Grades weaken as WTI/Brent spread eases below $4/bbl

U.S. crude grades eased on Thursday, dealers said, as West Texas Intermediate crude futures' discount to Brent narrowed to below $4 a barrel.

WTI Midland weakened 10 cents, while WTI at East Houston (WTC-MEH), also known as MEH, eased 5 cents.

West Texas Intermediate crude futures' discount to Brent (WTCLc1-LCOc1) narrowed to as little as $3.93 a barrel. A discount below $4 typically disincentivizes export demand.

U.S. crude oil inventories rose last week as refineries headed into maintenance season, while gasoline stocks fell ahead of the long Labor Day weekend, data from the Energy Information Administration showed on Thursday.

Eight OPEC+ members will consider further raising oil production at a meeting on Sunday, two sources familiar with the discussions said, as the group seeks to regain market share.

In refining news, Irving Oil's 320,000-barrel-per-day refinery in Saint John, New Brunswick, will begin a 30-day turnaround later this month, the company said in a press release on Thursday.

* Light Louisiana Sweet (WTC-LLS) for October delivery eased 25 cents to a midpoint of a $2.15 premium and was seen bid and offered between a $2.00 and $2.30 a barrel premium to U.S. crude futures CL1!

* Mars Sour (WTC-MRS) was flat at a midpoint of a 30-cent premium and was seen bid and offered between a 15-cent and 45-cent a barrel premium to U.S. crude futures CL1!

* WTI Midland (WTC-WTM) eased 10 cents to a midpoint of a $1.05 premium and was seen bid and offered between a 85-cent and $1.25 a barrel premium to U.S. crude futures CL1!

* West Texas Sour (WTC-WTS) eased 25 cents to a midpoint of a 20-cent discount and was seen bid and offered between a 25-cent and 15-cent a barrel discount to U.S. crude futures CL1!

* WTI at East Houston (WTC-MEH), also known as MEH, traded between a $1.15 and $1.55 a barrel premium to U.S. crude futures CL1!

* ICE Brent November futures BRN1! fell 61 cents to settle at $66.99 a barrel on Thursday

* WTI October crude CL1! futures fell 49 cents to settle at $63.48 a barrel on Thursday

* The Brent/WTI spread (WTCLc1-LCOc1) narrowed 7 cents to last trade at minus $3.96, after hitting a high of minus $3.93 and a low of minus $4.04.