As the Libyan National Army’s blockade of the country’s oil ports enters a second week, the urgency with which European oil traders are seeking alternatives to fill the 1 million b/d hole is growing. Shipping data for February shows Repsol, OMV, Unipec, Saras and ENI among the regular charterers of vessels from Libya, and the lost barrels are equivalent to more than a fifth of the total refinery throughput for the Mediterranean. With stock levels low – Europe’s crude market has been backwardated throughout January – Libya’s customers now have to find replacement barrels quickly, empowering sellers of light, sweet grades to demand steep premiums for their oil, especially prompt barrels loading in the Mediterranean. “Everyone is playing a waiting game, but someone has to give in at some point,” said one trader, referring to […]