Bonny Light crude price remains low at $23.25 per barrel

Despite the oil cut initiative of the Organisation of Petroleum Exporting Countries, OPEC, and non-OPEC members, the price of Bonny Light, Nigeria’s premium oil grade only rose marginally from $23.19 to $23.25 per barrel, yesterday.

The prices of other crudes, including Brent and OPEC Basket also remained low at $32.05 and $21.19 per barrel respectively.

Investigation by Vanguard showed that it would take a much longer time for the market to respond to the oil cut as the market was saturated with excess oil from many nations, including Mexico, which has already opted out of the accord.

Moved to tackle the prolonged instability in the market, the 10th (Extraordinary) OPEC and non-OPEC Ministerial Meeting held via video conference, on Sunday, April 12, 2020, had agreed to, “Adjust downwards their overall crude oil production by 9.7 mb/d, starting on May 1, 2020, for an initial period of two months that concludes on June 30, 2020. For the subsequent period of 6 months, from July 1, 2020 to December 31, 2020, the total adjustment agreed will be 7.7 mb/d.”

The Meeting also agreed that this “will be followed by a 5.8 mb/d adjustment for a period of 16 months, from January 1, 2021 to April 30, 2022. The baseline for the calculation of the adjustments is the oil production of October 2018, except for the Kingdom of Saudi Arabia and The Russian Federation, both with the same baseline level of 11.0 mb/d.”

Source:  https://www.energymixreport.com/bonny-light-crude-price-remains-low-at-23-25-per-barrel/

Sixty Nigerian oil cargoes unsold despite price cut

A total of 60 Nigerian crude oil cargoes have not been sold despite the reduction of the official selling prices by the Nigerian National Petroleum Corporation.

A glut of Nigerian and Angolan crude weighed on the market on Tuesday with demand from China slower than in the last few weeks, Reuters reports.

“It’s a buyer’s market right now,” one trader was quoted as saying, adding that nothing was shifting.

According to Reuters, the glut of unsold Nigerian oil was around 60 cargoes for April and May, and cargoes of Qua Iboe and Bonny Light crude continued to be offered at around dated Brent minus $3.

The Nigerian National Petroleum Corporation was reported in March to have cut its April official selling prices for Bonny Light and Qua Iboe, two of the nation’s major grades, by $5 per barrel to dated Brent minus $3.29 and minus $3.10 per barrel, respectively.

Source:  https://www.energymixreport.com/sixty-nigerian-oil-cargoes-unsold-despite-price-cut/

16-04-2020

AGO [/vc_column_text][/vc_column][/vc_row]PORT HARCOURT DEPOTDEPOT PRICEAVIDOR PH/NIPCO₦ 185.0SHORELINK ₦ 190.0BULK STRATEGIC PHTULCAN/TSLMASTERS₦ 183.0LIQUID BULKSTOCKGAP₦ 183.0NIPCO/SIGMUND₦ 185.0BULK STRATEGIC/NIPCOOVHCONOIL₦ 183.0SAHARA CALABAR DEPOTDEPOT PRICENORTHWEST₦ 183.0AMMASCO₦ 183.0MAINLANDSAMON PET₦ 183.0FYNEFIELD₦ 176.0ALKANES₦ 176.8YSG (YOUNG SHALL GROW)₦ 176.0BLOKKS HYDEAZMAN/NIPCO₦ 183.0UGO HANNAH WARRI DEPOTDEPOT PRICERAINOIL OGHARA₦ 175.0NEPAL OIL & GAS / NNPC₦ 175.0PRUDENT OGHARA₦167.50MATRIX₦170.0CYBERNETICSTAURUS₦175.0OPTIMA₦170.0PINNACLEAYM SHAFA₦ 173.0 LAGOS DEPOTDEPOT PRICEAFRICA TERMINALS₦ 170.5IBACHEM₦ 171.0IBETO₦ 171.0MRS₦ 170.0LEIGHTEN...

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15-04-2020

AGO [/vc_column_text][/vc_column][/vc_row]PORT HARCOURT DEPOTDEPOT PRICEAVIDOR PH/NIPCO₦ 185.0SHORELINK ₦ 190.0BULK STRATEGIC PHTULCAN/TSLMASTERS₦ 183.0LIQUID BULKSTOCKGAP₦ 183.0NIPCO/SIGMUND₦ 185.0BULK STRATEGIC/NIPCOOVHCONOIL₦ 183.0SAHARA CALABAR DEPOTDEPOT PRICENORTHWEST₦ 183.0AMMASCO₦ 183.0MAINLANDSAMON PET₦ 183.0FYNEFIELD₦ 176.0ALKANES₦ 176.8YSG (YOUNG SHALL GROW)₦ 176.0BLOKKS HYDEAZMAN/NIPCO₦ 183.0UGO HANNAH WARRI DEPOTDEPOT PRICERAINOIL OGHARA₦ 175.0NEPAL OIL & GAS / NNPC₦ 175.0PRUDENT OGHARA₦167.50MATRIX₦170.0CYBERNETICSTAURUS₦175.0OPTIMA₦175.0PINNACLEAYM SHAFA₦ 173.0 LAGOS DEPOTDEPOT PRICEAFRICA TERMINALS₦ 171.5IBACHEM₦ 171.0IBETO₦ 171.0MRS₦ 170.0LEIGHTEN...

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14-04-2020

AGO [/vc_column_text][/vc_column][/vc_row]PORT HARCOURT DEPOTDEPOT PRICEAVIDOR PH/NIPCO₦ 185.0SHORELINK ₦ 190.0BULK STRATEGIC PHTULCAN/TSLMASTERS₦ 183.0LIQUID BULKSTOCKGAP₦ 183.0NIPCO/SIGMUND₦ 185.0BULK STRATEGIC/NIPCOOVHCONOIL₦ 183.0SAHARA CALABAR DEPOTDEPOT PRICENORTHWEST₦ 183.0AMMASCO₦ 183.0MAINLANDSAMON PET₦ 183.0FYNEFIELD₦ 176.0ALKANES₦ 176.8YSG (YOUNG SHALL GROW)₦ 176.0BLOKKS HYDEAZMAN/NIPCO₦ 183.0UGO HANNAH WARRI DEPOTDEPOT PRICERAINOIL OGHARA₦ 175.0NEPAL OIL & GAS / NNPC₦ 175.0PRUDENT OGHARA₦167.50MATRIX₦170.0CYBERNETICSTAURUS₦175.0OPTIMA₦175.0PINNACLEAYM SHAFA₦ 173.0 LAGOS DEPOTDEPOT PRICEAFRICA TERMINALS₦ 171.5IBACHEM₦ 171.0IBETO₦ 171.0MRS₦ 170.0LEIGHTEN...

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13-04-2020

AGO [/vc_column_text][/vc_column][/vc_row]PORT HARCOURT DEPOTDEPOT PRICEAVIDOR PH/NIPCO₦ 185.0SHORELINK ₦ 190.0BULK STRATEGIC PHTULCAN/TSLMASTERS₦ 183.0LIQUID BULKSTOCKGAP₦ 183.0NIPCO/SIGMUND₦ 185.0BULK STRATEGIC/NIPCOOVHCONOIL₦ 183.0SAHARA CALABAR DEPOTDEPOT PRICENORTHWEST₦ 183.0AMMASCO₦ 183.0MAINLANDSAMON PET₦ 183.0FYNEFIELD₦ 176.0ALKANES₦ 176.8YSG (YOUNG SHALL GROW)₦ 176.0BLOKKS HYDEAZMAN/NIPCO₦ 183.0UGO HANNAH WARRI DEPOTDEPOT PRICERAINOIL OGHARA₦ 175.0NEPAL OIL & GAS / NNPC₦ 175.0PRUDENT OGHARA₦167.50MATRIX₦171.0CYBERNETICSTAURUS₦175.0OPTIMA₦175.0PINNACLEAYM SHAFA₦ 173.0 LAGOS DEPOTDEPOT PRICEAFRICA TERMINALS₦ 171.5IBACHEM₦ 172.0IBETO₦ 172.0MRS₦ 170.0LEIGHTEN...

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Nigeria Joins OPEC To Cut Crude Oil Production

The Federal Government on Friday said crude oil price would rebound by at least $ 15 per barrel in the short term following the latest intervention of the Organisation of Petroleum Exporting Countries and its allies, jointly referred to as OPEC + .

Minister of State for Petroleum Resource , Timipre Sylva , said the rebound could translate to additional revenue of $ 2 . 8 bn for Nigeria .

He said , “It is expected that this historic intervention when concluded will see crude oil prices rebound by at least $ 15 per barrel in the short term , thereby enhancing the prospect of exceeding Nigeria ’ s adjusted budget estimate that is currently rebased at $ 30 per barrel and crude oil production of 1 . 7 million barrels per day .

“ The price rebound may translate to additional revenues of not less than $ 2 . 8 bn for the federation. ”

Sylva , who disclosed this in a speech he personally signed, stated that Nigeria joined OPEC + to cut crude oil supply by up to 10 million barrels per day between May and June 2020 , eight million bpd between July and December 2020 , and six million bpd from January 2021 to April 2022 .

He stated that based on reference production of Nigeria in October 2018 of 1 . 829 million bpd of dry crude oil, Nigeria would now be producing 1 . 412 million bpd, 1 . 495 million bpd and 1 . 579 million bpd respectively for the corresponding periods in the agreement .

“ This is in addition to condensate production of between 360 – 460 KBOPD of which are exempted from OPEC curtailment . The agreement awaits close out of ongoing engagement with Mexico to agree on its full participation , ” the minister stated .

He said it was pleasing to note that despite the production curtailments that this historic agreement would entail , all planned industry development projects would progress as they would be delivered after the termination of the 9 th OPEC/Non -OPEC Ministerial Meeting Agreement on adjustments in April 2020 .

Nigeria joined other OPEC+ counterparts in a historic curtailment of crude oil production to rebalance and stabilise the global oil markets.

Sylva explained that Nigeria was participating in the pursuit of its commitment to the framework of the Declaration of Cooperation entered on the 10 th December 2016 and further endorsed in subsequent meetings as well as the Charter of Cooperation signed in July 2019 .

source: punch

10-04-2020

AGO [/vc_column_text][/vc_column][/vc_row]PORT HARCOURT DEPOTDEPOT PRICEAVIDOR PH/NIPCO₦ 185.0SHORELINK ₦ 190.0BULK STRATEGIC PHTULCAN/TSLMASTERS₦ 183.0LIQUID BULKSTOCKGAP₦ 183.0NIPCO/SIGMUND₦ 185.0BULK STRATEGIC/NIPCOOVHCONOIL₦ 183.0SAHARA CALABAR DEPOTDEPOT PRICENORTHWEST₦ 183.0AMMASCO₦ 183.0MAINLANDSAMON PET₦ 183.0FYNEFIELD₦ 176.0ALKANES₦ 176.8YSG (YOUNG SHALL GROW)₦ 176.0BLOKKS HYDEAZMAN/NIPCO₦ 183.0UGO HANNAH WARRI DEPOTDEPOT PRICERAINOIL OGHARA₦ 175.0NEPAL OIL & GAS / NNPC₦ 175.0PRUDENT OGHARA₦174.0MATRIX₦171.0CYBERNETICSTAURUS₦175.0OPTIMA₦175.0PINNACLEAYM SHAFA₦ 173.0 LAGOS DEPOTDEPOT PRICEAFRICA TERMINALS₦ 171.5IBACHEM₦ 172.0IBETO₦ 172.0MRS₦ 170.0LEIGHTEN...

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FG to shut down oil refineries for upgrade — NNPC GMD

The Federal Government is set to shut down all its oil refineries in its effort to secure funding and a model to upgrade them, the Group Managing Director of Nigerian National Petroleum Corporation (NNPC) said yesterday.

In statements posted on Twitter, Kyari said the oil industry will look to cut costs and extend payments wherever possible to survive oil prices that hit 18-year lows late last month.

“Today, after proper scoping, which was not done in the past, we know exactly what to do to get them back on stream,” Kyari said.

The three Nigerian refineries have worked only sporadically due to years of underinvestment. The government has been working to revamp them but has struggled to find external financing to do so. Running the refineries has proved costly for Nigeria, as they are decades old and poorly maintained.

While Kyari said they had secured funding without providing details, several previous deals to fund repairs have fallen through, and a source close to the discussions told Reuter’s other funding had yet to be confirmed.

Aside from proper scoping, we’re also going to have an Operation & Maintenance (O&M) contract, a different model of getting the refineries to work. We are looking at the NLNG structure where world-class processes will always be in play. We’ve seen it work before with success.

The Nigeria LNG model is run by international companies such as Shell, Total and Eni alongside NNPC.More in Home

Kyari also expressed optimism that a meeting this week between OPEC and other producers could yield a fresh deal to shore up oil prices. “We believe the ongoing engagements between global oil producers will bring back demand and once that happens, the market will balance and fully recover by year-end,” he said.

 Vanguard

COVID-19: Demand for Nigeria’s oil drops by 6.8m barrels, says NNPC

The Nigerian National Petroleum Corporation says demand for Nigeria’s crude oil in March dropped by 6.8 million barrels due to the COVID-19 pandemic.

The Group Managing Director of NNPC, Mele Kyari, said this on Channels Television’s Sunrise Daily programme on Wednesday.

Kyari said the drop in the demand for oil was not peculiar to Nigeria but global.

When asked how Nigeria’s crude is doing on the international market, he said, “Well, it is doing badly but it is improving. Last week, it went down to close to $15 per barrel but as I speak this morning, we are at $32.79 to a barrel.

“So, we think with all the engagements going on, countries going back to work like in Europe means consumption will come back, demand will rise because we have lost about 6.8 million barrels of demand in March alone.

“And when things come back, the market will balance and make sure that the market recovers. I am sure you are aware of all the engagements that have gone on internationally with OPEC, producers and the partners to make sure that there is balance.”

Kyari expressed optimism that things would rebound before the end of the year.

source: Punch