Shell and Equinor sell WTI Midland cargoes to TotalEnergies
Oil majors divest U.S. shale crude cargoes as European refiners adjust sourcing amid shifting market dynamics.
Shell and Equinor have sold multiple West Texas Intermediate Midland crude cargoes to TotalEnergies, according to trading sources familiar with the matter.
The cargoes, sourced from the Permian Basin, are scheduled for delivery in the coming months, with pricing linked to the WTI benchmark. While the exact volumes and terms of the transactions were not disclosed, the deals reflect ongoing adjustments in global crude trade flows as refiners reassess supply strategies.
TotalEnergies, a major European refiner, has been increasing its purchases of light sweet crude from U.S. shale producers to optimize refining margins. The move follows similar transactions by other European buyers seeking to secure competitively priced crude amid volatile market conditions.
Shell and Equinor, both active in U.S. shale production, have been diversifying their crude sales channels as domestic output growth outpaces pipeline capacity. The Permian Basin remains a key source of WTI Midland, a grade closely watched as a proxy for U.S. shale supply.
The transactions underscore the evolving dynamics in the global oil market, where refiners and producers alike are adapting to shifting demand patterns and infrastructure constraints.
David reports on energy, metals and agricultural markets, tracking how supply signals and safe-haven demand move prices across the commodities complex.
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