Vietnam’s state energy company Petrovietnam will next week issue a tender to buy crude oil from West Africa, Libya and Azerbaijan, traders said on Wednesday.
Traders said it was the first time they had seen West African crude oil grades targeted by Vietnam.
Vietnam will issue a tender specifying it is looking to buy grades including the Nigerian Qua Iboe, Escravos, Forcados, Erha, Brass River, Yoho as well as Azeri and Libyan grades, traders said.
The decision to opt for West African crude in the tender may have been prompted the lower premium of Brent crude to Dubai DUB-EFS-1M, traders said.
The premium fell in August to its lowest since 2010, though it has since recovered slightly.
The move also reflects a more outward-looking approach from Petrovietnam.
Rosneft said on Friday it had agreed to set up a joint venture with Petrovietnam to develop two shelf blocks in the Pechora Sea in the Arctic off northwest Russia and in August, the company bid for a stake in Murphy Oil’s Malaysian oil and gas assets.
The tender will be for cargoes to be delivered in the second week of November and the result is expected next Wednesday.
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