Economy April 22, 2020 | 9:42 am

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Low storage: Dominican Republic can’t access cheap oil

Santo Domingo.- The Dominican Republic can’t take advantage of the low oil prices in the international markets because of its limited storage.

“We do not have storage capacity because we have our tanks full of crude oil. The refinery’s crude capacity is 900,000 barrels. And how many barrels do we have now? 900,000 barrels because we cannot process,” Refidomsa PDV refinery CEO, Félix Jiménez, told Diario Libre.

“It’s necessary to consider that one thing is the price of crude oil and another thing is what happens with petroleum products. For example, yesterday there was a wild variation in the price of the West Texas Intermediate for delivery in May and few people know that when it comes to the WTI price, which is a reference price for the market of United States, there are three prices that must be valued: There is the price for immediate sale and delivery; There is the price for delivery to May, this is the future the following month, and there is the future price in two months.

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