Nigeria National Petroleum Corporation (NNPC) has selected 16 consortia for its new crude-for-fuel swap contracts for one year starting in August, sources with direct knowledge of the matter said.
The list includes major Swiss trading firms Trafigura, Vitol and Mercuria, oil major Total as well as large Nigerian traders Sahara Energy, Oando and MRS Oil.
The contracts, known as direct sale, direct purchase (DSDP) are coveted since they are used to supply nearly all of Nigeria’s gasoline needs as well as cover some of its diesel and jet fuel consumption.
Two sources said each consortium would receive 20,000 barrels per day of crude oil in exchange for products, making the combined total 320,000 barrels per day of Nigeria’s output. The west African nation and OPEC member produced about 1.5 million bpd of crude in April.
The spokesman for NNPC, Dr. Kennie Obateru confirmed to Swift Reporters that the list was still being finalised as further details will be made public once approved.
The new DSDPs will replace those from 2019 which were extended until mid-2021.
If a foreign oil company wins then it is typically paired with at least one local firm. Here is the final list:
CONSORTIA
- Totsa/Total Nigeria
- Oando/Cepsa
- Maikifi/Britannia-U/Emadeb/Hyde
- Trafigura/AA Rano
- Litasco/PV Oil/Overbrook/Northwest
- MRS Oil
- Sahara Energy
- Bono/Century/Amazon/Cordero
- Eyrie/Levene/Bovas/DK Global
- Mercuria/Barbedos/Rainoil/Petrogas
- Asian/Masters/Casiva/Cimaron
- Duke Oil (NNPC subsidiary)
- Prudent/UTM/Matrix/Petra Atlantic
- BP/AYM Shafa
- Vitol
- Mocoh/Panero/Stopgap/Mainland
Additional information from Reuters
