Monday, May 6, 2019

Who Wudda Thought? WTI Much Cheaper Than Light Sweet Malaysian Kimanis Crude -- May 6, 2019

From twitter this morning. Who wudda thought.

This can't be good news for Malaysia.


  1. I have standard complaint about this story as with many that do a price comparison (apples to oranges). Can't tell exactly how the different crude prices compare at the refinery door, at same time, true spot selling price. Different points of sale. "OSP" (official sales price, not market spot). Don't even know what CFR means.

    1. The takeaway for me is that Malaysia -- an oil-producing nation -- will likely be importing more US oil.

  2. Maybe. But I don't think you can get that insight from that article. It's just an article about a price difference and consumers taking advantage. Not about volumes of Malaysian production.

    Also, FWIW, Malaysia is participating in the N/OPEC cuts.

    I'm not saying Malaysia won't turn into a net importer as Indonesia did. I just don't see your source as making that argument.

    Note also that Asian refinery demand is growing, still. So they need extra barrels, not even just same amount.