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Asia midday crude futures: Ice Brent extends losses
Ice Brent futures fell in early Asian trading, even after the US walked back its plans to force a reopening of the strait of Hormuz.
The Ice front-month July Brent contract was at $108.10/bl at 04:00 GMT, down by $1.77/bl from its settlement on 5 May, when it ended $4.57/bl lower.
The Nymex front-month June crude contract was at $100.58/bl, lower by $1.69/bl from its settlement on 5 May, when it ended $4.15/bl lower.
US president Donald Trump said on 5 May he will "pause" the US military mission to facilitate the exit of stranded vessels through the strait of Hormuz.
Trump cited a request from Pakistan, other unnamed countries, and "the fact that Great Progress has been made toward a Complete and Final Agreement with Representatives of Iran" among the reasons behind his decision to pause the "Project Freedom" mission, launched only a day earlier.
But the US military effort, which allowed only two US-flagged vessels to exit the Mideast Gulf, has run into stiff resistance from Tehran.
Trump announced the decision to pause the Project Freedom mission only hours after senior US military officials and US secretary of state Marco Rubio cast it as a first step toward forcing Tehran to give up its control over Hormuz. Defence secretary Pete Hegseth went as far as to claim that the first day of US military operations already established safe passage for ships looking to transit through Hormuz. Iran "said they control the strait," Hegseth said, adding that "They do not."
Iran did not immediately react to Trump's announcement. Tehran earlier on 5 May said it would require all ships seeking to pass through Hormuz to obtain a transit permit from a newly created agency, "the Persian Gulf Strait Authority", according to Iran's state TV broadcaster.
US independent refiner Marathon Petroleum is hoping to take more crude from the US Strategic Petroleum Reserve (SPR) in the latest loan offering. Marathon is working with the Department of Energy (DOE) to run the SPR crude in the second quarter, chief commercial officer Rick Hessling said on Tuesday.
Marathon was previously awarded 9.7mn bl in SPR "exchange contracts" from the DOE, according to the agency. The contracts are a type of loan under which a company can take out crude from the SPR in exchange for returning the borrowed amount, plus an in-kind payment.
Ice Brent futures fell in early Asian trading, even after the US walked back its plans to force a reopening of the strait of Hormuz.
The Ice front-month July Brent contract was at $108.10/bl at 04:00 GMT, down by $1.77/bl from its settlement on 5 May, when it ended $4.57/bl lower.
The Nymex front-month June crude contract was at $100.58/bl, lower by $1.69/bl from its settlement on 5 May, when it ended $4.15/bl lower.
US president Donald Trump said on 5 May he will "pause" the US military mission to facilitate the exit of stranded vessels through the strait of Hormuz.
Trump cited a request from Pakistan, other unnamed countries, and "the fact that Great Progress has been made toward a Complete and Final Agreement with Representatives of Iran" among the reasons behind his decision to pause the "Project Freedom" mission, launched only a day earlier.
But the US military effort, which allowed only two US-flagged vessels to exit the Mideast Gulf, has run into stiff resistance from Tehran.
Trump announced the decision to pause the Project Freedom mission only hours after senior US military officials and US secretary of state Marco Rubio cast it as a first step toward forcing Tehran to give up its control over Hormuz. Defence secretary Pete Hegseth went as far as to claim that the first day of US military operations already established safe passage for ships looking to transit through Hormuz. Iran "said they control the strait," Hegseth said, adding that "They do not."
Iran did not immediately react to Trump's announcement. Tehran earlier on 5 May said it would require all ships seeking to pass through Hormuz to obtain a transit permit from a newly created agency, "the Persian Gulf Strait Authority", according to Iran's state TV broadcaster.
US independent refiner Marathon Petroleum is hoping to take more crude from the US Strategic Petroleum Reserve (SPR) in the latest loan offering. Marathon is working with the Department of Energy (DOE) to run the SPR crude in the second quarter, chief commercial officer Rick Hessling said on Tuesday.
Marathon was previously awarded 9.7mn bl in SPR "exchange contracts" from the DOE, according to the agency. The contracts are a type of loan under which a company can take out crude from the SPR in exchange for returning the borrowed amount, plus an in-kind payment.
By YouLiang Chay