PRICE FALLS SHARPLY
FOR RUSSIAN URALS CRUDE
LONDON - A sharp fall in the price of high-sulfur Russian Urals crude in the north of Europe is likely to point to a similar price erosion in the Mediterranean over the next few days, traders said.
A major oil company is said to have bought a Urals cargo at 13 cents a barrel under benchmark dated Brent crude (Brent for loading in the next 15 days) earlier this week. The company bought a cargo at parity to Brent around a week ago.
Traders suggested Urals would shed much of its recently inflated premium over dated Brent in the Mediterranean market too, as availabilities improve amid moderate late-January demand.
Russian crude supplies to the Czech Republic and Slovakia via the Druzhba pipeline resumed Wednesday after an interruption of more than a week.
GULLFAKS OIL OUTPUT
NORMAL AFTER CUTBACK
LONDON - Output at Norway's North Sea offshore Gullfaks oil field was being restored to full levels Thursday after being briefly cut to only 10 percent of normal Wednesday, a spokesman for operator Statoil said.
Wednesday's output cut was necessary as oil storage space at the offshore installations was running out because of a prolonged weather-related disruption to loadings. Improved weather has now allowed loadings to resume.