Front-Run The Delta: futuresource

Wednesday, February 22, 2012

WTI Forward Curve Update & Physical News - 22 Feb 2012

The front 12 months are particularly curious. Some news clippings this week:

Feb 22, via Reuters:

"Sentiment in the Asia-Pacific crude market firmed on Wednesday, with Australia's Enfield crude expected to fetch double-digit premiums due to tight supplies.

One cargo of April-lifting Enfield, which was delayed from March, being offered and could trade at a record premium above $10 to dated Brent, a trader said.

Premiums for sweet regional crudes for April have risen across the board after Cyclone Iggy disrupted Australian supplies and Sudanese grades remains off the market."

Feb 22, via Reuters:

"Russian Urals crude eased steeply on Wednesday as traders cited a spike in oil futures and expectations of a large loading programme in March as weighing on the export grade of the world's largest oil producer.

"We have yet to fully see a full loading programme for March. But people expect it to be quite good, plus there is a factor of the launch of (a new Baltic port) Ust Luga," one trader with a major said.

In the Platts window, Trafigura offered a March 3-7 cargo of Urals from the Baltic at dated Brent minus 55 cents, some 50 cents lower than price indications earlier this week, traders said.

In the Mediterranean, Eni offered a 80,000-tonne March 3-7 cargo at dated Brent minus 60 cents, some 60-70 cents lower than price indications earlier this week, traders said."

Feb 21, via Reuters:

"URALS * On Monday, Lukoil offered a March 3-7 Urals cargo from Primorsk at dated Brent minus 5 cents, some 20 cents lower than price indications last week.

UST-LUGA * Russia's new Ust-Luga Baltic oil terminal, undergoing repairs after damage caused by multiple landslides, will be ready to start loading crude in the coming weeks and may handle a few cargoes in March, a spokesman for Transneft said."

Feb 20, via Reuters:

"Russian Urals crude eased in the Baltic on Monday as fresh loading dates for March showed healthy supply volumes from the world's largest oil producer."