W. Africa Crude-Demand for Nigerian oil high, though loading issues continue

Published 28/11/2019, 18:13
© Reuters.  W. Africa Crude-Demand for Nigerian oil high, though loading issues continue

LONDON, Nov 28 (Reuters) - Gasoline cracks and high prices

for competing North Sea grades kept price offers high for light,

sweet Nigerian crude, though two key streams have suffered

loading issues.

* A slightly smaller January loading volume for North Sea

benchmark grades and multi-year price highs for the likes of

Forties kept offers for some light, sweet Nigerian grades above

a $3 premium to dated Brent.

* Less than 10 cargoes of Nigerian crude remain for export

in December -- a record low for 2019 -- as European refiners

continue to maintain high interest.

* The Bonga stream is set to export only a single cargo

because of maintenance issues that also curtailed December

exports.

* Sabotage on a major pipeline feeding exports of Bonny

Light oil led to a small change to the timeline of exports this

week, carrying over a cargo each assigned to Shell and Vitol

from December to January.

* One cargo of Forcados crude for export over Jan. 9-10 was

reassigned from Shoreline to Vitol and another for Jan. 18-19

from Seplat to Mercuria.

* Indonesia's Pertamina issued a buy tender for Feb. 8-12

and Feb. 13-22 delivery. The tender closes on Dec. 2 and remains

valid until Dec. 4.

* Pertamina bought U.S. West Texas Intermediate (WTI)

Midland crude for delivery between February and June, it

announced last week, in a sign that a once-secure market for

Nigerian crude was facing increasing U.S. competition.

RELATED NEWS

* Chevron has launched the sale of its stakes in two

Nigerian offshore oil and gas blocks, a sale document seen by

Reuters shows, as the company seeks to dispose of ageing assets

to focus on its fast-growing U.S. production. * Equatorial Guinea announced plans to build two new oil

refineries among other energy projects worth $1 billion in an

effort to diversify a sector that provides more than 90% of its

foreign revenue. * The Nigerian government on Thursday placed a bank

guarantee of $200 million with a London court to secure a stay

on asset seizures of up to $9 billion related to a failed gas

project.

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