Pacific crude exports in Sept seen lower m/m at 13-14 cargoes

Wed Jul 17, 2013 2:05am EDT

Related Topics

* September cargoes at 13-14, down from 15.5 in August
    * Light sweets to rise on lower supply, strong gasoline
crack
    * Sudanese Dar Blend exports weigh on heavy sweets

    By Florence Tan
    SINGAPORE, July 17 (Reuters) - Exports of sweet crude and
condensate from Australia, Papua New Guinea and East Timor will
total 13-14 cargoes in September, down from August with fewer
light grades available, trade sources said on Wednesday.
    Only one cargo each of Cossack crude from Australia and
Kutubu from Papua New Guinea will be exported in September, they
said, down from two each in the previous month. 
    There will be no Kitan for sale from East Timor in September
due to a production outage. 
    The limited supply of light sweet crude produced in the
Asia-Pacific and lower imports from other regions could lift
spot premiums for September trade, a North Asian trader said.
    Refining margins for naphtha and gasoline were also better
than last month, the trader noted, and should support spot
premiums for the lighter grades as well. 
    Gasoline margins rose above a 4-year high on Monday. 
    Protests in Libya have disrupted exports of light sweet
crude and condensate to Asia, while the arbitrage flow of
Atlantic Basin grades to Asia is expected to be curbed by high
Brent prices. 
    August Brent's premium to Dubai DUB-EFS-1M rose to just
more than $5 a barrel on Tuesday, the highest since March,
Reuters data showed.
    Condensate will stay firm in Asia as Russia's Novatek has
halted exports of its Porvoksy grade after starting up a
splitter unit, while China's Dragon Aromatics has commenced
trial runs, traders said.
    Samsung Total Petrochemical has already bought two of the
five North West Shelf (NWS) condensate offerings for September.
    In contrast, heavy sweet grades could stay under pressure
from a lack of Chinese demand after the world's second largest
oil consumer bought large volumes of Sudanese Dar Blend.
    South Sudan exports of Dar Blend crude will hit 7 million
barrels in August, up 40 percent from the previous month, as the
country ramps up output. 
    An extended maintenance at Australia's Vincent oilfield has
helped eased some pressure on heavy grades. Production at
Vincent will resume only in October. 
    
Table of Australia, East Timor crude and condensate exports 
------------------------------------------------
GRADE        CARGO SIZE       SEP       AUG
------------------------------------------------
Enfield      550KB             0         1  
Stybarrow    550KB            0-1        0  
Vincent      550KB             0         0
Pyrenees     500KB             2         2
Van Gogh     400KB             1         0
Cossack      650KB             1         2
Kutubu       650KB             1         2
Kitan    500-600KB             1*        1*
NWS Cond     600KB             5         5  
Bayu Undan   650KB             2         2  
Pluto        650KB             0        0.5
Total:                       13-14     15.5
Source: Trade 
*rolled over from the previous month due to outage
    

 (Editing by Tom Hogue)
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