Crude oil price in the international market dropped yesterday to $85.66 per barrel after hitting a four years high on Wednesday, as Russia and Saudi Arabia agree to raise oil output to ease rising prices
Brent crude oil futures were down 63 cents at $85.66 a barrel, having risen to a November 2014 high of $86.74 the day before, while, U.S. crude futures were also down 80 cents, or 1.1 percent, at $75.61, after hitting a four-year high at $76.90 on Wednesday.
According to the Organisation of Petroleum Exporting Countries, OPEC, Secretariat calculations, “The price of OPEC basket of fifteen crudes stood at $83.64 a barrel on Wednesday, compared with $83.28 the previous day.”
OPEC in it Monthly Oil Market Report, MOMR, had stated that, “The demand for OPEC crude in 2018 is expected at 32.9 million barrel per day, (mb/d), which is 0.5 mb/d lower than in the previous year. In 2019, demand for OPEC crude is forecast at 32.1 mb/d, around 0.9 mb/d lower than a year earlier.”
The OPEC Reference Basket of Crudes (ORB) is made up of the following: Saharan Blend (Algeria), Girassol (Angola), Djeno (Congo), Oriente (Ecuador), Zafiro (Equatorial Guinea), Rabi Light (Gabon), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).
Meanwhile, a loading programme from Reuters shows that, there are around 15 unsold cargoes from the 58-strong Nigerian October loading programme, down from nearly 20 at the end of last week, traders said. The November programme, the largest in six months, has been slow to sell.
According to the programme, “Total sold a cargo of Bonga at a premium of $1.70 a barrel to dated Brent. Traders said Phillips 66 was the buyer. Total was said to have sold a cargo of Nigerian Usan to Cepsa.
“The Angolan November programme has just fewer than 10 cargoes left traders said.
“India’s MRPL is looking for up to 4 million barrels of crude, 2 million barrels for delivery from Nov. 6-20 and another 2 million for delivery from Dec. 6-20. The tender closed on Oct. 3 and the results are due by Oct. 5.
“IOC was said to have awarded its December 01 to 10, 2018 arrival tender to Shell and Chevron but grade details were not immediately available. Indonesia’s Pertamina has a crude tender for December 03 to 05, 2018 arrival closing on Monday.”
