• 5 minutes USGS Announces Largest Continuous Oil Assessment in Texas and New Mexico
  • 10 minutes Venezuela continues to sink in misery
  • 13 minutes U.S. Senate Advances Resolution To End Military Support For Saudis In Yemen
  • 16 minutes IEA Sees Global Oil Supply Tightening More Quickly In 2019
  • 5 mins Paris Is Burning Over Climate Change Taxes -- Is America Next?
  • 7 hours $867 billion farm bill passed
  • 7 hours Rage Without Proof: Maduro Accuses U.S. Official Of Plotting Venezuela Invasion
  • 1 day OPEC Cuts Deep to Save Cartel
  • 7 hours Has Global Peak Diesel Arrived?
  • 23 hours Sleeping Hydrocarbon Giant
  • 19 hours How High Can Oil Prices Rise? (Part 2 of my previous thread)
  • 1 hour What will the future hold for nations dependent on high oil prices.
  • 46 mins Air-to-Fuels Energy and Cost Calculation
  • 1 day And the War on LNG is Now On
  • 23 hours Could Tesla Buy GM?
  • 1 day Global Economy-Bad Days Are coming
Will China Turn Its Back On U.S. LNG?

Will China Turn Its Back On U.S. LNG?

While the trade war truce…

European Commission Investigates Oil Majors for Oil Price Manipulation

After the Libor rigging scandal in 2012, authorities have sharpened their act, deeply scrutinizing company financial records, and implementing stricter regulations. This has led to a new investigation which has led European authorities to raid the offices of Shell, BP, and Statoil, in what is suspected to be one of the largest international actions since Libor.

The European Commission admitted that it carried out surprise raids on the offices, two in EU member states, and one in a non-EU country, as part of an investigation into the oil majors over allegations of anti-competitive agreements, which led to oil price manipulation.

The Commission stated that “officials carried out unannounced inspections at the premises of several companies active in and providing services to the crude oil, refined oil products and biofuels sectors.

Related article: Peak Oil Price: The Latest Industry Worry

The Commission has concerns that the companies may have colluded in reporting distorted prices to a price reporting agency to manipulate the published prices for a number of oil and biofuel products.”

Statoil has claimed that the entire misunderstanding is related to the Platts price assessment process. Each day during a half-hour period known as the Platts window, the oil pricing agency determines the cash prices by analysing bids, offers, and trades. The system has taken criticism before, through claims that the half hour only gives a very small snapshot of the market, and that the exclusion of trades outside of the time period make the system vulnerable to manipulation.

Platts, Statoil, Shell, and BP have agreed to cooperate with the investigation.

By. Joao Peixe of Oilprice.com



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News