Abu Dhabi's state-owned Adnoc has informed customers that it will ease nomination cuts for April-loading term exports of all its crude grades. The company will implement a cut of around 5pc to client nominations for supplies of its flagship light sour Murban crude loading in April. This compares with a reduction of around 15pc to term exports of Murban for March loading. Adnoc will also relax cuts for April-loading term exports of its light sour Das Blend and Umm Lulu grades to around 5pc each. Adnoc had cut March-loading Das nominations by around 20pc and March-loading Umm Lulu by 10pc. Adnoc will reduce April-loading term supplies of its medium sour Upper Zakum crude by about 5pc, an easing from nomination cuts of around 15pc for March.
As has been its practice in recent months, Adnoc did not send an official email regarding the cuts but instead informed its term lifters of their allocated volumes for April loading. Adnoc may have made smaller reductions to its term crude allocations in anticipation of a further loosening of Opec+ production quotas. The group's ministerial meeting is scheduled for 4 March, during which Opec and its non-Opec allies are expected to make a decision on output quotas beyond March. A rally in global crude prices has raised expectations within Opec+ that the group could sanction less stringent production cuts from April.