Nov. 16 (Bloomberg) -- The premium for Light Louisiana Sweet crude slipped to the lowest level in eight months after Enbridge Inc. and Enterprise Products Partners LP said they would reverse the Seaway pipeline.
The 30-inch line will take crude to the Gulf Coast from Cushing, Oklahoma, pending regulatory approval, according to a company statement. That will relieve a bottleneck at Cushing and allow growing Canadian and U.S. production to flow to the Gulf.
Light Louisiana Sweet’s premium above West Texas Intermediate fell $2.25 to $12 a barrel at 2:08 p.m. in New York, according to data compiled by Bloomberg. That’s the smallest premium for the Gulf Coast grade since March 24.
Heavy Louisiana Sweet’s premium decreased $2.75 to $13.50 above WTI. Thunder Horse’s premium dropped $2.60 to $9.65 above WTI. The premium for Mars Blend dropped $3.10 to $7 a barrel. Poseidon lost $3.30 to $7.20 a barrel over WTI.
Southern Green Canyon’s premium shrank $3.25 to $6.25 a barrel and West Texas Sour’s discount was unchanged at 80 cents.
The discount for Western Canada Select was unchanged at $11.45 a barrel.
Syncrude’s premium was unchanged at $4.75 a barrel. Syncrude is a light, low-sulfur synthetic oil derived from the tar sands in Alberta.
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