Middle East

Japan's Agency for Natural Resources and Energy sold a total of 500,0000kl or 3.15 mil bbl of Neutral Zone's Hout crude from the Strategic Petroleum Reserves (SPR) in its two tenders closed on Jun 10. Mitsui took 370,000kl or 2.33 mil bbl of Hout from the national oil terminal in Tomakomai in northern Japan at a premium of $1.48 to Saudi Arabia's Arab Extra Light (AEL) OSP. In addition, China National Oil Corp purchased 130,000kl or 817,700 bbl of Hout ex the Okinawa terminal in Southern Japan at a discount of $2.45 to the AEL OSP. Loadings for both tenders were from Jul 20 to Sep 30.

Africa/Europe/Russia/America

In the trade of Nigerian grades, offers for August-loading cargoes started to emerge. The identities of the sellers were unknown at this stage, but Qua Iboe was heard offered at a premium of about $9.00 to Dated Brent. Bonga was offered at a premium of about $10.00 to Dated Brent. Sellers continued to hold a bullish marketing stance as demand especially from Europe remained brisk, thus offers emerged at higher levels for July-loading traded levels.

Asia Pacific

The Agency for Natural Resources and Energy of Japan sold Indonesian crude Attaka from its strategic reserves to Idemitsu Kosan via a tender closed on Jun 10. The awarded price was at a premium of $1.38 to ICP. The ICP of the month of loading would be applicable. The cargo of 250,000 kl (1.57 mil bbls) would be released from a tank at the Onahama oil terminal during Jul 20-Sep 30. As reported, in cooperation with the International Energy Agency (IEA), the Japanese government would release oil from its reserves to curb surging crude prices. It was rare for Attaka to be released.