Taipei--State-owned oil refiner CPC Corporation, Taiwan (??) said it will cut its domestic gasoline and diesel prices by NT$0.3 (US$0.01) per liter this week, starting at midnight Sunday,
After the price drop, prices at CPC gas stations countrywide will be NT$20 per liter for super diesel, NT$22.5 per liter for 92 octane unleaded, NT$24 per liter for 95 unleaded and NT$26 per liter for 98 unleaded, the company said.
It will be the fourth consecutive weekly price reduction by CPC, dropping domestic fuel prices to the lowest level since last November, as international crude oil prices fell for the fifth straight week amid rising fears over a global supply glut.
This week, West Texas Intermediate crude prices fell 4.4 percent in New York, while Brent, the global benchmark, dropped 3.9 percent in London.
Energy traders remained wary of rising production in Libya and Nigeria, which are exempted from an output reduction agreement among the Organization of Petroleum Exporting Countries (OPEC) and non-OPEC producers.
Market statistics show that oil production in Libya rose to 885,000 barrels per day after its state-owned oil company settled a dispute, which raised fears that continued global oversupply would undermine the output agreement that extends to March 2018.
CPC calculates its weekly fuel prices based on a weighted oil price formula made up of 70 percent Dubai crude and 30 percent Brent crude.
After the recent fall in international crude oil prices, CPC's average price of crude oil was calculated at US$44.71 per barrel this week, down from US$46.43 per barrel a week earlier, according to its website.
CPC Corp.'s main competitor, privately owned fuel supplier Formosa Petrochemical Corp. (????), on Saturday announced similar price cuts for this week.
Source: Focus Taiwan News Channel