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West Africa Crude: Ample supply, sluggish demand weigh

BusinessDay
2 Min Read

Nigerian and Angolan crude differentials were steady to lower on Monday as ample supplies and lacklustre buying interest in Asia and Europe weighed on the market.

More than 10 Nigerian cargoes loading in August are available and September’s loading schedule, issued last week, points to rising supply  Angolan crude trading remained slow. Offers of some grades have moved a little lower but buyers appeared to be holding out for even lower prices.

Cracks and margins don’t look very supportive, so not much has changed from last month,” said a trader.

NIGERIA

Qua Iboe: All August cargoes are sold. September cargoes were being offered at dated plus $1.80. Traders assessed
September barrels at dated Brent plus $1 or slightly higher, steady from Friday.

Around 12-13 Nigerian cargoes for August were still unsold, down from as many as 15 on Friday. Unsold cargoes include the Bonny and Forcados grades.

Loading programmes point to Nigerian exports reaching the highest daily rate since May 2013. September’s total will load in 61 cargoes and is up from August’s revised rate of 1.82 million bpd.

ANGOLA

Some grades were being offered at lower levels against dated Brent than previously heard, traders said.

– Dalia: -$3.20, down 20 cents
– Girassol: -$0.50, down 30 cents

Other grades were last heard offered by Sonangol as follows:

CLOV: -$2.50
Hungo: -$2.50
Kissanje: -$1.20
Nemba: -$1.50
Plutonio: -$1.50
Saturno: -$5.50
Saxi: -$0.70

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