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Korea East-West Buys Fuel Oil From Hyundai at $4.93 Premium

Korea East-West Power Co., one of the generation units of Korea Electric Power Corp., bought a 50,000 metric-ton fuel-oil cargo for September delivery from Hyundai Corp. at a premium of $4.93 a ton over Singapore prices, said an official with the utility, who asked not to be identified because of company rules.

The premium is the lowest the Korean utility paid for similar cargoes since June, according to data compiled by Bloomberg.

Details of the transaction are as follow:

Products:     Fuel oil
Price:        $4.93 a ton over Singapore 180 centistoke fuel
              oil prices on CFR basis (cost and freight)
Quantity:     50,000 tons
Sulfur:       Maximum 2.5 percent
Viscosity:    Maximum of 540 centistokes
Delivery:     Sept. 16 to Sept. 20
Port:         Ulsan

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