HPCL sells January fuel oil at higher price

SINGAPORE, Dec 21: Hindustan Petroleum Corp. Ltd. (HPCL) has sold 25,000-30,000 tonnes of high-sulphur fuel oil for January delivery at slightly higher prices, traders said on Thursday.

The 380-centistoke (cst) parcel, for Jan. 16-18 loading from its Vizag terminal, was sold to Vitol at a discount of - a tonne to Singapore spot quotes on a free-on-board (FOB) basis, up from a discount of - previously.

Vitol also won the previous tender for a similar December-loading parcel, of 4 percent sulphur content and 0.998 density.

The cargo is expected to be delivered to Singapore where it would be used in the Singapore marine fuels market.

The cargo is HPCL's first for 2007, bringing the total for the month from Indian refiners to 110,000 tonnes.

Traders expect more Indian offerings for January and volumes for 2007 are expected to be line with this year's increased volumes, which saw about 3.19 million tonnes of exports via tenders, up from 1.83 million tonnes last year.

REUTERS