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224 Firms Bid For Nigerian Crude Oil Contract

The gale of transparency in the operations of the Nigerian National Petroleum Corporation (NNPC) was sustained on Thursday with the public opening of 224 bids submitted by companies seeking to purchase and lift Nigerian crude oil grades for the period 2016/2017.

Successful companies will participate in the lifting of about 700, 000 barrels per day of crude oil on offer by the NNPC on Free on Board (FOB) basis subject to the execution of sales and purchase agreement with buyers.

The event which was broadcast live on a national television network had in attendance representatives of the bidding companies and officials of the Bureau of Public Procurement, BPP, Department of Petroleum Resources, DPR, Nigerian Extractive Industries Transparency Initiative, NEITI, Nigerian Content Development and Monitoring Board, NCDMB, and some members of the civil society as observers.

Speaking at the event, Group Managing Director of the NNPC, Dr. Maikanti Baru, said that the public bid opening was in consonance with the transparency and accountability agenda of Mr. President in the oil and gas industry.

”We do everything transparently in NNPC and also ensure fairness in all the transactions that we do; there is nothing that is hidden just as you have seen today,” Baru stated.

He indicated that the exercise was targeted at getting competitive bids from refiners, and also big traders, as well as companies that have made substantial investment in the oil and gas industry particularly in the downstream sub-sector in Nigeria.

The GMD dismissed insinuation that Nigerian crude grades were receiving low patronage in the international market noting that the demand for Nigerian crude remained high because of its low sulphur content.

The 26 Nigerian crude oil grades on offer include: Bonny Light, Forcados Blend, EA Blend, Bonga, Qua Iboe Light, Yoho Blend, Erha and Escravos Light. Others are: Pennington Light, Agbami, Brass Blend, Abo, Oyo, Okono Blend, Amenam Blend, Akpo Condensate and Usan. The rest include: Atam Blend, Okwori, Okoro, Ima, Ukpokiti, Obe, Okwuibome, Ebok and Asaratoru

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