US Cash Crude-Coastal grades firm as WTI/Brent discount trades at widest this month

HOUSTON, Feb 18 (Reuters) - U.S. coastal crude oil grades firmed on Wednesday as a wide discount for U.S. crude to the global benchmark Brent supported export demand.

Mars and Thunder Horse firmed 50 cents, while Southern Green Canyon firmed $1.

The spread between WTI and Brent widened to as much as minus $5.26, the most this month. A spread larger than minus $4 typically encourages export demand, driving prices higher.

U.S. crude stocks fell by 609,000 barrels in the week ended February 13, market sources said, citing American Petroleum Institute figures on Wednesday. Gasoline inventories fell by 312,000 barrels, while distillate inventories fell by 1.57 million barrels from a week earlier, the sources said.

U.S. refiners Phillips 66 PSX.N and Citgo Petroleum are seeking to buy heavy crude directly from Venezuelan state oil company PDVSA starting in April to maximize profits, rather than purchasing through trading houses and U.S. oil major Chevron CVX.N according to sources familiar with the efforts.

India's state-run Bharat Petroleum Corp BPCL.NS has made its first-ever purchase of Venezuelan oil, and private refiner HPCL Mittal Energy Ltd (HMEL) has bought the South American country's crude for the first time in two years, three sources familiar with the trade said on Wednesday.

In refining news, U.S. oil refiners are expected to have about 1.17 million barrels per day of capacity offline in the week ending February 20, increasing available refining capacity by 410,000 bpd, research company IIR Energy said on Wednesday.

• Light Louisiana Sweet for March delivery rose 50 cents to a midpoint of a $2.25 premium and was seen bid and offered between a $2.00 and $2.50 a barrel premium to U.S. crude futures CLc1 ​

• Mars Sour firmed 50 cents to a midpoint of a 25-cent discount and was seen bid and offered between​ a discount of 50 cents and parity to U.S. crude futures CLc1

• WTI Midland eased 15 cents to a midpoint of a 30-cent premium and was seen bid and offered between parity and a 60-cent​ a barrel premium to U.S. crude futures CLc1 ​

• West Texas Sour eased 15 cents to a midpoint of a $2.90 discount and was seen bid and offered between a $3.10 and $2.70 a barrel discount to U.S. crude futures CLc1 ​

• WTI at East Houston, also known as MEH, traded between a 70-cent and $1.20 a barrel premium to U.S. crude futures CLc1

• ICE Brent April futures LCOc1 rose $2.93 to settle at $70.35 a barrel on Wednesday​.

• WTI March crude futures CLc1 rose $2.86 to settle at $65.19 a barrel on Wednesday​.

• The Brent/WTI spread widened 10 cents to last trade at minus $5.26, after hitting a high of minus $5.17 and a low of minus $5.33.