Explanation for DECEMBER 2011
The best fuel in the MIDDLE EAST has a TWI of 69 and the worst fuel in the US GULF has a TWI of 41. Calculating on the basis of para 1 above and if the fuel cost in the US GULF is $ 670.00/MT, it ought to sell in the MIDDLE EAST for $ 903.00 - $ 913.00 / MT (by applying a price spread of 35.51 %) not taking in account any other logistics cost.
True Worth Index DECEMBER 2011
| |
EFN |
ECN |
CV |
|
| Proportions |
0.28 |
0.54 |
0.18 |
|
| |
|
Multiplier effect |
TWI |
| Upper level |
60 |
35 |
41 |
43.1 |
62 |
| Lower level |
40 |
18 |
39 |
27.9 |
40 |
| |
| Region |
|
| Japan / Korea |
67 |
21.4 |
40.41 |
37.6 |
54 |
| Middle East |
72 |
38.2 |
40.49 |
48.1 |
69 |
| ARA - high |
61 |
20 |
40.87 |
35.2 |
50 |
| ARA - low |
57 |
20.5 |
40.49 |
34.3 |
49 |
| Singapore - high |
63 |
23.9 |
40.37 |
37.8 |
54 |
| Singapore - low |
53 |
17.4 |
40.31 |
31.5 |
45 |
| U.S. Gulf - high |
54 |
12 |
40.38 |
28.9 |
41 |
| U.S. Gulf - low |
48 |
16.8 |
40.10 |
29.7 |
42 |
| Durban |
58 |
16.9 |
40.29 |
32.6 |
47 |
| U.S. Northwest |
60 |
12.5 |
40.52 |
30.8 |
44 |
| U.S. Southeast |
56 |
18.8 |
40.23 |
33.1 |
47 |