Bloomberg News

Morgan Stanley Buys Forties Oil; August Exports at Five-Year Low

July 06, 2012

Morgan Stanley bought one cargo of North Sea Forties after the blend rose to a three-month high amid a drop in August shipments. Exports of the crude for next month will be at the lowest level in at least five years, a loading program obtained by Bloomberg News showed.

BP Plc failed to sell Russian Urals crude in northwest Europe at a higher price.

North Sea

Trafigura Beheer BV sold Forties lot F0717 for July 26 to July 28 loading at 45 cents a barrel more than Dated Brent, according to a Bloomberg survey of traders and brokers monitoring the Platts trading window.

Hess Energy Trading Co. didn’t manage to sell a consignment for July 28 to July 30 at 70 cents more than the cash cost of North Sea crudes for September, compared with a premium of 60 cents for a cargo it sold yesterday, the survey shows.

Total failed to buy a shipment for July 26 to July 30 loading at the 40 cents more than Dated Brent, 5 cents less than its bid yesterday, according to the survey.

Reported crude trading typically occurs during the Platts window, which ends at 4:30 p.m. London time. Before the session, Forties loading in 10 to 25 days was 53 cents a barrel more than Dated Brent, the highest since March 16, compared with a premium of 31 cents yesterday, data compiled by Bloomberg show.

Brent for August settlement traded at $98.14 a barrel on the ICE Futures Europe exchange in London at the close of the window, down from $101.23 yesterday. The September contract was at $97.80, a discount of 34 cents to August.

The August Forties program comprises 15 cargoes, totaling 9 million barrels, or 290,323 barrels a day, according to the plan, the least since at least August 2007 when Bloomberg started compiling such data. This compares with 19 cargoes this month, or 367,742 barrels a day.

Loadings of Ekofisk for August will be unchanged from July at 13 cargoes of 600,000 barrels each, a plan showed.

Exports of Brent will drop to six 600,000-barrel lots in August, one less than July, while loadings of Aasgard will be unchanged from this month at eight cargoes of 855,000 barrels each, loading programs showed.


BP failed to sell 100,000 metric tons of Urals for loading on July 27 to July 31 at 10 cents a barrel to Dated Brent on a delivered basis to Rotterdam, the survey shows. This compares with a discount of 75 cents for the last trade on June 27.

Urals was at 25 cents more than Dated Brent in northwest Europe, the highest since Dec. 21, compared with a premium of 10 cents a barrel yesterday, Bloomberg data show.

No bids or offers were made for the grade in the Mediterranean. Eni SpA yesterday failed to buy 80,000 tons of the blend for loading on July 23 to July 27 at 20 cents more than Dated Brent.

West Africa

Qua Iboe fell 2 cents to a premium of $1.23, the lowest since June 1, 2010, data compiled by Bloomberg show.

To contact the reporter on this story: Sherry Su in London at

To contact the editor responsible for this story: Stephen Voss at

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