NNPC invites bids for new Cawthorne crude oil grade as Nigeria pushes to boost exports

Nigeria's state-owned oil company, NNPC, has called for bids to sell its newly introduced crude oil grade, Cawthorne. The move is part of efforts to expand the country's export portfolio and raise production levels.

According to a tender document, NNPC is offering cargoes of the new grade for loading on a specific date basis. Cawthorne crude began exports in recent months and has gradually gained traction in international markets.

Data from energy analytics firms show that exports of the blend averaged significant volumes during the last quarter. This reflects growing market acceptance of the new crude type.

The launch is part of Nigeria's broader strategy to diversify its crude oil export offerings and attract more international buyers. NNPC wants to increase crude oil production as the country works to reverse years of declining output.

That decline was caused by underinvestment in upstream oil infrastructure, crude oil theft, pipeline vandalism, and operational disruptions across key production assets.

Cawthorne follows the recent addition of other export grades. These new blends are meant to strengthen Nigeria's position in the global crude market by offering buyers a wider range of high-quality, light sweet crude oils.

But Nigeria faces a more competitive market environment. West African crude prices have come under pressure as oil flows through key trade routes recover after recent geopolitical developments in the Middle East.

The gradual restoration of exports from Gulf producers has increased global crude supply. This has intensified competition among light sweet crude exporters, including Nigeria. Greater availability of alternative crude grades may weigh on pricing and demand for West African cargoes in the near term.