Some crude from a vast Nigerian
glut was being absorbed in recent tenders, though differentials
had slipped significantly.
* The VLCC of Nigerian Bonny Light from Shell awarded by
India’s HPCL for Nov. 1-10 loading sold for less than dated
Brent minus 50 cents, traders said.
* Renewed crude loadings in Libya and poor demand among
European refiners amid fierce competition from U.S. crude
continued to keep differentials low.
* A Brent-Dubai spread discount appears to be leading to
more demand from Asian markets for Atlantic Basin crude, after
India’s IOC’s taking a VLCC of Nigerian Qua Iboe late last week.
* Deep contango was also allowing sellers to discount
free-on-board charges and allow the buyers to reap the benefit
of the nearly month-long journey time to south Asia.
* Uruguay’s Ancap awarded a tender for crude arriving in
November to Petraco for Nigerian Bonny Light, though price
details did not emerge.
* Two more tenders by the South American refiner were valid
until later on Thursday.