London - Tender purchases from Indian refiners helped to clear the remaining cargoes of Nigerian crude oil that are available for August export.
Traders said Indian Oil Corp. bought around four cargoes of oil via a tender, with Mangalore Refinery and Petrochemicals also expected to take cargoes on Friday.
There were around 25 to 30 Nigerian cargoes for August loading available out of a total of around 65.
However despite slightly stronger demand and competitive pricing there were still significant headwinds for Nigerian crude oil.
Freight rates for crude have increased over the last few days, and a trader said that it would cost $1 million more to transport a VLCC to Asia from West Africa.
There is still a heavy supply of West African oil in the market, with the release of the Bonny Light programme pushing August's monthly exports to the highest since January.
NIGERIA
* Qua Iboe was offered at a premium to dated Brent of slightly above $1 a barrel.
* There were four cargoes of Bonga available, offered in the region of dated Brent plus $1, a trader said.
ANGOLA
* Angolan cargoes have sold fairly speedily, with less than 10 cargoes out of 56 still available, a trader said.
* Sonangol was offering just one cargo for August export: A Gimboa at a discount to dated Brent of $3.
* BP sold a Pazflor and Dalia cargo, a trader said.
TENDERS
* IOC bought a VLCC from Shell consisting of a stem of Qua Iboe and one of Kole, traders said. BP bought a VLCC consisting of a Brass River and a Qua Iboe stem of crude oil.
* India's MPRL also issued a tender to buy crude, looking for loading in second-half August to be awarded on Friday.
Reuters