Middle East Crude-Benchmarks mixed; Spot premiums for Russian ESPO soften

Middle East crude benchmarks Oman and Dubai were mixed on Tuesday.

  

SINGAPORE- Middle East crude benchmarks Oman and Dubai were mixed on Tuesday.

Shell bought a July cargo of Murban crude from Total at a premium of $1.10 a barrel to its official selling price during the market-on-close price assessment process.

Russian oil producer Surgut has sold two July-loading cargoes of ESPO crude, loading over July 21-28 and July 24-31, at lower premiums of around $3 a barrel to Dubai quotes via its fourth spot tender this month, traders said. 

Gazprom on Tuesday closed a tender selling a July-loading ESPO crude cargo.

ASIA-PACIFIC CRUDE:

Thailand's IPRC on Tuesday closed a tender seeking sweet crude for delivery in July 20-August 10, with bids valid till Wednesday.

Taiwanese refiner CPC Corp has purchased 6 million barrels of U.S. West Texas Intermediate (WTI) Midland crude at a premium of around $2.5 a barrel to dated Brent on a cost-and-freight basis for delivery in August via a monthly spot tender, traders said.

REFINERY

Indonesia's state oil and gas company PT Pertamina will resume operations at its Balikpapan refinery from June 1, spokeswoman Fajriyah Usman said on Tuesday. 

South Korea's Hyundai Oilbank restarted its 360,000 barrels per day (bpd) No.2 crude distillation unit and 86,000-bpd fluidized catalytic cracking (FCC) unit on May 22, a company spokesman said on Monday.

Japanese oil refiner Idemitsu Kosan Co shut one of two crude distillation units (CDUs) at its Yokkaichi refinery in central Japan on May 20 due to glitch at a secondary unit, a company spokesman said on Monday.

A vice governor in China's northeastern Liaoning province appealed to the central government to shut down Dalian Petrochemical Corp, at the annual national parliament conference (NPC), according to an NPC report issued on Monday. 

India's crude oil processing in April slumped by 28.8% from a year earlier, its biggest drop since at least 2003, as a nationwide lockdown weighed on fuel demand and forced refiners to cut production.

NEWS

Russian Energy Minister Alexander Novak is due meet oil majors to discuss the implementation of global oil production curbs and the possible extension of the current level of cuts beyond June, sources familiar with the plans told Reuters

BP is more than halving the size of its senior management team as part of Chief Executive Bernard Looney's drive to make the 111-year-old oil company more nimble as it prepares for the shift to low-carbon energy, company sources told Reuters. 

Russia overtook Saudi Arabia as China's top crude oil supplier in April, customs data showed, with imports rising 18% from the same month a year earlier as refiners snapped up cheap raw materials amid a price war between the two producers. 

The first of five Iranian tankers carrying fuel to Venezuela has moored at a port serving the El Palito refinery, the oil minister said on Monday, and Refinitiv Eikon data showed a second vessel had entered its waters.

India is looking at storing some low priced U.S. oil in facilities there as its local storage is full, oil minister Dharmendra Pradhan told CNBC TV18 news channel.

(Reporting By Shu Zhang; Editing by Maju Samuel) ((shu.zhang@thomsonreuters.com; +65-6870-3549; Reuters Messaging: Twitter @shuzhang4))

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