RTRS:WAfrica Crude-Buoyed by tight supplies, force majeure
* Nigerian benchmark Qua Iboe above dated Brent plus $4.00
* Bonny Light force majeure underpins prices
* Indian buyers defer tenders as prices rise
LONDON, Aug 30 (Reuters) - West African crude oil
differentials strengthened on Tuesday, supported by relatively
small loading programmes made tighter by a force majeure on
Nigerian benchmark Bonny Light.
Healthy refining margins in the United States and Europe for
distillate-rich crude also supported levels.
But the recent rise in prices has deterred demand from some
U.S. buyers and several Indian refiners have opted not to take
October West African cargoes, cancelling tenders and reissuing
them for November.
Nigeria was due to export 1.85 million barrels a day (bpd)
of crude oil in October, down from about 2 million bpd in
September. In addition, Shell has declared force majeure on
exports of Bonny Light until October, after attacks on
pipelines.
NIGERIA
* Qua Iboe: offered well over dated Brent plus $4.00 per
barrel with talk of one seller at plus $4.60 and potential
buyers around dated plus $4.20. However, no cargoes were yet
reported sold at that level.
* Suncor Energy bought at least two cargoes of Qua Iboe at
around dated plus $4.00 last week, the highest level since
April.
* Bonny Light: despite the Shell force majeure, spot cargoes
reported available and valued close to dated Brent plus $4,00.
Bonny output has averaged around 220,000 bpd so far this year,
up from 160,000 bpd in 2010.
* Forcados: assessed at above dated Brent plus $4.50.
ANGOLA
* Pazflor: Total has officially opened the taps at its
Pazflor offshore project, a month ahead of schedule. Pazflor is
expected to reach 61,000 bpd in October and eventually peak
output of 220,000 bpd. Two cargoes of 950,000 barrels each are
scheduled to load in October: Oct. 1-2 (Total) and Oct. 17-18
(Statoil).
* Cabinda: the distillate-rich crude is sold out for October
but assessed at around dated Brent plus 5 cents on a spot basis
or for November lifting, close to their highest levels for two
years, traders said.
* Girassol: reported traded as high as dated Brent plus
$1.30 to plus $1.40 with strong buying interest from Asian and
U.S. refiners (see below).
ASIAN BUYING TENDERS
* Indian Oil Corp (IOC), has tendered to buy sweet crude for
November delivery, traders said on Tuesday, seeking a full suite
of grades after limited buying in recent weeks. Grade offers to
state-run IOC for the tender must be submitted by Aug. 31, price
offers by Sept. 1 with an award expected on Sept. 2, traders
said.
* IOC bought one very large crude carrier (VLCC) of Nigeria
light sweet crude via tender last week, traders said, only half
the volume expected. IOC was reported to have bought Nigerian
Bonga and Forcados grades for October loading from Shell.
Neither party confirmed the purchase.
* Indian refiners have so far bought far less West African
crude oil than expected for loading in October and November.
Mangalore Refinery and Petrochemicals and Bharat Petroleum Corp
both skipped purchases of October barrels.
* Further afield, Taiwan's CPC Corp bought 4 million barrels
of West African crude for November delivery via a tender last
week, taking 1 million barrels each of Cabinda, Nemba, Zafiro
and Antan. Another Taiwanese refiner, Formosa Petrochemical,
bought Girassol and Palanca for October, traders said.