First WAF crude trade initiated on Argus Open Markets platform
TotalEnergies accepted an offer for a Nigerian Qua Iboe crude cargo on the Argus Open Markets platform. The transaction aims to enhance transparency in physical crude oil pricing.
Oil traders have executed the first west African (WAF) crude cargo transaction on the Argus Open Markets® (AOM) platform, representing a step forward in price discovery for physical crude markets.
The deal, valued at over $115 million, was initiated on the WAF crude AOM stack. TotalEnergies accepted an offer for a 950,000-barrel Qua Iboe cargo at a premium of $4.10/bl to Dated Brent.
Argus Media, a provider of energy and commodity price assessments, operates AOM platforms across various markets. These platforms enable registered participants to post bids and offers and discover counterparties within a transparent and auditable framework.
WAF crude grades are typically traded as differentials to other benchmarks. Robust and accurate differential assessments are crucial for commercial decision-making. Argus' WAF crude differentials are widely referenced by market participants assessing the relative value of regional grades.
Argus Media CEO Adrian Binks stated that the first WAF crude trade on AOM is a significant milestone for price discovery and reinforces the industry's demand for greater transparency.