Petroeuro

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A petroeuro is a petroleum trade valued in the euro as opposed to the US dollar (a petrodollar). Trading of any natural resource, including petroleum, is controlled through trading partnerships involving both exporters and importers of the resource, in a defined marketplace, and through a trade agreement. The major countries holding petroleum reserves since the decline of US production are dominated by OPEC, and hence, OPEC may choose dollars, euros, yen, or any currency providing perceived advantage, politically or economically. As of 2005, OPEC continues to trade in petrodollars, but some OPEC members (such as Iran and Venezuela) have been pushing for a switch to the euro.

Since the beginning of 2003, Iran has required Euros in payment of exports toward Asia and Europe, though prices are still expressed in US dollars [1]. Iran is planning to open an International Oil Bourse (IOB, exchange), on the free trade zone on the island of Kish ^[2], for the express purpose of trading oil priced in other currencies, including Euros. This will establish a Euro based pricing mechanism, or "oil marker" as it is called by traders. The three current oil markers are US dollar denominated, which include the West Texas Intermediate crude (WTI), North Sea Brent Crude, and the UAE Dubai Crude.

The opening of the IOB had been planned for March 20, 2006, the Iranian New Year 1385^[1], but has been delayed. It is expected to open sometime in the summer of 2006.^[3] NEEDS UPDATE (it is now no longer summer of 2006.)

1 Supply
2 Demand
3 External links
- 3.1 Cited
4 Other links
5 See also

[edit] Supply

Supply data from list of net exporting countries

Sales in Euros are speculation at this point for countries other than Iran and based on statements concerning target percentages of reserve currencies and other guesses.

**Supply in Euros**
Country	bbl/day
Russia	6 670 000
Norway	2 290 000
Iran	2 550 000
Venezuela	2 360 000
Algeria	1 680 000

**Supply in Both**
Country	bbl/day	% Euro (est)
United Arab Emerates	2 330 000	40
Nigeria	2 190 000	30
Mexico	1 800 000	10
Libya	1 340 000	20
Kazakhstan	1 060 000	50
Qatar	1 020 000	20

**Supply in Dollars**
Country	bbl/day
Saudi Arabia	8 730 000
Kuwait	2 200 000
Iraq	1 480 000

[edit] Demand

Demand data from CIA World Fact Book.

**Demand in Euros**
Country	bbl/day
Germany	2,677,000
France	2,060,000
Italy	1,874,000
United Kingdom	1,722,000
Spain	1,544,000
Iran	1,425,000
Netherlands	920,000
Belgium	624,200
Poland	479,200
Greece	435,700
Sweden	346,100
Portugal	326,500
Switzerland	258,900
Norway	257,200
Finland	219,700
Ireland	175,600
Denmark	188,300

**Demand in Both**
Country	bbl/day	% Euro (est)
China	6,391,000	30
Japan	5,578,000	40
Venezuela	530,000	50

**Demand in Dollars**
Country	bbl/day
United States	20,030,000
Russia	2,800,000
India	2,320,000
Canada	2,193,000
South Korea	2,168,000
Brazil	2,100,000
Saudi Arabia	1,775,000
Mexico	1,752,000
Indonesia	1,155,000
Taiwan	915,000
Australia	875,600
Thailand	851,000
Turkey	715,100
Singapore	705,000
Egypt	566,000
Malaysia	510,000
South Africa	484,000
Argentina	450,000
Ukraine	401,000
Pakistan	365,000
Philippines	335,000
United Arab Emirates	310,000
Nigeria	310,000
Kuwait	305,000
Austria	286,200
Israel	270,100
Hong Kong	260,000
Belarus	252,000
Syria	240,000
Libya	236,000
Romania	235,000
Algeria	232,000
Chile	228,000
Kazakhstan	221,000
Vietnam	216,000
Czech Republic	185,200
Morocco	158,000
Peru	157,000
Ecuador	155,000
New Zealand	151,900
Colombia	134,100
Hungary	134,100
Bulgaria	107,000