Middle East crude benchmarks Oman and Dubai were mixed on Thursday amid thin window trade, following news of possible increase in supplies from December while the demand outlook remained cautious.

Trading activity on the window turned muted after a flurry of deals in the previous session, as traders turned cautious, though most were still bearish on demand in the fourth quarter amid scheduled maintenance and production cuts.

There are still some worries of slower crude lifting from the Middle East next month, one trade source said.

The exchange of futures for swap (EFS) spread fell to more than one week low of $1.65 a barrel following the large dip in Brent prices during the afternoon trading session.

SINGAPORE CASH DEALS

Cash Dubai’s premium to swaps gained 21 cents to $2.21 a barrel – a one-week high.

NEWS

– About 29% of crude production and 17% of natural gas output in the U.S. Gulf of Mexico were shut in response to Hurricane Helene, the U.S. Bureau of Safety and Environmental Enforcement said on Wednesday.

– Saudi Arabia is preparing to abandon its unofficial oil price target of $100 a barrel as it prepares to increase output to win back market share, even if it means lower prices, the Financial Times reported on Thursday, citing people familiar with the matter.

– Russia expects “serious” growth potential in global oil demand through to 2050 and is ready to supply additional barrels, its Deputy Energy Minister Pavel said on Thursday.
Source: Reuters (Reporting by Trixie Yap; Editing by Varun H K)