SEATTLE (Oil Monster): Abu Dhabi National Oil Company (ADNOC) has offered to sell crude oil from the United Arab Emirates in a spot tender, according to a tender document seen by Reuters on Tuesday.
The company is offering cargoes of Upper Zakum, Umm Lulu and Das crude on a cost-and-freight (CFR) basis, with buyers allowed to nominate their preferred destination when submitting bids. Buyers can bid up to 2 million barrels of oil.
The cargoes are available for delivery between June and September.
The three crude grades are produced from fields within the Gulf and are exported through the Strait of Hormuz.
Since the U.S.-Iran war began, ADNOC has managed to export some oil out of the strait with tankers' location trackers shut off to avoid Iranian attacks. The shipments were either unloaded by ship-to-ship (STS) transfer to a vessel that later carried the oil to buyer or sailed directly to buyer.
The crude will be priced at a differential to either ADNOC's official selling prices or the Dubai benchmark, the tender document showed.
Courtesy: www.reuters.com
