Platts publishes Nov. 18 Mediterranean & Black Sea Sweet Crude Daily Commentary

Platts, part of S&P Global Energy, has republished its Nov. 18 Mediterranean & Black Sea Sweet Crude Daily Commentary owing to a typographical error.

The Nov. 18 Mediterranean & Black Sea Sweet Crude Daily Commentary should read as follows:

CPC Blend sees lowest value since Oct. 22

Market shows mixed sentiment over strong margins, oversupply

The Mediterranean crude complex saw supply pressure on differentials for Kazakhstan's CPC Blend Nov. 18 as the market shrugged off any potential impact from drone attacks on Novorossiisk, while the outlook remained mixed for sweeter grades.

Traders continued to report little to no disruption across loadings of CPC Blend during Nov. 18 afternoon trading, and a more laconic market response to any perceived issues on the grade.

"[We've] not really seen anyone hesitating to buy CPC Blend due to this," said a London-based Mediterranean crude oil trader.

However, differentials were demonstrated under pressure in the Nov. 18 MOC session, in line with more mixed views regarding prompt supply balances in the Mediterranean against a backdrop of strong refining margins.

The Platts Market on Close assessment process saw Mercuria emerge to offer a 90,000 mt cargo of CPC Blend on a CIF Augusta basis for Dec. 10-14 loading. The cargo was picked up by ExxonMobil at a $1.95/b discount to Dated Brent, having steadily tested value lower from a 75 cents/b discount.

Platts assessed CPC Blend Aframax-sized cargoes on a CIF Augusta basis at a $1.575/b discount to Dated Brent Nov. 18, down 77.5 cents/b on the day to their lowest value since Oct. 22.

The offering activity was indicative of the "market still being long [despite] stellar margins," said a Geneva-based trader.

However, others were anticipating a more bullish impact from the ongoing support from distillate cracks, with values for distillate-rich grade Azeri Light reported above a $4/b premium to Dated Brent during Nov. 18 afternoon trading.

"Margins are strong, the East Med is massively short products, so oil gets pulled into the Med," said a second Geneva-based trader.