May 8, 2020 / 7:29 PM / 21 days ago

CANADA-CRUDE-Heavy discount narrows to 11-year low on production cuts

May 8 (Reuters) - Canadian heavy crude’s discount versus the U.S. benchmark West Texas Intermediate (WTI) narrowed on Friday to an 11-year low. * Western Canada Select (WCS) heavy blend crude for June delivery in Hardisty, Alberta, traded at $3.50 per barrel below WTI, according to NE2 Canada Inc, narrower than Thursday’s settle of $5.25 under. * The intraday price is the lowest level recorded by NE2 in data that goes back to 2009.

* Supply cuts by Canadian producers are estimated by Canadian Natural Resources to be as high as 1 million barrels per day.

* The narrow differential reflects production curtailments, a Calgary trading source said.

* Data to last week showed refinery runs in Western Canada were up for the second week in a row but still down from runs in mid-March, analysts at Tudor, Pickering, Holt & Co said.

* Brent crude settled up $1.51, or 5.1%, at $30.97 a barrel while WTI crude futures gained $1.19, or 5%, to $24.74 a barrel. (Reporting by Jeff Lewis Editing by Paul Simao)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below