Nigerian crude oil grades languish on international market

Nigeria’s Erha programme surfaced after weeks of delays that traders said related to a disagreement between state oil firm NNPC and the field operator, Reuters reports.

Programmes for Erha were issued after several weeks of delay. Four cargoes will be loading in March and three in April, the programmes showed. NNPC also issued its official selling price for Erha in March at 9 cents above dated Brent, up from a 17 cent discount in February.

Differentials for Nigerian crude were however, weak despite a force majeure on Forcados. About 15 March-loading Nigerian crude cargoes are still available, traders said, and a force majeure on Forcados exports was doing little to boost differentials for most grades. Bonny Light for April loading was offered at dated Brent plus $1.50 per barrel and Bonga at a $1 premium. Traders said India’s HPCL had taken a cargo of Nigerian crude, likely Qua Iboe, from Exxon but this was not confirmed. HPCL has several other tenders pending, including one to swap Nigerian crude of its own for different grades.

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