LONDON: Angolan crude oil for March export was offered on Monday at higher levels than February loading cargoes traded, but a lack of buyers in the market pointed to differentials weakening, traders said.
Around 10 Angolan cargoes for March have sold on a term basis but no cargoes have changed hand in the spot market, traders said.
This time last year, cargoes changed hands rapidly after they came to market.
However traders saw differentials as vulnerable due to high freight costs, and because Asian buyers who were traditionally big buyers of West African oil are looking to new suppliers.
"Freight rates are an absolute killer and (Asian buyers) are spreading their wings," a trader said.
He was referring to India's Mangalore Refinery and Petrochemicals, which last week made its first purchase of Argentina's Escalante crude.
There was some support seen for Angolan crude, as there will be no cargoes of Plutonio grade for March loading due to maintenance at the field.
ANGOLA
All cargoes of Girassol had been sold on a term basis, a trader said.
There were six cargoes of Cabinda and five of Girassol for March loading.
NIGERIA
Qua Iboe was assessed at about dated Brent plus $2-$2.15, traders said, slightly lower than for this time last week.
Only one cargo of Forcados was heard to have traded, out of a total of five for February export, traders said.
ASIAN TENDERS
Results of a CPC tender are due on Thursday, a trader said.
Part one of a tender will be held by BPCL on Friday, with part two and the award next week, a trader said.
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