Continental Focus, International Reach

NNPC Hands Out Crude-for-Fuel Swap Contracts

Wednesday, August 21, 2019

In a release by NNPC’s Group General Manager, Group Public Affairs Division, Mr. Ndu Ughamadu announced the winners of its 2019/2020 contracts for the exchange of crude oil for imported petroleum products. Ughamadu said following the completion of the 2019/2020 #DSDP tender exercise, 15 consortia/companies made up of reputable and experienced international companies and Nigerian downstream companies emerged successful to undertake the 2019/2020 #DSDP arrangement. The contract is for one-year effective October 1, 2019 and runs through September 30, 2020.

Among the successful companies are BP Oil International Ltd/AYM Shafa Ltd; Vitol SA/Calson-Hyson; Totsa Total Oil Trading SA/Total Nigeria Plc; Gunvor International B.V./AY Maikifi Oil & Gas Co. Ltd; Trafigura Pte Ltd/A. A. Rano Nigeria Ltd; Sahara Energy Resource Ltd; Bono Energy Ltd/Eterna Plc/Arkleen Oil & Gas Ltd/Amazon Energy; Cepsa S.A.U./Oando Plc; Mocoh SA/Mocoh Nigeria Ltd; and Litasco SA/Brittania-U Nigeria Ltd/Freepoint Commodities; MRS Oil & Gas Company Ltd; Matrix Energy Ltd/Petratlantic Energy Ltd/UTM Offshore Ltd/Levene Energy Development Ltd; Mercuria Energy Trading SA/Barbedos Oil & Gas Services Ltd/Rainoil Ltd/Petrogas Energy; Asian Oil & Gas Pte Ltd/Eyrie Energy Ltd/Masters Energy Oil & Gas Ltd/Casiva Ltd; and Duke Oil Company Incorporated.

The release stated that the tender process comprised technical and commercial bid submission respectively, evaluation and shortlisting, then commercial negotiations with prequalified companies and engagement of the successful consortia/companies by NNPC.

Under the #DSDP arrangement, the 15 consortia/companies shall over the contract period, offtake crude oil & in return, deliver corresponding petroleum products of equivalent value to NNPC, subject to the terms of the agreement.