SEOUL, Oct. 19 (Korea Bizwire) – South Korea’s bourse operator said Sunday that kerosene will be traded on its spot market later this month tofurther expand the country’s commodity spot trading market.
Starting Oct. 26, kerosene will begin trading from 10 a.m. to 5 p.m. through the system, with the basic trading unit set at 20,000 liters, according to the Korea Exchange (KRX).
Kerosene, or lamp oil, is widely used as a fuel in industry and households, with South Korea’s consumption reaching 15.43 million barrels in 2014.
”We have completed the spot oil market for three types of light crude oils — gasoline, diesel and kerosene,” said the KRX in a statement. “It will help the spot oil market develop further.”
The spot oil trading service was launched in April 2012 by the KRX in a bid to bolster the local oil transaction market and help stabilize energy prices.
Currently, diesel and gasoline are traded on the market.
The daily trading volume of the spot oil market came to 15.18 million liters in the first half, accounting for 10.9 percent and 9.1 percent of South Korea’s diesel and gasoline demand, respectively, according to the KRX.’