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W. Africa Crude-Angolan clearing on European, Asian distillate demand

Tue, 06th Aug 2019 17:08

LONDON, Aug 6 (Reuters) - Angolan oil traded briskly onTuesday amid robust demand for diesel in Europe and jet fuel inAsia, traders said.

ANGOLA

* Only a handful of crude oil cargoes for loading inSeptember remain.

* Offers for most grades of Angolan crude are up at least 50cents to a dollar compared to last month on stronger demand,especially on demand from Chinese independent refiners.

* Asian jet fuel buyers are paying the highest cash premiumsfor this time of year since 2013 amid a short-term supplyshortage, though the end of the summer holiday period may soondent demand.

* European diesel refining margins have held strong inrecent weeks, ending the week nearly 6% higher, supported byexpectations of lower imports from Russia, before slippingsomewhat under pressure from high stocks.

* Strong European gasoil demand especially buoyed the Nembagrade, which was offered at multi-year highs around a premium of$1.50 compared to dated Brent.

* Glencore was heard to be offering the final cargo of Daliaat a premium of $2.50 compared to dated Brent, down slightlyfrom last week as sellers try to offload their last supplies.

NIGERIA

* A glut of light sweet crude in the Atlantic basin owing toa surge in U.S. exports and homeless North Sea cargoes has sentdifferentials for Nigerian sliding

* Around 15 cargoes of Nigerian crude remain from the Augustloading programme, with the prompt barrels dragging down pricesfor September cargoes yet mostly failing to attract much buyerinterest despite seller mark-downs.

* Two cargoes of prompt-loading Forcados still await abuyer, with buyers holding out for a price well below a premiumof $2 compared to dated Brent - among the lowest values in 2019.

* Bonny Light and Qua Iboe were said to be trading belowdated Brent plus $2.00.

RELATED NEWS

* Global oil major BP is deepening its ties with Indianconglomerate Reliance Industries by forging a fuel retailingjoint venture to capitalise on rising demand in Asia'sthird-biggest economy.

* Australian oil and gas explorer FAR Ltd, which holds astake in licences for oil drilling off the coast of WestAfrica's Guinea-Bissau, said a unit of China National OffshoreOil Corp will take a majority stake in the projects.

(Reporting By Noah Browning; editing by David Evans)))

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