Eni Offers to Sell Forties Crude; No Bonga Exports in November

Eni SpA (ENI) failed to sell three North Sea Forties crude cargoes at lower prices than its previous offer. No bids or offers were made for Russian Urals crude.

No exports of Nigerian Bonga crude are planned in November, compared with six cargoes totaling 193,555 barrels a day next month, a loading program obtained by Bloomberg News showed. Royal Dutch Shell Plc declared force majeure on Bonny Light exports and closing Trans Niger Pipeline, Precious Okolobo, a Lagos-based spokesman, said by e-mail.

North Sea

Eni offered the first Forties lot for loading Oct. 4 to Oct. 6 at 30 cents a barrel more than Dated Brent, the second at a premium of 50 cents for Oct. 8 to Oct. 10 and the third at plus 65 cents for Oct. 10 to Oct. 12, according to a Bloomberg survey of traders and brokers monitoring the Platts pricing window. That compares with its offer at $1.05 a barrel above the benchmark on Sept. 20.

Trafigura Beheer BV withdrew its bid for Forties for Oct. 15 to Oct. 18 at 25-cents premium, the survey showed.

Eni was unable to sell Ekofisk for Oct. 8 to Oct. 10 at a premium of $2.25 to Dated Brent, according to the survey. This is the first offer since Aug. 1.

Brent for November settlement traded at $108.01 a barrel on the ICE Futures Europe exchange at the close of the window, compared with $109.12 from the previous session. The December contract was at $107.29, a discount of 72 cents to November.

Forties F1008 will load on Oct. 14 to Oct. 16, two days earlier than planned, two people with knowledge of the shipping program said. This is the third advancement for October.

Urals/Mediterranean

Iraq will increase shipments of Kirkuk crude in October via Turkish port of Ceyhan to 16 cargoes, or 243,871 barrels a day, a loading program obtained by Bloomberg News showed. This compares with 11 lots, or 109,333 barrels a day in September, the lowest since at least June 2011, when Bloomberg started tracking data.

Russia will export 16 cargoes of Urals via Primorsk on the Baltic Sea and 10 cargoes ex-Ust-Luga, both from Sept. 30 to Oct. 11, a preliminary loading program obtained by Bloomberg News showed. Shipments are 100,000 metric tons each.

Four lots of 140,000 tons each and seven 80,000-ton shipments of crude will be exported via Novorossiysk in the Black Sea on Oct. 1 to Oct. 11, according to the plan.

Libya’s Hariga terminal will reopen soon as “technical issues” are being resolved, Jamal Ben Zuglam, coordinator for the Oil and Gas Workers Union, said by phone from Tripoli today, without giving an exact date for the reopening.

Sarir and Mesla oil fields will start pumping once the port opens, Ben Zuglam said.

PKN Orlen SA closed a tender today to buy 100,000 tons of Urals for loading from the Baltic Sea, said two people who have received the tender, asking not to be identified because the information is confidential.

West Africa

BP Plc (BP/) offered 600,000 barrels of Qua Iboe at either $5.50 a barrel more than Dated Brent for Oct. 8 to Oct. 13 delivery to Rotterdam, or plus $5.35 to Lavera in France on the Dilong Spirit crude carrier, according to the survey. This is unchanged from its previous offer on Sept. 19.

The export restrictions on Bonny and gas supply to Nigeria LNG Ltd. came after Shell shut the pipeline for repairs of new leaks at Bodo West and Oloma due to theft. About 150,000 barrels a day of oil and 500 million cubic feet of gas are deferred.

The drop in Bonga shipments is because the oil field will be shut for planned maintenance, said two traders who participate in the market, asking not to be identified because the information is confidential. The start date and duration of the halt is unclear, they said.

Officials from Shell, which operates the field, declined to comment from London and Nigeria on the maintenance plan.

Nigeria will keep crude exports for November little changed from October, according to loading programs.

The nation will ship 63 cargoes or 1.89 million barrels a day in November, the plans showed. Africa’s largest oil producer will ship five Akpo, four Usan, three each of Amenam and Erha, and two EA in November. Cargoes are mostly of 950,000 to 1 million barrels.

Indian Oil Corp. bought two Nigerian Qua Iboe cargoes for November loading from Vitol Group via a tender, which closed last week, said three traders who participate in the market. The company also purchased one cargo each of Qua Iboe and EA from Shell via the same tender, two traders said last week.

India’s largest refiner has bought eight cargoes of 1 million barrels each of Nigerian crudes for November via the last two tenders, including five lots of Qua Iboe.

To contact the reporters on this story: Sherry Su in London at lsu23@bloomberg.net; Laura Hurst in London at lhurst3@bloomberg.net

To contact the editor responsible for this story: Stephen Voss at sev@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.