Posted on 11/30/2017 10:18:05 AM PST by bananaman22
Most investors look at WTI and Brent prices at Bloomberg or CME Futures, and figure the oil price is in the public domain. You would be about 2 percent correct, because there are hundreds of different grades of oil, and hubs where it is bought and sold. And they all have different prices.
Since the age of oil began until a few months ago, most real time oil prices were jealously guarded by marketers, who used it to their advantage in the daily multi-billion dollar physical oil trade.
But I’m going to tell you the story of how Stafford and his small team made 18 months of calls, cajoling and ultimately paying for an amazing service you now get FOR FREE. It’s a true David vs. Goliath story. And just like in the Bible, the little guy won
(Excerpt) Read more at oilprice.com ...
What will all this mean for the Engineering&Construction(E&C)COMPANIES that build the new oil facilities? Will there be an increase of new projects? Will we see new refineries and other new oil-related facilities?
I don’t think so. I think it means that professionals who rely on pricing information and trends either to trade or make infrastructure investments will have much easier access to this info....so they will save money, and won’t have to rely on anyone else for this info. All in all, a good positive result.
Its an interesring project but who are the “little guys” that benefit from access to the real time price for Bonny Light crude?
I do not believe for a second that anyone spent $400k gathering information just to give it away.
There is a profit in this somewhere.
Contrary to what the author wrote, obtaining these prices is not difficult.
Furthermore, most crude oil pricing is affected by local surpluses or deficits.
At the moment the US Gulf Coast has a surplus of high quality crude and therefore prices are lower in that region or the price is the same as low quality Arabian crude oil.
Ah, if it’s not difficult, where do you find the prices then?
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