Transportation   Oil  

US Crude More Attractive for Asian Customers

US crude exports to Asia are set to swell over March and April as a drop in freight rates makes US cargoes more competitive against barrels from Asia or the Middle East, according to market participants and shipping fixtures Friday.

Industry sources indicated that US crude continued to attract the attention of plenty of Asian buyers as various flagship North American export grades have been consistently trading at a discount against comparable light and medium Persian Gulf grades, S&P Global Platts reported.

"Arbitrage economics remain highly favorable for more US crude purchases. The latest OPEC cut seems to be keeping the Dubai price complex relatively expensive," a senior official at Seoul-based Korea Petroleum Association said.

Freight rates from the US Gulf Coast to Asia have fallen by about a third since early-December, making the case for greater loadings of US crude to the region.

Around 17 very large crude carriers have been fixed to load crude from the US Gulf Coast to Eastern destinations for February-loading cargoes, shipping reports showed, with many more likely booked outside of reported fixtures.

For January-loading cargoes, 16 VLCCs were seen carrying US crude from the US Gulf Coast to eastern destinations.

December-loading US crude cargoes, meanwhile, saw only seven VLCCs leave the US Gulf Coast for the East.

News No: 3539
Date: 2019/02/04 - 07:35
News Source: Financial Tribune

US Crude  Petroleum  Asia  shipping  OPEC 


Leave a Comment:


Coal's collapse crowns winners and losers from China to the US

It’s been a stormy month for benchmark coal prices in Asia, with the potential for reverberations across the globe.

Asia’s mining sector offsets risk with reward — report

Asia's mining sector continues to hold the greatest rewards globally, with positive business environments, rich mineral deposits, supportive infrastructure and political stability in countries holding the top positions in Fitch Solutions' Asia Mining Risk/Reward Index.

Kuwait Says May Back Extension of OPEC-Led Cuts

Kuwait will back an extension of OPEC-led production cuts beyond June if it's clear supply and demand factors warrant it, Haitham al-Ghais, Kuwait Petroleum Corp's manager for market research and the country's OPEC governor, said Wednesday.

Walkabout Resources' stock rises as it tees-up Asian off-takers for its graphite

With its second binding offtake agreement in two weeks, Walkabout Resources (ASX: WKT) has secured the sale of 75% of its large flake graphite concentrate for the first three years following the start of production at its Lindi jumbo graphite project in southeastern Tanzania. By Tuesday afternoon, the company's shares had climbed over 8% on the ASX.

India Delays May Order for Iran Oil

Indian refiners are holding back from ordering Iranian oil for loading in May pending clarity on whether Washington will extend a waiver from US sanctions against the OPEC-member, four sources said.

Russia Signals OPEC, Allies Should Raise Output

One of the key Russian officials to foster a supply pact with OPEC, Kirill Dmitriev, signaled on Monday Russia wanted to raise oil output when it meets with OPEC in June because of improving market conditions and falling stockpiles.
Upcoming Events
 Mines & Metals

Mine & Business Today

 Scrap & Recycling


Our partners