NNPC records 128 bids for oil-for-fuel swaps

The window has closed for new bidders as this year’s programme for DSDP (direct sale of crude oil and direct purchase of products) running to about 800,000 barrels (per day) at most.

Managing director of Nigerian National Petroleum Corporation (NNPC), Maikanti Baru explained after the bidding window closed that 128 bids were recorded.

In exchange for the crude oil, Nigeria will take fuel with sulphur content of not higher than 50 parts per million (ppm), he said.

Environment Minister Amina Mohammed has promised the country would require the 50 ppm level for imports from July 1.

Last year the OPEC oil producer had replaced crude oil swap deals with a system under which it will directly sell crude oil to refiners and purchase refined oil products from them.

Nigeria is almost wholly reliant on imported gasoline, kerosene and other petroleum products despite exporting 1.7 million barrels per day (bpd) of crude oil.