LONDON, April 19: London’s Intercontinental Exchange (ICE) oil market said on Thursday it would launch a new crude oil contract next month for sour crude from the Middle East.

The new heavy crude contract will be priced in US dollars and sold alongside London’s Brent North Sea crude and New York’s main oil futures contract, light sweet crude, the exchange said in a statement.

The Middle East sour crude contract will launch on May 21 pending regulatory approval, it added.

Consumers have access to large supplies of heavy, sour crude, but most refiners prefer light, sweet oil -- such as Brent North Sea -- because of its low sulphur content and relatively high yields of gasoline, heating oil, diesel and jet fuel.

The ICE’s move will mark the first time that an existing sour crude contract has been traded alongside Brent and New York crude.—AFP