Monday, November 1, 2010

W.Africa Crude-Nigerian, Angolan rise as market tightens

* Nigerian Qua Iboe rebounds 15 cents to dated plus $1.55

* Only two Qua cargoes reported still available for December

* Angolan programmes for December revised up 80,0000 bpd

LONDON, (Reuters) - Nigerian crude oil differentials
moved higher on Monday, supported by stronger demand in Europe
after the end of the French refinery strikes and by Asian demand
via buying tenders.

Workers at French refineries and ports have returned to work
but there is still a back-log of crude vessels waiting to get
into oil terminals. Asian demand meanwhile has continued apace,
with Indian refiners soaking up a range of light, sweet crudes
from Nigeria over the last month.

Angolan crude oil remains in demand from Chinese buyers and
values have been supported by a tightening of supply.


* Qua Iboe: Trafigura was reported to be offering its cargo
loading Dec. 27-28, one of only two cargoes still said to be
available for lifting in December. The other 11 Qua Iboe cargoes
have been sold for between dated Brent plus $1.40 and plus $1.55
but traders said the market had since moved higher and assessed
doable levels at up to dated Brent plus $1.55 to plus $1.60.

* Bonny Light was assessed close to Qua Iboe with some extra
interest in the grade due to its high middle distillate content.

* Erha: Vitol was reported to be offering a cargo loading
Dec. 28-29 at dated Brent plus $2.00 but traders said this level
was probably 25 cents too high.

* Nigeria's parliament may pass its long-awaited Petroleum
Industry Bill before the end of December, paving the way for a
new exploration licensing round, presidential advisor on energy
Emmanuel Egbogah said on Monday.

* Egbogah said Nigeria was currently producing between 2.6
million and 2.7 million barrels per day (bpd) of oil versus an
output capacity of 3.6 million bpd.


* Angola will export 1.57 million bpd of crude in December,
around 80,000 bpd more than previously expected for the month
but down from 1.65 million bpd in November, trade sources said
on Monday. The final programme for December shows Angola loading
51 full or part cargoes, three cargoes more than shown in the
earlier, provisional loading programme.

* December's final programme shows three cargoes of Palanca
crude and four cargoes of Plutonio in December.

* Production will be lower in December due to maintenance
and technical issues on several crude export streams, traders
said. Oil output should recover early in 2011, they said.

* Sonangol was offering just three cargoes for December
loading, having sold all the others either spot or term:
Girassol, Saxi and Palanca.

* Girassol: offered at dated Brent plus 30 cents, bids
assessed around 20 cents lower.


* State-run Indian Oil Corp. has open another buying tender
for sweet crude loading in January, its second, traders said.

(Reporting by Christopher Johnson; editing by Alison Birrane)

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