What is DATED BRENT?

'Dated Brent' is a market term for physical cargoes of crude oil in the North Sea that have been assigned specific dates when they will be loaded onto a Tanker.

Cargoes that have been assigned loading dates are referred to as Dated Cargoes, Wet Cargoes or Wet Barrels. Cargoes without loading dates are known as Paper Barrels and are traded for speculative or hedging purposes.

Dated Brent prices are used, directly and indirectly, as a benchmark for a large proportion of the crude oil that is traded internationally.

Each Dated Cargo of crude oil is often traded more than once as it makes its way to delivery to refineries - where crude is transformed into products like Gasoline, Diesel, Jet Fuel, and more.

Dated Brent is a critical component of the Brent Complex, which includes the trading of physically delivered oil like Dated Brent and cash BFOE (Brent-Forties-Oseberg-Ekofisk), as well as financially settled derivatives like Brent Futures, Contracts for Differences (CfDs), Dated-to-Frontlines (DFLs) and a variety of other derivatives.

Taken as a whole, the Brent Complex helps those active in the North Sea crude market to manage the flow of crude oil from well-head to refinery, and manage price risk along the way - not just in crude oil, but also for correlated refined oil products.

Price indicators from the Brent Complex are increasingly used as a reference for measuring the value of crude oils all around the world, and often of global economic health itself.

 

~Eastern Union Energy