Nigeria’s crude oil exports to hit annual high in October

Nigeria plans to export a total of at least 2.04 million barrels per day (bpd) of crude oil in October, the highest level this year, according to provisional loading programmes.

The exports, which will load on 68 cargoes, could increase as the programmes for at least two grades were still pending.

The amount compares with planned September exports of just under 2 million barrels per day, and is the highest total since January, when the country issued an initial programme of 62.97 million bpd, or 2.03 million bpd.

The record comes at an unfortunate time, as European refinery maintenance typically peaks in October, limiting the amount of crude oil they consume.

Wilting demand in Asia, where Chinese refineries are cutting runs and that country’s shaky economic growth is roiling international commodity markets, has already begun to pressure differentials to dated Brent for West African crude grades.

Additionally, though crude oil futures were rallying on Tuesday, the Brent benchmark on which Nigerian export prices are based was still close to 6-1/2 year lows.