• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 23 hours How Far Have We Really Gotten With Alternative Energy
  • 10 days What fool thought this was a good idea...
  • 17 hours Bad news for e-cars keeps coming
  • 8 days A question...
  • 13 days Why does this keep coming up? (The Renewable Energy Land Rush Could Threaten Food Security)
  • 14 days They pay YOU to TAKE Natural Gas
Editorial Dept

Editorial Dept

More Info

Premium Content

Asian Buyers Look To The Spot Market For Oil


1. Asian Buyers Seeking Spot Options Amidst Expensive OSPs

- Several Asian refineries surveyed by S&P Platts admitted they would try to tap into the spot market more extensively in 2022 as termed Middle Eastern OSPs remain too expensive.

- Currently, some 12 million b/d of crude is moving every month from Middle Eastern producers to the Asia Pacific and roughly two-thirds of it takes place under OSP-priced term contracts.

- The steep Dubai backwardation curve that persisted throughout 2021 compelled Middle Eastern producers to keep on ramping up official selling prices, effectively penalizing buyers in times of sudden forward structure changes.

- Partially, the drive to buy more cargoes on the spot market also comes from the increasing likelihood of seeing a nuclear deal coming to fruition in 2022.

2. Indonesia Coal Export Ban Sends Ripples Across Asia

- Only a week has passed since the world’s largest exporter of thermal coal, Indonesia, announced it would halt coal exports to keep its production at home as coal markets experience a period of unprecedented turmoil.

- ICE Newcastle coal prices have gained almost $50 per metric ton this week, trading only marginally below the $200 per metric ton mark.

- Routinely, half of Indonesia’s coal exports are supplied to China but Chinese prices saw very little change this week.

- The export ban might be lifted soon as other (albeit smaller) buyers of Indonesian…

Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News