Azeri Light crude falls by $11 amid broad oil market decline

The price of Azeri Light crude oil has fallen sharply on global markets, dropping by $11.06, or 9.57%, to $104.49 per barrel.

Brent crude futures for June delivery settled at $99.26 per barrel at the end of trading, reflecting a broader downturn in the oil market, Caliber.Az reports via local media.

In Türkiye’s Ceyhan port, Azeri Light sold on a FOB basis declined by $10.50, or 9.38%, to $101.33 per barrel.

The price of Azeri Light remains well above the level assumed in Azerbaijan’s state budget for the year, which is set at $65 per barrel.

Historically, Azeri Light has fluctuated significantly, hitting a low of $15.81 in April 2020 and reaching a peak of $149.66 in July 2008.

Oil production in Azerbaijan is largely carried out under the Azeri–Chirag–Gunashli (ACG) production-sharing agreement, in which the State Oil Company of the Republic of Azerbaijan (SOCAR) holds a 31.655% stake.

By Aghakazim Guliyev