State-owned National Iranian Oil Company has raised the official selling price differentials for all of its four crude oil grades loading in April and headed to Asia, a company source told S&P Global Platts Wednesday.
For April, NIOC has raised the OSP differential for its Iran Light crude destined to Asia by 35 cents per barrel to a premium of 75 cents/b over the average of Platts Oman and Dubai crude assessments for the month.
NIOC has raised OSP differentials for Iran Heavy and Forozan crudes loading from Kharg Island in April by 30 cents/b each.
The Iran Heavy OSP is now at a 45 cents/b discount to the average of Platts Oman and Dubai assessments in April, while the OSP for Forozan is now at a discount of 30 cents/b.
NIOC also upped the OSP differential for its Soroosh crude heading to Asia in April, by 10 cents/b from March, the source said.
The Soroosh OSP is now at a discount of $7.45/b over Oman/Dubai.
A cargo of 0.5pc sulphur fuel oil traded in the Mediterranean at around $445-455/t, giving some indication of a nascent price point for product compliant with the forthcoming marine fuel sulphur cap.
Oil refiners are getting ready for a boom. The plants in Europe and the US are scaling back planned maintenance later this year in anticipation of a surge in demand and fatter margins as the shipping industry gets ready for a historic fuel switch.
OPEC is set to scrap its planned meeting in April and decide instead whether to extend oil output cuts in June, when the market will be able to assess the full impact of US sanctions on Iran and the crisis in Venezuela.
The UK’s crude oil loadings remained below 800,000 barrels per day for the third month in a row in February, while authorities expect Britain’s crude production to decline through at least 2024, Fotios Katsoulas, Liquid Bulk Principal Analyst, Maritime and Trade at IHS Markit, said.
Investments needed to ensure stability in the global oil industry are returning after a downturn, but the pace is still slow, OPEC Secretary General Mohammed Barkindo said.
SteelMint learned from market participants that imported scrap trades in SE Asia remained limited on high offers and availability of stocks in hand. Most of the steel mills likely to wait for the next couple of weeks to start end-April & May delivery shipments.