• 3 minutes Will Iron-Air batteries REALLY change things?
  • 7 minutes Natural gas mobility for heavy duty trucks
  • 11 minutes NordStream2
  • 4 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 8 hours U.S. Presidential Elections Status - Electoral Votes
  • 7 hours Evergrande is going Belly Up.
  • 10 hours Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 4 hours Is China Rising or Falling? Has it Enraged the World and Lost its Way? How is their Economy Doing?
  • 2 days Poland Expands LNG Powered Trucking and Fueling Stations
  • 3 days World’s Biggest Battery In California Overheats, Shuts Down
  • 2 days The unexpected loss of output from wind turbines compels UK to turn to an alternative; It's not what you think!
  • 1 day Ten Years of Plunging Solar Prices
  • 1 day Extraction of gasoline from crude oil.
  • 4 days The coming Cyber Attack
  • 4 days Is the Republican Party going to perpetuate lies about the 2020 election and attempt to whitewash what happened on January 6th?
  • 4 days Ozone layer destruction driving global warming
  • 4 days 'Get A Loan,' Commerce Chief Tells Unpaid Federal Workers

Breaking News:

UN Climate Conference Snubs Big Oil

Exxon’s Big Bet On Guyana Is Starting To Pay Off

Exxon’s Big Bet On Guyana Is Starting To Pay Off

ExxonMobil announced yet another high-quality…

Why Bitcoin Miners Are Setting Up Shop In Texas Oilfields

Why Bitcoin Miners Are Setting Up Shop In Texas Oilfields

Bitcoin miners are mingling with…

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

Asian Buyers Expected To Pay More For Saudi Crude This Summer

Asian crude buyers expect Saudi Arabia to raise its August official selling price (OSP) for the Arab Heavy crude that it sells to Asia to the highest in more than 3 years.

A tighter market for heavy crude grades in Asia amid the OPEC production cut has led to record refining profits on making fuel oil in Asia, Reuters reported on Monday, citing trade sources—a perfect opportunity for lifting prices.

According to four Asian buyers, Saudi Arabia’s oil giant Saudi Aramco is seen raising the OSP for Arab Heavy for Asia by US$0.20 per barrel, to US$1.65 below the average Oman/Dubai benchmarks for August, which would be the slimmest discount since December 2013.

“Maybe they [Saudi Aramco] will cut Arab Heavy supplies for August because of the OPEC cut and summer demand for power generation,” a trader with a refiner in North Asia told Reuters.

A fifth source briefed by Reuters said that it expected the Arab heavy price to Asia to remain unchanged from July prices.

If Saudi Aramco does raise its heavy crude prices to Asia, demand for heavy varieties from other Middle Eastern producers such as Russia, Angola—as well as America—could rise as well.

Last month, Saudi Arabia raised its OSPs for all of its crude grades sold to Asia in July, in line with market expectations. Related: What Oil Needs To Rally Higher

The price of the Arab Heavy for Asia was raised by US$0.95 per barrel for July, to a US$1.85 discount to the Oman/Dubai average. The price of the flagship Arab Light for Asian customers was raised by US$0.60 a barrel compared to June, to a discount of US$0.25 a barrel to the Oman/Dubai average.

According to the Asian sources surveyed by Reuters, for August, Saudi Arabia is expected to reduce the Arab Light price by US$0.20 a barrel, to the lowest in two months, after a weakening Dubai market in June.

Saudi Arabia’s exports to Asia, as well as to the U.S., have been dropping lately, according to ClipperData.

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