Demand for Nigerian crude cargoes has picked up this week, after weeks of sluggish trading, but sellers have been forced to cut their prices in order to get barrels moving, as an overhang persists and physical markets elsewhere are also showing weakness, traders said.

A number of Nigerian grades have struggled to find buyers, as holders of physical cargoes have been reluctant to risk putting additional pressure on a market that has already had to absorb an overhang of August-loading cargoes as trading in September crude gets underway.

But a number of cargoes have changed hands at much lower prices, echoing weakness elsewhere in the Atlantic Basin. August-loading Forcados was heard to be offered at a premium of $1.55-1.65 to dated Brent, while September barrels were quoted at $1.65-1.75, traders said.

Source: Reuters