Latest news with #Murban
Business Wire
2 days ago
- Business
- Business Wire
ICE Launches its first Futures Contracts Based on Battery Materials
LONDON--(BUSINESS WIRE)--Intercontinental Exchange, Inc. (NYSE:ICE), a leading global provider of technology and data, today announced the launch of its first futures contracts based on battery materials, expanding its energy and environmental markets – which represent the most liquid markets to trade these products - into critical minerals. ICE has launched four cash-settled battery materials contracts covering lithium hydroxide, lithium carbonate, cobalt and spodumene futures based on Fastmarkets' price assessments. 'Our customers are managing their way through heightened geopolitical risk, the evolving trade flow environment around critical minerals as well as the wider energy market,' said Jeff Barbuto, Global Head of Oil Markets at ICE. 'These contracts are important new additions to our energy derivatives offering and we're looking forward to working with the battery materials industry to find ways to add value to this space and build liquidity alongside our broader energy trading and clearing platform.' 'The battery raw materials industry relies on Fastmarkets' trusted benchmarks as enablers for trade and investment,' said Przemek Koralewski, Global Head of Market Development at Fastmarkets. 'Partnering with ICE further supports this growing market with the risk management tools it needs.' The new battery materials contracts join ICE's network of over 800 crude and refined oil products all underpinned by Brent, the price barometer for three quarters of the world's internationally traded crude oil, and ICE Low Sulphur Gasoil the global benchmark for refined oil products at the center of middle distillates trading. Gasoil futures and options reached record open interest (OI) of 1.43 million contracts on May 29, 2025, up 29% year-over (y/y). Gasoil Options hit a single day volume record of 22,650 contracts on May 20, 2025, surpassing the previous record set in May 2016. ICE's global oil benchmarks hit successive OI records during May 2025 with ICE Brent futures reaching a record 2.9 million in OI and ICE WTI (Cushing) futures and options reaching 1.7 million on May 8, 2025, with ICE Murban futures hitting record OI of 85,365 on May 29, 2025. OI across ICE's total futures and options contracts reached a record high of 104.6 million contracts on May 23, 2025, up 8% y/y, including a record 41.8 million commodities futures and a record 40 million energy futures. About Intercontinental Exchange Intercontinental Exchange, Inc. (NYSE: ICE) is a Fortune 500 company that designs, builds and operates digital networks that connect people to opportunity. We provide financial technology and data services across major asset classes helping our customers access mission-critical workflow tools that increase transparency and efficiency. ICE's futures, equity, and options exchanges – including the New York Stock Exchange – and clearing houses help people invest, raise capital and manage risk. We offer some of the world's largest markets to trade and clear energy and environmental products. Our fixed income, data services and execution capabilities provide information, analytics and platforms that help our customers streamline processes and capitalize on opportunities. At ICE Mortgage Technology, we are transforming U.S. housing finance, from initial consumer engagement through loan production, closing, registration and the long-term servicing relationship. Together, ICE transforms, streamlines and automates industries to connect our customers to opportunity. Trademarks of ICE and/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange. Information regarding additional trademarks and intellectual property rights of Intercontinental Exchange, Inc. and/or its affiliates is located here. Key Information Documents for certain products covered by the EU Packaged Retail and Insurance-based Investment Products Regulation can be accessed on the relevant exchange website under the heading 'Key Information Documents (KIDS).' Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 – Statements in this press release regarding ICE's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE's Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in ICE's Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the SEC on February 6, 2025.
TimesLIVE
2 days ago
- Business
- TimesLIVE
Nigeria's Dangote oil refinery extends US crude buying spree into July
Nigeria's Dangote oil refinery will import at least 5-million barrels of US WTI crude oil in July, three trading sources told Reuters, extending its buying spree after a potential record tally for June. The giant new 650,000 barrel per day capacity oil refinery is set to import around 161,000 bpd of WTI in July after awarding tenders in recent days, the sources said, off the back of a record 300,000 bpd booked in its June tenders. Final totals for the month could change should the refinery make more purchases. The buying spree highlights the increasing competition oil exporters face as the OPEC+ producer group increases output, with US crudes struggling to compete in Asia against a six-month low in spot premiums for UAE Murban crude, traders said. Commodity trader Vitol supplied 2-million barrels for July delivery in the latest Dangote tender, Azeri state-owned Socar another 2-million barrels, and miner and trader Glencore sold the remaining 1-million barrels, the sources said. Vitol did not immediately respond to a Reuters request for comment on the tender result, while Socar and Glencore declined to comment.
Reuters
23-05-2025
- Business
- Reuters
Murban crude prices drop as OPEC+ raises output, prompting surge in volumes to Asia
SINGAPORE, May 23 (Reuters) - Spot premiums for Murban crude have hit six-month lows on surging supply as the United Arab Emirates ramps up output following OPEC+'s decision to accelerate production hikes and compete head-on with U.S. shale oil, traders and analysts said. Asian buyers are flocking to the flagship Abu Dhabi light grade on low prices, with a record 10 million barrels of Murban traded on the S&P Global Platts Market on Close (MoC) process this month. Cheap Murban crude is also squeezing U.S. West Texas Intermediate oil out of Asian markets. "Asian markets have been oversupplied with light grades for most of this cycle, driven by outages at Japanese refiners, increased UAE availability this cycle following the accelerated OPEC+ unwind, and planned maintenance at Saudi Arabia's Petro Rabigh refinery," said Richard Jones, a crude oil analyst at Energy Aspects. "Dubai had effectively become a light benchmark this cycle," he added. Murban became the cheapest among a handful of medium-sour crude grades that can be delivered during the Platts MoC process that sets the Dubai benchmark price, market sources said, leading to record deliveries on the platform this month. Price weakness in the grade that accounts for two-thirds of Abu Dhabi National Oil Co's ( production is weighing on the Middle East benchmark that prices more than 14 million barrels per day of exports to Asia. OPEC+, which includes the Organization of the Petroleum Exporting Countries and allies such as Russia, agreed to increase production by nearly 1 million barrels per day (bpd) in April, May and June, with UAE's production rising to 3.09 million bpd in June from 3.02 million bpd in May. ADNOC expects Murban exports to exceed 1.7 million bpd in June through August, up from 1.65 million bpd in May, according to an April report on the ICE Futures Abu Dhabi (IFAD) website where Murban futures are traded. ADNOC declined to comment on Murban production and export volumes. A source with knowledge of the production plan said Murban output will rise by 200,000 bpd to a record 2.1 million bpd in July. IFAD Murban futures fell below $60 per barrel in early May for the first time since the contract started trading in 2021. The average spot premium for July-loading Murban slipped to $1.19 per barrel this month, the lowest in six months, making Murban cheaper than heavier grades such as Qatar's al-Shaheen whose term price was set at a premium of $1.63 a barrel and Oman whose premium averaged $1.37 so far this month. Heavier grades are typically cheaper than light ones as they produce more residue. The switch in pricing is partly driven by record fuel oil margins, said June Goh, senior analyst at Sparta Commodities. A record 20 Murban cargoes have been delivered in the Platts MoC process so far this month, S&P Global said. PetroChina ( opens new tab is the biggest buyer this month, with trading house Vitol ( delivering most of the cargoes, trade data showed. Japan, Thailand, India and China are Asia's top Murban buyers. Meanwhile, U.S. WTI is landing about $1 per barrel more expensive than Murban into Asia for August delivery, Sparta's Goh said, deterring Asian buyers from taking more U.S. light oil.
The National
17-05-2025
- Business
- The National
Majestic Murban: the significance of the UAE crude oil presented to Donald Trump
'The highest quality oil there is on the planet,' as US president Donald Trump called it. 'A globally-recognised benchmark', as Adnoc managing director and group chief executive Dr Sultan Al Jaber described it. Mr Trump had just been presented with a small bottle of Murban, the UAE's leading crude oil grade, during his visit to Abu Dhabi. What is Murban, and why does it matter? The story goes back to 1953. The first well drilled in the UAE, in a remote part of the Abu Dhabi desert, found traces of oil. But poisonous hydrogen sulphide gas escaping from a ruptured pipe killed two workers, and deterred further exploration there. Instead, the first big discovery was made offshore, at Umm Shaif, in 1958. A follow-up well, Murban-2, was drilled the same year, without success, but Murban-3, in May 1960, unearthed a major field. Though the field is now known as Bab, the well gives its name to the crude grade found there. Abu Dhabi launched into its oil boom, and the national journey which would form the UAE eleven years later. Oil is not all 'black gold' - it comes in a wide range of varieties. Heavy dark Venezuelan crude is so sticky, it will not flow out of an upturned bottle after hours. Oil from the Bakken shale formation of North Dakota is green, looking like lemon and mint juice. Some light oils are clear as water. Murban is usually a darkish brown. It is not just a matter of aesthetics. Heavy – that is, more dense - crude oils were traditionally less valuable, as they are more viscous and harder to refine. They yield higher quantities of less valuable fuel oil, and less of the light products such as petrol and kerosene. A heavy oil would have an API gravity – the scale used for crude density – of 15 or less. A crude with API below 10 will sink, not float, in water. Heavy oils are also typically 'sour' – with a higher content of sulphur, which has to be removed during refining. High-sulphur fuels are now banned in most countries for vehicles and ships because burning them produces polluting sulphur dioxide, a cause of acid rain. A very light crude would have an API up to about 50. Murban is a light crude, with an API gravity of 40, lighter than the European benchmark, Brent, or the US's West Texas Intermediate. It has a somewhat higher sulphur content though, of 0.7 per cent, Middle East crudes usually being quite sulphurous. Out of the UAE's production of about 3 million barrels per day currently, about 2 million bpd is the Murban grade. This makes it the lightest crude oil produced in quantity in the region. Kuwait, Qatar and Saudi Arabia produce moderate amounts of similar or lighter oils, but their main production is heavier. Russia's main grades are also heavier and higher in sulphur. Murban's export route is also highly strategic: three-quarters of it goes via pipeline to Fujairah for loading, enabling tankers to avoid entering the Gulf, and giving insurance in case of any interruptions to transit through the Strait of Hormuz. From March 2021, Murban became freely traded on the ICE Futures Abu Dhabi (Ifad) exchange. This achieved a record level of trading in January. The intention is to establish Murban as a key benchmark for crude sales in Asia. This was a rare move for the Gulf national oil companies which, other than in Oman, retain a tight grip over who can buy their crude and where it can go. Until then, most Asian crude oil sales were priced by reference either to Brent, produced thousands of kilometres away and in declining quantities, or Dubai-Oman. Dubai-Oman is traded on the Gulf Mercantile Exchange (GME) based in Dubai, which has established itself well. Its heavier, sour crude and Murban are complements. Adnoc has also considered launching a futures contract based on Upper Zakum, its main offshore grade, a heavier, sourer crude than Murban. At the end of 2023, Adnoc finishing upgrading its Ruwais refinery so it could run on crudes of different quantities. This was intended to free up more Murban for export. Supply of Murban will expand further as Adnoc's production expansion continues, and as Opec+ restrictions gradually ease during this year and next. These factors make Murban particularly important for Asian refiners. Of the nearly 1.4 million barrels per day of Murban exported last year, Japan, Thailand, India, China, South Korea and Singapore took 1.2 million bpd between them. Asia is, in turn, by far the world's biggest oil market, and the one large importing region still showing robust demand growth. So, on its 65th anniversary, what next for Murban? A paper just published by Bassam Fattouh and Ahmed Mehdi of the Oxford Institute for Energy Studies points to some key trends. Methods for oil pricing in Asia, traditionally very conservative, are being transformed by 'futurisation" – the growing importance of Ifad and GME, and the wider use of their pricing by other major sellers. Some unusual market features have at times caused Murban prices to fall below those of Upper Zakum and Oman, even though Murban would generally be considered the higher-quality crude. The UAE is set to increase production capacity more than any other Opec+ country, bar Iraq, over the next few years. About half of the increase comes from the Murban-producing onshore fields. This brownish liquid, a gift fit for a prince or a president, has been a nation-builder. Its importance, to the UAE and to Asian energy consumers, will keep growing. And there is plenty more Adnoc can do to capitalise on Murban's rare combination of vast quantity and vintage quality.
Indian Express
17-05-2025
- Business
- Indian Express
US President Donald Trump gets 'one drop of oil' as gift from UAE; his reaction goes viral: ‘I'm not thrilled'
Donald Trump has wrapped up his Middle East visit, ending his tour in the United Arab Emirates on Friday. But before boarding his flight back to the United States, he received a rather unique farewell gift – a single drop of Murban crude oil, the UAE's top-tier petroleum. The moment quickly went viral online, thanks to Trump's classic quip. In a video shared by his communications advisor Margo Martin, Sultan Al Jaber, the UAE's minister of industry and advanced technology and CEO of ADNOC, is seen handing Trump a sleek capsule containing the oil. Murban is known for being one of the highest-quality crude oils in the world, extracted from a massive oil field that dates back to 1958 and currently producing about two million barrels a day. Trump, never one to miss a chance to entertain, looks into the camera and says with a grin, 'This is one drop of oil.' Then, pausing for effect, he says, 'The highest-quality oil there is on the planet, and they only gave me a drop of it. So, I'm not thrilled… But it's better than no drop.' The dry humor and deadpan delivery turned the clip into an instant social media sensation. 'The highest quality oil there is on the planet and they only gave me a drop of it…so I'm not thrilled!' 🤣 — Margo Martin (@MargoMartin47) May 16, 2025 The symbolic gesture came at the close of a four-day tour that focused heavily on energy cooperation. Sultan Al Jaber also highlighted a major joint initiative between the US and Gulf countries – a $440 billion investment in the energy sector planned through 2035. The announcement fits into Trump's broader push to secure big-ticket business deals during his time in the region. But this wasn't the only viral moment from Trump's trip. His arrival in the UAE sparked a buzz online as well, after a group of Emirati girls welcomed him with the traditional 'Al-Ayyala' dance – known for its synchronized hair flips. Social media users couldn't resist chiming in, with one X user joking, 'Yeh kya darawlvana welcome hai' (What a scary welcome).
