• 5 minutes Covid-19 logarithmic growth
  • 8 minutes Why Trump Is Right to Re-Open the Economy
  • 12 minutes Charts of COVID-19 Fatality Rate by Age and Sex
  • 14 minutes China Takes Axe To Alternative Energy Funding, Slashing Subsidies For Solar And Wind
  • 6 mins Which producers will shut in first?
  • 2 hours The Most Annoying Person You Have Encountered During Lockdown
  • 4 hours Its going to be an oil bloodbath
  • 18 hours We are witnesses to the end of the petroleum age
  • 33 mins Saudi Aramco struggling to raise money for this year's dividend of $75 billion. Now trying to sell their pipelines for $10 billion.
  • 23 hours Breaking News - Strategic Strikes on Chinese Troll Farms
  • 1 min Russia's Rosneft Oil Company announces termination of its activity in Venezuela
  • 3 mins Saudi Arabia Can't Endure $30 Oil For Long
  • 7 hours Wastewater Infrastructure Needs
  • 53 mins How to Create a Pandemic
  • 21 hours A New Solar-Panel Plant Could Have Capacity to Meet Half of Global Demand
  • 22 hours >>The falling of the Persian Gulf oil empires is near <<
Alt Text

The Inevitable Outcome Of The Oil Price War

Russia, with Saudi Arabia either…

Alt Text

Oil Hits $20 For The First Time In 18 Years

Oil prices plunged on Monday…

Alt Text

Oil Prices Could Fall Another 20%

Oil prices have tumbled as…

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 Aramco Unexpectedly Raises Arab Light Oil Price To Asia

In an unexpected move seen as bullish by futures traders, Saudi Aramco lifted the official selling price (OSP) of its flagship Arab Light crude grade to Asian customers for May loadings.

Aramco raised the OSP for Arab Light for Asia next month by $0.10 a barrel compared to April prices, to a premium of $1.20 to the Oman/Dubai Middle East benchmark.

For April, Saudi Arabia had cut the OSP for Arab Light for Asian customers by $0.55, the first cut in eight months, and a sign that it continues to fight for market share.

The Saudi pricing usually sets the trend in the OSPs of the other Middle Eastern producers, so they are closely watched by the market.

Earlier this week, a Reuters survey of six refiners and traders showed that they expected Saudi Arabia to cut its OSPs for all its crude grades bound for Asia next month. Traders had expected the Arab Light crude price to be lowered by between $0.50 and $0.70—the lowest in six months—to reflect weaker Dubai crude prices.

“We expect cuts of 50-60 cents across all grades,” one respondent in the Reuters survey said.

But Saudi Arabia surprised the market with higher Arab Light prices and such unusual divergences between expectations and actual pricing could suggest that Saudi Arabia may have different view from the traders and refiners about major oil market data such as refining margins for example, Bloomberg notes. Related: Venezuela’s Oil Sector May Soon Have New Owners

The Saudis met traders’ expectations with the pricing of the other grades to the Asian market, lowering the OSPs relative to Oman/Dubai by between $0.20 and $0.50 for May compared to April.

To the U.S. customers, Saudi Aramco lowered by $0.10 the prices of the Arab Light, Medium, and Heavy, but raised the Arab Extra Light price.

The Saudis raised all grades prices to Mediterranean customers and raised prices the most for Northwest Europe.

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




Oilprice - The No. 1 Source for Oil & Energy News