OPEC Reference Basket up by 2.8%
Baku, Azerbaijan, Aug.17
By Leman Zeynalova – Trend:
The OPEC Reference Basket (ORB) averaged higher in July, up by $1.79, or 2.8 percent to $64.71 per barrel, supported by tightening oil supply and higher Asian crude demand, specifically from China, Trend reports citing OPEC’s Monthly Oil Market Report for August 2019.
“Recovering refining margins also supported prices. Year-to-date, the ORB value was $3.77, or 5.5 percent, lower at $65.37 per barrel compared to the same period in 2018,” reads the report.
The cartel said that ORB component values showed mixed movement, reflecting their respective crude benchmarks, with lighter Brent-linked grades pressured by higher availability in the Atlantic Basin.
“Heavier grades performed better, supported by a tight sour market resulting in part from lower supply in the US Gulf of Mexico due to Hurricane Barry, which reduced the availability of sour crudes. However, declining crude differentials and lower official selling prices for some grades compared to the previous month had a negative effect on the ORB’s value performance,” said the report.
Introduced on 16 June 2005, ORB is currently 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), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).
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