Letter from the Middle East: UAE unveils Murban benchmark
Pivot towards Asia paves the way for a new crude futures contract, offering an attractive alternative to long-established grades
The shifting tectonic plates of Mid-East Gulf oil do not move quickly, but the landscape changes when they do. And for some time, it has been inevitable that the transforming world market would have an impact on the core of the Gulf’s petroleum business—how its oil is priced and sold. The launch of Abu Dhabi’s Murban futures on 29 March could become such a change. Exchange Ice is partnering with Abu Dhabi NOC Adnoc and heavyweights of the global petroleum industry such as Shell, trader Vitol and Chinese state-owned Petrochina, to launch Ice Futures Abu Dhabi (Ifad), offering futures in Murban—Abu Dhabi’s flagship export grade, a light, sweetish crude (40.5 API and 0.79pc sulphur). Three key
Also in this section
26 April 2024
While the US has been breaking records for its premium grade crude, there are doubts over whether you can have too much of a good thing
26 April 2024
Slowing demand growth and capacity expansions will squeeze refiners in coming years
25 April 2024
Some companies with assets in Israel have turned towards Egypt as tensions escalate, but others are holding firm despite rising tensions
24 April 2024
But even planned exploration activity is unlikely to reverse declining output from mature fields