Light Crude Oil
Gentle crude oil is liquid petroleum that has a low density and flows freely at room temperature. It has a low viscosity, low particular gravity and high API gravity because of the presence of a excessive proportion of light hydrocarbon fractions. It usually has a low wax content material. Gentle crude oil receives the next worth than heavy crude oil on commodity markets because it produces a better share of gasoline and diesel gas when converted into merchandise by an oil refinery.
1 Varying requirements
2 Examples of light crude oils
3 U.S. price three.1 Trading
The clear minimize definition of gentle and heavy crude varies because the classification is based extra on practical grounds than theoretical. The brand new York Mercantile Exchange (NYMEX) defines light crude oil for home U.S. oil as having an API gravity between 37° API (840 kg/m3) and 42° API (816 kg/m3), whereas it defines mild crude oil for non-U.S. oil as being between 32° API (865 kg/m3) and 42° API (816 kg/m3).[Three] The Nationwide Energy Board of Canada defines light crude oil as having a density less than 875.7 kg/m3 (API gravity better than 30.1° API). The government of Alberta, which produces most of the oil in Canada, disagrees and defines it as oil with a density lower than 850 kg/m3 (API gravity greater than 35° API)  The Mexican state oil company, Pemex, defines gentle crude oil as being between 27° API (893 kg/m3) and 38° API (835 kg/m3). This variation in definition occurred as a result of international locations comparable to Canada and Mexico tend to have heavier crude oils than are commonly found in the United States, whose giant oil fields traditionally produced lighter oils than are found in lots of other international locations. Canada additionally uses the SI of units to measure oil occidental petroleum wichita kansas tax slightly than American oil business typical models, and the base temperature for density calculations is totally different in Canada at 15 °C (fifty nine °F) than the US at 60 °F (15.56 °C), leading to slightly different density values.
Examples of light crude oils
A large number of benchmark crude oils worldwide are thought-about to be mild. Probably the most outstanding in North America is West Texas Intermediate which has an API gravity of 39.6° API (827 kg/m3). It is usually referred to by publications when quoting oil costs. The most commonly referenced benchmark oil from Europe is Brent Crude, which is 38.06° API (835 kg/m3). The third most commonly quoted benchmark is Dubai Crude, which is 31° API (871 kg/m3). This is taken into account mild by Arabian requirements but would not be thought-about gentle if produced in the U.S.
The most important oil area in the world, Saudi Arabia’s Ghawar subject, produces mild crude oils ranging from 33° API (860 kg/m3) to 40° API (825 kg/m3)
In the United States, the value of the entrance month mild candy crude oil futures contract, traded on the NYMEX commodity exchange (symbol CL), is broadly reported as a proxy for the cost of imported crude oil. These contracts have supply dates in all 12 months of the 12 months. From under $20 a barrel in early 2002, it rose to an intraday peak of $70.Eighty five at the end of August 2005 within the aftermath of Hurricane Katrina. A brand new intraday report excessive of $78.40 was set on July 14, 2006, prompted by the firing of at least six missiles by North Korea on July four-5, 2006, and escalating Center East violence.
Subsequently, the price declined until on October eleven, 2006, the value closed at $sixty six.04. However, by August 2007, the price had reached a report excessive of $78.71, amid manufacturing output issues in the North Sea and Nigeria. On occidental petroleum wichita kansas tax November 29, 2007, the worth peaked at $98.70 intraday after closing at $98.03 the earlier day. The price of mild crude set a brand new intraday excessive on May 21, 2008, of $133.45 and closed at $133.17. A new excessive was reached on July 11, 2008, as costs briefly reached $147.27 a barrel.
Mild crude oil is traded on the CME Globex, CME ClearPort, (CME Group) and Open Outcry (New York) futures trade venues and is quoted in U.S. dollars and cents per barrel. Its product symbol is “CL” and its contract dimension is 1,000 barrels (160 m3) with a minimal fluctuation of $zero.01 per barrel.
Benchmark (crude oil)
West Texas Intermediate
Candy crude oil
Value of petroleum
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^ “Glossary of Petroleum Industry Frequent Phrases & Symbols”. Alken Murray Corp. 1999. Retrieved 2009-08-15.
^ “Gentle Candy Crude Oil”. New York Mercantile Exchange. 2008. Retrieved 2009-08-sixteen.
^ “Nationwide Power Board Act Part VI (Oil and Fuel) Laws, SOR/96-244”. Canadian Authorized Data Institute. 1996. Archived from the original methanol can on 2009-eleven-29. Retrieved 2009-08-sixteen.
^ “Alberta Authorities Petroleum Advertising and marketing and Valuation Data Letter 2014-32” (PDF). Alberta Department of Energy. August 14, 2014. Retrieved 2014-09-13.
^ “Glossary and Nomenclature”. Pemex. 2009. Retrieved 2009-08-16.
^ Listing of Commodity Delivery Dates on Wikinvest
^ “Light Crude Oil (CL, NYMEX)”. Retrieved 2007-12-eleven.