North Sea Crude-Brent, Forties edge lower; Buzzard output still lower

LONDON, Feb 1 (Reuters) - North Sea crude oil differentials eased on Wednesday, after a small flurry of lower offers undermined both Brent and Forties, despite evidence of a tighter market.

* The Buzzard field, the largest contributor to the Forties stream, is still operating at reduced rates, since a technical glitch last week knocked production back to around 160,000 barrels per day, from closer to 180,000 bpd, one trading source with knowledge of the matter said.

* Shell (LSE: RDSB.L - news) and Glencore (Frankfurt: 8GC.F - news) now own almost half of all February-loading Forties cargoes, according to trading sources. While it is not unusual for any trader in the North Sea to amass large physical positions for operational reasons from time to time, it can create a temporary liquidity vacuum.

* Shell has chartered two supertankers, each capable of carrying some 2 million barrels of crude, bound for Asia this month: the Athenian Success, at Fawley, and the Appollonas.

* In flows, the VLCC Aquila, which has been booked by Glencore's shipping arm, ST Shipping, has arrived at Hound Point for loading. The vessel is due to leave for South Korea.

* Glencore has also booked the VLCC Alice, which is just off the Scottish coast and due to travel to Asia this week, as well as the Huge, a supertanker currently off the Canary Islands that is scheduled to load at Hound Point next week.

* Supply of Brent will rise to around 97,000 bpd in March, from closer to 86,000 bpd in February, making it the only one of the four crudes that underpin the dated benchmark to run at a faster rate next month.

WINDOW SUMMARY

BRENT/EKOFISK

* BP offered a cargo of Brent for loading Feb. 18-20 at a discount of 5 cents to the dated price.

* Shell withdrew a bid for Brent loading Feb. 14-16 at parity with the dated benchmark price.

* Litasco withdrew a bid for a cargo of Ekofisk for loading Feb. 20-25 at a discount of 20 cents to dated Brent.

FORTIES

* Unipec offered a cargo of Forties for loading Feb. 11-15 via STS (Shanghai: 603322.SS - news) at Scapa Flow from the aframax Alfa Britannia at a discount of $1.10 to the cash April BFOE price.

* Unipec offered a cargo of Forties for loading Feb. 13-15 Dated at a premium of 5 cents to the dated price.

* Shell withdrew a bid for a cargo of Forties for loading Feb. 11-21 at a discount of 10 cents to the dated price.

* Trafigura withdrew a bid for a cargo of Forties for loading Feb. 11-21 at a discount of 5 cents to dated Brent.

* BP withdrew an offer for Forties to load Feb. 20-22 at a premium of 30 cents to dated Brent.

* Litasco withdrew a bid for a cargo of Forties for loading Feb. 12-20 at a discount of 20 cents to the dated price. (Reporting by Amanda Cooper; Editing by Ruth Pitchford)