Ecuador’s PetroEcuador prices crude exports using Argus Index

Posted on December 11, 2014 • Filed under: Ecuador, Oil

hellenicshippingnews.com reported Opec member Ecuador’s state-owned oil company PetroEcuador has started pricing its crude exports using the Argus Sour Crude Index (ASCITM) published by global energy and commodity news and price reporting agency Argus. This marks the first consistent use of the ASCI price — a volume-weighted average of US deepwater sour crude deals — to value Latin American crude exports. PetroEcuador’s Oriente and Napo crude term contract prices are using the ASCI benchmark as an element in an innovative formula to calculate a discount to US benchmark WTI. The formula adjusts for quality and freight. The ASCI price reflects the volume-weighted average of three medium sour crudes trading in the US Gulf coast market — Mars, Poseidon and Southern Green Canyon. Read Article

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