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W. Africa Crude-Nigerian diffs firm on U.S. imports of European gasoline

Published 03/07/2019, 16:47
Updated 03/07/2019, 16:50
© Reuters.  W. Africa Crude-Nigerian diffs firm on U.S. imports of European gasoline

LONDON, July 3 (Reuters) - Demand for Angolan and Nigerian
crude was seen to be picking up on Wednesday ahead of new marine
fuel regulations set for 2020 and a rise in European gasoline
exports to the U.S. East Coast.

NIGERIA
* Gasoline exports from Europe to the U.S. East Coast rose
in recent days after the June 21 fire at the 335,000
barrel-per-day Philadelphia Energy Solutions Inc refinery, with
around 555,000 tonnes of gasoline and blending components booked
in the first week of July.
* European gasoline cracks have mounted and while these
factors favour Nigerian imports, traders say expectations for
even better margins in the short term are stoking interest.
* But U.S. gasoline stocks USOILG=ECI fell by 1.6 million
barrels, the Energy Information Administration (EIA) said, less
than analysts' expectations. * Around 10-15 cargoes were heard to remain for July
loading.
* Price offerings for August loading cargoes of major grades
Bonny Light and Qua Iboe were around a premium of $2.50-$2.60
compared to dated Brent, up from late spot sales of July loading
cargoes closer to $2.30-$2.40.

ANGOLA
* Interest in heavier and more sour Angolan grades was heard
to be mounting, though top buyer China remained interested in
competing Middle Eastern grades.
* China is already capitalising on a narrowing Brent-Dubai
spread to make more brisk purchases of Angolan crude.
* A little less than 20 cargoes remain for August, with
sales of around a couple cargoes per day.

TENDERS
* India's IOC issued a new buy tender for west African crude
loading Sept. 1-10, closing on Thursday.
* Indonesia's Pertamina has issued a tender for crude
loading Aug. 1-8 set to close on Friday.

RELATED NEWS
* At least 50 people were killed in Nigeria when fuel from a
crashed truck that they were collecting caught fire, a spokesman
for the governor in Benue state said on Tuesday. * Gasoline exports from Europe to the U.S. East Coast rose
sharply in early July after a fire at a major refinery in
Philadelphia left a supply shortage in the densely populated
region.

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