Qatar Sells May Al-Shaheen Crude At Lowest Premiums Since Oct 2011

Qatar’s Tasweeq sold al-Shaheen crude for May loading at the lowest premiums since October 2011 due to weak demand as several Asian refineries have planned to shut for maintenance, traders said on Monday.

The five 600,000-barrel cargoes were sold via tender at premiums between 20 cents and 68 cents a barrel to Dubai quotes, and averaging 47 cents, down from 80 cents to $1 in the previous month, they said.

ExxonMobil and Reliance bought two cargoes each and PTT purchased one, a trader said, although this could not be independently verified.

Refineries across Asia typically shut for maintenance in the second quarter, reducing crude demand. About 1.7 million barrels per day of crude distillation capacity across Asia is scheduled to shut in May, according to Reuters data.

Al-Shaheen crude premiums last hit a low of 10-20 cents a barrel for cargoes that loaded in October 2011, Reuters data showed.