SINGAPORE: The Asia-Pacific crude market was supported by strong refinery demand and high freight rates, traders said on Thursday.
Malaysia's Petronas sold 300,000 barrels of January-loading Labuan crude to an unknown buyer at $4.50-$4.70 a barrel above dated Brent, traders said, up as much at $1 a barrel from the previous month.
The value of Malaysia's Kimanis also rose by the same margin, after the state-owned company also sold two January cargoes to unknown buyers at slightly more than $4 a barrel above dated Brent, the traders said.
Values for heavy sweet grades also improved with Woodside selling a January cargo of Australian Vincent crude to an unknown buyer at around flat or a small premium to dated Brent, a trader said.
Rosneft will close a tender on Thursday to sell two ESPO cargoes for loading on Jan. 10-15 and 21-26. Bids will remain valid until Tuesday.
January spot premiums for the Russian grade had weakened to $2.50-$2.70 a barrel against Dubai quotes, Reuters data showed.
Brent's premium to Dubai swaps, or Brent-Dubai Exchange of Futures for Swaps (EFS), remained near its highest since July last year at $2.58 a barrel.
MARKET NEWS
Oil traders are preparing for another downward turn in prices by March 2016, market data suggests, as what is expected to be an unusually warm winter dents demand just as Iran's resurgent crude exports hit global markets after sanctions are ended.
Iraq's semi-autonomous region of Kurdistan has begun targeting Baltic crude markets in north-western Europe, rivalling traditional Russian supplies and increasing an oil glut in the region, trading sources said and shipping data showed.
Commodity prices could see another sharp drop as an adjustment in supplies from energy, metals and agricultural producers remains insufficient in the face of weaker demand at key consumers like China, U.S. investment bank Goldman Sachs said.
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