Iranian Crude Below $51

EghtesadOnline: Iran's crude oil dipped below $51 a barrel in the week to September 1, echoing uncertainties in global markets roiled by supply disruptions in the US.

News ID: ۷۷۹۱۴۸

13 September 2017

The country's light crude fell to $50.93 a barrel from $51 in the previous week. Iran Heavy, one of the country's main export grades, settled 33 cents lower at $48.51 a barrel in the week, IRNA reported on Sunday, citing an Oil Ministry report.

The latest OPEC data showed the price of the organization's basket of 14 crudes stood at $52.53 a barrel on Friday, compared with $52.48 the previous day.

According to OPEC's latest monthly report published on August 10, Iran Heavy has averaged above $49 a barrel in 2017 compared to just above last year's average of $35 a barrel, Financial Tribune reported.

The price drop mirrors the trend in global prices that have been shaky in recent weeks.

The United States has been battered by two giant hurricanes in the past few weeks, with nearly one-fourth of its refining capacity affected. But the shutdowns did not translate into a windfall for other suppliers, as lower crude imports by the world's biggest oil consumer added to the supply overhang and kept price gains limited.

Iran has set the official selling price of its Iranian Light grade for Asian buyers at 50 cents above the Oman/Dubai average for October, up 48 cents from the previous month, Reuters said, quoting an industry source with direct knowledge of the matter as saying on Friday. Last month, Iran changed the pricing formula for its Soroush grade so it is now priced against the Oman/Dubai average, Reuters said.