--Middle East

India's independent oil refiner Reliance Industries Limited (RIL) purchased 2.0 -3.0 million barrels of Murban for March arrival to its 1.24 million barrels per day (b/d) Jamnagar refinery in the spot market. The identity of the seller was unknown but RIL was believed to have purchased the Murban this time at a price linked to Dubai quotes, instead of a Dated Brent linked price. With DTD Brent/Dubai spreads widening in favor of Dated Brent, some refiners in India appeared to have bought Middle Eastern crudes at Dubai linked prices.

RIL appeared to have regarded the Murban that it bought this time as an alternative for Russian Urals. RIL skipped buying of Russian Urals for January arrival and was likely to reduce intake of Urals for February arrival significantly. As a result, the company apparently intended to cover a shortage of Urals supply with Murban. Some refiners in India including RIL move to blend light grades like Murban with Canadian grades, super heavy grades, and would modify the crude quality to similar grades as Urals and often process at their refineries. On Indian firm said, "Most of super heavy Venezuelan grades could be bound for the US, so that some refiners in India may boost purchases of Canadian super heavy grades for blending use, in addition to Middle Eastern medium/heavy grades."

-- Africa/Europe/Russia/America

In trade for Equatorial Guinea's grades, Zafiro changed hands. China's Zenhua Oil sold one cargo for Jan 30-31 loading to one European end-user in December. The price was said to hav been at flat to Dated Brent. In regard with Zafiro, Spain's Cepsa and Repsol held steady demand. On the supply side, one cargo for end-February to early March loading was expected to be offered in the spot market.

--Asia Pacific

In tender-related news, state-owned PetroVietnam (PV) Oil floated a March-loading Su Tu Den sell tender. Through the tender that would be closed on 09:00 on Jan 12, with validity until 18:00 on Jan 13, PV Oil was trying to sell 200,000barrels for Mar 1-7 loading. PV Oil opened the Su Tu Den sell tender for the first time in three months, since selling December-loading cargoes.