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Asian crude prices soften

SINGAPORE: Spot crude prices in Asia softened but were stuck again in rangebound activity after attempting to firm on Wednesday.

Price gains from bullish U.S. API oil stocks were tampered by a U.N. official's comment that Iraq's new policy of cooperation and releasing information had advanced the date for ending the ban on its oil sales, one trader said. He added Brent could stay rangebound between $16.05 and $16.45 for October.

Oct 15-day Brent quotes were at $16.20/16.25 while SIMEX Brent traded down to $16.21 in late trade compared to IPE's Wednesday settle of $16.26.

For paper, Brent/Dubai spreads traded overnight at 76 cts for October, 71 cents for November and 70 cents for December. Oct/Nov Dubai paper traded at plus three cents.

Trading in wet Mideast crudes was subdued, with traders not optimistic about regional demand picking up. Ample supplies persisted, including unsold September cargoes of Arab Medium and Yemen crudes, and a major and a Chinese trader were seen throwing out cargoes committed earlier as they cut back on their operations.

But the major was seen to have bought Oct Oman at MPM plus three cents.

IOC has delayed its October tender close to August 31 from August 30, with validity extended to September 1.

In Asian grades, a Japanese refiner was said to have bought 200,000 barrels of September Minas at ICP plus 8/9 cts, But some traders said this deal was subject to confirmation.

Thai PTT's tender today to buy end-Sept Far East crudes was likely to see many offers of Tapis and Belida, and Labuan, possibly still unsold in Sept could be offered, traders said.

Sept Tapis was offered down to APPI quotes plus 20 cents after recent trades at premia of 21 cts and 27 cts which traders deemed ere overpriced.-Reuter