US Cash Crude-Inland grades fall in advance of tightened takeaway capacity
07/05/2024 21:50
May 7 (Reuters) - Physically traded inland domestic
crude grades in the U.S. lost value on Tuesday, dealers said,
while offshore and coastal crudes rose as midstream constraints
pressured volumes flowing south from the Permian Basin to the
Gulf Coast.
Energy pipeline operator Enterprise Products Partners
EPD.N last month said it notified shippers of downtime for
about 10 days in June on the ExxonMobil XOM.N operated
Wink-to-Webster shale oil pipeline, which transports more than
one million barrels per day of crude oil and condensate from the
Permian to the coast.
"Upcoming maintenance work on the Wink-to-Webster and
Midland-to-Echo III pipelines in June will disrupt normal
operations out of the Permian Basin and ripple through regional
crude oil prices", analysts at East Daley Analytics said in a
note on Tuesday.
"We expect shippers will reroute some supplies from the
Permian, pressuring Midland prices lower", they added.
* Light Louisiana Sweet WTC-LLS for June delivery gained 10
cents at a midpoint of a $2.90 premium and was seen bid and
offered between a $2.80 and $3.00 a barrel premium to U.S. crude
futures CLc1
* Mars Sour WTC-MRS gained 30 cents at a midpoint of a
80-cent premium and was seen bid and offered between a 70-cent
and 90-cent a barrel premium to U.S. crude futures CLc1
* WTI Midland WTC-WTM fell 10 cents at a midpoint of a
65-cent premium and was seen bid and offered between a 55-cent
and 75-cent a barrel premium to U.S. crude futures CLc1
* West Texas Sour WTC-WTS fell 10 cents at a midpoint of a
60-cent discount and was seen bid and offered between a 70-cent
and 50-cent a barrel discount to U.S. crude futures CLc1
* WTI at East Houston WTC-MEH , also known as MEH, traded
between a $1.65 and $1.85 a barrel premium to U.S. crude futures
CLc1
* ICE Brent July futures LCOc1 fell 17 cents to settle at
$83.16 a barrel on Tuesday.
* WTI June crude CLc1 futures fell 10 cents to settle at
$78.38 a barrel on Tuesday.
* The Brent/WTI spread WTCLc1-LCOc1 narrowed last to minus
$5.19, after hitting a high of minus $5.04 and a low of minus
$5.20.
(Reporting by Georgina McCartney in Houston)
((Georgina.McCartney@tr.com))