Tuesday 16 February 2016

W. Africa Crude-Nigerian cargoes linger, with new programmes looming

 

Nigeria's March crude programme was struggling to find outlets this week, traders said on Tuesday, with some 25 million barrels still unsold even as the April loading programme loomed.

Despite this, offers of the oil had gone mostly quiet as those holding the cargoes waited for reluctant buyers to return to a market awash with choice for oil.

Most said the differentials would have to weaken somewhat in order to get the cargoes moving, particularly with refinery maintenance coming and freight rates increasing to some destinations.

Still, several tenders due this week from Indian refiners would likely clear out a few thousand of the barrels.

The slow movement contrasted with Angola's March loadings, which traded quickly due in part to larger term contracts with Chinese buyers that left less oil for spot trading.

Angola is expected to export at least 1.8 million barrels per day (bpd) in April, slightly more than March.


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