SOMO issues an official clarification on the mechanism for setting the price of Iraqi oil

Economy

10-02-2022, 22:15

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Baghdad-INA

The Oil Marketing Company (SOMO), today, Thursday, issued a clarification regarding the mechanism for setting the price of Iraqi oil.

The company said in a statement received by the Iraqi News Agency (INA), that "in response to what was published on the media about an allegation attributed to an unknown source claiming to be close to the Oil Marketing Company (SOMO), we are surprised by the way that the professionalism adopted by the media in terms of its transmission is unprofessional.

According to sources, we have not established whether they are actually present or familiar with the mechanisms and meetings for determining the price differences for Iraqi crude oil exported to global markets.

"The Oil Marketing Company has mathematical mechanisms through which the monthly price of Iraqi oils is determined for the main global markets (Asia, Europe and America) based on the data of each month in terms of demand, supply and price differences between the oils according to their quality (light, medium or heavy) and the competitiveness of the oils.

In additiontothat, "These accounts are subject to review by a specialized committee in the oil marketing company and its board of directors, and then presented in an expanded meeting that includes the ministry's leaders headed by the minister for the purpose of discussing them according to the oil market data and approving them to ensure that all quantities available for export are marketed with the highest financial revenue for the country."