UAE's ADNOC to cut July crude nominations by 5% after OPEC+ pact -sources
- Country:
- United Arab Emirates
State-run Abu Dhabi National Oil Company (ADNOC) has informed customers of a cut in its crude oil nominations for July in line with a decision by OPEC+ last month to reduce supplies, three sources with knowledge of the matter told Reuters.
Nominations for all crude grades - Murban, Upper Zakum, Das, and Umm Lulu - will be cut by 5% for all term lifters in July, the sources said, citing a letter to buyers dated May 28. OPEC and allies led by Russia, a group known as OPEC+, agreed in April to a new supply pact from May 1 to shore up the market following a slide in demand caused by lockdowns to contain the new coronavirus.
OPEC+ plans to reduce output by a record 9.7 million barrels per day for May and June. For May, ADNOC reduced the supply of its Murban and Upper Zakum crude by 15% and reduced the supply of its Umm Lulu and Das crude by 5%.
For June, ADNOC has told buyers of a cut of 20% in both Murban and Upper Zakum crude grades and a 5% cut in Das and Umm Lulu crude grades. (Reporting By Rania El Gamal and Shu Zhang; Editing by Chizu Nomiyama & Simon Cameron-Moore)
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)
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- Abu Dhabi National Oil Company
- OPEC+
- Chizu Nomiyama