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NNPC awards 2017 crude oil term contracts to 39 companies

State-run Nigerian National Petroleum Corporation (NNPC) has awarded its 2017 crude oil term contracts to 39 companies, the company said on Tuesday.

The contracts covering about 1.31 million barrels per day (bpd) of crude oil were awarded to 18 Nigerian companies, 11 international trading houses, five foreign refineries, three national oil companies and two “NNPC Group trading arms,” the firm said in a statement.

NNPC said the contracts, worth a total of more than $72 million per day at Tuesday’s crude prices of around $55.60 per barrel, were each for 32,000 barrels per day (bpd), apart from Duke Oil Ltd, an NNPC Group subsidiary, which was for 90,000 bpd.

The list compared with 27 companies that won contracts of varying sizes for 2016. OPEC member Nigeria typically produces just over 2 million bpd of crude oil, although its 2016 output was hobbled by militant attacks.

China’s Sinopec and India’s Indian Oil Corp were among the winners, as were international firms including the trading arms of BP and Total and trading houses Litasco and Glencore.

Absent from this year’s list were the trading arms of oil majors ExxonMobil, Shell and Eni, trading houses Mercuria and Taleveras and refiner Saras, all of whom were on the 2016 contract list. Vitol’s trading arm was also not on the list, although, Varo Energy, a joint venture between Vitol and private equity firm Carlyle Group, was.

NNPC head Maikanti Baru said the group had received bids from 224 companies. He said the decision to announce the winners reflected NNPC’s commitment to transparency.

“We’ll ensure transparency and fairness in the process,” Baru said in a statement.

Contract holder Volume (‘000 bpd)

Refiners

Hindustan Refinery 32

Varo Energy 32

Sonara Refinery 32

Bharat Petroleum 32

Cepsa 32

International Trading Companies

Trafigura 32

ENOC 32

BP Trading 32

Total Trading 32

UCL Petro Energy 32

Mocoh Trading 32

Trevier Petroleum 32

Heritage Oil 32

Levene Energy 32

Glencore 32

Litasco Supply and 32

Trading

Government to Government

Indian Oil Corp. (India – 32

IOC)

Sinopec (China) 32

SacOil (South Africa) 32

Nigerian Companies

Oando 32

Sahara Energy Resouce LTD 32

MRS Oil and Gas 32

A.A. Rano Nigeria Limited 32

Bono 32

Masters Energy 32

Hyde Energy 32

Britania-U 32

North West Petroleum 32

Optima Energy 32

AMG Petroenergy 32

Arkleen Oil & Gas Ltd 32

Shoreline Limited 32

Emo Oil 32

Setana Oil 32

Prudent Energy 32

NNPC Trading Companies

Calson/Hyson 32

Duke Oil Incorporated 90

Total: 39 1.31 million

 

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