In August, the discount of Poseidon crude compared to Mars decreased even more in trading, thanks to the declining sulfur content of Poseidon, which enhances its relative worth, as reported by Argus.
Poseidon’s value soars
Poseidon crude, delivered to Houma, Louisiana, has exhibited a reduced discount of 50¢/bl compared to Mars for August delivery, marking a significant decrease from an average discount of 89¢/bl last year and 82¢/bl in the second quarter. In June, the spread between Poseidon and Mars averaged 56¢/bl, narrowing to a 52¢/bl discount in July. The declining sulfur content of Poseidon, approximately 1.5%, has contributed to its increased value relative to Mars, which contains around 2% sulfur. Poseidon originates from offshore fields in the US Gulf of Mexico, located approximately 200 miles southwest of New Orleans, and is transported via the Poseidon pipeline to Houma.
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Source: Argus
