Home | News | General | Fifty unsold cargoes of Nigeria’s oil await buyers in global market
[ICYMI] Obasanjo writes former African presidents, rallies support for AfDB’s Adesina
Katsina govt relaxes lockdown for Friday prayers, Church services

Fifty unsold cargoes of Nigeria’s oil await buyers in global market

Kindly Share This Story:

Fifty unsold cargoes of Nigeria’s oil await buyers in global market

Fifty unsold cargoes of Nigeria’s oil await buyers in global market

By Udeme Akpan with Agency Report

The global oil market remains dull as 50 unsold cargoes of Nigeria’s Bonny Light await buyers, indicating that the volatile market is still flooded with unsold stocks.

Reuters, which confirmed the situation, disclosed that despite the coronavirus pandemic, India purchased a bulk of the nation’s crude yesterday.

It stated: “India provided one of the few outlets for Nigerian oil as East Asian tenders were awarded to crude from elsewhere and a glut builds up.

“Tenders for sweet crude oil by Thailand’s IRPC and Taiwan’s CPC were not awarded to any West African grades, with the latter taking U.S. oil instead.

“Indian oil firms took in about 5-6 million barrels of Nigerian crude last week and 2 million so far this week, a trader said, with India’s IOC awarding a tender to Total for Akpo crude and possibly one other cargo.

“There remain around 50 unsold cargoes of Nigerian crude seeking buyers, with European demand largely non-existent. Contango in the global oil market has narrowed recently amid signs India and China are tapping vast amounts of floating storage collecting since demand dried up amid the coronavirus pandemic.

“Oil majors and trading houses have been offering Middle Eastern and West African oil stored at sea as spot prices strengthened in Asia.”

However, the price of Nigeria’s Bonny Light hovered at $33.56 per barrel, with the Organisation of Petroleum Exporting Countries, OPEC, raising hope that the market was heading towards stability.

Rising from a recent engagement with China, which accounts for one-third of the global demand growth, OPEC, stated: “The meeting reflected on the impact of the COVID-19 pandemic on the global economy and oil market, as well as China’s domestic oil market, the rebalancing process of oil supply and demand, and China’s solutions for and optimization of the oil and gas trade system. The meeting also reached a consensus on the importance of energy security and maintaining stability in the energy markets, strengthening collaboration between OPEC and China, as well as supporting and promoting the unique importance of multilateralism and globalization.”

Vanguard News Nigeria

Kindly Share This Story:

CLICK HERE TO READ MORE FROM: General Visit website


view more articles

About Article Author

Chuka (Webby) Aniemeka
Chuka (Webby) Aniemeka

Chuka is an experienced certified web developer with an extensive background in computer science and 18+ years in web design &development. His previous experience ranges from redesigning existing website to solving complex technical problems with object-oriented programming. Very experienced with Microsoft SQL Server, PHP and advanced JavaScript. He loves to travel and watch movies.

View More Articles

100 Most Popular News

1 2 Displaying 1 - 100 of 169