NNPC finalises new crude-for-fuel swaps for one year

Chidi Ogbuokiri

The Nigerian National Petroleum Corporation (NNPC) has picked 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 (OANDO.LG) 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.

NNPC did not have an immediate comment.

The companies were invited on Friday to submit commercial bids, which were due on Tuesday. Those involved in the process said the list of winners was unlikely to change substantially.

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

1Totsa/Total Nigeria

2 Oando/Cepsa

3 AY Maikifi/Britannia-U/Emadeb/Hyde

4 Trafigura/AA Rano

5 Litasco/PV Oil/Overbrook/Northwest

6 MRS Oil

7 Sahara Energy

8 Bono/Century/Amazon/Cordero

9 Eyrie/Levene/Bovas/DK Global

10 Mercuria/Barbedos/Rainoil/Petrogas

11 Asian/Masters/Casiva/Cimaron

12 Duke Oil (NNPC subsidiary)

13 Prudent/UTM/Matrix/Petra Atlantic

14 BP/AYM Shafa

15 Vitol and

16 Mocoh/Panero/Stopgap/Mainland