The Nigerian National Petroleum Company Limited (NNPC) has marked a significant milestone with the sale of its first cargo of low-sulfur straight-run fuel oil (LSSR) from the Port Harcourt Refinery. This initial batch was sold to Gulf Transport & Trading Limited (GTT), a Dubai-based company.
The cargo, amounting to 15,000 metric tons (approximately 13.6 million litres), is set to be loaded in the coming days aboard the Wonder Star MR1 vessel. This development signals the refinery’s operational debut and the start of Nigeria’s exportation of petroleum products from the facility.
While the export volume is relatively modest, industry experts anticipate that it could influence Very Low Sulfur Fuel Oil (VLSFO) benchmarks over time. Additionally, it may alter market dynamics for Atlantic Basin exporters to Nigeria and other regions.
According to data from Kpler, the export boasts a sulfur content of 0.26% by weight and a density of 0.918 g/ml at 15°C. The cargo was sold at an $8.50 per ton discount to the Northwest Europe (NWE) 0.5% benchmark on a Free on Board (FOB) basis.
Kpler also noted that this development could reduce dependency on imports from traditional suppliers in Africa and Europe. With Nigeria’s imports of clean petroleum products (CPP) already in decline, the ripple effects are expected to extend across the broader West African region.
