Saudi ups prices for crude to Asia
 
, Posted on 07-Dec-2017


Saudi ups prices for crude to Asia

On the back of a stronger Dubai benchmark and solid demand in Asia, Saudi Arabia has raised the official selling prices (OSPs) of all its crude grades to Asia for January, generally in line with traders’ expectations.

OPEC’s largest producer and exporter has lifted the price of its flagship Arab Light crude grade for Asian buyers by $0.40 a barrel for January compared to December, to a premium of $1.65 per barrel over the Dubai/Oman benchmark against which the Saudis price their oil to Asia, a source with knowledge of the pricing told Reuters on Tuesday.

The $1.65 Arab Light premium to Dubai/Oman is the highest in more than three years, since September 2014, according to Reuters data.

Saudis have raised the OSP for all their crude grades bound for Asia next month, Reuters’ source said.

A Reuters survey showed last week that traders expected Saudi Arabia to lift the OSP for all its grades for Asia, with the lighter grades getting higher price hikes, and smaller increases for the heavier grades. The OSP of Arab Extra Light was expected to be raised by $0.50-0.60 to a $2.95-$3.05 premium over Dubai/Oman. The Arab Light pricing reported today was at the upper end of the expectations of survey respondents.

Arab Medium and Arab Heavy were expected to see smaller increases in OSP, and one of the four survey respondents expected a price cut for Arab Heavy.

In Platts’ survey, the expectations were similar, with traders expecting increases for the lighter grades on strengthened Dubai oil market structure in November due to robust demand in Northeast Asia and OPEC’s continued cuts. However, some traders thought the OSP differentials for some medium and heavy grades from the Middle East may not be raised because of weak fuel oil margins and pricing competition from similar grades from other regions. 

Reuters


Related News

Saudi petchems fall in weak region
Apr 23

Saudi petchems fall in weak region

Dubai : Middle Eastern stock markets mostly fell yesterday, with Saudi Arabian petrochemical shares hit particularly hard, in response to a drop by global bourses at the end of last week. The Saudi index slipped 0.3 per cent as Saudi Basic Industries, the biggest petrochemical firm, slid 0.6pc and Sahara...

Read More
Bahrain Middle East Bank enters into partnership with ICIEC
Apr 23

Bahrain Middle East Bank enters into partnership with ICIEC

Tunisia : Bahrain Middle East Bank B.S.C. (BMB), announced its added gear in its product line, with agreements being entered into with The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), a Member of the IDB Group (Islamic Development Bank Group, Jeddah, KSA), to consolidate its...

Read More
Abu Dhabi’s Warner Bros. indoor amusement park opens in July
Apr 19

Abu Dhabi’s Warner Bros. indoor amusement park opens in July

Abu Dhabi : Abu Dhabi will open a $1 billion indoor Warner Bros. amusement park this July, officials announced yesterday.  The Warner Bros. World park, built by the Abu Dhabi government-owned Miral Asset Management, encompasses 1.65 million square feet (153,290 square meters) on Yas Island, a leisure...

Read More
Saudi climbs for 5th straight day
Apr 19

Saudi climbs for 5th straight day

Dubai : Stock market Saudi Arabia climbed yesterday while the rest of the region was sluggish, with a slide in Dubai blue chip Emaar Properties dragging down that market once again. In Saudi Arabia, the index gained 0.6 per cent, rising for a fifth straight day. The market is bullish because of expectations for...

Read More
Saudi index holds above 8,000 points telcos boost Egypt
Apr 18

Saudi index holds above 8,000 points telcos boost Egypt

Riyadh : Saudi Arabia’s stock market continued a strong uptrend yesterday on the back of petrochemical and banking stocks, while rising telecoms shares boosted Egypt. The Saudi index closed 0.6 per cent up at 8,096 points, having finished above 8,000 points on Monday for the first time since August...

Read More
Saudi lifted by financials, other markets mixed
Apr 17

Saudi lifted by financials, other markets mixed

Dubai : Saudi stocks were lifted yesterday by optimism about fund flows and Qatari stocks rose on strong bank earnings, while other bourses in the region were lacklustre. The Saudi index closed 1.0 per cent higher, lifted by financial stocks. Insurance firm BUPA Arabia gained 5.5pc after it recommended an...

Read More
Russia, US trade barbs over attack
Apr 17

Russia, US trade barbs over attack

The Hague : Western countries accused Moscow on Monday of preventing inspectors from reaching the site of a suspected poison gas attack in Syria and said Russians or Syrians may have tampered with evidence on the ground. The United States, Britain and France launched air strikes on Saturday against what...

Read More
Oil steady, on track for biggest weekly gain since July
Apr 14

Oil steady, on track for biggest weekly gain since July

London : Oil prices steadied yesterday, heading for their largest weekly gain since July after US President Donald Trump’s comments about possible military action in Syria and reports of dwindling global oil stocks. Recovering from earlier losses, Brent crude LCOc1 was up 28 cents at $72.30 a barrel by...

Read More
Aramco world’s most profitable oil firm: report
Apr 14

Aramco world’s most profitable oil firm: report

London : Saudi Aramco is the world’s most profitable oil company, Bloomberg reported yesterday. Bloomberg news agency cited company accounts as saying Aramco had net income of $33.8 billion in the first six months of 2017 and cash flows of $52.1 billion. Aramco said: “This is inaccurate, Saudi...

Read More
Dinosaurs fetch over 1.4m euros
Apr 13

Dinosaurs fetch over 1.4m euros

Paris : Two dinosaur skeletons marketed as hip design objects-- one of a diplodocus, the other of an allosaurus -- sold for more than 1.4 million euros ($1.7 million) apiece at auction in Paris on Wednesday. “The same foreign buyer acquired the two dinosaurs,” the Drouot auction house said, hailing...

Read More