• 4 minutes "Natural Gas Trading Picks Up Considerably Amid High Volatility" by Charles Kennedy - ...And is U.S. NatGas Futures dramatically overbought at the $6.35 range?
  • 8 minutes How Far Have We Really Gotten With Alternative Energy
  • 12 minutes  What Russia has reached over three months diplomatic and military pressure on West ?
  • 2 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 3 hours Revisiting: "The U.S. Grid Isn’t Ready For A Major Shift To Renewables" from March 2021 by Irina Slav at OILPRICE
  • 6 days "The Calm Before The Storm In Oil Markets" by Tom Kool of OILPRICE and seen at YahooFinance
  • 1 day How cheap Chinese tires might explain Russia's 'stalled' 40-mile-long military convoy in Ukraine
  • 5 days "Russia will stop 'in a moment' if Ukraine meets terms - Kremlin" by Reuters via Yahoo News...but Reuters suddenly cut out the balanced part of the story.
  • 5 days Will Variants and Ill-Health Continue to Plague Economic Outlooks?
  • 6 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
OPEC Cuts Global Oil Demand Growth Forecast, Again

OPEC Cuts Global Oil Demand Growth Forecast, Again

Slower global economic growth, China’s…

Aramco Books $40 Billion Q1 Profit On Oil Rally

Aramco Books $40 Billion Q1 Profit On Oil Rally

Saudi Aramco reported a net…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

Asia Buys More U.S. Crude As Middle East Hikes Oil Prices

Despite a slowdown in fuel demand due to the Delta variant, Asian refiners have booked more crude oil from the United States for the fourth quarter, taking advantage of the lower U.S. benchmark prices than last month, traders told Bloomberg on Friday.

Refiners in Asia seek cheaper crude, especially after Saudi Aramco raised last week its official selling prices for crude oil loading for Asia in September to the highest premiums to benchmarks since February 2020. Since other major Middle Eastern producers follow the trends in Saudi pricing, other oil exporters in the Gulf also raised their prices.

Signs have already emerged that some Asian refiners have asked for lower Saudi crude volumes for September.

Some Asian refiners have nominated lower than usual volumes of crude oil from Saudi Arabia as authorities in China and the rest of Asia have reimposed restrictions to fight the Delta variant surge, officials at four refineries told Bloomberg.

Refiners are thus opportunistically seeking lower-priced crude, which the U.S. is happy to supply. U.S. producers of medium heavy are selling their oil at lower prices than last month’s. And Russian oil companies are discounting their Urals grade, according to traders who spoke to Bloomberg last week.

With U.S. crude prices now lower than last month’s, and at significantly lower premiums over the Dubai benchmark, Asian refiners have bought at least 7 million barrels of U.S. crude set to arrive in October and November, according to Bloomberg’s trading sources.

Bharat Petroleum Corporation of India has acquired 2 million barrels of the West Texas Intermediate Midland crude grade scheduled to arrive in October. In Northeast Asia, two refiners have bought 5 million of Mars crude for November arrival, the traders said.

Chinese refiners, however, could reduce crude throughputs due to the renewed travel restrictions. China Petroleum & Chemical Corporation, or Sinopec, is expected to reduce run rates by up to 10 percent at some of its facilities amid new travel restrictions in China to fight a COVID wave, a commodity research analyst told Bloomberg in an interview earlier this week.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News