W. Africa Crude-Trading remains muted as market moves toward more storage

Published 09/09/2020, 17:12
Updated 09/09/2020, 17:18
© Reuters.

LONDON, Sept 9 (Reuters) - Few cargoes traded as traders
await results of several tenders and market economics
increasingly favour storage of crude.

* Angola's state oil company Sonangol was offering its last
two spot cargoes, both of which have been significantly marked
down in recent days.
* Dalia crude was being offered at dated Brent plus 30 cents
and Cabinda at plus 40 cents.
* Around 50 million barrels of unsold crude for September
export, much of it from Nigeria, continued to glut the market as
margins remained sluggish and Chinese buying all but halted.
* China's Unipec again held off on offering West African oil
for sale on the Platts window after selling several cargoes.
* Indonesia's Pertamina, India's IOC and Uruguay's Ancap
were all running buy tenders for which West African crude is
eligible, with all set to close on Wednesday.
* A stalled global economic recovery is leading to a fresh
build-up of global oil supplies, pushing traders including
Trafigura to book tankers to store millions of barrels of crude
oil and refined fuels at sea again. * Traders noted no West African crude appears to have been
bought to be put into storage and the charterings mostly
involved refined products suffering especially poor demand.

RELATED NEWS
* Nigeria asked a Milan court on Wednesday to order Eni and
Royal Dutch Shell to pay $1.092 billion as an immediate advance
payment for damages it is claiming in one of the oil industry's
biggest-ever corruption trials. * Russian gas giant Gazprom's overseas trading arm, Gazprom
Marketing and Trading, is closing down its crude oil and refined
products trading desks as part of an ongoing cost cutting, two
sources familiar with the development said.

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