Refined oil product arrivals into Nigeria and other West African countries in December so far are 1.19 million metric tonnes as of Wednesday, compared with 1.21 million mt in the whole of November, S&P Global Platts trade flow software cFlow showed.
Based on fixtures seen by Platts, of these arrivals, 1.02 million mt were thought to be petrol, 60,000 mt jet fuel, and 67,000 mt diesel, and 37,000 mt of ultra-low sulfur diesel. According to the report, petrol buying interest has sustained from West Africa, particularly from Nigeria, as the country’s February general election approaches.
Most of the 1.02 million mt of petrol is expected to arrive in Lagos, supporting comments from the Nigerian National Petroleum Corporation, which said that the country currently has around 2.6 billion litres of petrol stock, enough to cover 52 days of consumption.
The West African diesel market came under pressure from local financing problems. Traders said that lower crude oil prices meant Nigeria’s foreign-exchange earnings were lower, in turn limiting the amount of dollars available for letters of credit.
Source: The Punch