Saudi Arabia sharply cuts crude oil prices in Asia

According to a Reuters report in Dubai on September 6, Saudi Arabia, the world's largest oil exporter, sharply cut its prices for all grades of crude oil to Asian customers in October, but prices for northwestern Europe and the United States remained stable.

The sharp price cut comes as a lockdown across Asia to combat the highly contagious delta variant of the new crown virus has restricted fuel demand in the region. Global oil supply is also increasing as OPEC and its ally OPEC+ will increase production by 400,000 barrels per day from August to December

According to company documents, Saudi Aramco reduced the official selling price (OSP) of Arabian Light Crude Oil shipped to Asia in October to US$1.70 per barrel for the first time in four months, which is US$1.70 higher than the average price of DME Oman and Platts Dubai crude oil. . The September spread was US$3 per barrel, the highest level since February 2020.