NNPC favours 32 local firms to lift crude oil in 2018/209

NNPC has awarded  contracts to buy and sell Nigerian crude to 50 companies of which 32 are local firms. Top on the list of the local firms to buy Nigeria crude are AA Rano; Aipec; AMG; Arkleen; Barbedos; Bono Energy; Casiva; Cretus; Emadeb; Eterna; Gladius Commodities; Hinstock.  Others are Leighton; Levene; Masters Energy; Matrix; MRS; North West; Oando; Sahara Group; Ocean Bed (Sahara trading subsidiary); Propetrol Prudent, Setana; Setraco; Shoreline; Ultimate Gas. Equally on the list are Voyage West African gas; Zitts and Lords; Obat Oil & Gas; Duke Oil (NNPC subsidiary). 

Of the 50 companies 18 are on the NNPC list as international oil traders. They are Augusta     Switzerland based, BB Energy   Lebanon, Cepsa Spain, Glencore, Switzerland based, HPCL        Indian refiner, Litasco Trading arm of Russia’s Lukoil, Mocoh Switzerland, Petraco Switzerland, Petrobras   Brazil, Sacoil South Africa, SEER Unit of South Africa’s SacOil Energy Equity Resources Ltd , Socar Trading arm of Azerbaijan’s Socar, Sonara Cameroon refining co, Total       France, Trafigura Switzerland, Vitol       Britain, Calson Vitol/NNPC joint venture and ZR Energy   

Nigerian companies participation in the this year’s award in crude oil trading increased two fold from the 2017 figure.   NNPC it was learnt also awarded contracts to supply crude to 12 governments, although it was not clear how many of the deals

would be handled by the companies already on the list of awards. The governments that entered into the supply deals are China, India, South Africa, Turkey, Ivory Coast, Ghana, Liberia, Niger, Sierra Leone, Senegal, Togo and Malawi.  NNPC usually awards the oil purchase contracts annually, but sources said that the deals this year were for two years and not for one year. Contract awards were announced in January last year. 

Sources said the government may have delayed an announcement this time by several months as it sought to line up more local firms for awards, so it could drum up support for next year’s election. The sources said a partial list of firms awarded deals emerged on Monday, with a final list coming out on Tuesday. This year’s overall total of 50 foreign and local firms was more than the 39 listed in 2017. 

The list last year also included three bilateral government deals. NNPC did not respond to calls and emailed requests for comment. Nigeria’s oil ministry said it produced more than 2 million

barrels per day of crude and condensate in April. Exports were expected to average 1.8 million bpd in the first half of 2018, up from to 1.6 million bpd in 2017, loading programmes showed.