West African crude oil differentials were stable on Monday, as market participants awaited the results of fresh tender activity in Asia.
Indonesia’s Pertamina had a fresh buy tender out on Monday, a trade source said. The refiner is a regular buyer of West African crudes, among other grades.
Last week, India’s IOC bought three million barrels of West African grades. It took a one million barrel Kissanje cargo from Equinor, and bought two million barrels from Chevron, one Kole and one Nemba cargo.
Higher freight rates have hampered buying activity for West African grades, a trader said last week. Diesel margins have also cooled off slightly in Europe, which could further be weighing on demand for diesel-rich West African grades.
The most recent offers heard were Kissanje at dated Brent minus $1 for December, which was a lower offer from last week’s minus 50 cents, Djeno at dated Brent minus $3.95, also for December, and Mondo, which was on offer at dated Brent minus $1.50 for January.
In upstream news, Nigeria’s upstream regulator on Monday announced the start of its 2025 oil licensing round, offering 50 blocks for bidding as Africa’s biggest crude producer seeks to boost output and attract new investment.
TotalEnergies will sell a 40 per cent stake in two offshore exploration licenses in Nigeria to Chevron, in a move aimed at strengthening collaboration between the French and US energy giants, the company said on Monday.
(Reporting by Seher Dareen and Alex Lawler; Editing by Shailesh Kuber)
