Russian energy major Rosneft (ROSN.RS) awarded a term supply tender to a trading unit of Total S.A. (TOT) for at least 480,000 metric tons of M100 fuel oil, traders said Tuesday.
Totsa Total Oil Trading will pay a premium of $50 per metric ton to Singapore 180-centistoke fuel oil quotes for the cargoes which will be lifted from east Russia, free on board, they said. They didn't give details on the ports of loading.
Rosneft will supply 2-5 cargoes each month from November to April, the traders said.
Each cargo will contain about 40,000-60,000 tons of straight-run fuel oil.
These cargoes are likely to head to China and Japan where they will be used in refineries, traders said.