Adnoc removes destination restrictions on crude grades

  • Date: 04-Mar-2021
  • Source: Emirates Business
  • Sector:Oil & Gas
  • Country:UAE
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Adnoc removes destination restrictions on crude grades

ABU DHABI / WAM

The Abu Dhabi National Oil Company (Adnoc) on Wednesday announced that it will remove destination restrictions on its Murban, Upper Zakum, Das and Umm Lulu crude grades, starting from the first traded contract month of the new ICE Murban Crude Oil Futures Contract. The company also confirmed that Adnoc Onshore, the producer of Murban Crude Oil, has launched a new monthly Murban Export Availability Forecast Report to provide forward visibility to market participants of expected Murban volumes available for export. ICE plans to launch ICE Futures Abu Dhabi (IFAD), Murban Crude Oil futures, and related cash settled derivatives and inter-commodity spreads, on March 29. Murban futures will go to physical delivery two months ahead, meaning that the delivery month for the contract is two months ahead of the pricing month. In February, ICE confirmed that the first Murban futures contract month at launch will be the June contract, which expires at the end of April for physical delivery in June. Accordingly, destination restrictions on Adnoc crude grades will be removed from June 2021. This means that all barrels purchased from Adnoc can be sold onwards by the purchasing party (there is no restriction on reselling purchased barrels,