Sudan issues Nile blend tender crude for October delivery

August 19, 2009 (LONDON) – Sudan has issued a new tender to sell 1.6 million barrels of heavy sweet Nile Blend crude for October loading, traders told Reuters today.

Sudan’s offer came after already selling 1.6 million barrel of the crude for September delivery at a discount of $2.85-$2.90 a barrel to the Minas Indonesia Crude Price (ICP).

The Greater Nile project which produces this heavy sweet, high-quality, Nile Blend crude has been experiencing diminishing productivity lately from 325,000 barrels per day (bpd) to 200,000.

The tender closes on Wednesday, with validity until Monday, the trader added.

Sudan State oil firm (Sudapet) has been facing difficulties finding rewarding bids for its tender forcing it to skip several spot sales since last year.

India’s state-owned Oil and Natural Gas Corp (ONGC) also closes a tender on Wednesday to sell 600,000 barrels of October-loading Nile Blend.

ONGC holds a 25 percent stake in the Greater Nile project, where Nile Blend is produced.

(ST)