Industry

Despite the WTI oil price of $-37.6, the reduction in gas revenues will be less severe

The international price of oil not only fell by 66% in the first quarter of this year, already under the shadow of the coronavirus, but in this month it continued to fall until this Monday when the barrel of US WTI crude oil reached below zero (-37.63 dollars), a figure never before recorded. The price of gas indexed to the cost of fuel, but the relationship between rates is not direct, although it is real. It is a weighted-average ratio, and we will only see this reduction in oil prices in three months with Argentina and six months with Brazil. A cushion was created so that both upward and downward fluctuations attenuated. Due to the decrease in volumes because of the emergency, the price will be lower in the second semester.

Source: Página Siete

Categories:Industry