Can someone smart tell me how to calculate the price of crude oils based on its quality characteristics?

Question

The price I seek is the price of persian gulf crudes at the tanker loading ports or the price delivered to Rotterdam refineries or the US Gulf coast refineries in Texas and Louisiana!

Answer 1

The prices of oil products are also affected by the Peso-Dollar exchange rate, since the oil companies use dollars to buy oil from the world market.



The oil companies are just middlemen, or intermediaries.  Therefore, if they buy oil from the market at $ 130 per barrel, it will be sold locally at no less than $ 130 per barrel.  This is a business reality and no one is in business to lose money.



Put it another way, consider for example Juan dela Cruz, who operates a sari-sari store in the hinterlands, buys a ream of cigarettes at P 200 per ream (or P 20 per pack) from the supermarket in the poblacion to sell in his store.  However, when he sells the cigarettes in his store located in the hinterland barangay where he lives, it will be priced at anywhere from P 21 to P 25 for each pack.  He has to take into account the relative distance of his store from the supermarket (transportation) and other related costs, so he can make a small profit to live on and keep his store—perhaps his only means of livelihood—afloat.

Answer 2

You need knowladge about economic