Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

UPDATE 1-Vietnam's Binh Son refinery buys first Nigerian crude cargo -sources

Published 30/08/2019, 06:12
Updated 30/08/2019, 06:20
© Reuters. UPDATE 1-Vietnam's Binh Son refinery buys first Nigerian crude cargo -sources

(Adds quote from senior company executive, background on

Vietnam crude oil imports)

By Shu Zhang and Khanh Vu

SINGAPORE/HANOI, Aug 30 (Reuters) - Vietnam's Binh Son

Refining and Petrochemical BSR.HNO has bought 1 million

barrels of Bonny Light crude in its first-ever import of

Nigerian crude, two trade sources and a senior company executive

told Reuters on Friday.

Binh Son bought the crude cargo in mid-August for delivery

in October-November for its 130,000-barrel-per-day Dung Quat

refinery, according to the sources, all of whom declined to be

named as they were not authorised to speak to the media.

"This is the first batch of crude oil we have imported from

Nigeria for the plant," said the company executive, who declined

to reveal further details.

"We haven't decided yet if we will keep importing Nigerian

crude in the future."

Binh Son, Vietnam's first refinery, is stepping up efforts

to reduce its dependence on the country's dwindling domestic

crude supply and widen its purchase options.

Vietnam has been relying more on imported crude due to a

slowdown in domestic output as its reserves decline at existing

fields, and because of China's increasingly assertive stance in

the region hampers offshore exploration.

Vietnam's crude oil imports for the January-August period

more than doubled from a year earlier to 5.57 million tonnes, as

its domestic oil output fell 6.9%, official data shows.

Last month, Binh Son's Vice-CEO Nguyen Van Hoi said the

company would import 2 million to 3 million barrels of U.S. West

Texas Intermediate (WTI) crude in the second half of this year

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

for the refinery.

Price levels for West African crude grades like Bonny Light

are competitive compared with regional sweet, or low-sulphur,

crude grades in the Asian markets, said the two trade sources.

Oil major BP BP.L likely sold the cargo to Binh Son,

according to other trader sources.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.