Oil buyers in Asia and the US will see cheaper crude supplies in October as Saudi Arabia is going to slash its official selling prices. Saudi Aramco has confirmed that prices will be reduced for all its crude grades.
The Saudi oil market is rich in supply. Thus, at present, the state-owned oil giant produces several types of crude grades. The price of Arab Light crude for the Asian market will be cut by $1.4 per barrel for a second straight month. According to preliminary estimates, Arab Light will cost $0.8 less than the Oman/Dubai average.
The price for other grades such as Arab Super Light and Arab Extra Light will fall by $1.5 per barrel for Asian customers. It is also expected that Arab Heavy crude will become cheaper by $0.9 per barrel.
Saudi Aramco will also cut its pricing for oil sales to the US in October. The new prices will range from $0.5 to $0.7 per barrel depending on the grade.
