Business | Oil & Gas
Adnoc 2008 crude price averages $96.48
The official selling price (OSP) of Abu Dhabi's crude oil grades averaged $96.48 (Dh354) a barrel in 2008, latest data extrapolated from the Abu Dhabi National Oil Company (Adnoc) reveals.
- By Himendra Mohan Kumar Staff Reporter
- Published: 23:42 January 13, 2009
Abu Dhabi: The official selling price (OSP) of Abu Dhabi's crude oil grades averaged $96.48 (Dh354) a barrel in 2008, latest data extrapolated from the Abu Dhabi National Oil Company (Adnoc) reveals.
"It's more than double the UAE's budget estimates, so they will have a surplus for 2008," Kate Dourian, Middle East editor of global energy information provider, Platts told Gulf News.
However, Dourian cautioned that if Abu Dhabi doesn't amend its spending plans this year in line with the falling international oil prices, "they will either end up with a budget deficit or struggle to balance their budget, unless there's another spike in oil prices, which given the current trends, looks unlikely."
For December, the average OSP of Abu Dhabi crude oil grades - Murban, Upper Zakum, Lower Zakum and Umm Shaif - plunged to $40.96 a barrel from $50.21 a barrel in November 2008, in line with the recent global oil market price trends.
Adnoc's December average crude price was its lowest monthly price last year, the highest being $135.68 per barrel in July. On July 11, 2008, the international oil prices peaked to an all-time high of $147.27 per barrel. But ever since, the oil prices have been sharply going downwards due to the global financial crisis, which has crimped demand for petroleum products in major industrialised nations of the world. An increase in oil inventories worldwide, has also contributed to lower oil prices. Abu Dhabi accounts for nearly 94 per cent of the UAE's oil output and oil export is a major source of government income.
Energy experts say because of Abu Dhabi's relatively lower oil production costs and high cash balance, the UAE is in a better position to come to grips with a fast-changing global economic scenario than some of the other oil producing countries in the Middle East.
Share this article
More from Oil & Gas
More from Business
Popular in Business
-
XPRESS
Way to go this DSF
A fun-filled route to guide you to all the happening dos in town
Business Editor's choice
-
What to expect at the Dubai Airshow
We preview what types of aircraft to expect at the Dubai Airshow
-
Air Arabia revamps its website
Upgraded site offers new features, accessible in range of languages
-
Dubai looks ahead to 2010 with new projects
Global visitor numbers up 4% on year and occupancy rates remain strong
