NNPC extends $6bn oil swap contracts to end of 2018

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The Nigerian National Petroleum Corporation (NNPC) has rolled over its crude for oil products contracts worth about $6 billion by six months until the end of 2018.

The Group Managing Director of the corporation, Maikanti Baru, who disclosed this at the Organisation of Petroluem Exporting Countries (OPEC) seminar in Vienna, Austria, explained that the contracts, dubbed direct sale, direct purchase agreements (DSDP), were due to expire at the end of June this year.

“We have rolled it over until the end of December,” he said.

NNPC’s crude swap deals were previously referred to as offshore crude oil processing agreements (OPAs) and crude-for poducts exchange arrangements.

It would be recalled that NNPC had in May 2017, signed the deals with local and international traders to exchange about 330,000 barrels per day (bpd) of crude oil for imported petrol and diesel, as part of measures to sustain the supply of petroleum products across the country.

Peace PIAK