Buyou was born in 1988, and its full name is Brent crude oil, which is a crude oil futures contract of London International Petroleum Exchange (IPE).

American Petroleum was born in 1983, the full NYMEX is WTI (West Texas Intermediate Crude Oil), which belongs to the New York Mercantile Exchange, and all oil produced or sold in the United States is based on it.

2. Different developments:

Brent crude oil is produced in Brent area of North Atlantic, and is mainly processed and refined in northern Europe. It is the crude oil pricing benchmark in Northwest Europe, Africa, Asia and other regions, and is mainly sent to global users by ocean transportation. Brent crude oil is named after Brent oil field in Scotland.

American oil is the earliest crude oil futures in the world, and its quality is higher than Brent crude oil. Based on pipeline transportation and physical delivery, the market is limited to the inland of the United States.

Due to geographical restrictions, crude oil trade in North America mainly uses the price of American oil. Although it was the earliest, its price benchmark function was gradually replaced by Brent crude oil futures price with wider market audience.

3. Different costs:

American oil is mainly Middle East light crude oil, which is difficult to dig and has low cost.

Oil is distributed in the North Sea, and it is difficult and costly to exploit it at sea. The output of oil distribution is gradually decreasing. In the case that the crude oil markets in Europe, the Middle East and Asia are all based on Brent crude oil, the huge market scale supports higher prices.

4, the output is different:

Before the U.S. oil ban, the United States imported a large amount of oil from the Middle East, resulting in high inventories and depressing oil prices. Later, with the development of shale oil technology, Permian broke out, and the crude oil output in 20 18 reached 109 million barrels per day, surpassing Russia and Saudi Arabia to become the world's largest crude oil producer, with shale oil output exceeding 70%. The sharp increase in crude oil production has also caused the oil price to fall.

Limited by the insufficient capacity of crude oil storage facilities at the delivery place and the relatively single flow direction of crude oil in the pipeline, the price of American oil has been lower than the distribution price since August 20 10, gradually weakening its role as a price benchmark in the international crude oil market.

Baidu encyclopedia-Brent crude oil

Baidu Encyclopedia -—WTI Crude Oil