Murban Crude Jumps to 4-Month High as ADNOC Curbs Supply to Asia
Trump Dangles Keystone XL Revival as Canada Tariff Deadline Looms What I Cover Tsvetana Paraskova is an energy and commodities journalist who has contributed to Oilprice.com for nearly a decade, covering global energy markets, commodities,… The price ofMurban Crude, the flagship grade of the United Arab Emirates, surged to a four-month high this week, amid reports that the UAE’s national oil company ADNOC will reduce its immediate crude shipments to Asia.
ADNOC plans to cut by about 5% the supply it is offering in spot tenders to Asian buyers this month and next, anonymous sources with knowledge of the matter toldBloombergon Wednesday.
The lower crude oil supply to Asia in the coming weeks will be the result of maintenance on some of ADNOC’s onshore fields in Abu Dhabi, a separate source told the publication.
Murban Crude this week trades at a nearly $7 per barrel premium over Brent crude futures, at $97.75 a barrel.
According to data compiled by Bloomberg, that’s the highest premium of Murban to Brent since the beginning of April, when supply constraints from the Middle East hit their peak with the closed Strait of Hormuz.
SetOilPrice.comas a preferred source in Googlehere.
The Murban grade traded at a discount to Brent Crude between the end of April and early August, with a brief one-day spike into premium on July 23, when the U.S.
was conducting daily strikes on targets in Iran after the ‘deal to make a deal’ collapsed.
Since June, ADNOC has sold an estimated more than 100 million barrels inspot tenders, as the Gulf producer that has just left OPEC pushes to sell increased crude volumes to international markets.
The UAE has managed to boost itsoil exports to pre-crisis levelsas early as June, as it has kept pushing crude through the Strait of Hormuz and outside it.
The UAE, which left OPEC on May 1, has found workarounds to the blockage at the Strait of Hormuz.
It has been shuttling crude through the chokepoint to load it on larger vessels outside the Strait, maximizing the use of its onshore pipeline to ship crude from the west to the east of the country, bypassing Hormuz, and shipping tankers through the Strait in dark mode.
| Product | Price | Change |
|---|---|---|
| Brent Crude | $102.14/bbl | +0.34% |
| WTI Crude | $96.90/bbl | +0.21% |
| EN590 Diesel | $846/MT | +0.18% |
| Jet Fuel A-1 | $1090/MT | +0.55% |
| Mazut M100 | $450/MT | -0.15% |
| Bitumen 60/70 | $470/MT | +0.08% |
| Sulphur Gran 99.5% | $470/MT | -0.44% |
| Urea 46% Gran | $650/MT | +1.12% |
| NPK 16-16-16 | $460/MT | -0.28% |
| Nat Gas TTF | $15.42/MMBtu | +0.92% |
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