US Cash Crude-Grades mixed even as WTI/Brent spread narrows

HOUSTON, Dec 8 (Reuters) - U.S. cash crude grades were mixed on Monday, dealers said, even as the spread between U.S. West Texas Intermediate crude and global benchmark Brent narrowed by its most in 10 days.

WTI Midland eased 5 cents, while WTI at East Houston, also known as MEH, was unchanged. Mars Sour gained 5 cents.

The spread between WTI and Brent settled at minus $3.88. A spread narrower than minus $4 discourages exports.

Iraq restored production at Lukoil's LKOH.MM West Qurna 2 oilfield, one of the world's largest, after a leak on an export pipeline slashed its output, two Iraqi energy officials told Reuters on Monday.

Meanwhile, Kazakhstan plans to supply 50,000 metric tons of crude to China directly from the vast Kashagan field in December for the first time after a Ukrainian drone damaged the Black Sea terminal of the Caspian Pipeline Consortium (CPC), two sources told Reuters.

In refining news, U.S. oil refiners are expected to have about 54,000 barrels per day of capacity offline in the week ending December 12, unchanged from the previous week, research company IIR Energy said on Monday.

• Light Louisiana Sweet for January delivery eased 15 cents to a midpoint of a $1.40 premium and was seen bid and offered between a $1 and $1.80 a barrel premium to U.S. crude futures CLc1

• Mars Sour firmed 5 cents to a midpoint of a $1.10 discount and was seen bid and offered between a $1.30 and $0.90 a barrel discount to U.S. crude futures CLc1

• WTI Midland eased 5 cents to a midpoint of a 50-cent premium and was seen bid and offered between a 25-cent and 75-cent a barrel premium to U.S. crude futures CLc1

• West Texas Sour eased 35 cents to a midpoint of a $1.35 discount and was seen bid and offered between a $1.50 and $1.25 a barrel discount to U.S. crude futures CLc1 ​

• WTI at East Houston, also known as MEH, traded between a 50-cent and $1.00 a barrel premium to U.S. crude futures CLc1

• ICE Brent February futures LCOc1 fell $1.26 to settle at $62.49 a barrel on Monday.

• WTI January crude CLc1 futures fell $1.20 to settle at $58.88 a barrel on Monday.

• The Brent/WTI spread narrowed, last trading at minus $3.88, after hitting a high of minus $3.87 and a low of minus $3.97.