asked the Secretary of State for Energy, on the assumption that Saudi Arabian 34API at $24 a barrel is accepted as the market price, what he estimates would be the North Sea Forties price strictly related to that figure.

Parity calculations based on a comparison of product yields at current Rotterdam prices and locational advantage produce a premium for Forties crude of between $3 and $4 over Middle East crudes such as Iranian light and Arab light. The value of North Sea crudes in the market place, however, is normally determined in relation to lighter, lower sulphur African crudes.