QatarEnergy, a state-owned company, has cut the price of al-Shaheen oil loadings in December by more than one year, according to several sources in the trade. The market was hampered by an abundance of Middle Eastern crude oil.

Sources said that the December term price of al-Shaheen oil was 54 cents per barrel. This is a sharp drop from $3.61 a month earlier.

Sources said that the price was determined after QatarEnergy had awarded two al Shaheen cargoes via its monthly auction to Glencore, and one to BP.

QatarEnergy sold a Qatar Marine crude cargo at a discount to Thailand's PTT of around 15 cents a barron compared to Dubai quotations and a Qatar Land cargo at a premium to SK Energy of approximately $1 a barron compared to Dubai quotations. The cargoes will be loaded in December.

(source: Reuters)