London (Platts)--13Jul2007

Production at the 186,000 barrel/day Buzzard field, a major contributor
of crude to the benchmark Forties blend, is 40,000 b/d below expectation in
July, a source said Friday.
     The exact reason for the drop in output remained unclear but, according
to a source at Canadian operator Nexen, it will be fixed in the coming days.
     "There is no serious problem," said the source. "There is apparently a
small problem but, if all goes to plan, we will return to normal after the
weekend."
     The source confirmed that output has been below average expectation for
the first 10 days in July, with rates currently seen at 146,000 b/d.
     Traders reported some slippage in the July Forties program early Friday,
as a drop in production has pushed loadings back by two days. 
     A representative at BP's Forties Pipeline System declined to comment.
     The large Buzzard field came on stream on January 7 this year and is
expected to make up 26% of Forties blend in July, rising to 32% in August,
according to Forties operator BP.
--Joel Hanley, joel_hanley@platts.com
--Elzbieta Rabalska, elzbieta_rabalska@platts.com