• 3 minutes Tesla is the Most American Made Car!
  • 7 minutes Should the US government be on the hook for $15 billion?
  • 11 minutes Forecasts for oil stocks.
  • 9 hours U.S. Presidential Elections Status - Electoral Votes
  • 6 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 13 hours China Producing Half of the Worlds Electrical Vehicle Batteries is Experiencing Explosive Pollution
  • 7 hours California breaks 1 GW energy storage milestone
  • 19 hours Colonial pipeline hack
  • 1 day Severe Drought in the West Will Greatly Reduce Electrical Production from Hydroelectric Turbines.
  • 2 days Survival of Oil and Gas industry.
EIA Sees Brent Prices Averaging $69 This Year

EIA Sees Brent Prices Averaging $69 This Year

Brent Crude spot prices are…

Oil Slips On Prospect Of Rising OPEC+ Supply

Oil Slips On Prospect Of Rising OPEC+ Supply

Oil prices dropped early on…

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

Saudi Arabia Hikes Oil Prices For The Third Consecutive Month

Brent oil prices rose early on Monday after Saudi Arabia raised its oil price for a third consecutive month, signaling recovering demand.

As of 9:26 a.m. EDT on Monday, Brent Crude was up 0.61 at $43.06, but WTI Crude was down 0.52 percent at $40.46.

The U.S. benchmark traded down for most of the morning as surging coronavirus cases in the United States have oil market participants worried about the trend of demand recovery in America.   

Brent Crude prices were supported, however, by Saudi Arabia’s oil giant Aramco lifting the price for almost all its grades to Asia, Europe, and the United States for August.

Refiners were expecting an increase in the Saudi official selling prices (OSPs) as the Middle Eastern benchmarks had strengthened amid tighter supply over the past weeks.

The pricing of Saudi crude, typically released around the fifth of each month, generally sets the trend for the pricing for Asia of other Gulf oil producers such as Kuwait, Iraq, and Iran. The pricing of Saudi Aramco affects as much as 12 million barrels per day (bpd) of Middle Eastern crude grades going to Asia.

Saudi Arabia lifted the price of its oil to Asia at $1.20 above the Oman/Dubai average, Reuters quoted Aramco as saying today.

While higher oil prices for a third month in a row may be discouraging buyers from nominating Saudi barrels for next month, those higher prices could prompt refiners to turn to crude at storage, which is still abundant, and drawdown storage levels, thus supporting oil prices, industry sources told Reuters.

In the United States, the concern is on the demand side, with soaring COVID-19 cases in many states--although the number of new deaths each day is still falling.

“For now, data for several cities in affected states does not show a significant reduction in road traffic week-on-week,” ING strategists said on Monday.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Mamdouh Salameh on July 06 2020 said:
    This is a good sign that Saudi Arabia believes that the global oil demand is recovering.

    However, it doesn’t square with Saudi threats yesterday to Iraq, Nigeria and Angola of a price war (undercutting their prices in their major markets) if they don’t toe the line on OPEC+ production cuts. Iraq, Nigeria and Angola compete with Saudi Arabia in the Asia-Pacific region’s oil market particularly China.

    That is why I said yesterday that threats by Saudi Arabia of any price war big or small aren’t going to materialize.

    Dr Mamdouh G Salameh
    International Oil Economist
    Visiting Professor of Energy Economics at ESCP Europe Business School, London

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