For the first time since last autumn, a falling tendency has been noted on the Russian wholesale petroleum products market. The sign reads "Well, you understood..."
Photo: Nikolay Cyiganov
| Other Photos |
 |
|
 |
Fuel Prices May Fall in August
For the first time since last autumn, a falling tendency has been noted on the Russian wholesale petroleum products market. According to the Kortes research center, spot prices on diesel and low-octane gasoline fell in the week ending July 25. Refineries are forming their August prices now and a number of them have announced lower prices on fuel oil and aviation fuel. The drop may amount to 5 percent.
The most significant price decrease occurred with summer diesel. Between July 18 and 28, prices for it fell by 1.17 percent, from 27,842 to 27,514 rubles per ton. Kortes explains that the fall was due to falling prices on the world market, making the domestic market more profitable than exports. The center considers it possible that the price will fall to 24,000 rubles per ton in some regions in August.
Spot prices on low-octane gasoline fell, but less impressively. The price of A76/80 gas dropped by 0.75 percent, from 24,333 to 24,150 rubles per ton, and A92/93 fell from 27,502 to 27,462 rubles. Prices for high-octane gasoline and fuel oil continued to rise. The price of A95 rose 0.7 percent, from 29,299 to 29,506 rubles per ton. Fuel oil rose 0.9 percent, from 11,179 to 11,280 rubles per ton. The price of aviation fuel remained unchanged.
Oil for August delivery on the domestic market dropped 15 percent to 11,300 per ton on the free market compared to July contracts. Political factors are exerting an influence on prices as Russian Prime Minister Vladimir Putin pays increasing attention to pricing policy on the domestic market. He recently instructed the Federal Antimonopoly Service to investigate aviation fuel, fuel oil and coking coal prices. Export duties on oil and petroleum products will rise on August 1 will increase supply on the domestic market and further work toward lower domestic prices.
www.kommersant.com
All the Article in Russian as of July 30, 2008
|
|
|
