Several brands have plummeted below $ 10 a barrel.
–
Following the oil slump since the beginning of this month, trading house Mercuria Energy Group began selling Wyoming Asphalt Sour-branded crude for a negative price, paying buyers 19 cents on the barrel they take from their warehouses.
The paradoxical situation is due to the fact that crude oil – which is dense and is mainly used to produce paving bitumens – is cheaper than lighter brands and, in addition, it is found in inaccessible deposits, the analyst at the consultancy ESAI explains to Bloomberg. Energy, Elisabeth Murphy.
–
–
–
–
“They are raw without [acceso al] coastal and without buyers. […] In areas where storage is filling up quickly, prices could be negative. The closings are likely to happen by then, “says the expert.
Due to the slowdown in economic activity due to the coronavirus outbreak, other brands are also selling in the physical world for prices lower than those registered on the exchanges, says Bloomberg, which suggests that other oil producers will soon be seen paying consumers to take oil from their warehouses.
Aside from Wyoming Asphalt Sour, various brands have plummeted to less than $ 10 a barrel. Thus, on Friday the Canadian Western Select crude sold for $ 5.06 a barrel, the Oklahoma Sour for 5.75, the Nebraska Intermediate for 8 and the Wyoming Sweet for $ 3.
If you found it interesting, share it with your friends!
–
