Fuji Oil Buys Oct Mideast Crude at Deep Discount

Japanese oil refiner Fuji Oil Co Ltd bought two cargoes of Middle East crude via a tender at deep discounts amid soft demand in Asia, traders said on Tuesday.

The company bought 500,000 barrels of Banoco Arab Medium from Statoil (STO) and the same volume of Qatar Land from Itochu (ITOCY), they said.

Both grades were priced at 75 cents a barrel below their official selling prices (OSPs), they added.

Most Middle East crude for October loading are trading at wide discounts as refiners cut output on weak margins.

Reporting by Florence Tan