How does you determine a singular FOB price to represent different crude grades within a region? Does you aggregate multiple assessed prices from a source like PRA, or rely on last done?
most traded grade by region, where other regional grades price around.. ie Mars price agaisnt WTI.. is for reference only, imagine plotting 264 grades on a map
Of course i understand it's for reference only, great great charts. Would be better imo if you did by prems/discount to a benchmark instead of just outright prices tbh.
Super glad you started a longer form post, been looking forward to this for a while. Amazing insight into the oil market.
How does you determine a singular FOB price to represent different crude grades within a region? Does you aggregate multiple assessed prices from a source like PRA, or rely on last done?
most traded grade by region, where other regional grades price around.. ie Mars price agaisnt WTI.. is for reference only, imagine plotting 264 grades on a map
Of course i understand it's for reference only, great great charts. Would be better imo if you did by prems/discount to a benchmark instead of just outright prices tbh.
I find outrights are easier to calculate netbacks