MUSCAT, May 31 - The Ministry of Oil and Gas on Wednesday announced the fuel prices for June, which saw prices decrease for the first time in recent months since January.
For now, the price of M95 fuel has been cut by 9 baisa to 191 baisa; M91 price by 6 baisa to 180 baisa and diesel prices by 7 baisa to 197 baisa.
The new prices coincide with the fact that Oman crude dropped below $50 per barrel on Wednesday after nearly touching $53 last week.
Motorists welcomed the new prices saying it is a big relief as the overall market conditions are still sluggish.
“There should be some control on fuel prices as they have direct impact on the transportation costs and other products and services. Even these prices are on the higher side,” said Salem, a taxi operator.
Fuel prices have been on the higher side since January when Opec and non-Opec countries decide to cut oil production in November.
Crude prices touched $55 per barrel in April, but since then they are hovering around $50 per barrel due to market surplus and weakening of several global economies.
Oil prices fell to a three-week low on Wednesday on news that Libyan output was recovering from an oilfield technical issue, fuelling concerns that OPEC-led output cuts to reduce global inventories were being undermined by producers outside the deal.
Benchmark Brent oil LCOc1 was down $1.63, or 3.1 per cent, at $50.21 a barrel by 1341 GMT, after earlier touching $50.12 a barrel, the weakest since May 10. US light crude CLc1 traded at $48.31, down $1.35, or 2.7 per cent.
— By Staff Reporter
Oman Observer is now on the WhatsApp channel. Click here
