bonny lightLondon — Angolan cargoes for May loading were set to clear as traders expected the June loading programme this week, while Nigerian crude received some support from favourable refining margins in Europe.
* Only one cargo of Angolan crude was still being offered for May loading, a trader said, as the June programme is expected to emerge before the Easter holiday.
* While Angolan has sold briskly in Asian markets and has also been propped up by Asian demand, traders note a widening Dubai-Brent spread may make them less attractive there.
* Around 15-20 Nigerian cargoes remained for May loading.
* Major Nigerian grades Bonny Light and Qua Iboe continued to be indicated at or above a $2.00 premium compared to dated Brent, which buyers have been reluctant to meet for weeks.
* But Nigerian light grades are particular well suited to be refined into gasoline and with European gas cracks at their highest levels since August, differentials could be supported.
TENDERS
* Turkey’s Tupras issued a buy tender for three cargoes for Bonny Light, Forcados or Escravos Nigerian crude for loading between May 25 and June 10.
* Uruguay’s ANCAP has issued a buy tender for July 1-6 arrival.
* India’s IOC was also heard to have issued a tender although details did not immediately emerge.
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* U.S. crude oil output from seven major shale formations is expected to rise by about 80,000 barrels per day (bpd) in May to a record 8.46 million bpd, the U.S. Energy Information Administration said in its monthly drilling productivity report on Monday.
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- Reuters