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W. Africa Crude-Muted trading on high Nigerian offers, limited demand

LONDON, April 12 (Reuters) – Trading remained hampered by limited demand for Angolan oil in China and differentials on Nigerian grades that buyers said were too high.

* State oil company Sonangol had cut its offer levels, which traders said was an indication of its aim to sell them before the next month’s loading plan comes out next week.

* It had lowered its other offers several times, bringing its remaining Dalia down to a $1.50 per barrel discount to dated Brent, the Sangos to minus 90 cents, down from minus 70, and the Saturno to minus $1.50, down from minus $1.05.

* Angolan production fell notably in March, according to the OPEC monthly oil market report, sliding by nearly 82,000 bpd to 1.542 million bpd.

* Angolan cargoes have been in lower demand due to lacklustre buying interest in China, where maintenance plans in April and May were curbing consumption.

* Nigerian deals remained limited as sellers kept differentials at high levels.

* Majors Shell, Total and BP were all offering cargoes, traders said, and roughly half of the country’s loading plan had yet to trade.

* Still, offer levels were elevated, with Bonga as high as $1.90 per barrel above dated Brent, Bonny Light in a range from $1.60-$1.90 per barrel and Agbami at 60 cent premiums.

* An award for the tender from India’s IOC for several millions of barrels, including West African grades, loading in June and July was expected on Friday.

* The results of a tender from Indian refiner MRPL for 600,000 barrels for June 1-15 loading was not immediately clear.

* Indonesia’s Pertamina was also running a tender to buy 600,000 barrels of May-loading oil.

* The global oil stocks surplus is close to evaporating, OPEC said, citing healthy energy demand and its own supply cuts while revising up its forecast for production from rivals who have benefited from higher oil prices.

* Essar Oil has settled about 2 billion euros ($2.5 billion) in dues to Iran to cover previous oil purchases and still owes the country about $616 million, Chief Executive B. Anand said. (Reporting by Libby George, editing by David Evans) ))

Naija247news, Nigeria
Naija247news is an investigative news platform that tracks news on Nigerian Economy, Business, Politics, Financial and Africa and Global Economy.

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