HC Deb 27 March 1979 vol 965 c153W
Mr. Skeet

asked the Secretary of State for Energy (1) if he will give a specific directive to the British National Oil Corporation under section 4 of the Petroleum and Submarine Pipe-lines Act 1975 that it is to sell crude oil to which it has access at prices related to those fixed by OPEC at its December 1978 meeting;

(2) at what price the British National Oil Corporation purchases crude oil under participation agreements; and whether market prices relate to OPEC prices or higher levels established by the spot market.

Dr. Mabon

The British National Oil Corporation trades in crude oil at prices in line with international market levels, whether participation or other etudes are involved. At present the Corporation is buying and selling all its crude under term arrangements at prices which are substantially below prices obtainable on the spot market. I have no intention of directing the Corporation to change this policy.

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