LONDON: Russia's Urals crude differentials strengthened in the Mediterranean on Friday as a preliminary loading programme for the first days of next month showed lower exports compared to January.
Shipments from the Black Sea will fall to 300,000 tonnes between Feb. 1-8 from 600,000 tonnes during the same period this month.
Exports from the Baltic will also slip, falling to 1 million tonnes due to pipeline maintenance from 1.7 million over the same 8 day period. Shipments are expected to rise later in the month, however, due to a lower Russia export duty, which is being reflected in lower swap values for the balance of February.
In the Platts window Vitol bid for a cargo of Urals in the Mediterranean for loading Jan. 28 to Feb. 1 at dated Brent minus $1.40 a barrel, up from previous assessments around $1.85 below the benchmark.
No bids and offers were seen in the Baltic, leaving differentials around $1.65 below dated Brent. Surgutneftegaz sold a spot tender to trader Mercuria at dated Brent minus $1.45, traders said.
Kazakhstan will export an extra 200,000 tonnes or two cargoes from the Baltic ports of Ust Luga on Jan. 26-27 and Jan. 28-29, trade sources said.
Russia's oil export duty is expected to fall to $112.90 per tonne in February due to lower oil prices and changes in tax laws, a move which could spur higher sales abroad.
Calculations by the finance ministry and Reuters showed on Thursday there could also be a zero export rate for oil produced at newer fields in eastern Siberia and fields operated by Lukoil in the Caspian Sea.
The International Energy Agency lowered its forecast for Russian production in 2015 by 30,000 barrels per day due to lower prices.
In lower sulphur grades, Azeri Light was discussed at slightly weaker levels around $2.20 above dated Brent, traders said, down by about 20 cents from previous levels.
Libyan factions agreed to continue United Nations-backed negotiations in Geneva next week over ending the country's political crisis, the UN said.
Key representatives from a self-declared government based in Tripoli stayed away from this week's talks, though in a possible sign of movement its main armed groups battling forces of Libya's recognised government declared a ceasefire.
Fighting over the country's oil infrastructure has closed two major oil ports in the east and slashed Libya's oil output to around 300,000 barrels per day from the 1.6 million bpd produced before the civil war toppled Gaddafi in 2011.
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