Just a few months back there was a major Organisation of Petroleum Exporting Countries (OPEC) announcement that began to halt production of oil which in turn drives the oil price up. They succeeded too, prices rose (in terms of home heating oil) from an average of £159 to around the £200 mark. That was still at a barrel price of around $48, an agreement between OPEC and non-OPEC countries today has the potential to drive the barrel price up to $55+
The price has already risen by 8% just this morning. This will have no IMMEDIATE knock on effect on your home heating oil price. However, if you weren’t planning on ordering for another week or so, the rising oil barrel price would impact you.
Following the announcement at 3pm that they have reached an agreement, the price of home heating oil WILL rise (already above $50 per barrel) and not only home heating oil. You can count on your diesel/petrol rising too! Just in time for Christmas. The rising heating oil price will not be a consequence of the colder weather driving demand up but rather a decision taken to halt production of oil.
The price of domestic oil has had a turbulent 2016 with Brexit and the exchange rate fluctuating, the first OPEC announcement in September, the US election, Middle-Eastern instability and now this second OPEC agreement. But rest assured, home heating oil remains the cheapest, best way to heat your home.
For more information or to place your order get in contact with us on 028 9083 4055 or via email on sales@valueoils.com.
