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India's Bharat Petroleum Corp Ltd. (BPCL) has sold two new fuel oil cargoes for loading in January, according to market sources.

The 380-centistoke (cst) parcels, each 30,000- 40,000 tonnes in size, are scheduled for loading on January 10-14 from the port of Mumbai and January 20-24 from Kochi having been reportedly sold to Sharjah-based fuel oil trader FAL Oil and oil major Shell respectively. The cargoes are understood to be have been purchased at a discount of $15 and $13 per tonne to Singapore spot quotes on a free-on-board (FOB) basis.

Earlier this month Bharat Petroleum issued a tender for the prompt sale of 30,000 tonnes of fuel oil scheduled for loading from Kochi on December 22-24 on a free on board (FOB) basis. Bunker supplier Chemoil bought the cargo at a discount of $16.00-$17.00 a tonne to spot quotes, FOB, traders said.

Bharat also recently sold two similar-sized lots for loading from Mumbai on December 15-21 and from Kochi on December 27-31. The parcels were understood to have been purchased by FAL Oil and Shell at discounts of $11.00-$15.00 a tonne to Singapore spot quotes on a free-on-board (FOB) basis.

Bharat Petroleum is a rare spot seller of fuel oil cargoes as it normally supplies the majority of its term cargoes to its joint venture partner Matrix Bharat Marine Services, which sells marine fuel at the world's leading bunker port, Singapore.

However, over the past month Bharat has now sold 150,000-180,000 tonnes of fuel oil cargoes for December and January lifting. The change in strategy is said to be because the company recently acquired competitively priced sour crude on term, which it has been using to produce more fuel oil.