U.S. Gulf Crude Premiums Strengthen as WTI-Brent Gap Widens
U.S. Gulf Coast oil premiums strengthened as the spread between West Texas Intermediate and Brent crudes widened.
Brent’s premium over WTI, based on May futures contracts, widened by 85 cents to $17.78 a barrel at 2:27 p.m. in New York. When Brent increases versus WTI, it boosts the value of low- sulfur U.S. grades that compete with West African oil priced against the European benchmark.
Light Louisiana Sweet’s (USCSLLSS) premium to WTI widened 35 cents to $23.10 a barrel over the U.S. benchmark at 1:54 p.m. in New York, according to data compiled by Bloomberg. Heavy Louisiana Sweet (USCSHLSE)’s premium gained 30 cents to $22.45 a barrel.
Thunder Horse’s premium was unchanged at $20 a barrel over WTI and Mars Blend (USCSMARS) increased 75 cents to a premium of $15.75. Poseidon’s premium added 75 cents to $14.45, while Southern Green Canyon’s premium was unchanged at $15.
West Texas Sour (USCSWTSM)’s discount widened 25 cents to $6.25 a barrel below WTI.
Western Canada Select (USCSWCAS)’s discount was unchanged at $30 a barrel. Bakken oil was unchanged at $15.50 a barrel under WTI, and Syncrude’s discount was unchanged at $9.25.
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