Saudi Arabia on Sunday cut the February price of its flagship Arab Light crude to Asian customers to the lowest level in 27 months, a company statement showed.
The world's largest oil company, Saudi Aramco, slashed the official selling price (OSP) for February-loading Arab Light to Asia by $2 a barrel from January to $1.50 a barrel over Oman/Dubai quotes, a level last seen for November 2021.
The price cut, the biggest in 13 months, is in line with market expectations, as refiners called for competitive prices from Saudi Arabia compared to crude oil supplied from other Middle Eastern producers and the arbitrage cargoes from the Atlantic Basin.
Aramco also trimmed prices for other crude grades it sells to Asia by $2 a barrel in February from the previous months, the statement showed.
For other regions, Saudi Aramco cut its February Arab Light OSP to northwest Europe by $2 a barrel to $0.90 a barrel above ICE Brent.
The OSP of Arab Light to the United States was lowered by $2 a barrel to $5.15 versus ASCI in February.
