950804

Oil prices soft in

Asia as US storm

effect eases

SINGAPORE: Spot crude prices held a soft tone in Asia as concern over tropical storm Erin's impact on US gulf oil facilities eased.

Sept 15-day Brent was assessed at $16.15/16.20 while SIMEX Brent eased to $16.19 by 0900 GMT from IPE's Thursday close of $16.23. NYMEX light crude for Sept was trading at $17.69 on ACCESS after settling six cents lower Thursday at $17.72.

In paper trades, Oct/Nov Dubai stayed wide, with trade overnight at plus 3.5 cents from plus two cents on Wednesday.

Bangchak said its tender for Sept crude was awarded for 350,000 barrels of Dubai at 3-5 cts over front-month quotes.

Bangchak also secured 500,000 barrels of Iranian Heavy a OSP as part of increment in its term contract volume.

A US major on Thursday bought Sept Lower Zakum at ADNOC plus 18 cents, and Sept Um Shaif at evens to ADNOC quotes.

Oman regained its strength due largely to a narrowed spread against Dubai. The spread for July slipped to 19 cents from 25 cents in June. The latest Sept Oman trade was said done at evens to one cent over MPM after Thursday trade between majors at MPM plus two cts. Two cargoes changed hands late Wednesday at one cent and three cents below MPM.

In Asian grades, Aug Minas traded twice at ICP plus seven cents for a total 330,000 barrels for China. Another parcel to China was seen sold by a Japanese trader at $16.30. Sept Minas traded for 200,000 barrels at ICP plus 10 cts to a major while another major also bought Sept Minas at ICP plus 10 cts.

Sept Tapis sellers asking Tapis APPI quotes plus 20-25 cts faced bids at plus 5-15 cts with Tapis deemed unattractive and yielding poor refining margins at current high prices. The unplanned shutdown of Australian Petroleum's Kurnell for a few days this week would mean less demand of at least one Tapis cargo, traders said.-Reuter