W.Africa Crude-Traders on Sidelines

Posted by Michelle Howard
Friday, April 04, 2014

West African oil differentials were unchanged on Friday, with traders on the sidelines as they assessed the impact of lower North Sea supply and awaited a clearer outlook for Libyan exports.
   

The supply of North Sea crude that underpins the Brent benchmark will average 774,000 barrels per day (bpd) in May, according to loading schedules provided by trade sources on Friday, down from April.
   

This was seen putting upward pressure on Nigerian differentials because oil from the two regions competes for customers.
   

"We're waiting to see what the offers on the North Sea are like," a trader said.
   

Crude oil futures prices fell earlier this week on hopes that Libyan supply would return. This would pressure West African grades because they are of a similar light, low-sulphur composition.
   

Libya has seen evidence of "good intentions" at indirect talks with eastern rebels which could lead to the lifting of their blockage of major oil ports within days, a government minister said on Thursday.
   

But in an example of the chaos and shifting alliances typical of the OPEC producer, divisions in the rebel camp became apparent on Thursday when a senior member told Reuters he and seven others had quit the rebels' leadership team in a conflict with top leader Ibrahim Jathran.
   

Supporting differentials, Nigerian crude supply was the lowest in at least five years, Reuters data showed, due to an outage of the Forcados grade as a pipeline leak prompted a  force majeure. Shell said on Friday the force majeure remained in place.
    
Nigeria

  •     Qua Iboe: Assessed unchanged at around dated Brent plus $2.70-$2.90 a barrel. Traders said at least five cargoes of the grade were available, with only one or two spot trades done.
  •     Forcados: Shell said the force majeure on exports was still in place. A tanker that has been waiting to load for the past three weeks moved into the terminal on Wednesday, although it was unclear whether loading had begun.
  •     Erha: None of four cargoes has been sold, a trader said.
  •     Agbami, Usan and EA grades had sold out, the trader said.

    
    Angola

  •     Grades still available include Cabinda and Girassol.
  •     Differentials for most grades were said to be in line with the previous month, but Pazflor was around 50 cents above dated Brent higher.

    
    Asian Tenders

  •     An MRPL tender is due next week with part one on Monday, part two on Wednesday and the award on Thursday, a trader said.
  •     Pertamina was heard to have taken a Cabinda cargo, a trader said.

    

 (Reporting by Simon Falush; Editing by Dale Hudson)

Maritime Reporter May 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Ports

USCG Tall Ship Sailing to the Bahamas

The U.S. Coast Guard Cutter Eagle is scheduled to arrive at Berth 14 at Prince George Wharf in Nassau, Bahamas on Thursday, May 28 as part of its 2015 cadet summer training deployment.

Shipping Freight Rates Drop Amidst Overcapacity

Shipping freight rates on the world's busiest route, from Asia to Northern Europe, fell by the largest percentage amount since 2008, reflecting wild volatility

WFP: Aid Cargo for Yemen will be Delivered After Ship Docks

The World Food Programme will deliver a cargo of Iranian aid for Yemen once the ship carrying it reaches Djibouti's port, the U.N agency said on Friday. Earlier

News

DMW Marine Takes the Lead in Military Cranes

DMW Marine Group, LLC. has completed a number of projects for the U.S. Navy and foreign Navies in recent years, claiming a place as a go-to supplier for Navy departments globally.

US Oil Platform on Fire in Gulf Of Mexico

An oil platform caught fire and was evacuated in the U.S. Gulf of Mexico offshore Louisiana in the early hours of Friday, though no injuries were reported, the U.

USCG Tall Ship Sailing to the Bahamas

The U.S. Coast Guard Cutter Eagle is scheduled to arrive at Berth 14 at Prince George Wharf in Nassau, Bahamas on Thursday, May 28 as part of its 2015 cadet summer training deployment.

Government Update

US Funding for Air Emissions/Alternative Energy Projects

The U.S. Maritime Administration (MARAD) announced that up to $1.3 million in Federal funding is now available through cooperative agreements for projects supporting

WCI Applauds Increased USACE Funding

Today WCI applauded the leadership of Senate Appropriations Committee Chairman Thad Cochran (R-MS) and Senate Energy & Water Development (E&WD) Appropriations Subcommittee

SoCal Beach Cleanup Could Take Months

The U.S. Coast Guard captain overseeing cleanup of oil spilled from a pipeline rupture that closed two California state beaches and fouled offshore waters near

Logistics

SoCal Beach Cleanup Could Take Months

The U.S. Coast Guard captain overseeing cleanup of oil spilled from a pipeline rupture that closed two California state beaches and fouled offshore waters near

Myanmar Finds 200 Bangladeshis in Offshore Boat

Myanmar's navy found a boat carrying more than 200 Bangladeshis, the government said on Friday, after the military chief said some migrants landing in Malaysia

Shipping Freight Rates Drop Amidst Overcapacity

Shipping freight rates on the world's busiest route, from Asia to Northern Europe, fell by the largest percentage amount since 2008, reflecting wild volatility

 
 
Maritime Standards Naval Architecture Navigation Pipelines Pod Propulsion Port Authority Ship Electronics Ship Repair Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2302 sec (4 req/sec)