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Spot Trade For Nigerian Oil Dips, As Bonny Light Price Rises

Nigeria is having problems selling its crude oil in the international market, according to international news agency, Reuters

The news agency quoted oil traders as confirming that little international sales have been made for cargoes of oil lifted from Nigeria in May 2018.  

Just one shipment of Nigeria’s Qua Iboe brand will be delivered to India out of the May load, the news organization reported.



Talks of curtailed supply for June exports are been discussed with the Nigerian National Petroleum Company (NNPC), as traders predict that oil majors; Shell, Total and British Petroleum (BP), will absorb some of the May sales back into their system.

A loading programme or export contract is expected this evening or tomorrow.

Meanwhile, Nigeria’s most sought-after crude oil brand, Bonny Light, is trading at a higher price than the world’s major low sulfur oil, Brent Crude.

Before allied missile strikes on targets in Syria on Saturday morning, Bonny Light went for $72.78, while Brent traded for $72.58.

The Organisation of Petroleum Exporting Countries and Russia, are trying to keep down production volumes in order to keep prices relatively high; but Nigeria’s production is creeping up.

The Guardian says production figures are at 1.810 million barrels per day; NNPC says they hope to attain volumes of 2.4 million barrels per day.