During 2017, ICP averages 27 Percent

INDUSTRY.co.id - Jakarta - The price of Indonesian crude oil or Indonesian Crude Price (ICP) in December 2017 increased compared to the previous month. The average ICP rose by US $ 1.56 per barrel to US $ 60.90 per barrel from US $ 59.34 per barrel in November 2017, the highest figure in 2017.

Based on information cited from the official website of the Ministry of Energy and Mineral Resources on Tuesday (16/1/2018), the Indonesian Oil Price Team of the Ministry of Energy and Mineral Resources (ESDM) noted, with the ICP rise in December, the ICP averaged 2017 from January to December reaching US $ 51.19 per barrel, an increase of 27% compared to the ICP average of 2016 which reached US $ 40.13 per barrel.

Energy Information Administration (EIA) USA said crude oil price rises in recent months represent the impact of declining inventories of crude oil and other liquid fuels globally by an average of 0.4 million barrels per day by 2017.

After world crude inventory levels decline in 2017, the EIA expects world oil inventories to increase by 0.2 million barrels per day by 2018 and by 0.3 million barrels per day by 2019. It is expected to withstand world oil prices in the range of US $ 60 per barrel.

The OPEC and Russia deal extended production restrictions by the end of 2018 at a general meeting on November 30, 2017 and in Vienna is also one of the triggers of rising world oil prices today.

Another factor is that world oil prices are also affected by the warming geopolitical conditions in the Middle East as well as rising demand for crude oil in China, followed by increased demand for diesel oil, kerosene, Liquified Petroleum Gas (LPG), fuel oil and gasoline.