Govt to sell crude stocks in December

The government plans to sell crude stocks in December this year to take advantage of expected higher demand of oil during winter season in Europe, said Raden Priyono, Chairman of upstream oil and gas regulator BPMIGAS.

?Usually, the crude price is higher in December as crude oil demand usually higher in the month on the back of winter season in most part of Europe,? Priyono said.

He however warned that if the financial crisis in Europe prolonged, the crude price may not increase as expected.

The government usually sells stocks in December to help meet the national target of oil lifting.

Priyono however did not disclose the volume of crude oil to be sold in December. In the fourth quarter last year, the government sold 3 million barrels of crude stock. (godang)