Petrol to cost less next month

The Ministry of Energy & Industry said the price of 95-octane super gasoline (petrol) will be QR1.60 a litre in August compared with QR1.65 for this month. The price of premium petrol (91-octane) will come down to QR1.50 a litre against QR1.55 now. Petrol prices will be lower in Qatar next month, while there will be no change in diesel price in August, the Ministry of Energy and Industry said Thursday. The Ministry of Energy & Industry said the price of 95-octane super gasoline (petrol) will be QR1.60 a litre in August compared with QR1.65 for this month.The price of premium petrol (91-octane) will come down to QR1.50 a litre against QR1.55 now. However, diesel will remain unchanged at QR1.50 a litre next month. Fuel prices in Qatar were allowed to fluctuate in response to changes in the global market from May 1 last year. Every month, a special committee comprising representatives from various government bodies, would review fuel prices (gasoline and diesel) and make recommendations on proposed prices for the local market accordingly.The monthly revision in local fuel prices followed the government’s decision on fuel subsidy reforms in Qatar.Meanwhile, oil prices traded close to eight-week highs yesterday, boosted by a steeper-than-expected slide in US crude inventories last week.Brent crude futures dipped by 2 cents to $50.95 a barrel at 1346 GMT, after rising about 1.5% in the previous session, a Reuters’ dispatch showed. US West Texas Intermediate futures slipped 1 cent at $48.74 a barrel.Both contracts traded lower earlier in the session on a stronger dollar, but recovered most of the lost ground. A stronger US currency makes dollar-denominated crude more expensive for investors holding other currencies.On Wednesday, the US Energy Information Administration reported a 7.2mn barrel drop in US inventories in the week to July 21, much more than the 2.6mn barrels forecast.Expectations that the long-oversupplied market was moving towards balance were also supported by this week's news that Saudi Arabia planned to limit crude exports to 6.6mn barrels per day (bpd) in August, about 1mn bpd below the level last year.Kuwait and United Arab Emirates, fellow members of the Organisation of the Petroleum Exporting Countries, have also promised export cuts.US shale producers including Hess Corp, Anadarko Petroleum and Whiting Petroleum announced plans this week to cut spending this year due to low oil prices.