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W. Africa Crude-Angolan differentials ease, cargoes dwindle

Published 03/07/2020, 16:46
Updated 03/07/2020, 16:48
© Reuters.

LONDON, July 3 (Reuters) - Price offers for Angolan crude
oil eased slightly on Friday due to a lack of Chinese buying,
but cargoes remaining to be sold for August have been selling
steadily.

* Poor margins and nearly-exhausted import quotas for
independent refiners meant Chinese buyers were less interested
in Angolan and Congolese crude grades.
* Much of the export programme for Congolese Djeno remains
unsold, traders said.
* Still, only around a little over 12 cargoes of Angolan oil
have yet to be sold for August, as a pick-up to some middle
distillate margins and draws of refined product stocks provided
support in some markets.
* Consistent Indian buying continued to buoy Nigerian
differentials, especially for some medium grades.
* Prices for lighter Nigerian grades had yet to rally
despite significant draws on gasoline stocks in Europe, as cheap
U.S. competition continues to be more attractive to importers.

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* Oil majors Eni and Royal Dutch Shell were aware that most
of the money they spent to buy a Nigerian oilfield in 2011 would
go in corrupt payments to politicians and officials, an Italian
prosecutor said on Thursday. * Global supply of fuel oil, used by ships and power plants,
is expected to grow in the third quarter, depressing the marine
fuel market as shipping demand remains weak, analysts and trade
sources said.

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