FINWIRES · TerminalLIVE
FINWIRES

Market Chatter: Adnoc Floats Third Tender in June for Sale of UAE Crude

By

FINWIRES Analysis

A third monthly tender signals Adnoc is actively accelerating spot crude placement, a notable cadence that may reflect either strong buyer demand or a push to move incremental barrels. The flexibility on delivery terms and storage hubs like Fujairah underscores Adnoc's strategy to widen its buyer base beyond term contracts. Traders should read the repeated tenders as a sign of liquidity and pricing competition in Middle East grades.

Key Takeaways

  • Third June tender signals accelerated spot placement
  • Flexible delivery terms widen Adnoc's buyer base
  • Cadence reflects liquidity in Mideast crude grades

UAE-based state-owned oil and gas major Abu Dhabi National Oil Company has issued its third tender this month for the sale of crude oil, Reuters reported on Monday, citing trade sources.

The tender offers cargoes of Upper Zakum, Umm Lulu and Das crude for loading from June to August, with buyers allowed to bid for a maximum of 2 million barrels of oil, the report said.

Buyers will also have the option to opt for purchase via a free-on-board basis from Fujairah storage, Zirku or Das Island, a cost and freight basis, or ship-to-ship transfer mode in Fujairah-Sohar range and Malaysia, in line with previously issued tenders, the report said.

Pricing for the cargoes will be based on the official selling prices of the grades or the Dubai benchmark.

has reached out to Adnoc for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Related Articles

Oil & Energy

Crude Posts Weekly Loss on Middle East Ceasefire Progress, US-Iran Peace Signals

Global oil benchmarks fell on Friday as volatile swings tied to Middle East ceasefire talks and an imminent peace deal continued to erase geopolitical risk premiums.West Texas Intermediate settled at $84.29 per barrel, down from $90.25/bbl the previous week, while Brent closed at $86.85/bbl, down from $93.03/bbl a week earlier.Brent crude futures fell 6.70% for the week, while West Texas Intermediate futures declined 6.25% over the week.On Monday, early 5% gains were completely pared back following an announcement from Iran's military that its first wave of strikes against Israel had concluded, which coincided with claims from US President Donald Trump that both sides were actively pursuing an immediate ceasefire.Despite subsequent stark warnings from Tehran of harsher retaliation if Israel struck Lebanon, Trump insisted that peace negotiations were moving quickly, even though a US naval blockade remained in place.By Tuesday, global oil prices bottomed out at a more than one-week low as geopolitical tensions eased, further supported by reports that Israeli Prime Minister Benjamin Netanyahu confirmed the country would hold its fire against Iran for the time being.Demand indicators painted a mixed picture. Data from India's oil ministry showed fuel consumption fell to 19.93 million metric tons in May from 21.31 million metric tons during the same period last year, although it marked an increase from April.Concurrently, Kpler strategists highlighted that US crude exports hit a record 5.6 million barrels per day in May, driven by Strategic Petroleum Reserve releases and heavy Gulf of Mexico output, though a June slowdown is anticipated.The downward trajectory temporarily reversed on Wednesday, with crude futures climbing over 1% as a renewed rhetorical escalation between the US and Iran cast doubt on any imminent peace.On the supply front, the American Petroleum Institute reported a sharp 9.12-million-barrel draw in US inventories.Meanwhile, the Energy Information Administration released its June Short-Term Energy Outlook, trimming its 2026 global demand forecast by 1.1 million b/d due to high retail fuel prices.The agency modeled that restricted shipping through the Strait of Hormuz would incrementally resume in Q3 2026, though full normalization could stretch into early 2027.Prices climbed further on Thursday, propelled by President Trump's sudden threats of imminent military strikes against Iran and a reported seizure of the Kharg Island infrastructure, offsetting a bearish demand forecast from OPEC, which lowered its 2026 growth outlook to 1 million b/d.The upward momentum was also reinforced by official EIA data confirming a 7.2-million-barrel drop in US crude oil inventories to 426.5 million barrels.However, on Friday oil benchmarks slumped below $90/bbl after Trump posted on Truth Social that he had canceled the scheduled Thursday night strikes.Later, during an Oval Office interaction Trump said that Washington had reached a "great settlement" to end the war with Iran.On Friday, conflicting claims emerged over media reports of the draft memorandum of understanding between the US and Iran.Trump said in a Truth Social post that Iran had inaccurately portrayed the terms discussed between the two sides, adding that the terms "have nothing to do with the terms that were agreed to, in writing."Shortly after, Iranian Foreign Minister Seyed Abbas Araghchi responded to growing media speculation and separately signaled progress in negotiations on the proposed Islamabad Memorandum of Understanding in a post on X, which Trump later reposted on Truth Social."The Islamabad Memorandum of Understanding has never been closer," Araghchi said, adding that media should refrain from speculation until finalization.Pakistan, acting as a key mediator, said an "incessant misinformation campaign" was underway to sabotage the deal, with Prime Minister Shehbaz Sharif stating that a final agreed text had been reached and Islamabad was working with both sides on next steps."Peace has never been this close as it is now," he posted on X.The Islamabad MoU is reportedly expected to be signed on Sunday in Geneva.Market analysts at ING expressed skepticism about the deal's stability, warning that seasonally stronger demand could still push prices to $120/bbl-$130/bbl by late July if the Strait of Hormuz does not officially reopen.Meanwhile, the US oil rig count rose by two from 431 the previous week to 433, in the week ending June 12, according to data from Baker Hughes (BKR) released Friday.The US had 439 oil rigs in operation a year earlier. The consolidated North American oil and gas rig count, a key early indicator of future production levels, rose by 10 to 742 from 732 the previous week.Money managers in the WTI crude futures and options markets maintained their net long positions in the week ended June 9, according to the Commodity Futures Trading Commission's latest Commitments of Traders report released on Friday.The data showed that money managers reported 215,237 long positions, down 6,434 from June 2, while short positions were also down 5,382 to 92,030.

$BKR
Oil & Energy

US Oil Update: Futures Drop as Markets Await Clarity on US-Iran Deal Prospects

Crude oil futures settled lower in after-hours trading on Friday as markets weighed conflicting messages from the US and Iran over the prospects for a peace deal that could ease the ongoing Middle East conflict and restore oil flows through the Strait of Hormuz.Front-month West Texas Intermediate crude futures plunged 3.96% to $84.24 per barrel, and Brent futures retreated by 3.99% to $86.79/bbl.Soojin Kim, research analyst at MUFG, said oil prices extended losses after President Trump said a peace deal with Iran could be signed as soon as the weekend.The US and Iran could sign a deal that includes reopening the Hormuz and taking steps to dismantle Iran's nuclear program in the "next few days," according to media reports.However, a Trump administration official reportedly said that the US is not 100% confident that the agreement they reached will be signed at all. The administration official expects an 80% chance that the US and Iran will sign an agreement in the coming days.Pakistan's Prime Minister Shehbaz Sharif said on Friday that a final, agreed text of a peace deal between the US and Iran had been reached.Pakistan's Prime Minister Sharif, in a social media post on X, confirmed that a final, agreed-upon text of the peace deal has been reached and that Pakistan is working closely with both sides to finalize the next steps.On Thursday, Trump said that the US had "just made a great settlement of the war with Iran," subject to the "finalization of documents."However, the US President, in a Truth Social post on Friday, rejected media reports on the Iranian text of the deal.Iranian Foreign Minister Seyed Abbas Araghchi, in response, said in a social media post that a memorandum of understanding between the US and Iran "has never been closer.""Pending its finalization, the media should refrain from entering speculation about its content," Araghchi said. "In line with our responsible and transparent approach, all details will be shared with the public in due course."Araghchi said that the Hormuz would no longer be administered before the war, adding that Tehran would charge service fees and maintain a deterrent posture over the strategic waterway.On the supply side, Energy Secretary Chris Wright reportedly said that about 7 million barrels per day of oil are leaving the Persian Gulf with the help of the US military. Secretary Wright said that about half of the crude that has been stuck in Hormuz since the outbreak of the Middle East conflict.OPEC lowered its forecast for global crude demand growth in 2026 to 970,000 barrels per day, according to the producer group's monthly report published on Thursday. The current forecast reduced the expected oil demand growth in 2026 from 1.17 million b/d.

Oil & Energy

Araghchi Details Next Steps Following Islamabad MOU

Iran's Foreign Minister Seyed Abbas Araghchi said Friday that the US-Iran peace agreement, known as the Islamabad Memorandum of Understanding, ends the war on all fronts, including in Lebanon, and commits the parties to avoiding renewed conflict.In a post on Telegram, Araghchi said that the framework also covers the Strait of Hormuz, sanctions relief, economic reconstruction and development, and a mechanism for the release of blocked Iranian funds.The minister said negotiators will use the next phase of talks to finalize implementation details before publishing the full agreement.A 60-day negotiation period will follow the MOU as the parties work toward a broader, more comprehensive accord, Araghchi said.Addressing concerns about implementation guarantees, Araghchi said progress toward a broader agreement depends on both sides fulfilling the commitments outlined in the memorandum, with negotiations on a final accord proceeding only if those provisions are implemented.Iran's actions during the 12-day conflict, the subsequent confrontation and resistance during the US naval blockade, and the demonstration of capabilities that would discourage future attacks and strengthen the agreement's security foundation, he added.Araghchi described the Strait of Hormuz as one of Iran's key deterrence tools and said recent developments enhanced its strategic leverage in the region.Araghchi said Iran remains committed to Lebanon and Hezbollah, adding that both supported the Iranian people during the conflict and would not be abandoned.