thanks.

"West Texas Intermediate" or that which comes from North Sea beds.Designations such as "intermediate" or "sweet" or "Light" are qualitative assignments of average molecular weight. These are likely to have fractions that have very high vapor pressures; kerosene, "gasoline," benzene, toluenes, et cetera. "Brent," or any others are more likely to have fractions that are sludge or tarlike. Looks like crankcase oil, smells like shit because of sulphur content.

I thought Brent was in the North Sea and Texas was, well, in Texas?

QuoteOriginally posted by: TraderJoeI thought Brent was in the North Sea and Texas was, well, in Texas?Correct. I thought I had made that distinction, but I see I may have been ambiguous.

Actually, weight is heavy, light, intermediate.Sweet and sour refer to the amount of sulfur (bad). Sour has high sulfur. Sweet has low sulfur.

Thanks twofish.

They just come from different places, so they are different quality.ITs based upon what the crude oil can be broken up into when refined.On this subject is there anyone out there doing any research on oil markets or oil futures? Im interested in doing some oil futures modelling.

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QuoteDensity:The heaviness of crude oil, indicating the proportion of large, carbon-rich molecules, generally measured in kilograms per cubic metre (kg/m3) or degrees on the American Petroleum Institute (API) gravity scalewhen crude is refined, it is:(i) separated into the various components (naptha, kerosene, etc)(ii) some of these components are "converted" into other components either by cracking (breaking larger molecules into smaller molecules) or alkylation which is cracking in reverse

QuoteOriginally posted by: PaperCut"West Texas Intermediate" or that which comes from North Sea beds.Designations such as "intermediate" or "sweet" or "Light" are qualitative assignments of average molecular weight. These are likely to have fractions that have very high vapor pressures; kerosene, "gasoline," benzene, toluenes, et cetera. "Brent," or any others are more likely to have fractions that are sludge or tarlike. Looks like crankcase oil, smells like shit because of sulphur content.whilst PaperCut is right in the geographic point he is wholly wrong in his description of what Brent means. In fact WTI and Brent are very similar crude grades - both have Sulphur content, of around 0.3% and both have very similar API (around 38-40 degrees). The yield of various fractions when they are refined is also similar.

Pricing Differences Among Various Types of Crude OilQuoteWest Texas IntermediateWest Texas Intermediate (WTI) crude oil is of very high quality and is excellent for refining a larger portion of gasoline. Its API gravity is 39.6 degrees (making it a “light” crude oil), and it contains only about 0.24 percent of sulfur (making a “sweet” crude oil). This combination of characteristics, combined with its location, makes it an ideal crude oil to be refined in the United States, the largest gasoline consuming country in the world. Most WTI crude oil gets refined in the Midwest region of the country, with some more refined within the Gulf Coast region. Although the production of WTI crude oil is on the decline, it still is the major benchmark of crude oil in the Americas. WTI is generally priced at about a $2-per-barrel premium to the OPEC Basket price and about $1-per-barrel premium to Brent, although on a daily basis the pricing relationships between these can vary greatly. Brent Brent Blend is actually a combination of crude oil from 15 different oil fields in the Brent and Ninian systems located in the North Sea. Its API gravity is 38.3 degrees (making it a “light” crude oil, but not quite as “light” as WTI), while it contains about 0.37 percent of sulfur (making it a “sweet” crude oil, but again slightly less “sweet” than WTI). Brent blend is ideal for making gasoline and middle distillates, both of which are consumed in large quantities in Northwest Europe, where Brent blend crude oil is typically refined. However, if the arbitrage between Brent and other crude oils, including WTI, is favorable for export, Brent has been known to be refined in the United States (typically the East Coast or the Gulf Coast) or the Mediterranean region. Brent blend, like WTI, production is also on the decline, but it remains the major benchmark for other crude oils in Europe or Africa. For example, prices for other crude oils in these two continents are often priced as a differential to Brent, i.e., Brent minus $0.50. Brent blend is generally priced at about a $1-per-barrel premium to the OPEC Basket price or about a $1-per-barrel discount to WTI, although on a daily basis the pricing relationships can vary greatly.

much better put than my post!

This attachment may be of interest.