Saudi Arabia to change oil pricing for European customers

05/04/2017 Argaam

Saudi Arabia plans to change the benchmark it uses to sell crude in Europe from July, in a bid to help refiners closely hedge crude purchases, agencies reported on Tuesday.

 

State-run Aramco will sell crude in Europe, Africa, and Latin America based on ICE Brent Settlement. The oil giant currently prices crude against the Brent Weighted Average (BWAVE).

 

The new pricing will be effective July 1, it was reported.

 

European refiners have complained that using a weighted average makes it tough to hedge their exposure to the benchmark.

 

“Saudi Arabia is confident that this enhancement will continue to provide a transparent, reliable and liquid market serving both parties,” Aramco said in a letter to European customers, cited by Bloomberg. 

Comments {{getCommentCount()}}

Be the first to comment

{{Comments.indexOf(comment)+1}}
{{comment.FollowersCount}}
{{comment.CommenterComments}}

رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}

{{comment.DisplayName}} حساب موثّق

{{comment.ElapsedTime}}
loader Train
loader Train
Sorry: the validity period has ended to comment on this news
Opinions expressed in the comments section do not reflect the views of Argaam. Abusive comments of any kind will be removed. Political or religious commentary will not be tolerated.

Most Read