Knowledge (XXG)

Benchmark (crude oil)

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becoming the world's most liquid form for crude oil trading, as well as the world's largest-volume futures contract trading on a physical commodity. Additional risk management and trading opportunities are offered through options on the futures contract; calendar spread options; crack spread options
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For many years, most of the oil producers in the Middle East have taken the monthly spot price average of Dubai and Oman as the benchmark for sales to the Far East (WTI and Brent futures prices are used for exports to the Atlantic Basin). In July 2007, a potential new mechanism arose in the form of
264:. Dubai's only refinery, at Jebel Ali, takes condensates as feedstocks, and therefore all of Dubai's crude production is exported. For many years it was the only freely traded oil in the Middle East, but gradually a spot market has developed in Omani crude as well. 302:
of the Canadian commodity. The CCI provides a fixed price reference for Canadian crude oil and provides an accessible and transparent index to serve as a benchmark to build investable products upon, and could ultimately increase its demand to global markets.
287:(WCS) "are benchmarks crude oils for the Canadian market. Both Edmonton Par and WCS are high-quality low sulphur crude oils with API gravity levels of around 40°. In contrast, WCS is a heavy crude oil with an API gravity level of 20.5°." 349:, which is also accessible to the international spot markets via pipelines. The contract provides for delivery of several grades of domestic and internationally traded foreign crudes, and serves the diverse needs of the physical market. 199:
differences, (at least before 2011) WTI is typically traded at a dollar or two premium to Brent and another dollar or two premium to the OPEC basket. Since 2011, WTI has traded at lower prices than Brent.
1326: 191:) and sweet (low-sulfur) thus making it ideal for producing products like low-sulfur gasoline and low-sulfur diesel. Brent is not as light or as sweet as WTI but it is still a high-grade crude. The 272:, which offers futures contracts in Omani crude. Whether the DME will be successful, and whether Omani futures prices will be adopted by producers and buyers as a benchmark, remain to be seen. 558: 1222: 322:(Nymex) both attempting to take advantage of the government's de-regulation of crude oil. CBOT's initial contracts had delivery problems, so customers abandoned it for Nymex. 2067: 1447: 745: 735: 609: 1217: 1212: 1197: 1192: 740: 1162: 483: 176: 168:
is more valuable), sweetness/sourness (low sulfur is more valuable) and transportation cost. This is the price that controls world oil market price.
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Because of its excellent liquidity and price transparency, the contract is used as a principal international pricing benchmark.
1609: 1167: 1052: 2077: 1848: 1514: 1067: 985: 912: 295: 406: 260:, also known as Fateh, is a heavy sour crude oil extracted from Dubai. It is produced in the Emirate of Dubai, part of the 2125: 1285: 1182: 1172: 1094: 150:. Energy Intelligence Group publishes a handbook which identified 195 major crude streams or blends in its 2011 edition. 2057: 2052: 1589: 1574: 1023: 319: 2104: 2072: 595: 1659: 1260: 1245: 1207: 968: 845: 154: 2031: 1564: 1305: 1109: 269: 526:
http://boereport.com/2016/01/04/auspice-capital-advisors-launches-first-live-index-tied-to-canadian-crude-oil/
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that serves as a reference price for buyers and sellers of crude oil. There are three primary benchmarks,
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futures and crude oil futures and gasoline futures and crude oil futures; and average price options.
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There is always a spread between WTI, Brent and other blends due to the relative volatility (high
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Canadian Crude Oil, Natural Gas and Petroleum Products: Review of 2009 & Outlook to 2030
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West Texas Intermediate (light blue) alongside other selected North American oil benchmarks
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basket is slightly heavier and more sour than Brent. As a result of these gravity and
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The contract trades in units of 1,000 barrels, and the delivery point is
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The first futures contracts on crude oil were traded in 1983, with the
1996: 1883: 1868: 1858: 1818: 1732: 587: 196: 143: 1778: 1752: 1722: 1684: 1624: 1619: 1614: 330: 175: 18: 2006: 1946: 1699: 1177: 192: 123: 591: 1838: 1704: 1477: 1467: 507: 407:"Pricing Differences Among Various Types of Crude Oil" 2068:
International Association of Oil & Gas Producers
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Other well-known blends include the 365:Gasoline and diesel usage and pricing 7: 1535:China National Petroleum Corporation 1595:National Iranian South Oil Company 1311:Western Canadian Sedimentary Basin 14: 2063:Intercontinental Exchange Futures 1952:Chicago Bridge & Iron Company 1605:Oil & Gas Development Company 557:Natural Resources Canada (2011), 2100: 2099: 294:(CCI) serves as a benchmark for 1610:Oil and Natural Gas Corporation 338:on the pricing differential of 333:Division light sweet crude oil 2078:Society of Petroleum Engineers 1849:Port Harcourt Refining Company 1515:Abu Dhabi National Oil Company 155:different varieties and grades 130:which is traded in Singapore, 1: 1024:Production sharing agreements 543:, 2011, HarperCollins, p90-91 508:Natural Resources Canada 2011 172:West Texas Intermediate (WTI) 2058:Canadian petroleum companies 2053:American Petroleum Institute 1590:National Iranian Oil Company 1575:Kuwait Petroleum Corporation 320:New York Mercantile Exchange 2073:International Energy Agency 1058:Enhanced oil recovery (EOR) 2142: 1660:PTT Public Company Limited 1261:East Midlands Oil Province 1246:List of natural gas fields 846:Integrated asset modelling 484:"Crude Benchmark Analysis" 2095: 2032:Weatherford International 1565:Iraq National Oil Company 625: 459:"Oil Industry Commentary" 270:Dubai Mercantile Exchange 2083:World Petroleum Council 1957:China Oilfield Services 1014:Petroleum fiscal regime 713:Western Canadian Select 708:West Texas Intermediate 432:"Oil markets explained" 285:Western Canadian Select 185:West Texas Intermediate 132:Western Canadian Select 108:West Texas Intermediate 89: OPEC Basket Price 54:West Texas Intermediate 38:West Texas Intermediate 1560:Indian Oil Corporation 1046:Submersible pump (ESP) 991:Underbalanced drilling 812:of gasoline and diesel 359:Argus Sour Crude Index 316:Chicago Board of Trade 296:oil produced in Canada 254: 181: 91: 41: 1937:Cameron International 1379:Petrodollar recycling 1362:fossil fuel phase-out 925:Differential sticking 878:Reflection seismology 851:Petroleum engineering 693:OPEC Reference Basket 230: 179: 120:OPEC Reference Basket 47: 22: 2126:Benchmark crude oils 1834:Occidental Petroleum 1148:1990 oil price shock 974:Shale oil extraction 947:Drilling engineering 930:Directional drilling 856:Reservoir simulation 541:Leah McGrath Goodman 292:Canadian Crude Index 262:United Arab Emirates 74:(Russian export mix) 1982:Naftiran Intertrade 1927:Amec Foster Wheeler 1854:Reliance Industries 1743:Naftiran Intertrade 1555:Hindustan Petroleum 1153:2000s energy crisis 231:Dubai crude oil in 1829:Marathon Petroleum 1251:List of oil fields 861:Reservoir modeling 619:Petroleum industry 583:on October 3, 2013 370:Petroleum industry 255: 182: 92: 42: 2113: 2112: 2091: 2090: 1977:Nabors Industries 1907: 1906: 1105:Well intervention 1080:Petroleum product 979:Ljungström method 883:Seismic inversion 868:Petroleum geology 822: 821: 573:978-1-100-16436-6 347:Cushing, Oklahoma 243: Dubai crude 138:used in Nigeria, 2133: 2103: 2102: 1804:Hess Corporation 1525:Bharat Petroleum 1456: 1441: 1128:1967 Oil Embargo 964:Lost circulation 802:Posted oil price 726: 683:Isthmus-34 Light 612: 605: 598: 589: 584: 582: 576:, archived from 565: 544: 534: 528: 520: 511: 505: 499: 498: 496: 495: 486:. Archived from 480: 474: 473: 471: 470: 461:. Archived from 455: 449: 448: 446: 445: 428: 422: 421: 419: 418: 409:. Archived from 403: 394: 391: 335:futures contract 248: 242: 134:used in Canada, 88: 79: 69: 60: 51: 35: 26: 2141: 2140: 2136: 2135: 2134: 2132: 2131: 2130: 2116: 2115: 2114: 2109: 2087: 2041: 2037:John Wood Group 2027:Valaris Limited 1920: 1917: 1914: 1903: 1769:APA Corporation 1757: 1709: 1508: 1505: 1497: 1452: 1449: 1446: 1436: 1430: 1331:Classification 1315: 1238: 1232: 1168:Nationalization 1138:1979 oil crisis 1133:1973 oil crisis 1114: 1100:Water injection 1068:Steam injection 1063:Gas reinjection 1031:Artificial lift 1000: 942:Drill stem test 894: 818: 765: 717: 639: 621: 616: 580: 574: 563: 556: 553: 548: 547: 535: 531: 521: 514: 506: 502: 493: 491: 482: 481: 477: 468: 466: 457: 456: 452: 443: 441: 430: 429: 425: 416: 414: 405: 404: 397: 392: 388: 383: 355: 318:(CBOT) and the 309: 278: 253: 246: 244: 240: 225: 206: 174: 96:benchmark crude 90: 86: 84: 77: 75: 67: 65: 58: 56: 49: 40: 33: 31: 24: 17: 12: 11: 5: 2139: 2137: 2129: 2128: 2118: 2117: 2111: 2110: 2108: 2107: 2096: 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1429: 1428: 1427: 1426: 1421: 1416: 1411: 1401: 1399:Swing producer 1396: 1391: 1386: 1381: 1376: 1371: 1370: 1369: 1364: 1354: 1349: 1344: 1343: 1342: 1337: 1329: 1323: 1321: 1317: 1316: 1314: 1313: 1308: 1303: 1298: 1293: 1288: 1283: 1278: 1273: 1271:Gulf of Mexico 1268: 1263: 1258: 1253: 1248: 1242: 1240: 1234: 1233: 1231: 1230: 1225: 1220: 1215: 1210: 1205: 1200: 1195: 1190: 1185: 1180: 1175: 1170: 1165: 1160: 1158:2010s oil glut 1155: 1150: 1145: 1143:1980s oil glut 1140: 1135: 1130: 1124: 1122: 1116: 1115: 1113: 1112: 1107: 1102: 1097: 1092: 1087: 1082: 1077: 1072: 1071: 1070: 1065: 1055: 1050: 1049: 1048: 1043: 1038: 1028: 1027: 1026: 1021: 1010: 1008: 1002: 1001: 999: 998: 993: 988: 983: 982: 981: 971: 966: 961: 960: 959: 952:Drilling fluid 949: 944: 939: 938: 937: 927: 922: 921: 920: 910: 904: 902: 896: 895: 893: 892: 890:Seismic source 887: 886: 885: 875: 870: 865: 864: 863: 858: 848: 843: 838: 832: 830: 824: 823: 820: 819: 817: 816: 815: 814: 804: 799: 794: 789: 784: 779: 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1910: 1900: 1899:Valero Energy 1897: 1895: 1892: 1890: 1887: 1885: 1882: 1880: 1877: 1875: 1872: 1870: 1867: 1865: 1864:Suncor Energy 1862: 1860: 1857: 1855: 1852: 1850: 1847: 1845: 1842: 1840: 1837: 1835: 1832: 1830: 1827: 1825: 1822: 1820: 1817: 1815: 1812: 1810: 1807: 1805: 1802: 1800: 1797: 1795: 1792: 1790: 1787: 1785: 1782: 1780: 1777: 1775: 1772: 1770: 1767: 1766: 1764: 1760: 1754: 1751: 1749: 1746: 1744: 1741: 1739: 1736: 1734: 1731: 1729: 1726: 1724: 1721: 1720: 1718: 1716: 1712: 1706: 1703: 1701: 1698: 1696: 1693: 1691: 1688: 1686: 1683: 1681: 1678: 1676: 1673: 1671: 1668: 1666: 1663: 1661: 1658: 1656: 1653: 1651: 1648: 1646: 1643: 1641: 1638: 1636: 1633: 1631: 1628: 1626: 1623: 1621: 1618: 1616: 1613: 1611: 1608: 1606: 1603: 1601: 1598: 1596: 1593: 1591: 1588: 1586: 1583: 1581: 1578: 1576: 1573: 1571: 1568: 1566: 1563: 1561: 1558: 1556: 1553: 1551: 1548: 1546: 1543: 1541: 1538: 1536: 1533: 1531: 1528: 1526: 1523: 1521: 1518: 1516: 1513: 1512: 1510: 1507: 1500: 1494: 1493:TotalEnergies 1491: 1489: 1486: 1484: 1481: 1479: 1476: 1474: 1471: 1469: 1466: 1465: 1463: 1461: 1457: 1454: 1451: 1442: 1439: 1437:organisations 1435:Companies and 1433: 1425: 1422: 1420: 1417: 1415: 1412: 1410: 1407: 1406: 1405: 1402: 1400: 1397: 1395: 1392: 1390: 1387: 1385: 1382: 1380: 1377: 1375: 1374:Petrocurrency 1372: 1368: 1365: 1363: 1360: 1359: 1358: 1355: 1353: 1350: 1348: 1347:Oil shale gas 1345: 1341: 1338: 1336: 1333: 1332: 1330: 1328: 1327:Abbreviations 1325: 1324: 1322: 1318: 1312: 1309: 1307: 1304: 1302: 1299: 1297: 1294: 1292: 1289: 1287: 1286:Permian Basin 1284: 1282: 1279: 1277: 1274: 1272: 1269: 1267: 1264: 1262: 1259: 1257: 1254: 1252: 1249: 1247: 1244: 1243: 1241: 1235: 1229: 1226: 1224: 1223:United States 1221: 1219: 1216: 1214: 1211: 1209: 1206: 1204: 1201: 1199: 1196: 1194: 1191: 1189: 1186: 1184: 1183:Seven Sisters 1181: 1179: 1176: 1174: 1171: 1169: 1166: 1164: 1161: 1159: 1156: 1154: 1151: 1149: 1146: 1144: 1141: 1139: 1136: 1134: 1131: 1129: 1126: 1125: 1123: 1121: 1117: 1111: 1108: 1106: 1103: 1101: 1098: 1096: 1093: 1091: 1088: 1086: 1083: 1081: 1078: 1076: 1073: 1069: 1066: 1064: 1061: 1060: 1059: 1056: 1054: 1051: 1047: 1044: 1042: 1039: 1037: 1034: 1033: 1032: 1029: 1025: 1022: 1020: 1017: 1016: 1015: 1012: 1011: 1009: 1007: 1003: 997: 994: 992: 989: 987: 984: 980: 977: 976: 975: 972: 970: 967: 965: 962: 958: 955: 954: 953: 950: 948: 945: 943: 940: 936: 933: 932: 931: 928: 926: 923: 919: 916: 915: 914: 911: 909: 906: 905: 903: 901: 897: 891: 888: 884: 881: 880: 879: 876: 874: 871: 869: 866: 862: 859: 857: 854: 853: 852: 849: 847: 844: 842: 839: 837: 836:Core sampling 834: 833: 831: 829: 825: 813: 810: 809: 808: 805: 803: 800: 798: 795: 793: 790: 788: 785: 783: 780: 778: 775: 774: 772: 768: 762: 759: 757: 754: 752: 749: 747: 744: 742: 739: 737: 734: 733: 731: 727: 724: 720: 714: 711: 709: 706: 704: 701: 699: 696: 694: 691: 689: 686: 684: 681: 679: 676: 674: 673:Indian Basket 671: 669: 666: 664: 661: 659: 656: 654: 651: 650: 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1320:Other topics 1291:Persian Gulf 1218:Saudi Arabia 1188:Standard Oil 996:Well logging 873:Petrophysics 644: 578:the original 559: 532: 510:, p. 9. 503: 492:. Retrieved 488:the original 478: 467:. Retrieved 463:the original 453: 442:. Retrieved 440:. 2007-10-18 435: 426: 415:. Retrieved 411:the original 389: 375:Price of oil 344: 324: 313: 310: 289: 281:Edmonton Par 279: 266: 256: 207: 183: 163: 152: 100:marker crude 99: 95: 93: 1972:Halliburton 1844:Phillips 66 1665:QatarEnergy 1635:Petrobangla 1570:KazMunayGas 1460:Supermajors 1409:heavy crude 1296:Prudhoe Bay 1276:Niger Delta 1256:Caspian Sea 1019:Concessions 969:Measurement 935:Geosteering 918:Squeeze job 828:Exploration 777:Consumption 736:Consumption 729:Natural gas 658:Bonny Light 340:heating oil 258:Dubai Crude 209:Brent Crude 204:Brent Blend 189:API gravity 166:API gravity 136:Bonny Light 128:Tapis Crude 116:Dubai Crude 112:Brent Blend 82:Dubai Crude 63:Brent Crude 29:Brent Crude 2022:Transocean 1889:Tullow Oil 1879:TechnipFMC 1645:PetroChina 1483:ExxonMobil 1389:Shale band 1266:East Texas 1239:and fields 1053:Downstream 1006:Production 913:Completion 841:Geophysics 782:Production 741:Production 678:Indonesian 653:Argus Sour 645:Benchmarks 551:References 537:The Asylum 494:2006-10-08 469:2006-07-05 444:2008-02-17 417:2008-02-17 329:, and the 300:volatility 213:oil fields 2017:TC Energy 1918:companies 1748:Trafigura 1695:Sonatrach 1640:Petrobras 1630:Pertamina 1540:Ecopetrol 1506:companies 1450:companies 1448:petroleum 1424:tight oil 1419:oil shale 1414:oil sands 1394:Shale gas 1335:sweet oil 1306:Venezuela 1281:North Sea 1237:Provinces 1228:Venezuela 1075:Midstream 770:Petroleum 630:Petroleum 381:Citations 327:commodity 307:Contracts 251:WTI Crude 217:North Sea 159:crude oil 140:Urals oil 104:crude oil 72:Urals oil 2120:Category 2105:Category 2012:Subsea 7 1992:Petrofac 1987:NOV Inc. 1967:GE Power 1962:Enbridge 1916:services 1738:Mercuria 1728:Glencore 1690:Sonangol 1650:Petronas 1585:Naftogaz 1357:Peak oil 1340:sour oil 1095:Upstream 1090:Refining 1085:Pipeline 1041:Pumpjack 1036:Gas lift 957:invasion 900:Drilling 787:Reserves 746:Reserves 437:BBC News 353:See also 215:in the 142:used in 122:used by 1680:Sinopec 1670:Rosneft 1550:Gazprom 1545:Equinor 1473:Chevron 1120:History 986:Tracers 908:Blowout 797:Exports 792:Imports 756:Exports 751:Imports 148:Isthmus 110:(WTI), 2046:Others 1997:Saipem 1894:Tüpraş 1884:TNK-BP 1869:Sunoco 1859:Repsol 1819:Lukoil 1762:Others 1733:Gunvor 1367:timing 1301:Russia 1213:Norway 1198:France 1193:Canada 570:  361:(ASCI) 249:  247:  241:  237:barrel 197:sulfur 144:Russia 114:, and 87:  80:  78:  70:  68:  61:  59:  52:  50:  36:  34:  27:  25:  1913:Major 1779:Cepsa 1753:Vitol 1723:Enron 1685:SOCAR 1625:Pemex 1620:PDVSA 1615:Orlen 1580:Lotos 1520:ANCAP 1488:Shell 1445:Major 1203:India 807:Price 761:Price 703:Urals 698:Tapis 668:Dubai 663:Brent 581:(PDF) 564:(PDF) 331:NYMEX 102:is a 2007:Snam 1947:CH2M 1700:TPAO 1208:Iraq 1178:OPEC 1173:GECF 722:Data 568:ISBN 290:The 283:and 268:the 235:per 193:OPEC 124:OPEC 1942:CGG 1839:OMV 1705:YPF 1478:Eni 233:USD 157:of 98:or 2122:: 1468:BP 1110:XT 539:, 515:^ 434:. 398:^ 126:, 94:A 611:e 604:t 597:v 524:| 497:. 472:. 447:. 420:.

Index


Brent Crude
West Texas Intermediate

West Texas Intermediate
Brent Crude
Urals oil
Dubai Crude
crude oil
West Texas Intermediate
Brent Blend
Dubai Crude
OPEC Reference Basket
OPEC
Tapis Crude
Western Canadian Select
Bonny Light
Urals oil
Russia
Isthmus
different varieties and grades
crude oil
API gravity

West Texas Intermediate
API gravity
OPEC
sulfur
Brent Crude
oil fields

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