European traders reported on Thursday that Algeria's state grain agency OAIC was believed to have bought about 500,000 metric tonnes of durum wheat at an international auction which closed on Wednesday.

Initial estimates of the volume purchased were unclear, but afternoon traders estimated that it was approximately 500,000 tonnes.

They said that this included as much as 275,000 tonnes from Canada, and up to 225,000 tons of other origins, including Turkey.

The tender sought nominal 50,000 tonnes for shipment over four periods, Oct. 1-15; Oct. 16-31; Nov. 1-15; and Nov. 16-30.

Algeria often purchases more than the nominal quantity sought in its tenders.

The initial price estimates for the larger Panamax shipments were between $328 and $332 a ton, including cost and freight. For smaller Handymax shipments, it was around $340 per ton.

Algeria does not reveal the results of its bids, and those reported are based solely on traders' assessments. Later, more detailed estimates of volume and prices are possible. (Reporting and editing by Jason Neely, Mark Potter, and Mark Potter).

(source: Reuters)