Already a Bloomberg.com user?

Sign in with the same account.

Don't have an account? Sign up.

Bloomberg Businessweek

News From Bloomberg

Bloomberg News

TOP Oil Market News: Crude Heading for Weekly Gain on Economy

By Alexander Kwiatkowski

October 12, 2012

Oil Heads for First Weekly Gain in Month on Economy, Middle East

Oil headed for its first weekly gain in a month in New York after claims for U.S. jobless benefits dropped to the lowest level in four years and increasing Middle East tensions prompted concern crude supplies may be disrupted.

Russia’s Rosneft Said to Sell December Sokol Crude at $8 Premium

OAO Rosneft sold a cargo of Russia’s Sokol crude for Dec. 20 to Dec. 29 loading at a premium of about $8 a barrel more than benchmark Dubai, on a delivered basis, said two people who participate in the market.

Pertamina Buys ESPO, Cossack Crudes for Delivery in December

PT Pertamina, Indonesia’s state- owned oil company, purchased about 730,000 barrels of Russian East Siberia-Pacific Ocean, or ESPO, crude and 600,000 barrels of Australian Cossack blend, a company official said.

Sakhalin Energy Said to Offer Russia’s Vityaz Crude for December

Sakhalin Energy Investment Co. is seeking to sell 730,000 barrels of Russia’s Vityaz Blend crude for loading in December, said two people with knowledge of the offer, asking not to be identified because they aren’t authorized to speak to the media.

Qatar’s Tasweeq Said to Offer 4.8 Million Barrels of Al-Shaheen

Qatar International Petroleum Marketing Co., known as Tasweeq, is offering to sell eight cargoes of Al-Shaheen crude, totaling 4.8 million barrels, for loading in December, said two people who participate in the market, asking not to be identified because they aren’t authorized to speak to the media.

BP Said to Buy Gasoil Cargo From Mangalore Refinery for November

BP Plc bought 40,000 metric tons of gasoil from Mangalore Refinery & Petrochemicals Ltd., a unit of India’s biggest energy explorer, said two traders who asked not to be identified because the information is confidential.

Gunvor Said to Buy Fuel Oil From Mangalore Refinery for November

Gunvor Group bought 80,000 metric tons of fuel oil for loading in November from Mangalore Refinery & Petrochemicals Ltd., a unit of India’s largest energy explorer, said two traders who asked not to be identified because the information is confidential.

PetroChina Starts Operation of Expanded Daqing Refinery

The new crude distillation unit with processing capacity of 6 million metric tons a year was started Oct. 10, China National Petroleum Corp., the parent company, said in its online newsletter today.

U.S. Energy Department Natural Gas Update for Oct. 11 (Text)

Following is the text of the weekly natural gas update as released by the U. S. Department of Energy in Washington, D.C.:

U.S. Oil Supply: Comparison of Weekly API, DOE Figures (Table)

The following table provides a comparison between the U.S. Department of Energy’s crude-oil statistics for the week ended Oct. 5 and the data from the American Petroleum Institute, an industry-funded group.

Gasoil Stockpiles Fall to Nine-Month Low in Europe, PJK Says (1)

Gasoil stockpiles in independent storage in Amsterdam- Rotterdam-Antwerp, Europe’s oil-trading hub, fell to the lowest level in nine months, according to PJK International BV.

OPEC

OPEC to Reduce Crude Exports Before Winter, Oil Movements Says

The Organization of Petroleum Exporting Countries will reduce shipments by 0.3 percent this month before demand rises with the northern hemisphere winter, according to Oil Movements.

REFINERIES Map global refinery outages

CPC Starts Kaohsiung Refinery RDS Unit After Finishing Repairs

CPC Corp., Taiwan’s state-run oil company, started the residue desulfurization unit at its Kaohsiung refinery yesterday after repairs, according to a company official.

Bharat Petroleum Said to Plan Kochi Refinery Crude Unit Shutdown

Bharat Petroleum Corp., India’s second-biggest state refiner, plans to shut a crude-distillation unit at the country’s Kochi plant in mid-November for maintenance, according to two people with knowledge of the plan.

Binh Son Plans Briefing on Dung Quat Refinery Operation Oct.15

Binh Son Refining & Petrochemical Co. plans to hold a briefing Oct. 15 to discuss operations at its Dung Quat refinery, which had a technical glitch in a gasoline-making unit earlier this week.

Canadian Oils Weakens as U.S. Midwest Refinery Runs Plunge

Canadian oils weakened after U.S. Midwest refinery runs plunged to the lowest level in almost a year as plants shut units for seasonal maintenance.

California Gasoline Prices Fall as State Inventories Expand (1)

Gasoline at the pump in California dropped for a second straight day after the state said stockpiles rose 4.9 percent last week.

Diesel Rises in Europe; Jet Fuel Barges Decline: Oil Products

Diesel rose in northwest Europe as Total SA purchased a cargo for a fourth day. Jet fuel barges dropped.

Corn Leads Advance as Raw Sugar Declines: Commodities at Close

The Standard & Poor’s GSCI gauge of 24 commodities climbed 1 percent to 671.24 at 5:38 p.m. in London. The UBS Bloomberg CMCI index of 26 raw materials was up 0.8 percent at 1,629.474.

Spain’s Repsol Says La Coruna Oil Refinery Unit Remains Shut (1)

Repsol SA, Spain’s largest refiner, said the gasoline- making fluid catalytic cracker at its La Coruna plant is still halted following a fire yesterday.

California Gasoline Prices Fall as State’s Inventories Expand

Gasoline at the pump in California fell for a second straight day after the state said stockpiles rose 4.9 percent last week.

Gasoline Barges Fall in Europe; Repsol Shuts FCC: Oil Products

Gasoline barges fell in Europe. Repsol SA shut a fluid catalytic cracker at its La Coruna refinery in Spain yesterday following a fire.

OTHER OIL MARKET NEWS

Oil Product Shipping Costs to Japan Rise 2.2 %

The cost of shipping a gallon of gasoline, jet fuel or other so-called clean petroleum products from the Middle East to Japan rose 2.2 percent to 8.70 U.S. cents yesterday, according to data compiled by Bloomberg. The cost is based on a cargo of 55,000 metric tons.

North Sea Main Crude November Exports to Rise to Five-Month High

Daily exports of the 12 main grades of North Sea crude for loading in November will rise to the highest in five months after completion of field maintenance.

Hindustan Petroleum Seeks Oman Crude for Loading in October

Hindustan Petroleum Corp., India’s third-largest state refiner, is seeking to buy 700,000 barrels of Oman crude for loading in the second half of October, according to a tender document obtained by Bloomberg News.

Crude Official Selling Prices and Formulas by Country (Table)

The following table shows official prices, formulas and relative values for crudes from the Middle East, Africa and the Americas. Figures represent outright prices in U.S. dollars a barrel, or premiums and discounts to regional benchmarks where plus and minus symbols appear.

Romney Win to Help Banks, Hurt Clean Energy, Credit Suisse Says

Financial and education stocks would benefit if Mitt Romney wins the U.S. presidential election while a second term for Barack Obama would boost companies focused on clean energy, Credit Suisse Group AG said.

Alpha Leads Coal Producers Rally on Steel Demand Speculation (1)

Alpha Natural Resources Inc., the second-largest U.S. coal producer, rose the most in two months and its competitors rallied amid speculation metallurgical-coal prices may increase after the cost of Chinese rebar rebounded.

Oil Heads for First Weekly Gain in Month on Economy, Middle East

Oil headed for its first weekly gain in a month in New York after U.S. jobless benefit claims dropped to the lowest level in four years and rising Middle East tensions prompted concern crude supplies may be disrupted.

China Carbon Debut Defies Emission Doubters: Energy Markets

China’s first steps to build what is destined to be the world’s second-biggest emissions market are boosting the prospects for fledgling programs from Australia to California.

Suzlon’s Default Risks Triggering Redemption Flood: India Credit

Suzlon Energy Ltd.’s default on $209 million of debt, the biggest on convertible bonds by an Indian company, risks triggering demands for early payment of $311 million more of the wind turbine maker’s liabilities.

Merkel Curbs Renewables to Limit Voter Backlash on Power Bills

German Chancellor Angela Merkel’s decision to cap taxpayer subsidies for renewable energy is aimed at limiting the political fallout among voters from a surge in electricity bills due next week.

Solar Silicon to Bottom as China Halts Factory Expansion: Energy

Polysilicon, the raw material used by the $38 billion a year solar industry, is forecast to bottom near a record low next year after the leading manufacturers in China and South Korea halted factory expansions.

OTHER MARKETS

Asian Stocks Advance With Regional Currencies While Yen Weakens

Asian stocks rose for the first time this week and the yen weakened as U.S. jobless claims shrank and Japan and China agreed to hold talks over a territorial dispute that disrupted trade. The Singapore dollar and oil gained.

Yen Weakens on Signs of U.S. Stability; Singapore Dollar Climbs

The yen declined against its major counterparts as signs that the U.S. economy is stabilizing curbed demand for safer assets.

Treasuries Biggest Winner on Yen Intervention: Chart of the Day

Federal Reserve Chairman Ben S. Bernanke’s efforts to spur the U.S. economy may get an assist if Japan repeats the record currency-market intervention it carried out a year ago, causing money to flood into Treasuries.

Asian Stocks Advance on Japan-China Talks, U.S. Jobless Claims

Asian stocks rose, with the regional benchmark index headed for its first gain this week, after U.S. jobless claims fell more than estimated and China and Japan agreed to hold talks over a territorial dispute that has disrupted trade.

U.S. Stocks Erase Gains as Optimism Over Jobless Claims Fades

U.S. stocks erased gains as optimism about a drop in jobless claims faded and a slump in Apple Inc. dragged down technology shares.

Copper Traders Most Bearish Since June on Economies: Commodities

Copper traders are the most bearish in four months on mounting concern that demand for industrial metals will weaken as growth slows from China to Europe.

Aluminum Poised for Worst Week Since November as Metals Decline

Aluminum fell, heading for the worst weekly loss in almost 11 months on concern that slowing economic growth from China to Europe will weaken demand for industrial metals. Copper, nickel and lead dropped.

Ryan-Biden Clash Strains Truth on Taxes, Iran: Reality Check (1)

Vice President Joe Biden and Republican challenger Paul Ryan, a Wisconsin representative, made competing assertions during their debate last night in Danville, Kentucky. How did they square with the facts?

Biden Clashes With Ryan as Both Pledge Unemployment Below 6%

Vice President Joe Biden and Republican Paul Ryan each pledged that their parties’ proposals would bring U.S. unemployment below 6 percent as they clashed on foreign affairs and domestic policy during their only debate.

SPORTS

John O’Neill Steps Down Early as CEO of Australian Rugby Union

John O’Neill is stepping down as chief executive officer of the Australian Rugby Union, ARU Chairman Michael Hawker said at a news conference.

AIG Becomes Jersey Sponsor of Rugby World Champion All Blacks

American International Group Inc., the insurer that counts the U.S. government as its largest shareholder, will sponsor six New Zealand rugby teams including the world champion All Blacks.

AIG Has Deal for New Zealand Rugby Sponsorship, Herald Reports

American International Group Inc., the insurer that counts the U.S. government as its largest shareholder, reached a five- year deal to sponsor New Zealand’s rugby team, the New Zealand Herald reported.

ENERGY PRICES

Last Chg %Chg Exch Contract

---- ---- ---- ---- -------- WTI Crude ($/Bbl) 92.22 +0.15 +0.2 Nymex Nov. Brent Crude ($/Bbl) 115.48 -0.23 -0.2 Ice November Gasoil ($/Ton) 998.50 -2.00 -0.2 Ice Dec. Gasoline (c/Gal) 293.62 -1.94 -0.7 Nymex Nov. Natural gas ($/MMBtu) 3.60 -0.01 -0.2 Nymex Nov. Dated Brent ($/Bbl) 116.19 -0.46 -0.4 OTC 21 Days Heating Oil 325.26 -0.45 -0.1 Nymex Nov.

Other markets: