Asian crude market waits RI allocations

Asian crude market waits RI allocations

SINGAPORE (Reuter): Trading on the Asian crude market was at a standstill due to uncertainty about Indonesia's crude allocations for September, traders said yesterday.

Some information was starting to emerge about the allocations, with Widuri volumes heard at 17,000 barrels-per-day (bpd), less than August allocations, but similar to the volumes exported in July.

The allocation for September Arun condensate was heard around 7,500 bpd.

But traders said these were just the initial volumes, and they were still trying to confirm the exact figures, which will only become clear next week.

Light crude trading for September was almost complete apart from a few Belida and Tapis cargoes on offer.

A very late September loading Tapis cargo held by a western trader was heard still uncommitted, and offered at OSP +30 cents per barrel.

Traders considered this level high, although some said that the limited supplies of light crude may prompt buyers to emerge.

The Middle East market was also quiet, with only an October Oman confirmed sold by a western trader to a shosha around MPM +3.

With the outlook for October hazy, traders saw this trade as a sign of a firmer market.

"It started trading early, and it's done at a premium (over MPM). I see it as a bullish sign," said a trader with a major oil company.

There was very little discussion about the October market apart from that, with buyers and sellers of Abu Dhabi crude unwilling to indicate any price ideas.