Middle East

Saudi Arabia's state-run Saudi Aramco on Monday set the formula of its official selling price (OSP) for August-loading Arab Light (AL) crude for Asian term buyers at a premium of $1.20 per barrel (bbl) to the average August-loading Dubai Oman average, up $1.00 from the previous month. The hike came as backwardation in the benchmark Dubai was widening and demand/supply fundamentals showed signs of improving on the back of supply curbs by the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC producers since May.

Africa/Europe/Russia/America

Spot differentials for Sakhalin Sokol widened to premiums of $3.10-3.20 to Dubai quotes. The August-loading OSPs for competing Abu Dhabi Murban and Saudi Arabia's Arab Extra Light (AEL) were raised from the previous month, which buoyed the Sokol market. India's Oil and Natural Gas Corp (ONGC) sold a 700,000 bbl Sokol cargo for Aug 8-14 loading via its sell tender closed on Wednesday. The buyer was said to be a South Korean end-user seen as SK Energy and the price was at a premium of $3.10-3.20 to Dubai quotes.

Asia Pacific

Vietnam's state-run PV Oil sold September-loading T.G.T. in its tender closed on Jul 9. A combined two 300,000bbl cargoes offered for 4-8 and 26-28 loading were awarded at premiums in the mid to high $3 level over DTD Brent. The prices outperformed the previous T.G.T. tender for August loading by more than $1.50.