Heavy Louisiana Sweet Gains as WTI Weaker Against BrentEliot Caroom
Heavy Louisiana Sweet’s premium to domestic benchmark West Texas Intermediate strengthened as WTI traded about 25 cents lower against Brent crude.
HLS strengthened 15 cents to $4.15 a barrel above WTI in Cushing at 2:17 p.m. in New York, according to data compiled by Bloomberg. Light Louisiana Sweet oil increased 5 cents against WTI to a premium of $4.95.
Gulf Coast oils have weakened over the past five months as the spread between overseas Brent oil and U.S. benchmark West Texas Intermediate diminished. The gap narrowed to $1.99 on July 10, the narrowest differential, based on closing prices, since November 2010. The spread was near $3 today.
Poseidon’s discount narrowed 35 cents to $1.70 a barrel under WTI. Thunder Horse strengthened 50 cents to premium of $2.10. Southern Green Canyon narrowed its discount by 25 cents to $1.90.