Definitions

from The American Heritage® Dictionary of the English Language, 4th Edition

  • n. Linkage of the price of crude oil to the market price of products refined from it.

Etymologies

Sorry, no etymologies found.

Examples

  • According to the company, it was able to get operating profits (called 'netback' in oil industry jargon) of around 83% of the proceeds of the sale of oil and gas in India, after accounting for operating expenses and government levies.

    Analysis

  • Q: For the readers who are not familiar with the term, can you define "netback"?

    Recent Commentaries | Safehaven.com

  • "This increase will be a strong indication that the government indeed intends to keep domestic gas prices on the growth path to netback parity," said Ron Smith , analyst at Citibank in Moscow.

    Moscow May Allow Gazprom Price Rise

  • As word circulated around the global marketplace in late September and early October of 1985 about the Saudi netback deals, nervousness and anxiety rose.

    The Prize

  • The Saudis moved from a defense of price to a defense of volume—their own desired level of output—and chose an ingenious weapon: netback deals with the Aramco partners and with other oil companies strategically located in key markets.

    The Prize

  • But the Saudis were also careful not to be too confrontational; their aim was to regain their quota level, and no more, and they put a cap on the volume that would be covered by their new netback deals.

    The Prize

  • The executive flew to London in August to discuss the netback terms.

    The Prize

  • The netback contracts obviously meant that there was no longer an official Saudi price.

    The Prize

  • So the two companies came up with an innovative solution—what would become known as “netback pricing.”

    The Prize

  • "The group's foray into MIBK will diversify its solvent portfolio and enable a greater opportunity to increase the average netback of acetone exported," it explained.

    ANC Daily News Briefing

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