BusinessDay 14 Feb 2018
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WEST AFRICA<br />
ENERGY intelligence<br />
oil gas power<br />
Wednesday <strong>14</strong> <strong>Feb</strong>ruary <strong>2018</strong><br />
C002D5556<br />
BUSINESS DAY<br />
POWER<br />
West Africa needs to<br />
brace up<br />
for power disruption<br />
trends<br />
finance people<br />
appointments<br />
Page 4<br />
Ladipupo Jadesimi (right), chairman of LADOL, welcomes Hadizia Bala-Usman, managing director, Nigerian Ports Authority (NPA), to the grand reception<br />
for Egina FPSO vessel as she berthed for final integration at LADOL Free Zone, in Apapa Lagos. She is flanked by Nicolas Teraz (left), managing director,<br />
TOTAL E&P and Rowland Ewubare, group general manager, NAPIMS.<br />
Sasol completes<br />
$1bn wax plant<br />
expansion in South<br />
Africa<br />
Page 6<br />
OPEC weekly basket price<br />
DAY<br />
PRICE<br />
9/2/18 63.8<br />
2/2/18 66.87<br />
26/1/18 67.64<br />
19/1/18 67.21<br />
12/1/18 66.81<br />
Source: OPEC<br />
Debrief<br />
Kuwait’s new ‘super light’ crude may<br />
threaten Nigeria’s Asian market<br />
FRANK UZUEGBUNAM<br />
About 29 percent of<br />
Nigeria’s crude oil<br />
exports end up in<br />
Asia, mostly India<br />
and Indonesia, and<br />
then other key demand hubs in<br />
China, Japan and South Korea.<br />
Nigeria and other West African<br />
crude oil exports to Asia particularly<br />
India and China hit about<br />
2.2 million barrels per day (bpd)<br />
in September 2017.<br />
Nigerian market share of the<br />
Asian crude oil market may be<br />
threaten following the current<br />
testing of Kuwait’s new ‘super<br />
light’ crude in the Asian market.<br />
At least one Asian refiner has<br />
tested samples of the Kuwait’s<br />
new “Super Light” crude oil and<br />
found it suitable, sources said.<br />
The test run comes as stateowned<br />
Kuwait Petroleum Corp.<br />
prepares to launch its first new<br />
export grade in decades. A number<br />
of refiners in northeast and<br />
southeast Asia, a key destination<br />
for Kuwaiti crudes, showed their<br />
interest in testing the new grade,<br />
market sources said.<br />
Kuwait Oil Co. (KOC), stateowned<br />
upstream operator recently<br />
began operations at a new<br />
facility to produce light oil and<br />
gas from the West al-Rawdatain<br />
field, which will be combined<br />
with output from other fields<br />
for the country’s newest crude<br />
blend to be launched in April.<br />
KOC first discovered super<br />
light crude oil at the Sabriya<br />
field in 2005. After years of delays,<br />
KOC finally began production<br />
earlier this year from the<br />
field, along with the Umm al-<br />
Niga, and the West Rawdatain<br />
fields.<br />
KOC expects to produce<br />
200,000 b/d of light oil. By 2020,<br />
the company expects to boost<br />
this by another 220,000 b/d.<br />
Crude from the fields will be<br />
blended to make KPC’s “Super<br />
Light” crude oil grade, which it<br />
hopes to start exporting from<br />
April. The crude grade will have<br />
an API gravity of 48 degrees, with<br />
0.4 percent sulfur content.<br />
Traders were hopeful that the<br />
new grade could potentially put<br />
the brakes on the recent uptrend<br />
in light sour crude price differentials<br />
in the Middle East, while<br />
providing a new feedstock procurement<br />
option for Asian refiners<br />
that regularly need to run<br />
middle distillate-rich crude oil.<br />
Asia uses half the world’s oil<br />
and has become a hotspot for a<br />
price war among producers who<br />
are offering steep discounts to<br />
lock in buyers in the face of bulging<br />
global supplies.