Dec. 15 (Bloomberg) -- U.S. Gulf oil premiums gained as the difference between West Texas Intermediate and Brent widened for the second consecutive day.
The spread between the two benchmark crude futures for January delivery increased $1.25 to $11.32 a barrel at 12:20 p.m. in New York. The spread has narrowed 59 percent since reaching a record of $27.88 a barrel Oct. 14.
When Brent increases versus WTI, it strengthens the value of low-sulfur U.S. grades that compete with West African oil priced against the European benchmark.
Light Louisiana Sweet’s premium to WTI added 35 cents to $11.45 a barrel at 11:55 a.m. in New York, according to data compiled by Bloomberg. Heavy Louisiana Sweet’s premium narrowed 20 cents to $11.30 a barrel.
Thunder Horse’s premium to WTI increased 25 cents to $9.70. The premium for Mars Blend added 5 cents to $7.20 a barrel. Poseidon was unchanged at $6.75 a barrel over WTI.
Southern Green Canyon’s premium increased 15 cents to $6.75 a barrel and West Texas Sour’s discount was unchanged at 85 cents.
The discount for Western Canada Select was unchanged at $16.25 a barrel.
Syncrude’s premium was unchanged at $2.40 a barrel. Syncrude is a light, low-sulfur synthetic oil derived from the tar sands in Alberta.
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