• Saturday, July 13, 2024
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BusinessDay

Nigerian crude differentials weaken as demand remains sluggish

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Nigerian crude differentials weakened on Tuesday due to lacklustre demand and progress in resolving some of the supply disruptions in Libya.
Up to 20 cargoes of Nigerian crude were available for May loading, traders said, and supply from Libya is set to rise should a deal between the government and rebels to reopen four terminals hold.
Traders said there were not many Asian buying tenders, which usually absorb grades such as Qua Iboe, and pointed out that the contango market underlined the sluggish level of demand.
Nigeria's own output was still reduced by disruption to shipments of Forcados crude. Shell said on Tuesday a force majeure on Forcados exports remained in place. 

    NIGERIA
    * Qua Iboe: Offered at dated Brent plus $2.60 on Tuesday by BP, down 40 cents from an offer on Monday. 
    At least five cargoes and as many as seven of the grade are available.
    * As many as 20 Nigerian cargoes of all grades are available, including two Bonny, a trader said.

    ANGOLA
    * Around six or seven cargoes are still available for May loading, traders said.
    * Kissanje was being offered at dated Brent minus 20 cents on Tuesday, also lower than previous indications.

    ASIAN TENDERS
    * Indian refiner MRPL is running a buying tender this week and the result is expected on Wednesday, a trader said.