Iraq uses an electronic auction to sell oil


Economy news Baghdad:

Fighting Iraq and is the second largest oil producer in OPEC, try to use an alternative method to sell oil in the hope of getting more money in Exchange for crude oil through its Ka band payloads offer at auction.

Iraqi observers said that Iraq would try to sell crude oil tanker in Basra through public auction in Dubai Mall, referring to heightened competition fever with rival producers in the wake of oil prices for three years.

How to sell a shipment of two million barrels of oil, representing a big drop from the traditional style which is treated by the largest producers of the Middle East over the long term in its dependence on oil sales to traders, and point out on the breadth of the competition to find new ways to get the best prices from customers.

It is said that Saudi Arabia, OPEC's largest producer, is considering selling its oil shipments at auction through Dubai Mercantile Exchange-where the stock proved itself a commercial space head oil Middle East financial transactions, no Saudi Aramco, the State oil company in Saudi Arabia, to requests for comment on their plans.

Ahmad Sharaf, Chairman of the Dubai stock exchange, to use Iraq to electronic auctions followed the sale of two of the cargo by the Sultanate of Oman since the service launched in 2015, saying, there is a need for reliable tools and innovative organization to sell crude oil in such a competitive market. "

Traders will be able to submit bids to ship cargo on an electronic platform, but they have to pay a portion of the official selling price for Iraqi SOMO State oil company for the month of June.

They will also approve the shipment only to Asia, a region where the growth of demand for oil, Iraq hopes to gain more customers.

Iraq takes other steps to improve his options to sell crude oil, after creating a joint venture between Sumo welitaso, the Russian LUKOIL company trading arm.

He said Oliver Jakob, an analyst at the Foundation "bitromatriks" of oil research based in Switzerland that "all major producers are looking for new ways to sell their oil."

In recent years, industry analysts and consultants encouraged national oil companies, to establish joint ventures with commercial companies to learn how to be more intelligent and responsive to market needs.

It has become more important in a market where the supply, where traditional oil exporters, to become more stringent in order to secure sales of crude oil with the growth of competition.

Saudi Aramco has established commercial sector of petroleum products without any outside help, but has not so far taken only small steps to free up its sales of crude oil, which represents more than one in every 10 barrels of oil in the world.

Last year, Saudi Aramco has sold a number of immediate shipments to refiners in China and Poland where she was seeking to strengthen its response to Russian attempts to increase sales on their account in 2006 collaborated with Omani oil company arranges the largest independent dealer in the world, to create a company Oman international trade.

After working together for nearly a decade she became wholly-owned by the Government of Oman in 2015.

Iraq boosted its sales with production growth quickly during the last few years because of investments made in the wake of the US invasion in 2003.

The average production of the country in March nearly 4.5 million barrels a day, according to company director Sumo Falah Al-Amiri. Exports amounted to 3.8 million barrels a day.

Iraqi oil Minister Jabbar Ali Hussein allaibi said 19-2-2017 about Iraq's oil reserves, high volume (153) billion barrels, with stresses in the 20-3-2017 the country's bid to gain access to oil reserves, to 170 billion barrels over the next two years, and crude oil prices suffered a sharp decline since about two years, down from $120 a barrel mid-2014 to 50 dollars at present, which forced oil producers around the world to take steps to boost non-oil revenues, which called for OPEC To advertise in November of last year, its members reached an agreement on the reduction of overall output ceiling by 1.2 million barrels, starting from the first of January 2017 for six months, and already entered into force.