Middle East Crude-Spot premiums extend decline as supply fears recede

SINGAPORE, Sept 18 (Reuters) - Spot premiums for Middle East crude benchmarks extended declines on Friday, as earlier fears of supply constraints eased.

Saudi Arabia has sold about 60 million barrels of crude from Ras Tanura inside the Strait of Hormuz for loading via ship-to-ship transfer at the Omani port of Sohar this month and next, multiple trade sources said on Friday.

Chinese and South Korean refiners are among the top buyers of the spot supplies, while some volumes will head to India and Japan, the sources said.

Separately, the Japan Oil, Gas and Metals National Corporation (JOGMEC) has awarded a tender to buy 320,000 kilolitres (2 million barrels) of Abu Dhabi Murban crude to Mitsui, two trade sources said on Friday.

The cargo, to be delivered between October 15 and December 14, will be used to replenish the country's Strategic Petroleum Reserve, JOGMEC said in a notice.

SINGAPORE CASH DEALS

Cash Dubai's premium to swaps fell by $3.93 to $25.10 a barrel.

PRICES ($/BBL)

NEWS

Four commodity vessels transited the Strait of Hormuz in the Gulf on Thursday, down from six a day earlier and below the 10-day average of about 16, preliminary shipping data showed on Friday.

Three pumping stations serving the vital East-West Pipeline in Saudi Arabia were damaged in an attack last week — one more than assessed previously — with a repair timeline unclear, according to satellite imagery and three industry sources.

Russia's Slavneft Yaroslavnefteorgsintez (YANOS) oil refinery halted crude processing on Thursday following a Ukrainian drone attack that damaged equipment at the facility, four industry sources told Reuters.

A Ukrainian drone attack damaged an oil refinery in the Russian city of Yaroslavl, causing a fire that was later doused, regional Governor Mikhail Yevrayev said on Thursday on the Telegram messaging app.

Syria will offer cheaper diesel for heating, agriculture and industry, Energy Minister Mohammed al-Bashir said on Thursday, days after a fuel price hike triggered the most widespread protests since the fall of Bashar al-Assad.

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