Oman’s crude oil benchmark on the Dubai Mercantile Exchange-traded above $40 per barrel on Monday for the first time in almost three months, making it the first internationally traded crude oil futures contract to break the $40/b mark since the oil price recovery started early May.
The DME Marker Price for Monday was set earlier in the day at $39.62/b. The Marker Price is used by Middle East producers Saudi Arabia, Kuwait, Bahrain, Oman, and Dubai in calculating the monthly Official Selling Price (OSP).
Middle East prices have recovered faster than those in Europe, with DME Oman trading at around $2/b over the Brent North Sea benchmark on Monday.
DME’s flagship Oman Crude Oil Futures Contract (DME Oman) contract is the largest physically delivered crude oil futures contract in the world and the world’s third crude oil benchmark. It is also the sole benchmark for Oman and Dubai exported crude oil.
DME is a joint venture between Dubai Holding, Oman Investment Fund and CME Group. Global financial institutions and energy trading firms including Goldman Sachs, JPMorgan, Morgan Stanley, Shell, Vitol and Concord Energy also hold equity stakes in the DME.