The Nigerian National Petroleum Corporation, NNPC, has, under its direct-sale-direct-purchase, DSDP, programme, requested submission of tenders for the 2020/2021 fuel supplies in the country.
Under the DSDP, NNPC will provide monthly crude oil free on board, FOB, cargoes to suppliers who are expected to provide petroleum products in return.
Interested companies are expected to register interest by December 22 at noon, and have until January 21 to submit necessary documents.
The bids will be opened online.
Eligibility include: foreign refinery owners capable of processing Nigerian crudes with a Nigerian affiliate or subsidiary, globally established traders with Nigerian affiliates or subsidiaries, and indigenous companies working in the downstream with trading expertise.
The NNPC began the DSDP process in 2016 and expects to continue this until 2023.
The company awarded the last round of DSDP contracts in August 2019 and this was due to expire in September 2020. However, these 2019-20 DSDP awards were extended by six months.
Around 130 companies submitted bids in 2019, with 15 winning bids accepted. These included BP, Vitol, Gunvor and Trafigura, in addition to some local companies such as Sahara Energy and MRS Oil and Gas. NNPC included its own Duke Oil unit in the list of 15.
SOURCE: sweetcrudereports.com