Bakken Weakens on Spot Market on Increasing ProductionEliot Caroom
Bakken crude weakened against domestic benchmark West Texas Intermediate as production climbed to another record and a Wisconsin refinery shut a unit at a plant that consumes the North Dakotan oil.
Bakken oil delivered in Clearbrook, Minnesota, fell 50 cents to a $10.50-a-barrel discount to WTI at 1:50 p.m. in New York, according to data compiled by Bloomberg.
North Dakota’s portion of the Bakken produced 867,000 barrels a day in September, according to data released from the state Industrial Commission. The oil is a key feedstock at the Calumet Specialty Products Partners refinery in Superior, Wisconsin, which shut a unit on Dec. 7 and is attempting to restart it, according to a filing with regulators.
Crudes on the Gulf Coast lost ground to WTI. Light Louisiana Sweet fell 15 cents a barrel against WTI to a premium of $4.60. Heavy Louisiana Sweet lost 10 cents a barrel to a premium of $5.40.
The premium for Thunder Horse narrowed 35 cents to $3 a barrel. Mars Blend’s discount widened 10 cents to 40 cents a barrel.
West Texas Sour fell 5 cents to a discount of $2.75. WTI in Midland, Texas, widened its discount to the oil in Cushing, Oklahoma, by 10 cents to $2.25.