Asian refiners snapped up US crude cargoes overnight as they sought to secure alternative supplies amid escalating tensions in the Middle East, trade sources said on Wednesday.
Two South Korean refiners purchased at least five million barrels of West Texas Intermediate (WTI) crude, the people said.
The cargoes for loading in July and August were bought at premiums of about $11-$12 a barrel to the Dubai benchmark, they added.
Thai refiner PTT bought about one million barrels of US crude and Japanese refiner Eneos bought two million barrels of WTI, one of them added. Oil companies typically do not comment on their trades.
Although US crude remains more expensive than Middle Eastern grades, renewed attacks between the US and Iran have slowed shipping through the Strait of Hormuz, raising concerns over future supplies and prompting buyers to look for alternative crude purchases.
Asian refiners outside China also turned to US crude in March and April when the conflict first erupted and disrupted flows through the Strait of Hormuz.
(Reporting by Siyi Liu in Singapore; Editing by Kate Mayberry)
