RTRS:Middle East Crude-Eases slightly ahead of July trade
SINGAPORE, May 9 (Reuters) - The Middle East crude market
eased slightly on Friday as traders looked ahead to next week
when trade in July-loading cargoes will commence.
Asian refiners are likely to maximise their term liftings
after Gulf producers reduced official selling prices (OSPs) to
attractive levels.
Kuwait was the latest one to do so. It set the OSP for June
at $1 a barrel below the average of Oman/Dubai quotes, down 40
cents from the month before, a source familiar with the matter
said. The price cut was in line with Saudi's Arab Medium.
The OSP reductions have made spot grades from Abu Dhabi,
Bahrain and Qatar attractive and they were expected to start
trading in premiums, traders said.
Yet, traders are still watching to see how fast the market
will digest excess supply from the previous month as
June-loading Murban and Upper Zakum were still available.
Demand for July-loading crude is expected to improve as most
refineries would have completed maintenance in the second
quarter.
Qatar's Tasweeq has issued its monthly tender to sell
deodorised field condensate and low sulphur condensate. The
tender will close on May 20 with bids valid until May 22.
*DME OMAN
DME Oman for July settled at $105.18, up 84 cents, at 0830
GMT. This put DME Oman at $1.49 a barrel above Dubai swaps,
against a premium of $1.30 in the previous session.
*MARKET NEWS
Saudi Arabia, the world's top crude exporter, will supply
full contracted volumes of crude oil to at least one Asian term
buyer in June, unchanged from May, an industry source familiar
with the matter said on Friday.
Mexico's state-run oil company, Pemex, will export
crude oil for the first time to the U.S. state of Hawaii, the
company said.
A Libyan government deal to reopen major oil ports
controlled by rebels looks likely to unravel as the appointment
of a new Islamist-backed prime minister fuels distrust that is
eroding support for the accord.
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