Petroleum 

                

The word Petroleum is derived from two words 'petra' meaning rock and 'oleum' meaning oil. The oil which occurs naturally in porous rocky strata in liquid form is the crude oil.It contains oxygen, sulfur, nitrogen and other items which determines its suitability for a specific application.  

 

Crude & Refined Products

  

Crude oil is the world's most actively traded physical commodity. Eighty-nine million barrels are produced every day. The lion’s share is sold through long-term contracts between state oil producers and refiners. Freely-traded crude oil is estimated at around a third of the physical market.

           

In the crude oil market, we use our global presence, market knowledge and logistics capabilities to balance supply and demand, optimize supply chains and service our customers around the world. 

            

We source from private companies, production companies, oil majors and national governments. We work with smaller producers that seek marketing expertise to help distribute their crude oil production globally.We are able to provide heavy, light or mixed crude, JP54,D2, Mazut M100 and other products from reputable refineries or private traders.

 

LPG

          

Liquefied petroleum gas (LPG) combines butane and propane. This inexpensive, clean fuel produces 75% less carbon monoxide. A by-product of petroleum refining and gas processing, LPG is useful in a wide range of domestic and commercial settings. It serves the fast-growing auto gas market. It is in demand as a petrochemical feedstock. In non-industrialized economies it is a popular heating fuel and used for off-grid refrigeration. Generators use LPG in combined heat and power (CHP) plants to make low emission electricity. LPG currently meets around 3% of global energy needs. Much of that is sourced domestically, but there is also a growing export market.  International trade in LPG is expected to grow exponentially over the longer term, as more is extracted from the huge shale gas deposits in the US and elsewhere.

    

LNG

                                  

Liquefied Natural Gas (LNG) is one of the world's fastest growing energy markets. Over 241 million metric tonnes were shipped in 2011. Global LNG prices have traditionally traded at a substantial discount to competitive liquid fuels for power generation.  Natural Gas is also a more efficient fuel, producing substantially lower CO2 emissions than coal or oil-based products.

                  

LNG supply is constrained by infrastructure. LNG producer-exporters must invest in assets and equipment to liquefy their natural gas. Specialist ships transport it. Importers convert it back to gas before it can be distributed to end-users. The recent upsurge in shale gas production wrong-footed US energy planners. As a longtime net importer, it had focused on building receiving terminals. It now has domestic excess capacity, but few outbound terminals. It will only be able to export LNG in quantity once these are built.

              

For now, most LNG trading opportunities are West to East. Japan is a major importer. Demand is increasing in Indian and Chinese markets. The market is still quite technical. Pricing is normally fixed under long-term, point-to-point contracts. These long-term contracts are typically priced off crude oil benchmarks. Less than 20% of total volume is actively traded in the spot markets.