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Med Crude: Urals surges in Surgut tender, provisional plan for Novo out

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MOSCOW: Urals crude price differentials in the Baltic surged in a spot tender on Monday, while the Novorossiisk provisional loading plan for December showed the port may cut exports compared to the current month.

Urals crude exports and transit via the Black Sea port of Novorossiisk were set at 1.7 million tonnes in December.

That was down from 1.85 million tonnes set for exports in the final loading plan for November.

According to the plan, weather related delays forced Russian pipeline monopoly Transneft to roll two Suezmaxes of Urals in Novorossiisk, 140,000 tonnes each, from November schedule to December.

Urals crude loadings in Novorossiisk were suspended from Friday to Sunday due to a gale warning, industry sources said.

In the Platts window, Litasco bid for 80,000 tonnes of Urals crude for loading in Novorossiisk on Dec. 14-18 up to dated Brent minus $1.95 a barrel, but found no seller, traders said.

There were no bids and offers for Urals in the Baltic, Azeri Light and CPC Blend in the Platts window, they added.

Russia's Surgutneftegaz sold via spot tender two cargoes of Urals crude in December, around dated Brent minus $2.65-$2.70 a barrel, when adding freight to the original FOB-basis price, traders told Reuters.

A 100,000-tonne Urals shipment for loading from Primorsk on Dec. 6-7 was awarded to Statoil, while Vitol won a cargo in Ust-Luga on Dec. 7-8, several traders said.

Urals paper swaps in the Baltic were seen unchanged compared to Friday.

The grade was assessed at dated Brent minus $2.65 a barrel in December.

In the Mediterranean, swaps were assessed some 10-15 cents a barrel stronger, at dated Brent minus $1.55.

Saudi Arabia's cabinet said on Monday it was ready to cooperate with OPEC and non-OPEC countries to achieve market stability.

Copyright Reuters, 2015