The latest China bound VLCC crude laden vessel is marking its biggest month of buying from Nigeria in years as it ramps up its crude exports.
The VLCC Athenian Success is bound for Lanshan after loading from Akpo and Egina in the last few days. The nearly 3 million barrels of Nigerian exports to China in the last 30 days are the most since the summer of 2015.
China’s crude exports in July surged 75 per cent from a year ago, with its products reaching as far afield as Nigeria and Mexico.
A little over 10 Nigerian cargoes remained for export in September. Selling prices for some Nigerian grades were heard to be roughly in line with the official selling prices (OSPs), which had been marked down this month on sluggish U.S. and European demand. More Asian gasoil is expected to head to Europe as buyers take advantage of the biggest seasonal price gap between the two regions in at least seven years.
India’s IOC issued two tenders for loading October 11-20 and November 1-10, set to close on Wednesday. While U.S. sanctions on Iran’s oil industry have slashed the OPEC member’s crude exports by more than 80 per cent, oil product sales from the Islamic Republic remain strong at nearly $500 million a month.
Top oil exporter Saudi Arabia is expected to raise prices for light crude grades it sells to Asia in October on stronger Middle East benchmarks and gasoil margins, several trade sources said on Monday, according to Reuters.