MOSCOW: Urals price differentials weakened in northwest Europe on Monday as unsold volumes in the region and an expected rise in exports in September weighed on prices for the Russian grade.
A preliminary loading plan for Urals in the first days of September did not emerge on Monday as most traders expected and was said to appear on Tuesday.
Traders expected Russian crude exports to rise in September compared to August due to start of seasonal refinery maintenance in Russia and lower export duty.
In the Platts window Shell bought Urals loading from Baltic ports on August 26-30 from Trafigura at a discount of $2.15 to BFOE, which was 15 cents lower than the recent estimations, traders said.
At the same time Vitol offered 100,000 tonnes of Urals loading on August 31 - September 4 at dated brent minus $1.80 a barrel, but did not find a buyer.
Urals remained unchanged in the Mediterranean due to low trading activity.
Traders said there was hardly a cargo of Urals loading from Novorossiisk in August available. Premiums for Azeri light remained under pressure despite gasoline and diesel cracks recovery in Europe, but low demand from Asian buyers still limited arbitrage possibilities for the grade.
In the Platts window Chevron offered 85.000 tonnes of Azeri light loading on August 27-31 down to a premium of $1.55 a barrel to BFOE, same level as its best offer on Friday.
There was no bids or offers for CPC Blend or Urals loading from Novorossiisk on Monday, traders said.
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