Middle East crude benchmark spot premiums of Oman, Dubai and Murban gained on Monday, after OPEC+’s weekend decision to raise production in October by a lower volume than prior months.
Eight members of the group on Sunday in an online meeting decided to raise production from October by 137,000 barrels per day, much lower than the monthly increases of about 555,000 bpd for September and August and 411,000 bpd in July and June.
Oil prices climbed more than $1 on Monday, regaining some of last week’s losses, after OPEC+’s output hike was seen as modest and due to concerns over the possibility of more sanctions on Russian crude.
SINGAPORE CASH DEALS
Cash Dubai’s premium to swaps rose 6 cents to $3.10 a barrel.
Mercuria will deliver a November-loading Upper Zakum crude cargo to Vitol following the deals.
NEWS
New sanctions on buyers of Russian oil could disrupt crude flows, energy trader Gunvor’s [RIC:RIC:GGL.UL] global head of research and analysis, Frederic Lasserre, said on Monday.
China’s crude oil imports rose 0.8% in August from a year earlier as both state-owned and independent refineries maintained high operating rates.
Canadian pipeline operator Trans Mountain expects dredging works at the port in Vancouver to be completed at the end of 2026 or early 2027, which will allow ships to load more oil than before, a senior executive said on Monday.
Iraq is considering building a pipeline to export crude oil to Oman, which would help it market Iraqi crude globally and keep a planned storage facility in the sultanate well supplied, the head of Iraq’s state oil marketer said on Sunday.
Source: Reuters