Baku, Azerbaijan, May 22
By Maksim Tsurkov – Trend:
In the near future, SOCAR Trading, a marketing arm of Azerbaijan’s state oil company SOCAR, will sign a contract with the Nigerian National Petroleum Corporation (NNPC) for a swap of crude oil and oil products, a source in Azerbaijan’s oil and gas market told Trend May 22.
The source said that SOCAR Trading will become one of 10 companies with which such agreements will be signed.
“The contracts envisage the daily shipment of 330,000 barrels of Nigerian crude oil and the supply of gasoline and diesel fuel to the country in return,” the source said, adding that Nigeria experiences shortage of such oil products.
“Nigeria’s Hyde Energy oil trading company will be the partner of SOCAR Trading,” the source noted.
The total value of all contracts is estimated at $6 billion, said the source.
Given the fact that the shipping volumes are equally divided between 10 oil traders (33,000 barrels of oil per day for each trader), the individual value of each contract is approximately $600 million.
SOCAR Trading was established in Geneva in December 2007. Its activities cover the US and countries in Europe and Asia.