Suezmax rates in the Atlantic Basin are showing little change in response to claims of sabotage affecting yet another oil export terminal in Nigeria. But overall chartering activity out of Africa's largest oil producer still remains muted, according to chartering managers.
The militant group Niger Delta Avengers issued a statement that they “took down” the export pipeline at Chevron’s operations in the Escravos region of Nigeria. The Escravos terminal has mooring for two crude oil tankers up to very large crude carrier (VLCC) size, as well as mooring for LPG tankers.
This is the group’s second claim of an attack on Escravos, with the first coming in May. Chevron declined to comment on its Escravos operations.
Brokers and chartering managers say they have not heard of any force majeure taking place at the terminal. Given the amount of oil and gas infrastructure in the region, it was unclear whether the sabotage would have any direct effect on exports as yet.
“I guess they must have shoreside storage to fall back on for lifting cargoes,” one broker said. "Charterers are using the attack to talk down rates."
The Baltic Exchange’s assessment for suezmax voyages on the TD20 route from West Africa to Europe was down slightly from Tuesday levels at Worldscale (WS) 63.65, or $15,484 per day.
A Wells Fargo report says that Nigeria and Libya have brought back some 700,000 barrels per day of production in the last month, as both countries try to reverse a slide in oil production. Indeed, the TD20 assessment jumped to as high as WS 106 at one point thanks to hopes for resumed Nigeria exports. But some chartering managers have yet to see the strong exports resuming.
“Nigeria is dreadfully quiet,” said one chartering manager. “No cargoes. So there must be something else going on.”
