Murban Oil Futures Enthusiasts Hope Volume And Liquidity Would Bring Success

Murban Oil Futures Enthusiasts Hope Volume And Liquidity Would Bring Success

An oil tanker approaches the port of Fujairah, United Arab Emirates, a facility the Abu Dhabi ... [+] National Oil Company (ADNOC) hopes would serve as its key hub for Murban crude storage (AP Photo/Kamran Jebreili, 2016)



ASSOCIATED PRESS

Whilst the global crude markets were distracted by the Suez Canal blockage as the end of the first quarter of 2021 drew to a close, another development in the region with enormous long-term potential has not received the attention it deserves. That's the run-up to and the subsequent launch of Murban Futures.



On March 29, ICE Murban Crude Oil futures contract - the world's first futures contract predicated on the Abu Dhabi National Oil Company's (ADNOC's) flagship onshore crude oil - launched at a debut price of $63.43 per barrel.

For ADNOC itself, the move is all about more market-driven, forward-based pricing, using the new futures contract as its price marker. Unlike the London or New York-centric approaches of Brent and West Texas Intermediate (WTI), Murban Futures is a benchmark in sync with a major crude production center – which makes it particularly interesting for markets, analysts and consumers alike.



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