Petrol And Diesel Prices Today On August 6: Fuel Rates Hold Steady As Crude Oil Price Declines

Petrol and diesel prices across India remained unchanged on August 6, with oil marketing companies continuing the retail rates that have been in place since the last revision on May 25. While domestic fuel prices stayed stable, the global crude oil price weakened in Asian trading following developments related to discussions on restoring shipping through the Strait of Hormuz.

The decline in the crude oil price came after reports indicated that Iran and Oman had reached an understanding on the strategic waterway. According to Bloomberg, Brent crude traded near $79 per barrel, while West Texas Intermediate slipped below $75 per barrel after falling about 11% during the first three trading sessions of the week.

Petrol And Diesel Prices In Major Cities

Retail fuel prices remained unchanged in key cities on Thursday.

Source: GoodReturns

Crude Oil Price Under Pressure

According to Bloomberg, optimism surrounding a possible agreement to restore normal movement through the Strait of Hormuz weighed on global oil markets. The waterway is one of the world’s most important energy shipping routes and has experienced disruptions over the past several months.

Bloomberg quoted Rob Thummel, Senior Portfolio Manager at Tortoise Capital, as saying that oil prices have already moved below $80 per barrel as markets assess the possibility of an agreement with Iran. He added that prices could move closer to $70 per barrel if a deal is reached. The softer crude oil price has come despite continued geopolitical uncertainty in the region.

Developments In U.S.-Iran Negotiations

U.S. President Donald Trump said during a rally in Las Vegas that Washington was engaged in discussions with Tehran and that further developments would depend on the outcome of the negotiations.

Separately, Iran’s Foreign Ministry spokesperson Esmail Baghaei said the draft agreement being prepared with Oman was in its final stage. As per the Associated Press, officials from Iran and Oman have completed a draft proposal that is awaiting final approval from Iran’s Supreme Leader Ayatollah Mojtaba Khamenei. Reports indicated that a joint statement could be issued if the remaining process proceeds without disruption.

SIAM Withdraws Communication On E20 Fuel

The Society of Indian Automobile Manufacturers (SIAM) has withdrawn its earlier communication to the Ministry of Petroleum and Natural Gas regarding E20 fuel quality. In a statement, SIAM said the figures referred to in the communication required further verification through additional data collection and consultations with its member automobile manufacturers.

The industry body clarified that the information cited in media reports required authentication before any conclusions could be drawn. Even as the crude oil price continues to fluctuate globally, retail petrol and diesel prices in India have remained unchanged since the last revision, reflecting the existing domestic pricing framework.