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DJ - Petral Buys February Gasoil From Hin Leong,Vitol,Shell,PetroChina

By Wayne Ma

Of DOW JONES NEWSWIRES

SINGAPORE (Dow Jones)--PT Pertamina's trading unit Petral has purchased 2.4 million barrels of 0.35%-sulfur gasoil from Hin Leong Trading Ltd., PetroChina Co. (PTR), Royal Dutch Shell PLC (RDSB.LN) and Vitol Holding B.V. for early February delivery, according to a trader familiar with the matter.

Petral bought the gasoil, or diesel, at an average premium of below $1 a barrel to Singapore quotes on a cost-and-freight basis, the trader said.

Petral initially sought three 600,000-barrel cargoes of gasoil to Balongan and Situbondo for Jan. 31-Feb. 2 and Feb. 1-3 delivery, two 200,000-barrel cargoes to Kota Baru and one 200,000-barrel cargo to Manggis for Feb. 8-10 delivery.

Following private negotiations, PetroChina sold one 600,000-barrel cargo to Petral, while Hin Leong supplied the other two 600,000-barrel cargoes, the trader said. Vitol, Shell and PetroChina each supplied one 200,000-barrel cargo, the trader added.

Petral is now seeking another 400,000 barrels of gasoil following a recent fire at its refinery in Balikpapan, which would bring its gasoil purchases to 4 million barrels this month. It had already bought 1.2 million barrels via term contracts with SK Energy Co. (096770.SE) and Kuwait Petroleum Corp.

The same parties are in private negotiations for the additional imports, the trader said.

Pertamina, Indonesia's state-owned oil company, plans to reduce gasoil imports for March to 3 million barrels.

-By Wayne Ma, Dow Jones Newswires; +65 6415 4065; wayne.ma@dowjones.com



(END) Dow Jones Newswires

February 08, 2010 23:13 ET (04:13 GMT) Copyright (c) 2010 Dow Jones & Company, Inc.