ASIA CRUDE MOC PERFORMANCE: 1.8 mil barrels change hands for Aug. loading

Market participants in the Platts Asia crude Market on Close assessment process have completed the physical performance of 1.8 million barrels of August-loading crude cargoes, according to trade performance data compiled by Platts, part of S&P Global Energy.

Three full cargoes of crude, equivalent to 1.8 million barrels, were traded over June and July for loading in August. Vitol bought 1 million barrels of Oman crude from Trafigura during the July MOC, while 500,000 barrels of the same grade changed hands between Mercuria and Trafigura, and 300,000 barrels of Malaysia's Miri crude were traded between Trafigura and Vitol in June, the data showed.

Asia crude MOC activity tapered off in June. The number of partials traded fell 22% to a six-year low of 58, while no convergence cargoes were declared in the month. MOC trading activity was last lower in May 2020 when 42 partials traded, while the last time no convergences were declared was in November 2020, according to the data.

MOC activity, however, saw a pickup in July, when the volume of partials traded rose 438% month on month to 312 partials, Platts data showed.

A convergence occurs when 20 partials are traded between two counterparties, resulting in a full 500,000-barrel physical cargo being declared from the seller to the buyer.

Performance tracking

Platts closely monitors performance on trades reported through the MOC process as part of its ongoing commitment to upholding the highest standards of integrity and transparency.

As part of trade performance tracking, Platts has reviewed various aspects of performance, including the timeliness of nominations, loading completion, and other published parameters of the trades.

Performance details of August-loading physical cargoes traded during the June and July Platts Asia crude MOC: 

Source: Platts, traders