How to Make Money From Bonny Light Crude Oil as a Middle Man
Bonny Light Crude Oil Business can make you RICH, but this will only happen if you know exactly how to go about it the right way. I remember the first transaction I brokered (many years ago), what I simply did was to connect the buyer and the seller of BLCO, then I got paid a commission.
It sounds easy yeah? I’d be telling a lie if the transaction came easily. You might be trying for months and even years, but once you successfully consume a transaction, you will make a lot of money! In this article, I’d explain to you in details how you can make money from crude oil business.
And the sweet thing about this business is the fact that you don’t need to have millions of Naira or dollars, you only need the following:
1. The right contacts
2. A phone
3. Internet connection
4. Your brain.
So lets get right straight into it,
How to Make Money From Bonny Light Crude Oil as a Middle Man
In order to make money from this business, the two most important people you need are:
A. A Genuine Buyer
B. A Genuine Seller
There are thousands of people online claiming to be buyer or buyer’s mandate, but the truth is that most of these guys are time wasters! If you are able to get a genuine buyer, then you have done 50 percent of the job because it’s only when that buyer pays for the product that you make money.
Most times, the buyer (company) uses a MANDATE to source for genuine suppliers of crude oil. They’d usually just give the mandate a procedure which they will work with. The job of the mandate is to look for a legitimate seller that can deliver.
As much as there are lots of people out there claiming to be buyers of bonny light crude oil, there are also a gazillion of people claiming to be sellers of crude oil. Now, you really have to be careful because 90 percent of these set of people are fraudulent.
First, they will always look for a way to get money out of your pocket by asking you to pay some sort of consultation fee. Yes, they’d tell you they need to be sure that the buyer is serious. Some charge $10,000 while others charge $5,000.
In most cases, after they make you pay this consultation fee, you’d never have access to any seller. They’d just keep tossing you up in cycles and trying to cajole you to pay more money. I’m not supposed to share this information, but I have to so you don’t make any mistakes.
Normally, if you want to purchase crude oil, you are supposed to go directly to the NNPC (Nigeria National Petroleum Corporation) to buy. But, most buyers will prefer to buy through allocation holders because the conditions to life oil directly from the NNPC is stringent.
The people who have these oil allocations most times are rich Politicians. They are given the allocation because they have influence and the money to pay for it. It doesn’t come easy though, but once you have it you will be able to sell crude oil.
How Can You Find Buyers and Sellers of BLCO?
There are different ways you can get buyers and sellers of BLCO. But before I talk about this, it’s important that you know more about the crude oil you intent to sell. I’d save this topic for the last, so quickly let’s learn about the oil we intend to sell.
What Is Bonny Light Crude Oil?
Bonny Light Crude Oil is a high-quality, low sulfur, light crude oil produced in Nigeria. It is one of the most sought-after crude oil grades in the world due to its high quality and low sulfur content. In this article, we will explore the Bonny Light Crude Oil business, including its production, transportation, pricing, and uses.
Production
Bonny Light Crude Oil is produced in the Niger Delta region of Nigeria. The oil fields are operated by the Nigerian National Petroleum Corporation (NNPC) in partnership with international oil companies. The oil is extracted from deepwater offshore fields using advanced drilling techniques and state-of-the-art equipment.
Transportation
Bonny Light Crude Oil is transported by tanker ships to refineries all over the world. The oil is loaded onto tankers at the Bonny Terminal, located on Bonny Island in the Niger Delta. The terminal has a capacity of 22 million barrels and is equipped with modern loading facilities to ensure the safe and efficient loading of crude oil onto tankers.
Pricing
The price of Bonny Light Crude Oil is determined by a variety of factors, including global supply and demand, geopolitical events, and economic conditions. The price is set by international markets, with major benchmarks including Brent crude oil and West Texas Intermediate (WTI) crude oil. The price of Bonny Light Crude Oil is typically priced at a premium to Brent and WTI due to its high quality and low sulfur content.
Uses
Bonny Light Crude Oil is used primarily as a feedstock for refineries to produce gasoline, diesel, jet fuel, and other petroleum products. The low sulfur content of the oil makes it a popular choice for refineries, as it reduces the need for costly sulfur removal processes. Bonny Light Crude Oil is also used as a benchmark for other crude oil grades, as its quality and pricing often set the standard for other crude oil grades around the world.
Challenges
The Bonny Light Crude Oil business faces a number of challenges, including political instability in Nigeria, piracy and theft, and environmental concerns. The Niger Delta region has a history of conflict, with local communities and militant groups demanding a greater share of the oil revenues.
Piracy and theft are also major issues in the region, with criminal gangs often hijacking tankers and siphoning off crude oil. Finally, environmental concerns are a major issue, as oil spills and leaks have caused significant damage to the fragile ecosystem of the Niger Delta.
The Bonny Light Crude Oil business is a key part of the Nigerian economy and the global energy industry. Its high quality and low sulfur content make it a highly sought-after crude oil grade, with refineries all over the world relying on Bonny Light Crude Oil as a feedstock.
Despite the challenges facing the business, including political instability, piracy and theft, and environmental concerns, the demand for Bonny Light Crude Oil is expected to remain strong in the years ahead.
In recent years, the Nigerian government has taken steps to address some of the challenges facing the Bonny Light Crude Oil business. The government has worked to improve security in the Niger Delta region, with the aim of reducing piracy, theft, and conflict. The government has also established a local content policy, which seeks to increase local participation in the oil industry and promote the development of local industries.
However, the Bonny Light Crude Oil business still faces significant challenges. The environmental impact of oil spills and leaks is a major concern, with local communities and environmental groups calling for greater accountability and compensation for damage caused by oil spills.
The Nigerian government has taken steps to address this issue, including the establishment of a national oil spill contingency plan and the creation of a fund to compensate communities affected by oil spills.
In addition, the global shift towards renewable energy sources poses a long-term challenge to the Bonny Light Crude Oil business. As countries around the world seek to reduce their reliance on fossil fuels, the demand for crude oil is expected to decline over time. This could have significant implications for the Nigerian economy, which relies heavily on oil exports.
The Bonny Light Crude Oil business is an important part of the global energy industry, with its high quality and low sulfur content making it a highly sought-after crude oil grade.
While the business faces significant challenges, including political instability, piracy and theft, and environmental concerns, it remains a key driver of the Nigerian economy.
As the global energy landscape continues to evolve, the long-term future of the Bonny Light Crude Oil business is uncertain, but it is likely to remain an important part of the energy mix for years to come.
Okay…
Now that I have enlightened you more about BLCO, let’s talk about the most important part of this article. You remember earlier in this article, I mentioned that in order to make money from this business you’d need two parties right?
How Do You Find Them?
The first seller I worked with was through a connection with a guy I met in Lagos. His name is Femi, He’s actually the person that taught me everything I needed to know about this business. He’s a down to earth guy and he has different sellers he works with.
The issue we had back then was that there were different people emailing and claiming to be buyer’s mandate, but they were all time wasters. You know, when you set up meetings with unserious people and it flops several times, the seller might start loosing trust in your ability to perform.
I met several other people, most of them came from the internet. I had just two strategies for generating leads. If you are reading this article right now, then it’s more than likely you went to Google to search for “Bonny Light Crude Oil”, “Sellers of Bonny Light Crude Oil”, or “Buyers of Bonny Light Crude Oil.”
When you stumble upon my article, you read and then contact me yeah? The second way I was able to get buyer leads was from a Facebook page I created many years ago. The page started getting organic followers because people were searching for either buyers or sellers of BLCO.
I remember back then in 2010, I had this buyer mandate that came in from the United States of America. Actually, he was boss to a friend of mine whom I also met online. So She linked me up to him and we met in Nigeria. Unfortunately, the transaction didn’t pull through because other people tried to swindle him.
We were talking constantly before he made the trip down to Nigeria, unknown to me, he was also talking to some other guys he met online. After our meeting in Portharcourt, he contacted the other guys and they tried to rip him off his money.
We had signed a contract, I was to get 20 cents of 2 million barrels of crude oil. That’s $400,000! After I left Portharcourt, he called me and told me he was travelling back. He said he trusted me well enough, but how can he trust my buyer mandate since the other people who claimed mandate tried to rip him off his money?
Before I conclude, there are other things you need to know about this business. There are different kinds of mode of shipments of crude oil, different ways of payment and other terminologies you need to acquaint yourself with. Let’s talk about them.
1. TTT (Tanker to Tanker Transhipment)
Tanker-to-tanker (TTT) transhipment is a process in the crude oil business where a cargo of oil is transferred from one tanker to another while both vessels are at sea. This process is used to transfer crude oil between different ports or regions, where the receiving port may not have the necessary infrastructure to accommodate the size of the tanker transporting the crude oil.
The TTT process involves two tankers: the load port tanker and the discharge port tanker. The load port tanker carries the crude oil from the crude oil producing country and transports it to the location where the TTT operation will take place. The discharge port tanker is a smaller tanker that can enter the receiving port to unload the crude oil.
During the TTT operation, the two tankers are moored alongside each other and connected by hoses. The crude oil is then transferred from the load port tanker to the discharge port tanker, and the process continues until the entire cargo has been transferred.
There are several advantages to TTT transhipment in the crude oil business. It allows crude oil producers to transport their product to a wider range of destinations, without having to worry about the size and capacity of the receiving port. It also allows for more efficient transportation, as the smaller tanker used for the TTT operation is typically more fuel-efficient and can reduce transportation costs.
However, TTT transhipment also presents some risks, including the possibility of spills or other accidents during the transfer process. Additionally, some environmental groups have criticized TTT transhipment as a way to evade regulations and sanctions, as it can make it difficult to track the origin of the crude oil being transported.
In summary, tanker-to-tanker transhipment is a process used in the crude oil business to transfer crude oil from one tanker to another at sea. While it presents certain advantages, it also carries certain risks and challenges.
Cost, Insurance, and Freight (CIF)
Cost, Insurance, and Freight (CIF) is a pricing term used in the crude oil business to indicate that the price quoted by the seller includes the cost of the goods, insurance, and freight to a named destination. This pricing term is commonly used in international trade and shipping, and it shifts the responsibility for the goods from the seller to the buyer when the goods are loaded onto the vessel at the port of origin.
The cost component of CIF refers to the price of the crude oil, which includes the cost of production, transportation, and any other expenses incurred by the seller in getting the product to the port of shipment.
The insurance component of CIF refers to the cost of insuring the goods during transportation. The seller is responsible for obtaining insurance coverage for the goods, which will protect both the seller and the buyer in the event of damage or loss of the goods during transit.
The freight component of CIF refers to the cost of transporting the goods to the named destination. The seller is responsible for arranging the shipment and paying for the freight charges.
When a seller quotes a CIF price for crude oil, it means that the price includes the cost of the goods, the insurance for the goods during transportation, and the cost of transporting the goods to the named destination.
This pricing term is commonly used in international crude oil trade, and it helps to simplify the buying process for the buyer, as the seller is responsible for arranging and paying for all aspects of the transportation of the goods.
Anyways, that’s by the way….
Now that you know how to generate leads to make money as a middle Man selling Bonny Light Crude Oil, what next? You need to start working!
If you are reading this article and you have a genuine buyer or anything you need clarification about, please feel free to send me an email at agina.ikenna@gmail.com.
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