• UGI USER
  • Mar 21, 2024
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BPCL, BP SAID TO INK 4-MONTH U.S. OIL DEAL

Why in the news?

BPCL signs 4-month deal with BP for 1 million barrels/month of U.S. WTI crude; expects increased refining in upcoming fiscal.

source:Quizlet

About BPCL’s U.S. Oil Deal: 

  • Bharat Petroleum Corp. (BPCL) has reportedly signed a four-month agreement with BP to purchase 1 million barrels per month of U.S. West Texas Intermediate (WTI) crude.
  • BPCL is set to commence receiving the oil shipments from June onwards, as per trade sources familiar with the matter.
  • BPCL regularly procures U.S. oil for its three refineries, collectively capable of processing 706,000 barrels per day (bpd) of crude oil.
About Brent Crude and West Texas Intermediate (WTI):

●   Crude:

●   Originates from oil fields located in the North Sea, situated between the Shetland Islands and Norway.

●   West Texas Intermediate (WTI):

●  Sourced from oil fields in the United States, primarily located in regions such as Texas, Louisiana, and North Dakota.

●   WTI is often referred to as “sweeter” due to its lower sulphur content (0.24%) compared to Brent (0.37%).