Saudi Arabia has cut its April price for its Arab Light grade for Asian customers by $0.30 a barrel versus March to a discount of $0.15 a barrel to the Oman/Dubai average, its national oil company said on Thursday.
The cut is a surprise as Saudi Arabia was expected to possibly raise the price of Arab Light crude it sells to Asia in April for a third straight month after Middle East benchmark Dubai crude strengthened on OPEC cuts, according to a Reuters survey.
State-run Saudi Aramco dropped its Arab Light OSP to Northwest Europe by $0.45 a barrel for April from the previous month at a discount of $3.90 per barrel to the Brent Weighted Average (BWAVE).
The Arab Light OSP to the United States was set at a premium of $0.20 a barrel to the Argus Sour Crude Index (ASCI) for April, down $0.20 per barrel.
Aramco adjusts its prices based on the monthly change in spread between first and third month physical Dubai prices. In some cases, when adjusting monthly prices, it also takes into account the strength of the Oman-Dubai benchmark, against which it prices its crude, as well as Asia’s refining margins.
Saudi crude OSPs set the trend for Iranian, Kuwaiti and Iraqi prices, affecting more than 12 million barrels per day (bpd) of crude bound for Asia.
The tables below show the full FOB prices for April in U.S. dollars.
Saudi term crude supplies to the United States are priced as a differential to the Argus Sour Crude Index (ASCI). United States
APRIL MARCH CHANGE
EXTRA LIGHT +2.10 +2.40 -0.30 LIGHT +0.20 +0.40 -0.20 MEDIUM -1.00 -0.90 -0.10 HEAVY -2.30 -2.20 -0.10 Prices at Ras Tanura destined for Northwest Europe are set against Brent crude weighted average (BWAVE): NW EUROPE
APRIL MARCH CHANGE EXTRA LIGHT -2.15 -1.55 -0.60 LIGHT -3.90 -3.45 -0.45 MEDIUM -5.00 -4.55 -0.45 HEAVY -6.55 -6.05 -0.50 Saudi term crude supplies to Asia are priced as a differential to the Oman/Dubai average: ASIA
APRIL MARCH CHANGE SUPER LIGHT +3.95 +4.45 -0.50 EXTRA LIGHT +0.95 +1.70 -0.75 LIGHT -0.15 +0.15 -0.30 MEDIUM -0.85 -0.55 -0.30 HEAVY -2.60 -2.60 0.00 Prices at Ras Tanura for Saudi oil destined for the Mediterranean are set against the BWAVE: MEDITERRANEAN
APRIL MARCH CHANGE EXTRA LIGHT -1.70 -1.30 -0.40 LIGHT -3.65 -3.55 -0.10 MEDIUM -4.50 -4.50 0.00 HEAVY -5.75 -5.90 +0.15
Source: ReutersPrevious Next