Business | Oil & Gas
Abu Dhabi likely to maintain crude supplies to Asia
Abu Dhabi National Oil Co (Adnoc) has notified at least one Japanese lifter that it will supply crude oil at full contracted volumes for October, steady from September levels, despite oilfield maintenance that will cut output from October, a trader said on Monday.
- Reuters
- Published: 23:12 August 25, 2008
Tokyo: Abu Dhabi National Oil Co (Adnoc) has notified at least one Japanese lifter that it will supply crude oil at full contracted volumes for October, steady from September levels, despite oilfield maintenance that will cut output from October, a trader said on Monday.
Four other lifters in Japan, China, South Korea and South Asia said that they haven't formally received the notices yet, but that they should get full allocations.
Adnoc will reduce oil output by 150,000 to 200,000 barrels per day (bpd) for 40 days in October and November for maintenance, with the offshore Lower Zakum and Umm Shaif fields being partially shut down, an official said last month.
The shutdown will cut oil output from the world's fifth-largest oil exporter by up to 7.5 per cent.
The trader with the Japanese lifter added that Adnoc said it would increase supplies of Lower Zakum and Upper Zakum grades in October, while Umm Shaif volumes would be cut. Murban supplies would be steady, the trader added.
"It was surprising that we would receive more volumes of Lower [Zakum], not Murban," the trader said.
Adnoc has told at least some Asian lifters that it could provide additional barrels in October if necessary, but most of those refiners are seen declining that offer amid worsening processing margins.
Share this article
Popular in Business
-
General
Precious jump
Gold prices at new high as India's central bank buys $6.7b worth of gold
Business Editor's choice
-
UAE companies in full force at WTM
Seventy-eight participants are from Dubai and 50 from Abu Dhabi
-
DIFC committed to high standards
Ensures an efficient process to serve the business community
-
Sweet life in the Middle East
A sweet look at the confectionary industry in the UAE and Middle East
