Glut of crude swells across Atlantic basin on coronavirus, OPEC+ hikes - Reuters:
Crude oil traders from West Africa to the U.S. Gulf Coast are offering cargoes at deep discounts, desperately trying to attract buyers as global supplies swell and demand plunges.
Oil prices have plummeted to 18-year lows as the global spread of the coronavirus has throttled back air and road travel at the same time as major producers are hiking production after Russia refused to back deeper output cuts at a meeting of the Organization of the Petroleum Exporting Countries and its allies.
The sudden collapse in demand has resulted in a glut of unsold, high quality crude in Nigeria and sent prices at the U.S. Gulf Coast to a discount to benchmark futures, traders said, as Middle East producers flood the market with supplies.
Nigeria, which produces some of the easiest-to-refine crude that typically commands a premium, has 30 or more unsold April-loading cargoes, traders say, equal to 30 million barrels or 30% of daily world demand.
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