Iraq’s SOMO offers steeper October-loading crude discounts at $34.50-$37/bbl
SOMO offered $34.50/bbl for Basrah Medium and $37/bbl for Basrah Heavy FOB for October-loading term buyers, with discounts widening from under $30/bbl for August and September, traders and a Reuters-reviewed document showed.
(Adds details in paragraphs 4-5) SINGAPORE, Sept 30 (Reuters) — Iraq's state oil marketer SOMO has offered steeper discounts for term buyers to lift October-loading oil, according to traders and a document reviewed on Wednesday. 50 and $37 per barrel for Basrah Medium and Basrah Heavy crude on a free-on-board basis from the Basrah Oil Terminal or Iraq’s single-point moorings and associated facilities, the document showed. SOMO did not immediately respond to a request for comment.
The discounts, priced against relevant destination market benchmarks, widened from discounts of under $30 per barrel for August and September loading oil, as freight rates soared and risks to lifting inside the Strait of Hormuz remained. Discounted Basrah crude has drawn buyers like Vitol and the United Arab Emirates' ADNOC in recent months, helping Iraq to boost exports. com;)