oil derived from the tar sands in Alberta.
Western Canada Select’s discount to WTI was unchanged at $21.