US oil attracts more buyers as Nigeria loses markets

30 March 2017, Sweetcrude, Lagos – The United States exported crude oil to 26 different countries in 2016, compared with 10 countries the previous year, according to the US Energy Information Administration, EIA.

Included in the list of countries are those that usually buy the Nigeria crude, and these countries are China, Spain, the United Kingdom, Italy, Netherlands, France, Singapore, Colombia and Peru.

The US had in December 2015 removed the 40-year-old restrictions on its crude exports following the rapid growth of its oil production from 2013 to 2015.

This paved way for the country to explore markets in the more countries, leading to its crude making entry into 16 new markets, in the process eating into Nigeria’s own markets.

The EIA said that in in 2015, 92 per cent of the US crude oil exports went to Canada, which was exempt from the US crude oil export restrictions. After restrictions were lifted, Canada remained the top destination but received only 58 per cent of the US crude exports in 2016.

“Aside from Canada, European destinations such as the Netherlands, Italy, the United Kingdom, and France rank high on the list of the US crude oil export destinations.

“The second-largest regional destination is Asia, including China, Korea, Singapore, and Japan. In 2016, the United States exported to eight different Central and South American destinations, including Curacao, Colombia, and Peru,” it stated.

One of the biggest buyers of the Nigerian crude in in Europe, The Netherlands, received 38,000 bpd of the US crude oil in 2016, making it the second-largest destination after Canada.

Singapore received 11,000 bpd of the US crude oil; Peru, 7,000 bpd; France, 7,000 and Spain bought 4,000 bpd, the EIA data indicated.

Italy bought 23,000 bpd of the US crude oil; China imported 22,000 bpd, while the UK and Colombia purchased 17,000 bpd and 9,000bpd, respectively.

 

 

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