Shell lifts force majeure on Bonny Light

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Royal Dutch Shell has lifted force majeure on Bonny Light in Nigeria following the repair of the Nembe Creek Trunkline.
Bonny Light represents about 200,000- 250,000 bpd, and Shell had put it under force majeure in May because of problems with the pipeline.
The return of Bonny Light has helped ease concerns regarding global supplies.
Oil prices were mostly flat at the start of trading yesterday, after having posted two of the worst single-day declines over the past week.
The oil market has seen a sudden shift in sentiment compared to just a week ago which is caused by the return of oil from Libya, the lifting of force majeure on a key oil stream in Nigeria, the anticipated return of oil from an outage in Canada, increased production from Saudi Arabia and the prospect of an SPR release from the U.S.
At the moment, the market doesn’t seem as desperate for supply as it did a week ago.
Meanwhile, Saudi Arabia is offering extra volumes of oil to some buyers in Asia, Bloomberg, has reported.
This is a sign that the market will be adequately supplied.
It also suggests that Russia and Saudi Arabia are likely set to go beyond what was agreed to at the OPEC+ meeting, which called for an additional 1 mb/d of supply.
Saudi Arabia also said that OPEC+ would no longer focus on country-specific output limits but instead would heed a collective target, a switch that would free Saudi Arabia to ramp up production.

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