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FACTBOX-Impact of Saudi oil outage on crude, product markets

Mon, 16th Sep 2019 15:19

* Top Saudi crude buyer interactive: https://tmsnrt.rs/31oLW7G

* Saudi product exports: https://tmsnrt.rs/3028rTd

Sept 18 (Reuters) - Saudi Arabia's oil minister said onTuesday the country will restore its lost oil production by theend of September and has used inventories to return supplies tocustomers to the levels prior to the Saturday attacks that shutdown about 5.7 million barrels per day (bpd) of crudeproduction.

The statement sent oil prices plunging after a steep riseearly in the week triggered by fears a return to full productionwould take months.

Saudi Arabia is the world's biggest oil exporter, normallyshipping more than 7 million barrels every day.

The key Khurais and Abqaiq processing plant was hit at theweekend. Abqaiq processes Arab Light or Arab Extra Light crudefrom the Ghawar, Shaybah and Khurais fields.

The following outlines the impact on crude and productmarkets so far:

CRUDE

* China's Unipec, the trading arm of Asia's top oilrefiner, Sinopec, chartered at least four crude tankers thisweek from the United States, ramping up shipments after attackson Saudi Arabia's oil facilities and as trade tensions betweenthe world's two largest economies cool, sources said on Tuesday.

* India is looking at raising oil imports from Russia, itsoil minister said on Tuesday.

* PetroChina said its light crude loadings for Octoberwould be delayed by 10 days.

* At least six Asian refiners, including two in India, areset to receive their full allocated volumes into October.

* Saudi Arabia said it would continue normal exports thisweek from storage but that some deliveries have been disrupted.

* Buyers of Saudi crude are being asked to take heaviergrades, several trading sources said, including Indian Oil Corpand PetroChina in September.

* Saudi Arabia's oil minister said that flows through thecountry's pipeline to Bahrain were being restarted. The kingdomwas forced to shut that pipeline after the attack. The conduitsupplies 220,000-230,000 bpd of Arab Light to the 267,000-bpdSitra refinery.

* The shutdown had left Bahrain's state oil firm scramblingto move about 2 million barrels of oil from the Saudi port ofRas Tanura to its refinery.

REFINED PRODUCTS

* Saudi Arabia's energy minister said the kingdom had cutoil refinery intake to 1.9 million bpd from 2.9 million bpd butwas in the process of bringing that back up.

* Saudi Aramco will delay its liquefied petroleum gas (LPG)October cargo nomination announcements to Sept. 18 from Sept.16, three industry sources said. China, Japan and South Koreaare the top three LPG importers in Asia.

* Saudi Aramco's trading arm is seeking oil products forprompt delivery following Saturday's attacks.

* Aramco Trading Co, the trading arm of Saudi Aramco, ismaking enquiries to buy diesel for prompt delivery, two tradesources said. Saudi Arabia is typically a net exporter ofdiesel.

* At least two refined-product tankers that were due to loadat Saudi Arabia's Jubail port in mid to late September have beendiverted, data from analytics firm Vortexa showed.

* Operations at Saudi Arabia's SASREF and PetroRabigh oiland petrochemical refineries have been slashed by up to 40%, twotrading sources said, citing oil research firm IIR.

STRATEGIC RESERVES

* The International Energy Agency (IEA) currently does notsee a need to release emergency oil stocks following the attackon Saudi Arabia's oil facilities, the agency's head said onWednesday.

* U.S. Energy Secretary Rick Perry said on Tuesday theUnited States was taking a wait-and-see approach on whether totap its Strategic Petroleum Reserve.

* U.S. President Donald Trump on Sunday authorised therelease of strategic reserves.

* South Korea said it would consider releasing oil from itsstrategic reserves if circumstances around crude importsworsened.

* The German government said its supply of oil was notaffected by the attacks and any decision to release strategicreserves must be made jointly with members of the IEA.

(Compiled by Julia Payne; Editing by Dale Hudson and SteveOrlofsky)

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