Crude/Condensate: Nov 25-29: IOC additionally buys Upper Zakum
India's state-owned Indian Oil Corp (IOC) additionally purchased 1 to 2 mil bbl of Abu Dhabi Upper Zakum through its third sour crude buy tender for January loading. Including the cargo, IOC procured 2 mil bbl of Murban and 2 to 3 mil bbl of Upper Zakum from Abu Dhabi on a spot basis. IOC shifted its diets to attractively-priced Middle Eastern crudes, disliking price hikes for African crudes.
With regards to US crudes, Taiwan's CPC Corp purchased 4 mil bbl of WTI Midlands on a spot basis through a sweet crude buy tender for January loading. CPC earlier clinched a term contract to receive 4 mil bbl of WTI Midlands per month for January-June 2020 arrival, pushing up its combined intake to 8 mil bbl for February arrival. For other US crudes, Thai Oil purchased a spot cargo of Bakken for end-January to early February arrival.
Among January-loading Australian crudes, Australia's BHP Billion sold Pyrenees to European Gunvor. The cargo fetched a premium of the mid $17 level over DTD Brent. Demand picked up as blend stocks into fuel oil in the wake of the new sulfur regulation for bunker fuel starting January. In condensate-related news, Australia's Woodside Energy sold Australian Wheatstone to US ExxonMobil, while China International United Petroleum and Chemicals (UNIPEC) procured East Timor's Bayu Undan from US ConocoPhillips.