Mediterranean grades head north

摘要

Russian Urals cargoes are moving to northwest Europe from the Black Sea amid a widening arbitrage. The prospect of a fall in Primorsk exports in August has pushed Urals in Rotterdam to a $1.65/bl premium to Black Sea cargoes delivered to west Mediterranean refineries (see upper graph). At least 1mn bl of Urals is heading to northwest Europe from the Black Sea port of Novorossiysk. Other Mediterranean sour grades such as Iraqi Kirkuk are also moving to northwest Europe.