Thursday 27th April, 2017
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39 companies win bids to market Nigeria's crude in 2017

39 companies win bids to market Nigeria's crude in 2017

Thirty-nine companies have won the bid to sell Nigeria’s crude oil this year, the Nigerian National Petroleum Corporation (NNPC) has said.
NNPC released the names of the winners on its Website late on Wednesday.
The Group General Manager, Crude Oil Marketing Division, Mr. Mele Kyari, said the contract would run for one year effective from January 1 for consecutive 12 circles of crude oil allocation.
The list comprises 39 winners with 18 Nigerian companies, 11 International Traders, five foreign refineries, three National Oil Companies (NOCs) and two NNPC trading arms.
It said all the contracts were for 32,000 barrels per day except Duke Oil Ltd, an oil trading arm of the NNPC, which shall be for 90,000 barrels per day.
224 firms had bidded for the rights to market Nigeria’s crude oil estimated at 700, 000 barrels per day in November last year.
The local firms on the list are: Oando, Sahara Energy, MRS Oil and Gas, AA Rano, Bono, Masters Energy, Eterna Oil and Gas, Cassiva Energy, Hyde Energy and Brittania U.
Others are NorthWest Petroleum, Optima Energy, AMG Petroenergy, Arkiren Oil and Gas Limited, Shoreline Limited, Entourage Oil, Setana Energy and Prudent Energy.
The international beneficiaries are Trafigura, ENOC Trading, BP Trading, TOTAL Trading, UCL Petroenergy, Mocho, Tevier Petroleum, Heritage Oil, Levene Energy, Glencore and Latasco Supply and Trading.
The five foreign refineries are Hindustan Refinery, Varo Energy, Sonara Refinery, Bharat Petroleum and Cepsa while the NOCs are India Oil Company, China (Sinopec) and South Africa (Saccoil).
The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru who opened the first bids in Abuja on November 26 last year had  assured that the process would be transparent and open.
 
Maikanti explained then that contrary to insinuation that the country was finding it difficult to market its crude oil and was therefore relying on buyers in China, most of its crude in the past year was sold to European and Indian refiners and marketers.
He said crude sales to US markets have also picked up in the past one year.
He said the volume of crude on offer is made up of the Federation oil of 600,000bpd and another 100,000bpd of royalty oil and tax oil.
According to him, “the bid opening marks the beginning of the 2016/17 term contract tender for Nigerian crudes under the NNPC on behalf of the government and people of Nigeria.
“When we sell this crude the money goes straight to the central bank’s account on behalf of the Federation and the nation. NNPC does not operate any of those accounts. The best input by NNPC is confirmation that the money has been paid but we have no signature rights on these accounts contrary to the perception of several people that NNPC is withholding some monies for and on behalf of the Nigeria people.
“So, all the crudes that we sell go to the Nigerian people”, he added.

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