Asian refiners buy more US crude as Hormuz remains blocked, traders say

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At least four Asian refiners bought US crude this week, as the Strait of Hormuz remained effectively closed and refiners sought alternative supplies for delivery later this year, traders said, according to Reuters.

South Korea’s GS Caltex bought two million barrels of Mars crude from Shell for November arrival. The crude was priced at a premium around $13-14 per barrel above the October Dubai benchmark, traders said.

Japan’s third-largest oil refiner, Cosmo Energy Holdings, bought Mars crude from Trafigura, while Eneos Corp, Japan’s biggest refiner, purchased 2m barrels of West Texas Intermediate (WTI) crude from Trafigura for November delivery with a premium over $10 per barrel above the October WTI price.

Taiwan’s state-owned CPC Corp bought 2m barrels of WTI via a tender at a premium of around $8 to $9 a barrel to Dated Brent. CPC also purchased crude from West Africa via the tender, the people said.

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