Nigeria is among the top producer of crude oil with billions of light crude oil reserves. Millions of barrels of crude oil are generated in Nigeria on a daily basis. The end supplier of crude oil in Nigeria is NNPC. NNPC does not load and keep vessels waiting for buyers. Vessels are loaded when a buyer shows interest.
A vessel is not loaded after a buyer signs SPA. Proof of funds (POF) is what will make a vessel to be loaded with the buyer's preferred quantity of crude oil and on the buyer's name. Furthermore, if you want to buy petroleum from Nigeria, you have to follow the end seller's procedure. Most crude oil carriers hold up to 2 million barrels of petroleum. There are a lot of time-wasters in petroleum trading either posing as sellers or buyers. I suggest you use a registered company to source for crude oil. When you get a seller working as an allottee, operator or fiduciary agent under NNPC, let the seller show you proof of product allocation from NNPC.
For those not in the know, investing in crude oil futures might sound complicated and risky. Think of investing in oil futures as akin to trading in the stock markets only that the things being traded are crude oil and its distillates. Take note, too, that crude oil options are traded in barrels while heating oil futures and unleaded gas futures are traded in gallons.
You have to open an online futures trading account. You can start trading on your chosen crude oil, heating oil and unleaded gas futures.
Talk about crude oil futures trading, if you care this market, you might note that this is among the most widely watched futures markets. Futures for crude oil trade on more than one exchange and are available nearly twenty-four hours a day.
There is more than one kind of crude futures contract. Speculators from all over the world will trade these futures contracts on crude oil price. The one of fundamentals affects oil prices.