West Africa crude, Nigerian glut appears to dwindle, offers steady


LONDON, Jan 21 – Cargoes of Nigerian crude oil for
export in February appeared to be dwindling but remained
numerous on Tuesday and sellers remained largely firm in their
price offers.

* Around 10-15 Nigerian are still being offered for export
in February, two traders said, though others may eventually be
absorbed by oil majors’ own refining systems.
* Traders said offer levels have yet to come down despite
muted trading before and after the holidays and said high
official selling prices issued last week could hamper buying.
* Force majeure declared on exports of competing Libyan
mostly light, sweet crude were seen as a key reason why sellers
are unwilling to climb down from offers.
* These are down about 30 cents from all-time high offer
levels for many grades at the beginning of the last trading
cycle, but still have left European buyers preferring grades
from other markets.
* A trader said a dip in freight rates for Europe-bound
Suezmax tankers and shortages from Libya might mean buyers would
soon concede to the high prices.

* Angola will kick off the process to list 30% of oil
company Sonangol in the next two years though not before the
state-owned firm has been overhauled, the country’s minister of
Mineral Resources and Petroleum Diamantino Azevedo said.

* BP signed an agreement with Angola aimed at acquiring oil
further exploration rights, state news agency Angop reported,
the latest in a flurry of agreements between oil majors and
Africa’s second biggest exporter.

(Reporting By Noah Browning; editing by David Evans)

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