BEIJING, June 6 (Reuters) - Sentiment in the Middle East crude market firmed on Wednesday, with traders expecting Abu Dhabi flagship Murban crude for August loading to flip to a small premium to the official selling price (OSP) after a deeper-than-expected cut in the OSP. * OSPS - Abu Dhabi National Oil Co (ADNOC) has cut the May retroactive price for its key Murban crude by $10.60 a barrel from April to $110.60 a barrel. May Murban was set at $3.29 a barrel premium to the May average for Dubai crude, which stood at $107.31 a barrel. The differential to Dubai was 61 cents lower than that in April. The cut was deeper than a 30-cent cut traders had expected. August-loading Murban could start trading at flat to 10-cent premium to the OSP, traders said. July-loading Murban was sold last sold at a discount of 45 to 50 cents to the OSP due to a deteriorating light distillate complex. Trading of spot August cargoes is expected to start next week. * ALLOCATIONS - Kuwait has notified at least one Asian customer that it will supply full contractual crude oil volumes for July-September, steady from April-June, traders said. * TRADES - Shell bought 16 partials of Dubai crude at between $97.15 and $97.20 a barrel from Mercuria, Phibro, Chinaoil and Glencore. * MARKET NEWS - Top Chinese refineries will increase crude oil processing in June, gaining for a second month after runs sank to a 34-month low in April, a Reuters poll showed, as a resumption of normal operations at two big plants offset moderate cuts in others. - Cheniere Energy expects a total liquefied natural gas export capacity of 33 million tonnes per annum (mtpa), its chief executive said, about 12 percent higher than previously estimated after the completion of its two U.S. terminals. CRUDE Price Prev Change JULY DME Oman diff to Dubai swaps 0.88 1.11 -0.23 JULY Brent 99.58 98.06 +1.52 JULY Dubai 96.28 94.96 +1.32 AUG DME Oman 97.16 96.07 +1.09 JULY Brent/Dubai EFS 3.30 3.10 +0.20 PRODUCT CRACKS Price Prev Change JULY fuel oil crack -4.26 -4.34 +0.08 JULY gasoil crack 15.53 15.82 -0.29 JULY naphtha crack -12.02 -12.17 +0.15 COMPLEX REFINERY MARGINS Today 5.42 Last 5 days 6.05 Last 365 days 7.51 (Reporting by Judy Hua; Editing by Clarence Fernandez)

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