ONGC sells Feb Sokol crude

Singapore, Dec 21: Oil and Natural Gas Corp. (ONGC) has awarded its fifth tender to sell February-loading Sokol crude at a .20-6.30-a-barrel premium to Oman/Dubai quotes on a delivered basis, a trader close to the discussions said on Thursday.

This is the strongest premium fetched for this grade through tender so far.

Japanese trading house Mitsubishi won the tender and the cargo, for loading Feb. 17-20, is to be delivered to South Korea, the source added.

The price is stronger than in the last tender when ONGC sold a similar cargo, for loading in early February, at a .00-a-barrel premium.

''Look at Murban, a competing grade, which is going through the roof,'' the trader said.

Light sour Abu Dhabi Murban crude has been quoted this week at as high as a 50-60 cent premium to ADNOC for February loading, the highest differential in 14 months, though it remained unclear if it had traded at such a strong premium.

Exxon Mobil, which operates the Sakhalin-1 field with a 30 percent interest, won the three previous tenders issued by ONGC.

State-run ONGC has a 20 percent stake in the project.

Reuters