This blog is mainly addressed to the hundreds of Bonnie Light Crude Oil brokers and other intermediaries with no website, no corporate Email, no money, no education and not a single ounce of business protocol who approach us each year with fake offers and then wonder why we slam the phone on their faces and tell them to get lost.
As a starter, there is an operative for Bonny Light Crude Oil otherwise known at NNPC or Nigerian National Petroleum Group. It is a state owned entity responsible for proper procedures of the NNPC. For more information, you can visit their website at http://www.nnpcgroup.com
The NNPC has strict protocol and procedures which have stated that UNDER LAW they will not do business with NON-REGISTERED firms. Hence, you as the intermediary or broker can do business with them but this requires registration, financial disclosures, and approval by the Nigerian Government. If you go to their website you will notice there are a lot of scammers posing as those that have Bonny Light Crude Oil. As stated on their site The NNPC does NOT do business by email or telephone.
So â€¦. for those of you wishing to buy or sell Nigerian Crude Oil otherwise known as Bonny Light you must demonstrate your commitment to the oil industry through allocations of adequate resources of capital equipment and manpower for the general business of production of Nigerian Crude Oil.
To make a long story short, all applicants must have a minimum annual rate of 100 million dollars and a net worth of not less than 30 Million dollars.
So as you can clearly see, the market is controlled by the Nigerian Government which has strict procedures and protocol. What is more interesting is that NNPC does not operate the Bonny Terminal. The Bonny Terminal is operated by Dutch Shell, and the NNPC has nothing to do with the day to day operations, although the NNPC has equity in the terminal and the products are under license.
Now what is Bonny Light used for?
It is used for heavy machinery to equip the supply of oil that is needed throughout the world. One of the major buyers is China. The fact of the matter is REAL allocations of Bonny Light are quickly marketed and contracted to sell to already existing demand by the Majors and this demand always outweighs the supply.
One quick way to spot a fake Bonny Light deal or other Nigerian Petroleum Products is the huge quantity which seems to be sometimes more than the monthly production of the whole country. Another quick tip to look out for is the Sulphur content of the Bonny Light Crude Oil which will not match with Platts or other established indices. The specifications of BLCO are well known to those in the industry and if the offer does not match regulatory indices then it is YOU that must exert DUE DILIGENCE to verify such matters to be sure your offer is fake or genuine.
Bottom Line: There is no easy entry into the market of Bonny Light and you can contact the Group Chairman at +234 9 234 8237 and ask him yourself.
The chances of entering this market as a non-major firm is a futile attempt. There is no company in the world that will book a tanker for YOU as a private individual for loading at Nigeria’s Bonny Terminal.
For those Intermediaries who THINK they are going to do a Bonny Light Deal? All we can say is good luck to you unless you have five million dollars in the bank to start in the business. If you do not, please stop calling on us and wasting our time and go and find yourself a job you could make a living with.
Thanks much for your consideration.
Your feedback as always is greatly appreciated.
By :Â Ziad K Abdelnour
Ziad is also the author of the best selling bookÂ Economic Warfare: Secrets of Wealth Creation in the Age of Welfare Politics (Wiley, 2011),
Mr. Ziad Abdelnour continues to be featured in hundreds of media channels and publications every year and is widely seen as one of the top business leaders by millions around the world.
He was also featured as one of theÂ 500 Most Influential CEOs in the World.