Iran’s crude oil on verge of $26/b

Business Materials 16 January 2016 14:31 (UTC +04:00)

Baku, Azerbaijan, Jan. 16

By Fatih Karimov - Trend:

The downward trend of Iran's crude oil price continued on the global markets in the week to Jan. 8, as each barrel of Heavy oil was sold at $26.3.

Each barrel of Iran's Light oil also was sold for $29.35 in the mentioned week, Iran's Fars news agency reported Jan. 16.

Iran previously saw record low prices in 1998 when its oil was traded in markets at below $10 per barrel.

The price of OPEC basket of twelve crude oils stood at $29.8 during the week to Jan. 8.

OPEC's oil basket (ORB) is currently made up of the Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).

The basket price stood at $25 a barrel on Jan. 14, meanwhile it was traded for $25.69 the previous day, according to the OPEC Secretariat calculations.

Iran has said it will retaliate against the Saudi-triggered downfall of oil prices by not reducing its output. Rather, Oil Minister Bijan Namdar Zanganeh has said the country will boost production by about 500,000 barrels a day once Iran is free of sanctions.

Iran says its share of the OPEC basket has been taken by Saudi Arabia and some other members, while its production had shrunken under sanctions.