Saudi Arabia Cuts Asia-Bound Arab Light Official Selling Price by $6 a Barrel

Saudi Arabia cut the official selling price (OSP) for its main crude grade sold to Asia for a second straight month, though its premium in the region remained near multi-decade highs. According to Jin10, Saudi Aramco lowered the price of Arab Light crude for shipment to Asia next month by $6 per barrel, bringing its premium over the Oman/Dubai average to $9.50 per barrel. The reduction was larger than the $5-per-barrel cut expected by refiners and traders. The report said global oil markets remained disrupted as talks between the United States and Iran to extend a ceasefire agreement were deadlocked, while the Strait of Hormuz stayed closed. With tankers trapped inside the Persian Gulf and empty vessels unable to enter to load new cargoes, the Middle East sharply reduced output, shut oilfields, and slowed or halted refinery operations, the report said.