August 21, 2012 / 5:17 PM / 5 years ago

North Sea Crude-Forties dips, cargo added

* Forties trades at dated plus 30 cents, down
    * Cargo added to September programme, says source
    * Shell offers ship-to-ship cargo, then withdraws

    LONDON, Aug 21 (Reuters) - North Sea Forties crude
differentials weakened on Tuesday on signs that supply in
September will not be as low as expected, despite planned
maintenance at the Buzzard oilfield.
    A Forties cargo numbered F0911 had been added to the
September loading programme, a trade source said. The cargo was
added due to higher-than-expected production.  
    There was still a divergence in value between prompt and
later-loading cargoes due to an expected drop in supply and a
rise in Forties quality in September as a result of the Buzzard
maintenance shutdown.
    Buzzard produces a relatively sulphurous oil, and so the
lack of Buzzard crude in September will both improve the qaulity
and reduce supply of Forties blend. This is pressuring the price
of prompt cargoes and supporting values for later shipments.
    Other than on Forties, there was little sign of cargoes
being traded. Norway's Statoil has already sold most cargoes
loading in the first three weeks of September. 
    * Shell sold a Sept. 10-12 cargo to Mercuria at dated plus
30 cents, down 10 cents from the last reported trade done on
    * Illustrating the difference in value between Forties
loading dates, Shell offered a Sept. 5-7 Forties down to dated
minus 40 cents and a ship-to-ship transfer cargo on Sept. 12-15
at dated plus 80 cents.
    Both offers were later withdrawn. The early-September offer
was down 10 cents from a similar one on Monday. 
    * Bids for the Sept. 12-14 period came down to dated plus 25
to plus 30 cents, from dated plus 80 cents on Monday.
    * BP offered a Sept. 11-15 Ekofisk at dated plus $1.15,
steady with price talks last heard.
    * The swaps curve returned to a backwardated structure:  
    28-31/8 Oct +85 (Nov +1.45)
    3-7/9   Nov +140
    10-14/9 Nov +100 
    17-21/9 Nov +65 
    24-28/9 Nov +35 
     1-5/10 Nov +20 

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 (Reporting by Alex Lawler; editing by James Jukwey)

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