West Texas Intermediate WTI vs Urals REBCO

[canadas canadas + 136]

Just looking at the current crude oil prices, one cannot help but notice that U.S. light sweet West Texas Intermediate (WTI) is trading at a lower price than medium sour Russian Urals REBCO. This suits the Russian (Putin) plan to drive the price of U.S. produced light sweet crude oil down in order to close down U.S. domestic crude oil production by the Russians flooding the market with their crude oil. Since these two crude oils are key to the economies of both countries, they should be looked at, compared and analysed more closely with regards to their composition. Someone should undertake a study of these two crude oils side by side for strategic reasons. Somewhere along the line, WTI is being sidelined by REBCO. Since Urals is trading at a higher price than WTI, the Russians are having their cake and eating it too. Urals is currently trading at the Brent crude oil price. 

Edited May 13, 2020 by canadas canadas

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Prices FOB where?

Generally, WTI produces less diesel than gasoline. Some people use LTO as direct gasoline substitute without refining, just cleanup. That is why it sells at a discount to Brent oil grades.