The price of Bonny Light, Nigeria’s premium oil grade, has dropped from $66.00 recorded last week to $62.98 per barrel because of the prevailing lull in the international market.
The source in London market said: “There was a large overhang of many cargo, based on August deliveries.
“Exports of the nation’s crudes — Bonny Light, Bonga, Qua Iboe and Forcados— are set to reach 878,000 barrels per day (bpd) in September, down slightly from 954,000 bpd in August.”
However, this showed excess revenue of only $2.98, against $6.00 per barrel recorded early last week.
Similarly, the prices of Brent and the Organisation of Petroleum Exporting Countries, OPEC, Basket also dropped from $65.00 to $62.47 and $64.00 to $63.10 per barrel respectively.
However, in a statement OPEC said: “It aimed at reaffirming the continued commitment of the participating producing countries in the ‘Declaration of Cooperation’ to a stable market.
“The mutual interest of producing nations, the efficient, economic, and secure supply to consumers, and a fair return on invested capital.
Also, noting the overall improvement in market conditions and sentiment, and the return of confidence and investment to the oil industry.”