Middle East Crude-Benchmarks stay firm on robust demand, tight heavy oil supply

Middle East crude benchmarks Dubai, Murban and Oman stayed firmly above $2 a barrel on Monday on robust demand in Asia and tighter supply of medium, heavy grades.

PTT bought, on behalf of Thai refiner IRPC, four Middle East crude cargoes via a tender, traders said.

These include Qatar Land from Aramco Trading at 70 cents a barrel above Dubai quotes and Das at a premium of $1.20 a barrel, they said.

Murban and Upper Zakum cargoes were purchased at premiums of $1.80 and $2.40 a barrel, respectively, one of the sources said.

SINGAPORE CASH DEALS

Cash Dubai's premium to swaps rose 2 cents to $2.10 a barrel.

Glencore will deliver a June-loading Murban crude cargo to Vitol following the trades. The total number of Murban cargoes delivered this month stands at 15.

PRICES ($/BBL)

NEWS

China's imports from Russia, including supplies via pipelines and sea-borne shipments, jumped 12.5% on the year to 10.81 million metric tons, or 2.55 million barrels per day (bpd) last month, according to data from the General Administration of Customs.

Plentiful supplies of some of the biggest crude grades are limiting the impact on benchmark oil futures prices of conflict in the Middle East, according to analysts and traders.

European diesel futures spreads are flashing signs of oversupply and slow demand with the three-month contango (LGOc1-LGOc4) trading on Monday at its widest since August 2021.

Portuguese oil company Galp Energia GALP said on Sunday it had concluded the first phase of exploration in the Mopane field off the coast of Namibia and estimated it could have at least 10 billion barrels of oil.

Ukraine attacked eight Russian regions with dozens of long-range strike drones, setting ablaze a fuel depot and hitting three power substations in a major attack early on Saturday, an intelligence source in Kyiv told Reuters.

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