The Petroleum Derivatives Regulatory Institute (IRDP) has issued Instruction 001/2024 to identify the sources of international reference prices (Platts) for crude oil and natural gas-derived products in the second quarter of this year.
The instruction applies to various aspects including the refining of crude oil, imports, logistics, distribution, and marketing of gasoline, diesel, kerosene, and liquefied petroleum gas, excluding fuel, bitumen, and lubricants.
According to the document, from April to June, diesel and kerosene will be referenced by Fob Arab Gulf, gasoline by Fob Med Italy, and liquefied petroleum gas by Fob Mont Belvieu.
Platts quotations serve as benchmark values for different specifications of petroleum products, reflecting supply and demand dynamics in the international market.
Under Free On Board (Fob) contracts, seller obligations cease once the merchandise crosses the ship’s rail at the port of shipment, with buyers assuming responsibility for losses and damages.
The price determination model for oil and natural gas-derived products is outlined in Presidential Decree No. 283/20 of October 27th, with pricing rules and procedures detailed in joint decree No. 331/20 of December 16th.
