U.S. cash crude- Thunder Horse leads grades up

* T Horse light sour up 50 cents, sells even with WTI

* Traders suggest refinery slate changes feed move

* Spreads mixed but trans-Atlantic arb up sharply

HOUSTON, Oct 29 (BestGrowthStock) – Thunder Horse led light grades
higher on the U.S. cash crude market Friday, and traders
suggested changing refinery production plans drove the move.

Thunder Horse (THH-: ) light sour, largely controlled by BP
(BP.L: ), sold even with West Texas Intermediate (CLc1: ), after
dealing for 50 cents a barrel under the screen Thursday.

Light sweets also gained, including Light Louisiana Sweet
(HLS-: ), up 15 cents at $3.30 over WTI, and Heavy Louisiana
Sweet (HLS-: ), stronger by 20 cents, dealing at $2.20 over.

Sours and Midcontinent grades moved less. Mars sour (MRS-: )
gained 20 cents to sell for -$1.90, but Poseidon and Southern
Green Canyon were virtually unchanged.

See [CRU/TU] for other deals.

Traders and brokers said refinery slate changes for
December could be driving the move to light grades.

One suggested that plans were afoot to produce more
gasoline in response to economic optimism and inventory reports
showing a drop in gasoline supplies. Light grades make gasoline
more easily.

On futures markets, December WTI (CLZ0: ) shed 75 cents to
settle at $81.43 a barrel. December Brent (LCOZ0: ) lost 44 cents
to close at $83.15.

The WTI-Brent spread (CL-LCO1=R: ) moved out 31 cents to
$1.72 a barrel in favor of Brent as the French refiners’ strike
was seen faltering, with crude demand rising in the aftermath.

Front-month WTI strengthened a few cents against the second
month (CL-1=R: ), but the WTI-Brent spread carried more weight.

The last reported sale of Alaska crude for December
delivery was done 60 cents under WTI on Wednesday.


See (REF/MARGIN1: ) for Reuters’ generic refining margins

See (CL-1=R: ) for the WTI front/second month spread

See (CL-LCO1=R: ) for front month WTI/Brent futures spread

See (BFO-: ) for Reuters’ assessment of Dated Brent

See (0#FRT-: ) for Reuters assessed tanker rates

See (BRNV: ) for assessed domestic crude differentials

See (PPGR: ) for outright U.S. cash crude prices

See [REF/US] for a list of U.S. refinery outages

See [EIA/S] for U.S. EIA inventory reports and forecasts

See [CRU/TU] for recent cash crude deals
(Reporting by Bruce Nichols and Janet McGurty; Editing by
Walter Bagley)

U.S. cash crude- Thunder Horse leads grades up