CRUDE OIL
22/08/2023
CRUDE OIL
Crude oil is traded in the futures markets.Quotes based on WTI BRENT& PLATTS Brent is a high-quality light, sweet blend of crude oil, which refers to its low density and low sulphur content.US-produced WTI crude is lighter and sweeter than Brent as it contains an even lower amount of sulfur. Crude oil futures are traded on commodity exchanges: Brent trades on the Intercontinental Exchange (ICE), while WTI trades on the New York Mercantile Exchange (NYMEX). *Middle East Export quality API 33.6 ASTM D5002 *BLEND 33 Crude oil API 33.9 ASTM D5002 *HEAVY CRUDE OIL API 29.6 ASTM D5002 MERREY CRUDE
BENCHMARK CRUDE OILS: OPEC, WTI, AND BRENT
The three most well known regional benchmark oils are WTI, Brent, and OPEC. WTI stands for West Texas Intermediate. This is oil produced in the United States. It is typically on the lighter end of the spectrum, at an API gravity of 39.6. WTI sulfur content is 0.24%, putting it at the sweeter end of the spectrum. Brent oil comes from the Scottish Brent and Ninian Systems located in the North Sea. This oil is also light and sweet, with an API gravity of 38.3. Brent sulfur content is 0.37%. OPEC stands for “Organization of Petroleum Exporting Countries.” It is a collective group of seven different crude oils from Algeria, Saudi Arabia, Nigeria, Dubai, Indonesia, Venezuela, and the Mexican Isthmus. The oil from these regions is typically on the heavier and sour end of the spectrum. While logistics also play a role, typically the lighter and sweeter an oil is, the more expensive it’s going to be.