Abu Dhabi Raises February Murban Crude Pricing After Saudi Boost
Abu Dhabi raised pricing for February sales of its main crude grade after similar increases by Saudi Arabia, OPEC’s largest producer.
Government-owned Abu Dhabi National Oil Co. set Murban crude at a premium of 75 cents a barrel to the regional benchmark, according to a notice from the producer. That’s 25 cents more than in January. Abu Dhabi pumps almost all of the oil in OPEC member the United Arab Emirates.
The Organization of Petroleum Exporting Countries and its allies agreed last week to keep production unchanged for most members as their coalition seeks to keep output restrained amid slack demand and coronavirus shutdowns. While Russia and Kazakhstan will be able to pump slightly more, their increases will be outweighed by a unilateral 1 million barrel-a-day Saudi cut in February and March.
The planned Saudi production cut drove Brent crude to more than $55 a barrel last week, up 8% so far this year.
Adnoc raised February Upper Zakum crude by 5 cents a barrel to a 5-cent premium to Murban. It kept Umm Lulu crude unchanged at a 5-cent discount to Murban and left Das crude steady at a 35-cent discount.