Saudi Arabia Cuts Oil Prices Despite Output Curbs

By Giulia Petroni

Saudi Arabia cut the price for its flagship Arab Light crude to Asian customers despite extending voluntary output cuts amid concerns around an oversupplied market.

State-owned oil giant Saudi Arabian Oil Co., known as Saudi Aramco, lowered its January official selling price for Arab Light to Asia by $0.50 to $3.50 a barrel over the Oman/Dubai average. The price is considered a barometer for how the kingdom sees the demand outlook.

Aramco also cut its January official selling price for Arab Light for northwest Europe by $2 to $2.90 a barrel versus ICE Brent and for North America by $0.30 to $7.15 a barrel versus ASCI.

Last week, Saudi Arabia said it would extend its voluntary curbs of 1 million barrels of oil a day as part of a deal that the Organization of the Petroleum Exporting Countries and its allies reached on additional cuts for next year.

Write to Giulia Petroni at giulia.petroni@wsj.com

(END) Dow Jones Newswires

December 06, 2023 03:39 ET (08:39 GMT)

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