W. Africa crude exports suffer setbacks from fire, volatile price benchmarks
LONDON (Reuters) -- Nigerian exports suffered another setback as SPDC closed the Trans Niger Pipeline, which carries Bonny Light, because of a fire. Trading quickened for medium crude grades, with China's Unipec booking several cargoes.
Oil price benchmarks on which West African sale prices are based were volatile as OPEC heavyweight Saudi Arabia showed signs of supply cuts, but US stocks of gasoline and diesel rose, casting that nation's oil demand in doubt.
West African crude loading for Asia is expected to slide more than 10% in January as some buyers opt for regional grades or cargoes in floating storage, a Reuters survey of traders and shipping data showed on Thursday.
A Nigerian oil labor union ordered an indefinite strike at Total fuel truck depots across the OPEC member nation on Thursday in protest against layoffs, but crude oil production is not expected to be effected.
NIGERIA
Shell subsidiary SPDC closed the Trans Niger Pipeline on Jan. 3 because of a fire, but said there was no force majeure on Bonny Light exports.
Traders said that Bonny Light loadings are likely to be delayed as a result, joining Qua Iboe, Usan and Erha in facing revised loadings. Primary demand for Nigerian crude has been via tenders from India, but Monroe Energy had also provisionally booked the Sabine to carry Agbami to the US Atlantic Coast.
Cepsa also looked to book a vessel to carry Escravos to Spain.
ANGOLA
Following price cuts in recent days, state oil company Sonangol sold two more February-loading cargoes -- a Nemba and a Saxi -- to China's Unipec. It had been offering the Nemba at a 60 cent discount to dated Brent. The company had also been offering Girassol at a 10 cent premium and Palanca at dated plus 90 cents.
ExxonMobil had also sold a cargo of Equatorial Guinean Zafrio, traders said.
TENDERS
Shell and Total won a tender to supply Indian refiner IOC with crude oil, though the grades were not immediately clear. Perenco was running a tender to sell Djeno crude. The award from India's BPCL tender was still pending.
Reporting by Libby George; Editing by David Goodman
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