Slower than usual trading for July-loading cargoes has encouraged sellers to drop prices but with offers remaining relatively high, especially for some Nigerian grades, traders said late buyers will stand to benefit from discounts.
Heavy delays of around a week were reported to loadings on the Trans Forcados Pipeline despite flows reportedly resuming on May 24 after a shut-down caused by a fire.
Shorter delays were reported to loadings of Bonny Light, also operated by Royal Dutch Shell. Sellers of Nigerian were heard to be reluctant to lower high prices despite a lack of significant interest, with Bonny Light still being offered around a $3 premium compared to dated Brent.
India’s IOC issued a tender for a West African grade for loading between August 1-10 due to close on Thursday. Indonesia’s Pertamina issued a tender for southeast Asian, Australian and Nigerian grades for delivery between 9-11 August, set to close on Tuesday.