West African crude trading slowed on Monday with Angola’s October program nearly cleared out, reported Reuters.
There was a mini buying spree from China at the close of the previous week but traders said it was the slow but steady European buying that had absorbed the bulk of the October program.
“European refining margins have supported the West Africa market,” one trader said.
Roughly three Angolan cargoes remain for October loading, including Girassol and Dalia.
According to Hellenic Shipping News Angola’s October crude oil cargoes were sold off only after sellers discounted heavily.
Angola had not had to slash its official selling prices, unlike Nigeria, because of its export to Asia. China’s economy slowing down has led to a shift of focus to Europe and, to a lesser extent, the United States.
“The freight (to Europe) is very cheap … and all people are trying to delay maintenance to enjoy the good margins,” one trader said.