Adds detail on possible October allocation to a European refiner in paragraph 3
State-controlled Saudi Aramco will not supply October-loading term crude to some European refiners, market sources said, following disruptions to September-loading supplies.
Aramco has told at least three European refiners that they will not receive October-loading Saudi term crude, they said.
One European refiner said it is due to receive some October-loading Saudi term crude, although it is unclear whether these are supplies that were originally due to load in September and have been delayed to October. They were allocated less than they requested for October, the customer added.
Two sources said European refiners did not receive October crude term lifting dates, after allocations surfaced today, 18 September. This was not directly confirmed, and Aramco declined to comment.
Aramco had already cancelled and deferred term supplies loading at the end of September for some European refiners, which had prompted term customers to also brace for disruptions to October term supply.
Typically around 680,000 b/d of Saudi term crude loads for the region.
The delays point to a prolonged outage on Saudi Arabia's 7mn b/d East-West crude pipeline, which has been shut since an attack on 10 September.
European refiners are already turning to the spot market for alternative supplies. Values for Norwegian Johan Sverdrup — Europe's biggest local medium sour stream and a good direct substitute for Saudi Arab Light — rose by $18.60/bl in the week to 17 September to a $24.05/bl premium to North Sea Dated on a fob basis, a record high.
