pm 07:08 | 2020-09-21 – Monday
Al-Qalaa News: The expert in oil affairs, Amer Al-Shobaki, expected to reduce fuel prices for the next month by rates ranging from 1 to 5%, indicating that this measure will be the first reduction in the prices of oil derivatives since last May.
Al-Shobaki suggested reducing the price of the diesel fuel by a value ranging between 2 – 2.5 piasters per liter, or roughly half a dinar for a tank, with a reduction of 5%. He also suggested reducing the price of gasoline in both octane parts of 90 and 95 octane at a value from half a piaster to a penny per liter and a ratio of 1 – Only 1.5%.
He indicated that the average price of Brent crude for the current month of September amounted to $ 41, a decrease of 9% from the average price of Brent oil for the month of August / August, which reached $ 45 a barrel.
Oil prices have tended to decline since the beginning of this month due to the slowdown in the recovery of global demand and concern about a second wave of the Corona virus sweeping the world, until Brent fell below $ 40 for the first time in more than two months, and the decline in prices also helped by lower consumption and higher operating stocks at the largest The world’s oil consumers are China and the United States of America.
In addition to that, the price decrease contributed to the announcement by more than one member of OPEC + their intention to exceed the reduction of production scheduled for them. However, the statement of the Saudi Oil Minister at the OPEC + meeting that members should abide by the total reductions scheduled for them before the end of the current year, and Hurricane Sally, which disrupted production of half a million A barrel of US oil and the statement of the President of the US Federal Reserve that the US economy is recovering more than expected from the factors that led to the 5% rise in the price of oil last week, with prices returning to decline again today, until Brent barrels reached 41.8 dollars.
In early September, the government raised the prices of oil derivatives for the third time, since the end of May and the beginning of the recovery of global oil prices from the repercussions of the Corona pandemic, as the price of gasoline 95 (15 fils / liter) was raised to 890 fils / liter, and the price of gasoline increased by 90 (20 fils / liter) to become 675 fils / liter, and the price of kerosene and diesel (15 fils / liter) was raised to 480 fils / liter, and it was decided to keep the value of the fuel difference on the electricity bill at zero, and as usual, the selling price of a gas cylinder was also fixed 4 years ago. My household is at 7 dinars per cylinder.