West African Oil Prices Hammered by High Freight Costs, Spread
Oil tankers moored out at sea in Luanda.
Photographer: Rodger Bosch/AFP/Getty Images
West African crude traders are being forced into offering deep discounts by soaring freight costs and an unfavorable price spread that is eroding Asian buyers’ appetite for the region’s cargoes.
Elevated costs for shipping oil to customers in Asia and Europe are weighing on prices for the region’s supplies, with the principal rate for Asian customers hitting the strongest in more than five years on Friday.