http://www.reuters.com/article/2011/02/24/us-libya-crude-idUSTRE71N3LJ20110224?pageNumber=1
Even if OPEC decides to act, many European analysts and traders say the crude most readily available from other OPEC nations is not the kind of light, sweet oil Libya can ship to aging European refiners.
"You are going to have to pay a premium for other crudes. If there's any sort of time constraint and you want them in a hurry you'll have to pay up to get in front of the next guy," said Rob Montefusco, a London-based oil trader at Sucden Financial.
Europe imports around 80 percent of Libya's 1.3 million bpd of exports, according to consultancy Facts Global Energy (FGE). The oil is destined chiefly for France, Germany and above all Italy, which buys around 400,000 bpd of Libyan crude. Its dependency is particularly high as it has many older plants.
LIGHT CRUDE, BUT FURTHER AWAY
Saudi Arabia, the world's leading oil exporter, has light crude, and senior sources said it is able to supply more to replace Libyan barrels. How much of it might be available to make the journey to Europe is unclear, however.
The kingdom has asked European refiners to specify the quantity and quality of oil they want, the Financial Times quoted a Saudi official as saying.
Even if OPEC decides to act, many European analysts and traders say the crude most readily available from other OPEC nations is not the kind of light, sweet oil Libya can ship to aging European refiners.
"You are going to have to pay a premium for other crudes. If there's any sort of time constraint and you want them in a hurry you'll have to pay up to get in front of the next guy," said Rob Montefusco, a London-based oil trader at Sucden Financial.
Europe imports around 80 percent of Libya's 1.3 million bpd of exports, according to consultancy Facts Global Energy (FGE). The oil is destined chiefly for France, Germany and above all Italy, which buys around 400,000 bpd of Libyan crude. Its dependency is particularly high as it has many older plants.
LIGHT CRUDE, BUT FURTHER AWAY
Saudi Arabia, the world's leading oil exporter, has light crude, and senior sources said it is able to supply more to replace Libyan barrels. How much of it might be available to make the journey to Europe is unclear, however.
The kingdom has asked European refiners to specify the quantity and quality of oil they want, the Financial Times quoted a Saudi official as saying.
