Bitumen Market is Anticipating Sudden and Unpredictable Changes

During 28^th till 30^th November, competition on VB among the Iranian refineries was between 3-10%

On November 30, IOCL increased bitumen price approximately 50$ /MT which was unprecedented within the past 4 years that made a relative balance between the rates of Iran and India

For the past three days, oil price had an increasing trend as a result of purchase of COVID-19 vaccine by Canada and United Kingdom and the plan of vaccination that will lead to the growth of economy and resolving its related issues

The OPEC+ meeting which was supposed to be held on 1^st Dec. was postponed due to disagreements between the Russia and Saudi Arabia regarding the maximum limit of oil export for each country, but it seems that till the end of January 2021, OPEC+ countries aim to increase the oil production. Till the time of preparing this report and by the start of OPEC+ meeting, Crude Brent Oil increased more than 48$ per barrel which can be considered as the highest price from March 2020

Last week and by the assassination of a nuclear scientist of Iran, the parliament obliged the government to decrease its cooperation with NPT if the sanctions against Iran are not modified within the next 2 months

On Wednesday, 2 Nov. 2020, Joe Biden announced that if Iran obeys the JCPA plan fully, the USA is ready to lift all the sanctions applied by Donald Trump

On the other hand, there are numerous tensions in the Persian Gulf and it seems that big changes are happening in the region

Financial transaction between sellers and buyers were delayed to the next week because of the UAE’s National Day, and it is expected that Iran VB price will increase at least 15$/MT

In the current situation and with respect to the constant changes of rates, it is recommended that buyers make their decision faster concerning the abovementioned points

This article was prepared by Razieh Gilani, the sales manager of Infinity Galaxy

 

Contact US